WALKME LTD (WKME)
IL0011765851 - Common Stock
We assign a fundamental rating of 4 out of 10 to WKME. WKME was compared to 281 industry peers in the Software industry. No worries on liquidiy or solvency for WKME as it has an excellent financial health rating, but there are worries on the profitability. WKME is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WKME was profitable.
In the past year WKME had a positive cash flow from operations.
WKME had negative earnings in each of the past 5 years.
In the past 5 years WKME reported 4 times negative operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -9.47%, WKME is in line with its industry, outperforming 42.25% of the companies in the same industry.
Looking at the Return On Equity, with a value of -17.23%, WKME is in line with its industry, outperforming 45.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.47% | ||
| ROE | -17.23% | ||
| ROIC | N/A |
ROA(3y)-18.22%
ROA(5y)-23.44%
ROE(3y)-30.9%
ROE(5y)-46.52%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
WKME's Gross Margin of 85.25% is amongst the best of the industry. WKME outperforms 92.25% of its industry peers.
In the last couple of years the Gross Margin of WKME has grown nicely.
The Profit Margin and Operating Margin are not available for WKME so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 85.25% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.26%
GM growth 5YN/A
2. Health
2.1 Basic Checks
WKME does not have a ROIC to compare to the WACC, probably because it is not profitable.
WKME has more shares outstanding than it did 1 year ago.
WKME has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
WKME has an Altman-Z score of 2.93. This is not the best score and indicates that WKME is in the grey zone with still only limited risk for bankruptcy at the moment.
WKME's Altman-Z score of 2.93 is in line compared to the rest of the industry. WKME outperforms 53.87% of its industry peers.
WKME has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 2.93 |
ROIC/WACCN/A
WACC9.55%
2.3 Liquidity
WKME has a Current Ratio of 2.04. This indicates that WKME is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.04, WKME is in the better half of the industry, outperforming 61.97% of the companies in the same industry.
WKME has a Quick Ratio of 2.04. This indicates that WKME is financially healthy and has no problem in meeting its short term obligations.
WKME's Quick ratio of 2.04 is fine compared to the rest of the industry. WKME outperforms 61.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 2.04 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 181.25% over the past year.
WKME shows a small growth in Revenue. In the last year, the Revenue has grown by 4.89%.
The Revenue has been growing by 21.65% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)181.25%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-41.11%
Revenue 1Y (TTM)4.89%
Revenue growth 3Y21.65%
Revenue growth 5YN/A
Sales Q2Q%5.07%
3.2 Future
WKME is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 71.00% yearly.
WKME is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.86% yearly.
EPS Next Y643.24%
EPS Next 2Y204.11%
EPS Next 3Y147.19%
EPS Next 5Y71%
Revenue Next Year5.65%
Revenue Next 2Y7.5%
Revenue Next 3Y9.56%
Revenue Next 5Y8.86%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 53.65, WKME can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of WKME is on the same level as its industry peers.
WKME is valuated expensively when we compare the Price/Earnings ratio to 30.20, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 50.28, WKME can be considered very expensive at the moment.
The rest of the industry has a similar Price/Forward Earnings ratio as WKME.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.28, WKME is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.65 | ||
| Fwd PE | 50.28 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WKME indicates a somewhat cheap valuation: WKME is cheaper than 77.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.09 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
WKME's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as WKME's earnings are expected to grow with 147.19% in the coming years.
PEG (NY)0.08
PEG (5Y)N/A
EPS Next 2Y204.11%
EPS Next 3Y147.19%
5. Dividend
5.1 Amount
No dividends for WKME!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
WALKME LTD
NASDAQ:WKME (9/11/2024, 8:00:44 PM)
After market: 13.93 -0.02 (-0.14%)13.95
0 (0%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.30B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
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Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.65 | ||
| Fwd PE | 50.28 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.08
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.47% | ||
| ROE | -17.23% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 85.25% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.04 | ||
| Quick Ratio | 2.04 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)181.25%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y643.24%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.89%
Revenue growth 3Y21.65%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y