WORTHINGTON ENTERPRISES INC (WOR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WOR - US9818111026 - Common Stock
52.87 USD
+0.01 (+0.02%)
52.87 USD
0 (0%)
WOR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 132 industry peers in the Machinery industry. WOR has an excellent financial health rating, but there are some minor concerns on its profitability. WOR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
WOR had positive earnings in the past year.
WOR had a positive operating cash flow in the past year.
Each year in the past 5 years WOR has been profitable.
Each year in the past 5 years WOR had a positive operating cash flow.
1.2 Ratios
The Return On Assets of WOR (6.15%) is better than 66.67% of its industry peers.
The Return On Equity of WOR (11.15%) is better than 65.91% of its industry peers.
WOR has a worse Return On Invested Capital (2.57%) than 65.91% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WOR is significantly below the industry average of 10.27%.
The 3 year average ROIC (0.95%) for WOR is below the current ROIC(2.57%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.15% | ||
| ROE | 11.15% | ||
| ROIC | 2.57% |
ROA(3y)6.48%
ROA(5y)10.26%
ROE(3y)12.61%
ROE(5y)23.04%
ROIC(3y)0.95%
ROIC(5y)3.3%
1.3 Margins
Looking at the Profit Margin, with a value of 8.91%, WOR is in the better half of the industry, outperforming 68.94% of the companies in the same industry.
WOR's Profit Margin has improved in the last couple of years.
WOR has a Operating Margin of 5.49%. This is comparable to the rest of the industry: WOR outperforms 40.15% of its industry peers.
WOR's Operating Margin has improved in the last couple of years.
WOR has a Gross Margin of 28.23%. This is comparable to the rest of the industry: WOR outperforms 44.70% of its industry peers.
In the last couple of years the Gross Margin of WOR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.49% | ||
| PM (TTM) | 8.91% | ||
| GM | 28.23% |
OM growth 3Y-9.98%
OM growth 5Y3.09%
PM growth 3Y4.78%
PM growth 5Y26.44%
GM growth 3Y26.57%
GM growth 5Y13.8%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WOR is destroying value.
Compared to 1 year ago, WOR has less shares outstanding
Compared to 5 years ago, WOR has less shares outstanding
The debt/assets ratio for WOR has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.66 indicates that WOR is not in any danger for bankruptcy at the moment.
The Altman-Z score of WOR (3.66) is better than 65.15% of its industry peers.
WOR has a debt to FCF ratio of 1.97. This is a very positive value and a sign of high solvency as it would only need 1.97 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 1.97, WOR is doing good in the industry, outperforming 78.03% of the companies in the same industry.
WOR has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
WOR's Debt to Equity ratio of 0.32 is fine compared to the rest of the industry. WOR outperforms 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.97 | ||
| Altman-Z | 3.66 |
ROIC/WACC0.28
WACC9.06%
2.3 Liquidity
WOR has a Current Ratio of 3.30. This indicates that WOR is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of WOR (3.30) is better than 82.58% of its industry peers.
A Quick Ratio of 2.24 indicates that WOR has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.24, WOR belongs to the top of the industry, outperforming 80.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.3 | ||
| Quick Ratio | 2.24 |
3. Growth
3.1 Past
WOR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.27%, which is quite impressive.
WOR shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.49% yearly.
Looking at the last year, WOR shows a decrease in Revenue. The Revenue has decreased by -7.38% in the last year.
WOR shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -17.72% yearly.
EPS 1Y (TTM)27.27%
EPS 3Y-25.04%
EPS 5Y5.49%
EPS Q2Q%8.33%
Revenue 1Y (TTM)-7.38%
Revenue growth 3Y-39.62%
Revenue growth 5Y-17.72%
Sales Q2Q%19.51%
3.2 Future
The Earnings Per Share is expected to grow by 10.47% on average over the next years. This is quite good.
Based on estimates for the next years, WOR will show a small growth in Revenue. The Revenue will grow by 6.89% on average per year.
EPS Next Y15.08%
EPS Next 2Y13.97%
EPS Next 3Y12%
EPS Next 5Y10.47%
Revenue Next Year17.58%
Revenue Next 2Y11.17%
Revenue Next 3Y9.1%
Revenue Next 5Y6.89%
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 accelerating.
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
Based on the Price/Earnings ratio of 15.74, the valuation of WOR can be described as correct.
Based on the Price/Earnings ratio, WOR is valued cheaply inside the industry as 84.09% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.59. WOR is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 13.26, the valuation of WOR can be described as correct.
WOR's Price/Forward Earnings ratio is rather cheap when compared to the industry. WOR is cheaper than 87.12% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.03. WOR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.74 | ||
| Fwd PE | 13.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WOR is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WOR indicates a somewhat cheap valuation: WOR is cheaper than 78.03% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.89 | ||
| EV/EBITDA | 23.96 |
4.3 Compensation for Growth
WOR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of WOR may justify a higher PE ratio.
PEG (NY)1.04
PEG (5Y)2.87
EPS Next 2Y13.97%
EPS Next 3Y12%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.38%, WOR has a reasonable but not impressive dividend return.
WOR's Dividend Yield is a higher than the industry average which is at 1.04.
Compared to the average S&P500 Dividend Yield of 1.88, WOR is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.38% |
5.2 History
The dividend of WOR decreases each year by -6.64%.
WOR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-6.64%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
WOR pays out 32.13% of its income as dividend. This is a sustainable payout ratio.
DP32.13%
EPS Next 2Y13.97%
EPS Next 3Y12%
52.87
+0.01 (+0.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners54.42%
Inst Owner Change3.89%
Ins Owners1.63%
Ins Owner Change1.52%
Market Cap2.63B
Revenue(TTM)1.15B
Net Income(TTM)106.95M
Analysts75
Price Target69.36 (31.19%)
Short Float %2.07%
Short Ratio3.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.38% |
Yearly Dividend0.69
Dividend Growth(5Y)-6.64%
DP32.13%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.36%
Min EPS beat(2)4.37%
Max EPS beat(2)24.35%
EPS beat(4)4
Avg EPS beat(4)17.92%
Min EPS beat(4)4.37%
Max EPS beat(4)27.62%
EPS beat(8)6
Avg EPS beat(8)4.02%
EPS beat(12)9
Avg EPS beat(12)6.98%
EPS beat(16)12
Avg EPS beat(16)11.05%
Revenue beat(2)2
Avg Revenue beat(2)3.72%
Min Revenue beat(2)3.04%
Max Revenue beat(2)4.41%
Revenue beat(4)3
Avg Revenue beat(4)3.04%
Min Revenue beat(4)-0.89%
Max Revenue beat(4)5.59%
Revenue beat(8)4
Avg Revenue beat(8)-1.76%
Revenue beat(12)5
Avg Revenue beat(12)-0.68%
Revenue beat(16)8
Avg Revenue beat(16)1.87%
PT rev (1m)0%
PT rev (3m)-1.16%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.68%
EPS NY rev (1m)0%
EPS NY rev (3m)1.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.59%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.74 | ||
| Fwd PE | 13.26 | ||
| P/S | 2.19 | ||
| P/FCF | 16.89 | ||
| P/OCF | 12.53 | ||
| P/B | 2.74 | ||
| P/tB | 8.11 | ||
| EV/EBITDA | 23.96 |
EPS(TTM)3.36
EY6.36%
EPS(NY)3.99
Fwd EY7.54%
FCF(TTM)3.13
FCFY5.92%
OCF(TTM)4.22
OCFY7.98%
SpS24.16
BVpS19.31
TBVpS6.52
PEG (NY)1.04
PEG (5Y)2.87
Graham Number38.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.15% | ||
| ROE | 11.15% | ||
| ROCE | 4.25% | ||
| ROIC | 2.57% | ||
| ROICexc | 2.89% | ||
| ROICexgc | 5.34% | ||
| OM | 5.49% | ||
| PM (TTM) | 8.91% | ||
| GM | 28.23% | ||
| FCFM | 12.96% |
ROA(3y)6.48%
ROA(5y)10.26%
ROE(3y)12.61%
ROE(5y)23.04%
ROIC(3y)0.95%
ROIC(5y)3.3%
ROICexc(3y)1.14%
ROICexc(5y)3.88%
ROICexgc(3y)1.97%
ROICexgc(5y)5.64%
ROCE(3y)1.58%
ROCE(5y)5.5%
ROICexgc growth 3Y-21.87%
ROICexgc growth 5Y-3.62%
ROICexc growth 3Y-29.5%
ROICexc growth 5Y-8.78%
OM growth 3Y-9.98%
OM growth 5Y3.09%
PM growth 3Y4.78%
PM growth 5Y26.44%
GM growth 3Y26.57%
GM growth 5Y13.8%
F-Score6
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.97 | ||
| Debt/EBITDA | 2.65 | ||
| Cap/Depr | 109.35% | ||
| Cap/Sales | 4.51% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 181.68% | ||
| Profit Quality | 145.41% | ||
| Current Ratio | 3.3 | ||
| Quick Ratio | 2.24 | ||
| Altman-Z | 3.66 |
F-Score6
WACC9.06%
ROIC/WACC0.28
Cap/Depr(3y)94.96%
Cap/Depr(5y)94.87%
Cap/Sales(3y)5.73%
Cap/Sales(5y)4.31%
Profit Quality(3y)187.48%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)27.27%
EPS 3Y-25.04%
EPS 5Y5.49%
EPS Q2Q%8.33%
EPS Next Y15.08%
EPS Next 2Y13.97%
EPS Next 3Y12%
EPS Next 5Y10.47%
Revenue 1Y (TTM)-7.38%
Revenue growth 3Y-39.62%
Revenue growth 5Y-17.72%
Sales Q2Q%19.51%
Revenue Next Year17.58%
Revenue Next 2Y11.17%
Revenue Next 3Y9.1%
Revenue Next 5Y6.89%
EBIT growth 1Y3405.67%
EBIT growth 3Y-45.65%
EBIT growth 5Y-15.18%
EBIT Next Year716.48%
EBIT Next 3Y111.73%
EBIT Next 5Y60.66%
FCF growth 1Y-69.5%
FCF growth 3YN/A
FCF growth 5Y-7.98%
OCF growth 1Y-65.29%
OCF growth 3Y44.09%
OCF growth 5Y-9.03%
WORTHINGTON ENTERPRISES INC / WOR FAQ
What is the ChartMill fundamental rating of WORTHINGTON ENTERPRISES INC (WOR) stock?
ChartMill assigns a fundamental rating of 6 / 10 to WOR.
What is the valuation status for WOR stock?
ChartMill assigns a valuation rating of 5 / 10 to WORTHINGTON ENTERPRISES INC (WOR). This can be considered as Fairly Valued.
What is the profitability of WOR stock?
WORTHINGTON ENTERPRISES INC (WOR) has a profitability rating of 6 / 10.
What is the valuation of WORTHINGTON ENTERPRISES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for WORTHINGTON ENTERPRISES INC (WOR) is 15.74 and the Price/Book (PB) ratio is 2.74.
How financially healthy is WORTHINGTON ENTERPRISES INC?
The financial health rating of WORTHINGTON ENTERPRISES INC (WOR) is 8 / 10.