WILEY (JOHN) & SONS-CLASS A (WLY) Stock Fundamental Analysis
USA - NYSE:WLY - US9682232064 - Common Stock
41.27 USD
-0.98 (-2.32%)
41.27 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to WLY. WLY was compared to 99 industry peers in the Media industry. While WLY has a great profitability rating, there are quite some concerns on its financial health. WLY is not valued too expensively and it also shows a decent growth rate. Finally WLY also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
WLY had positive earnings in the past year.
WLY had a positive operating cash flow in the past year.
Of the past 5 years WLY 4 years were profitable.
In the past 5 years WLY always reported a positive cash flow from operatings.
1.2 Ratios
WLY's Return On Assets of 3.85% is fine compared to the rest of the industry. WLY outperforms 73.74% of its industry peers.
WLY has a Return On Equity of 13.27%. This is in the better half of the industry: WLY outperforms 79.80% of its industry peers.
WLY has a Return On Invested Capital of 7.79%. This is amongst the best in the industry. WLY outperforms 83.84% of its industry peers.
WLY had an Average Return On Invested Capital over the past 3 years of 6.78%. This is below the industry average of 8.87%.
The 3 year average ROIC (6.78%) for WLY is below the current ROIC(7.79%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.85% | ||
| ROE | 13.27% | ||
| ROIC | 7.79% |
ROA(3y)-1.22%
ROA(5y)1.01%
ROE(3y)-4.75%
ROE(5y)2.47%
ROIC(3y)6.78%
ROIC(5y)6.2%
1.3 Margins
The Profit Margin of WLY (5.82%) is better than 71.72% of its industry peers.
WLY's Profit Margin has declined in the last couple of years.
WLY has a better Operating Margin (14.85%) than 76.77% of its industry peers.
WLY's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 74.18%, WLY belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
In the last couple of years the Gross Margin of WLY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.85% | ||
| PM (TTM) | 5.82% | ||
| GM | 74.18% |
OM growth 3Y12.06%
OM growth 5Y8.18%
PM growth 3Y-11.02%
PM growth 5YN/A
GM growth 3Y2.3%
GM growth 5Y0.82%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so WLY is still creating some value.
The number of shares outstanding for WLY has been reduced compared to 1 year ago.
The number of shares outstanding for WLY has been reduced compared to 5 years ago.
Compared to 1 year ago, WLY has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.49 indicates that WLY is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.49, WLY is doing good in the industry, outperforming 74.75% of the companies in the same industry.
The Debt to FCF ratio of WLY is 5.93, which is a neutral value as it means it would take WLY, 5.93 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.93, WLY is in the better half of the industry, outperforming 70.71% of the companies in the same industry.
WLY has a Debt/Equity ratio of 1.12. This is a high value indicating a heavy dependency on external financing.
WLY has a Debt to Equity ratio of 1.12. This is comparable to the rest of the industry: WLY outperforms 41.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 5.93 | ||
| Altman-Z | 2.49 |
ROIC/WACC1.05
WACC7.4%
2.3 Liquidity
WLY has a Current Ratio of 0.65. This is a bad value and indicates that WLY is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.65, WLY is not doing good in the industry: 74.75% of the companies in the same industry are doing better.
A Quick Ratio of 0.61 indicates that WLY may have some problems paying its short term obligations.
WLY has a Quick ratio of 0.61. This is in the lower half of the industry: WLY underperforms 75.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
WLY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.33%, which is quite impressive.
The Earnings Per Share has been growing by 8.75% on average over the past years. This is quite good.
WLY shows a decrease in Revenue. In the last year, the revenue decreased by -8.50%.
WLY shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.74% yearly.
EPS 1Y (TTM)22.33%
EPS 3Y-1.85%
EPS 5Y8.75%
EPS Q2Q%4.26%
Revenue 1Y (TTM)-8.5%
Revenue growth 3Y-6.96%
Revenue growth 5Y-1.74%
Sales Q2Q%-1.74%
3.2 Future
The Earnings Per Share is expected to grow by 4.04% on average over the next years.
Based on estimates for the next years, WLY will show a quite strong growth in Revenue. The Revenue will grow by 9.02% on average per year.
EPS Next Y10.68%
EPS Next 2Y10.34%
EPS Next 3Y4.04%
EPS Next 5YN/A
Revenue Next Year0.89%
Revenue Next 2Y1.79%
Revenue Next 3Y9.02%
Revenue Next 5YN/A
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.25, which indicates a very decent valuation of WLY.
WLY's Price/Earnings ratio is a bit cheaper when compared to the industry. WLY is cheaper than 76.77% of the companies in the same industry.
WLY's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.20.
With a Price/Forward Earnings ratio of 9.29, the valuation of WLY can be described as very reasonable.
Based on the Price/Forward Earnings ratio, WLY is valued a bit cheaper than the industry average as 74.75% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.70, WLY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.25 | ||
| Fwd PE | 9.29 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WLY is valued a bit cheaper than the industry average as 68.69% of the companies are valued more expensively.
65.66% of the companies in the same industry are more expensive than WLY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.72 | ||
| EV/EBITDA | 7.77 |
4.3 Compensation for Growth
WLY's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of WLY may justify a higher PE ratio.
PEG (NY)1.05
PEG (5Y)1.29
EPS Next 2Y10.34%
EPS Next 3Y4.04%
5. Dividend
5.1 Amount
WLY has a Yearly Dividend Yield of 3.71%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.58, WLY pays a better dividend. On top of this WLY pays more dividend than 85.86% of the companies listed in the same industry.
WLY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
5.2 History
The dividend of WLY has a limited annual growth rate of 0.69%.
WLY has been paying a dividend for at least 10 years, so it has a reliable track record.
WLY has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.69%
Div Incr Years26
Div Non Decr Years26
5.3 Sustainability
WLY pays out 78.01% of its income as dividend. This is not a sustainable payout ratio.
WLY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP78.01%
EPS Next 2Y10.34%
EPS Next 3Y4.04%
41.27
-0.98 (-2.32%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners98.85%
Inst Owner ChangeN/A
Ins Owners0.45%
Ins Owner Change-0.55%
Market Cap2.20B
Analysts80
Price Target61.2 (48.29%)
Short Float %5.62%
Short Ratio5.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
Yearly Dividend1.41
Dividend Growth(5Y)0.69%
DP78.01%
Div Incr Years26
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.92%
Min EPS beat(2)-2.97%
Max EPS beat(2)6.81%
EPS beat(4)3
Avg EPS beat(4)10.23%
Min EPS beat(4)-2.97%
Max EPS beat(4)27.95%
EPS beat(8)6
Avg EPS beat(8)16.54%
EPS beat(12)9
Avg EPS beat(12)60.89%
EPS beat(16)12
Avg EPS beat(16)44.18%
Revenue beat(2)2
Avg Revenue beat(2)2.76%
Min Revenue beat(2)0.76%
Max Revenue beat(2)4.77%
Revenue beat(4)3
Avg Revenue beat(4)1.49%
Min Revenue beat(4)-0.12%
Max Revenue beat(4)4.77%
Revenue beat(8)7
Avg Revenue beat(8)6.95%
Revenue beat(12)8
Avg Revenue beat(12)5.76%
Revenue beat(16)9
Avg Revenue beat(16)3.92%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)5.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.25 | ||
| Fwd PE | 9.29 | ||
| P/S | 1.31 | ||
| P/FCF | 15.72 | ||
| P/OCF | 10.64 | ||
| P/B | 3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.77 |
EPS(TTM)3.67
EY8.89%
EPS(NY)4.44
Fwd EY10.77%
FCF(TTM)2.63
FCFY6.36%
OCF(TTM)3.88
OCFY9.4%
SpS31.4
BVpS13.78
TBVpS-18.14
PEG (NY)1.05
PEG (5Y)1.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.85% | ||
| ROE | 13.27% | ||
| ROCE | 13.23% | ||
| ROIC | 7.79% | ||
| ROICexc | 8.15% | ||
| ROICexgc | 153.07% | ||
| OM | 14.85% | ||
| PM (TTM) | 5.82% | ||
| GM | 74.18% | ||
| FCFM | 8.36% |
ROA(3y)-1.22%
ROA(5y)1.01%
ROE(3y)-4.75%
ROE(5y)2.47%
ROIC(3y)6.78%
ROIC(5y)6.2%
ROICexc(3y)7.11%
ROICexc(5y)6.49%
ROICexgc(3y)226.7%
ROICexgc(5y)N/A
ROCE(3y)11.52%
ROCE(5y)10.53%
ROICexcg growth 3Y-0.98%
ROICexcg growth 5Y-13.45%
ROICexc growth 3Y13.33%
ROICexc growth 5Y9.17%
OM growth 3Y12.06%
OM growth 5Y8.18%
PM growth 3Y-11.02%
PM growth 5YN/A
GM growth 3Y2.3%
GM growth 5Y0.82%
F-Score8
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 5.93 | ||
| Debt/EBITDA | 2.16 | ||
| Cap/Depr | 51.09% | ||
| Cap/Sales | 3.99% | ||
| Interest Coverage | 5 | ||
| Cash Conversion | 54.5% | ||
| Profit Quality | 143.56% | ||
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 2.49 |
F-Score8
WACC7.4%
ROIC/WACC1.05
Cap/Depr(3y)49.45%
Cap/Depr(5y)48.87%
Cap/Sales(3y)4.1%
Cap/Sales(5y)4.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)22.33%
EPS 3Y-1.85%
EPS 5Y8.75%
EPS Q2Q%4.26%
EPS Next Y10.68%
EPS Next 2Y10.34%
EPS Next 3Y4.04%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.5%
Revenue growth 3Y-6.96%
Revenue growth 5Y-1.74%
Sales Q2Q%-1.74%
Revenue Next Year0.89%
Revenue Next 2Y1.79%
Revenue Next 3Y9.02%
Revenue Next 5YN/A
EBIT growth 1Y5.98%
EBIT growth 3Y4.26%
EBIT growth 5Y6.3%
EBIT Next Year82.05%
EBIT Next 3Y22.67%
EBIT Next 5YN/A
FCF growth 1Y-30.61%
FCF growth 3Y-18.91%
FCF growth 5Y-7.75%
OCF growth 1Y-27.54%
OCF growth 3Y-15.78%
OCF growth 5Y-6.82%