WORTHINGTON ENTERPRISES INC (WOR) Stock Fundamental Analysis
USA - NYSE:WOR - US9818111026 - Common Stock
55.94 USD
-0.35 (-0.62%)
55.94 USD
0 (0%)
WOR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 130 industry peers in the Machinery industry. While WOR has a great health rating, its profitability is only average at the moment. WOR is not valued too expensively and it also shows a decent growth rate.
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.
In the past 5 years WOR has always been profitable.
In the past 5 years WOR always reported a positive cash flow from operatings.
1.2 Ratios
WOR's Return On Assets of 6.15% is fine compared to the rest of the industry. WOR outperforms 65.38% of its industry peers.
WOR has a better Return On Equity (11.15%) than 61.54% of its industry peers.
With a Return On Invested Capital value of 2.57%, WOR is not doing good in the industry: 66.92% of the companies in the same industry are doing better.
WOR had an Average Return On Invested Capital over the past 3 years of 0.95%. This is significantly below the industry average of 10.00%.
The last Return On Invested Capital (2.57%) for WOR is above the 3 year average (0.95%), which is a sign of increasing profitability.
| 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
WOR's Profit Margin of 8.91% is fine compared to the rest of the industry. WOR outperforms 67.69% of its industry peers.
WOR's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 5.49%, WOR is doing worse than 61.54% of the companies in the same industry.
In the last couple of years the Operating Margin of WOR has grown nicely.
The Gross Margin of WOR (28.23%) is comparable to the rest of the industry.
WOR's Gross Margin has improved in the last couple of years.
| 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
WOR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
WOR has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, WOR has less shares outstanding
WOR has a better debt/assets ratio than last year.
2.2 Solvency
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.
WOR has a Debt to FCF ratio of 1.97. This is in the better half of the industry: WOR outperforms 79.23% of its industry peers.
WOR has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of WOR (0.32) is better than 60.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.97 | ||
| Altman-Z | N/A |
ROIC/WACC0.28
WACC9.11%
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 80.77% 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 is in the better half of the industry, outperforming 80.00% 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 17.38%, which is quite good.
Measured over the past 5 years, WOR shows a small growth in Earnings Per Share. The EPS has been growing by 5.49% on average per year.
WOR shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -20.15%.
The Revenue for WOR have been decreasing by -17.72% on average. This is quite bad
EPS 1Y (TTM)17.38%
EPS 3Y-25.04%
EPS 5Y5.49%
EPS Q2Q%48%
Revenue 1Y (TTM)-20.15%
Revenue growth 3Y-39.62%
Revenue growth 5Y-17.72%
Sales Q2Q%18.03%
3.2 Future
Based on estimates for the next years, WOR will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.47% on average per year.
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 Y17.38%
EPS Next 2Y14.37%
EPS Next 3Y12.39%
EPS Next 5Y10.47%
Revenue Next Year15.4%
Revenue Next 2Y9.79%
Revenue Next 3Y8.01%
Revenue Next 5Y6.89%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
WOR is valuated correctly with a Price/Earnings ratio of 16.90.
Based on the Price/Earnings ratio, WOR is valued a bit cheaper than the industry average as 76.15% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.00, WOR is valued a bit cheaper.
With a Price/Forward Earnings ratio of 13.93, WOR is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WOR indicates a rather cheap valuation: WOR is cheaper than 80.77% of the companies listed in the same industry.
WOR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.87, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.9 | ||
| Fwd PE | 13.93 |
4.2 Price Multiples
67.69% of the companies in the same industry are cheaper than WOR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, WOR is valued a bit cheaper than the industry average as 73.08% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.87 | ||
| EV/EBITDA | 25.28 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
WOR has a very decent profitability rating, which may justify a higher PE ratio.
WOR's earnings are expected to grow with 12.39% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.97
PEG (5Y)3.08
EPS Next 2Y14.37%
EPS Next 3Y12.39%
5. Dividend
5.1 Amount
WOR has a Yearly Dividend Yield of 1.32%. Purely for dividend investing, there may be better candidates out there.
WOR's Dividend Yield is a higher than the industry average which is at 1.78.
Compared to an average S&P500 Dividend Yield of 2.31, WOR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.32% |
5.2 History
The dividend of WOR decreases each year by -6.64%.
WOR has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-6.64%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
32.13% of the earnings are spent on dividend by WOR. This is a low number and sustainable payout ratio.
DP32.13%
EPS Next 2Y14.37%
EPS Next 3Y12.39%
55.94
-0.35 (-0.62%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners52.42%
Inst Owner Change-0.03%
Ins Owners1.55%
Ins Owner Change1.5%
Market Cap2.78B
Revenue(TTM)1.20B
Net Income(TTM)106.95M
Analysts75
Price Target69.56 (24.35%)
Short Float %2.31%
Short Ratio2.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.32% |
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)-1.16%
PT rev (3m)-1.16%
EPS NQ rev (1m)-1.68%
EPS NQ rev (3m)-1.68%
EPS NY rev (1m)1.19%
EPS NY rev (3m)1.19%
Revenue NQ rev (1m)-0.59%
Revenue NQ rev (3m)-0.59%
Revenue NY rev (1m)1.14%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.9 | ||
| Fwd PE | 13.93 | ||
| P/S | 2.32 | ||
| P/FCF | 17.87 | ||
| P/OCF | 13.25 | ||
| P/B | 2.9 | ||
| P/tB | 8.58 | ||
| EV/EBITDA | 25.28 |
EPS(TTM)3.31
EY5.92%
EPS(NY)4.02
Fwd EY7.18%
FCF(TTM)3.13
FCFY5.6%
OCF(TTM)4.22
OCFY7.55%
SpS24.16
BVpS19.31
TBVpS6.52
PEG (NY)0.97
PEG (5Y)3.08
Graham Number37.92
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 | N/A |
F-Score6
WACC9.11%
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)17.38%
EPS 3Y-25.04%
EPS 5Y5.49%
EPS Q2Q%48%
EPS Next Y17.38%
EPS Next 2Y14.37%
EPS Next 3Y12.39%
EPS Next 5Y10.47%
Revenue 1Y (TTM)-20.15%
Revenue growth 3Y-39.62%
Revenue growth 5Y-17.72%
Sales Q2Q%18.03%
Revenue Next Year15.4%
Revenue Next 2Y9.79%
Revenue Next 3Y8.01%
Revenue Next 5Y6.89%
EBIT growth 1Y3405.67%
EBIT growth 3Y-45.65%
EBIT growth 5Y-15.18%
EBIT Next Year725.23%
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 6 / 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 16.9 and the Price/Book (PB) ratio is 2.9.
How financially healthy is WORTHINGTON ENTERPRISES INC?
The financial health rating of WORTHINGTON ENTERPRISES INC (WOR) is 7 / 10.