WOLTERS KLUWER (WKL.AS) Stock Fundamental Analysis
Europe - AMS:WKL - NL0000395903 - Common Stock
116.5 EUR
+6.55 (+5.96%)
Taking everything into account, WKL scores 5 out of 10 in our fundamental rating. WKL was compared to 32 industry peers in the Professional Services industry. While WKL belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. WKL is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
WKL had positive earnings in the past year.
WKL had a positive operating cash flow in the past year.
Each year in the past 5 years WKL has been profitable.
In the past 5 years WKL always reported a positive cash flow from operatings.
1.2 Ratios
WKL's Return On Assets of 11.54% is amongst the best of the industry. WKL outperforms 90.63% of its industry peers.
WKL has a Return On Equity of 126.61%. This is amongst the best in the industry. WKL outperforms 100.00% of its industry peers.
WKL has a better Return On Invested Capital (18.22%) than 87.50% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WKL is significantly above the industry average of 12.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.54% | ||
| ROE | 126.61% | ||
| ROIC | 18.22% |
ROA(3y)11.08%
ROA(5y)9.99%
ROE(3y)57.29%
ROE(5y)47.31%
ROIC(3y)18.4%
ROIC(5y)16.55%
1.3 Margins
WKL has a better Profit Margin (18.48%) than 87.50% of its industry peers.
In the last couple of years the Profit Margin of WKL has grown nicely.
WKL has a Operating Margin of 25.41%. This is amongst the best in the industry. WKL outperforms 90.63% of its industry peers.
WKL's Operating Margin has improved in the last couple of years.
The Gross Margin of WKL (72.93%) is better than 68.75% of its industry peers.
In the last couple of years the Gross Margin of WKL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.41% | ||
| PM (TTM) | 18.48% | ||
| GM | 72.93% |
OM growth 3Y2.95%
OM growth 5Y3.49%
PM growth 3Y6.13%
PM growth 5Y4.69%
GM growth 3Y0.61%
GM growth 5Y0.72%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so WKL is creating value.
Compared to 1 year ago, WKL has less shares outstanding
The number of shares outstanding for WKL has been reduced compared to 5 years ago.
Compared to 1 year ago, WKL has a worse debt to assets ratio.
2.2 Solvency
WKL has an Altman-Z score of 2.91. This is not the best score and indicates that WKL is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.91, WKL is in the better half of the industry, outperforming 65.63% of the companies in the same industry.
The Debt to FCF ratio of WKL is 3.75, which is a good value as it means it would take WKL, 3.75 years of fcf income to pay off all of its debts.
WKL has a Debt to FCF ratio of 3.75. This is in the better half of the industry: WKL outperforms 62.50% of its industry peers.
A Debt/Equity ratio of 5.81 is on the high side and indicates that WKL has dependencies on debt financing.
WKL's Debt to Equity ratio of 5.81 is on the low side compared to the rest of the industry. WKL is outperformed by 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.81 | ||
| Debt/FCF | 3.75 | ||
| Altman-Z | 2.91 |
ROIC/WACC2.71
WACC6.72%
2.3 Liquidity
WKL has a Current Ratio of 0.71. This is a bad value and indicates that WKL is not financially healthy enough and could expect problems in meeting its short term obligations.
WKL has a worse Current ratio (0.71) than 71.88% of its industry peers.
WKL has a Quick Ratio of 0.71. This is a bad value and indicates that WKL is not financially healthy enough and could expect problems in meeting its short term obligations.
WKL's Quick ratio of 0.69 is on the low side compared to the rest of the industry. WKL is outperformed by 68.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.03% over the past year.
Measured over the past years, WKL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.08% on average per year.
The Revenue has been growing slightly by 5.69% in the past year.
WKL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.11% yearly.
EPS 1Y (TTM)12.03%
EPS 3Y13.71%
EPS 5Y12.08%
EPS Q2Q%14.41%
Revenue 1Y (TTM)5.69%
Revenue growth 3Y7.43%
Revenue growth 5Y5.11%
Sales Q2Q%5.57%
3.2 Future
WKL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.51% yearly.
Based on estimates for the next years, WKL will show a small growth in Revenue. The Revenue will grow by 5.47% on average per year.
EPS Next Y6.96%
EPS Next 2Y7.75%
EPS Next 3Y8.38%
EPS Next 5Y9.51%
Revenue Next Year3.74%
Revenue Next 2Y3.93%
Revenue Next 3Y4.55%
Revenue Next 5Y5.47%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.94, the valuation of WKL can be described as rather expensive.
WKL's Price/Earnings ratio is a bit cheaper when compared to the industry. WKL is cheaper than 65.63% of the companies in the same industry.
WKL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.20.
WKL is valuated rather expensively with a Price/Forward Earnings ratio of 20.19.
The rest of the industry has a similar Price/Forward Earnings ratio as WKL.
When comparing the Price/Forward Earnings ratio of WKL to the average of the S&P500 Index (22.70), we can say WKL is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.94 | ||
| Fwd PE | 20.19 |
4.2 Price Multiples
WKL's Enterprise Value to EBITDA is on the same level as the industry average.
WKL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.02 | ||
| EV/EBITDA | 14.72 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WKL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.15
PEG (5Y)1.82
EPS Next 2Y7.75%
EPS Next 3Y8.38%
5. Dividend
5.1 Amount
WKL has a Yearly Dividend Yield of 2.26%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.37, WKL has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, WKL has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.26% |
5.2 History
On average, the dividend of WKL grows each year by 16.08%, which is quite nice.
Dividend Growth(5Y)16.08%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
48.26% of the earnings are spent on dividend by WKL. This is a bit on the high side, but may be sustainable.
WKL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP48.26%
EPS Next 2Y7.75%
EPS Next 3Y8.38%
AMS:WKL (9/18/2025, 5:36:16 PM)
116.5
+6.55 (+5.96%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners66.16%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap27.79B
Analysts73.33
Price Target165.06 (41.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.26% |
Yearly Dividend2.19
Dividend Growth(5Y)16.08%
DP48.26%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-5.65%
PT rev (3m)-4.22%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-3.35%
EPS NY rev (3m)-3.35%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.18%
Revenue NY rev (3m)-1.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.94 | ||
| Fwd PE | 20.19 | ||
| P/S | 4.57 | ||
| P/FCF | 20.02 | ||
| P/OCF | 16.33 | ||
| P/B | 31.33 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.72 |
EPS(TTM)5.31
EY4.56%
EPS(NY)5.77
Fwd EY4.95%
FCF(TTM)5.82
FCFY5%
OCF(TTM)7.14
OCFY6.13%
SpS25.48
BVpS3.72
TBVpS-24.65
PEG (NY)3.15
PEG (5Y)1.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.54% | ||
| ROE | 126.61% | ||
| ROCE | 25.47% | ||
| ROIC | 18.22% | ||
| ROICexc | 21.25% | ||
| ROICexgc | N/A | ||
| OM | 25.41% | ||
| PM (TTM) | 18.48% | ||
| GM | 72.93% | ||
| FCFM | 22.84% |
ROA(3y)11.08%
ROA(5y)9.99%
ROE(3y)57.29%
ROE(5y)47.31%
ROIC(3y)18.4%
ROIC(5y)16.55%
ROICexc(3y)22.98%
ROICexc(5y)21.64%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)24.42%
ROCE(5y)22.04%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y1.41%
ROICexc growth 5Y2.52%
OM growth 3Y2.95%
OM growth 5Y3.49%
PM growth 3Y6.13%
PM growth 5Y4.69%
GM growth 3Y0.61%
GM growth 5Y0.72%
F-Score5
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.81 | ||
| Debt/FCF | 3.75 | ||
| Debt/EBITDA | 2.53 | ||
| Cap/Depr | 63.95% | ||
| Cap/Sales | 5.17% | ||
| Interest Coverage | 12.55 | ||
| Cash Conversion | 83.64% | ||
| Profit Quality | 123.6% | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 2.91 |
F-Score5
WACC6.72%
ROIC/WACC2.71
Cap/Depr(3y)67.22%
Cap/Depr(5y)61.25%
Cap/Sales(3y)5.51%
Cap/Sales(5y)5.34%
Profit Quality(3y)123.59%
Profit Quality(5y)129.65%
High Growth Momentum
Growth
EPS 1Y (TTM)12.03%
EPS 3Y13.71%
EPS 5Y12.08%
EPS Q2Q%14.41%
EPS Next Y6.96%
EPS Next 2Y7.75%
EPS Next 3Y8.38%
EPS Next 5Y9.51%
Revenue 1Y (TTM)5.69%
Revenue growth 3Y7.43%
Revenue growth 5Y5.11%
Sales Q2Q%5.57%
Revenue Next Year3.74%
Revenue Next 2Y3.93%
Revenue Next 3Y4.55%
Revenue Next 5Y5.47%
EBIT growth 1Y11.32%
EBIT growth 3Y10.6%
EBIT growth 5Y8.78%
EBIT Next Year36.61%
EBIT Next 3Y16.5%
EBIT Next 5Y10.98%
FCF growth 1Y8.1%
FCF growth 3Y8.4%
FCF growth 5Y8.87%
OCF growth 1Y6.57%
OCF growth 3Y8.58%
OCF growth 5Y8.46%