WEST PHARMACEUTICAL SERVICES (WST) Fundamental Analysis & Valuation
NYSE:WST • US9553061055
Current stock price
274.41 USD
-0.31 (-0.11%)
At close:
274.41 USD
0 (0%)
After Hours:
This WST fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. WST Profitability Analysis
1.1 Basic Checks
- In the past year WST was profitable.
- WST had a positive operating cash flow in the past year.
- In the past 5 years WST has always been profitable.
- WST had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- WST has a Return On Assets of 11.56%. This is amongst the best in the industry. WST outperforms 92.86% of its industry peers.
- WST has a better Return On Equity (15.54%) than 91.07% of its industry peers.
- WST has a Return On Invested Capital of 14.09%. This is amongst the best in the industry. WST outperforms 94.64% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for WST is above the industry average of 11.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.56% | ||
| ROE | 15.54% | ||
| ROIC | 14.09% |
ROA(3y)13.53%
ROA(5y)15.35%
ROE(3y)18.17%
ROE(5y)20.93%
ROIC(3y)15.83%
ROIC(5y)17.92%
1.3 Margins
- Looking at the Profit Margin, with a value of 16.06%, WST belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
- WST's Profit Margin has been stable in the last couple of years.
- The Operating Margin of WST (20.53%) is better than 87.50% of its industry peers.
- WST's Operating Margin has been stable in the last couple of years.
- The Gross Margin of WST (35.91%) is worse than 60.71% of its industry peers.
- In the last couple of years the Gross Margin of WST has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.53% | ||
| PM (TTM) | 16.06% | ||
| GM | 35.91% |
OM growth 3Y-7.75%
OM growth 5Y1.08%
PM growth 3Y-7.51%
PM growth 5Y-0.08%
GM growth 3Y-3.01%
GM growth 5Y0.08%
2. WST Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so WST is still creating some value.
- Compared to 1 year ago, WST has less shares outstanding
- Compared to 5 years ago, WST has less shares outstanding
- The debt/assets ratio for WST has been reduced compared to a year ago.
2.2 Solvency
- WST has an Altman-Z score of 13.87. This indicates that WST is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 13.87, WST belongs to the top of the industry, outperforming 98.21% of the companies in the same industry.
- The Debt to FCF ratio of WST is 0.44, which is an excellent value as it means it would take WST, only 0.44 years of fcf income to pay off all of its debts.
- WST has a Debt to FCF ratio of 0.44. This is amongst the best in the industry. WST outperforms 92.86% of its industry peers.
- WST has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
- WST's Debt to Equity ratio of 0.06 is fine compared to the rest of the industry. WST outperforms 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.44 | ||
| Altman-Z | 13.87 |
ROIC/WACC1.27
WACC11.05%
2.3 Liquidity
- A Current Ratio of 3.02 indicates that WST has no problem at all paying its short term obligations.
- WST has a Current ratio of 3.02. This is comparable to the rest of the industry: WST outperforms 57.14% of its industry peers.
- A Quick Ratio of 2.34 indicates that WST has no problem at all paying its short term obligations.
- With a Quick ratio value of 2.34, WST perfoms like the industry average, outperforming 55.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.02 | ||
| Quick Ratio | 2.34 |
3. WST Growth Analysis
3.1 Past
- WST shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 8.00%.
- The Earnings Per Share has been growing by 8.94% on average over the past years. This is quite good.
- WST shows a small growth in Revenue. In the last year, the Revenue has grown by 6.25%.
- The Revenue has been growing slightly by 7.44% on average over the past years.
EPS 1Y (TTM)8%
EPS 3Y-5.25%
EPS 5Y8.94%
EPS Q2Q%12.09%
Revenue 1Y (TTM)6.25%
Revenue growth 3Y2.12%
Revenue growth 5Y7.44%
Sales Q2Q%7.51%
3.2 Future
- WST is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.50% yearly.
- WST is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.60% yearly.
EPS Next Y11.24%
EPS Next 2Y11.04%
EPS Next 3Y11.52%
EPS Next 5Y9.5%
Revenue Next Year6.04%
Revenue Next 2Y6.13%
Revenue Next 3Y6.47%
Revenue Next 5Y5.6%
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 stable.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. WST Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 37.64, which means the current valuation is very expensive for WST.
- 64.29% of the companies in the same industry are more expensive than WST, based on the Price/Earnings ratio.
- WST's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.79.
- Based on the Price/Forward Earnings ratio of 33.84, the valuation of WST can be described as expensive.
- Based on the Price/Forward Earnings ratio, WST is valued a bit cheaper than 64.29% of the companies in the same industry.
- WST's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 38.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.64 | ||
| Fwd PE | 33.84 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, WST is valued a bit cheaper than the industry average as 64.29% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, WST is valued a bit cheaper than 60.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.18 | ||
| EV/EBITDA | 23.95 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WST does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of WST may justify a higher PE ratio.
PEG (NY)3.35
PEG (5Y)4.21
EPS Next 2Y11.04%
EPS Next 3Y11.52%
5. WST Dividend Analysis
5.1 Amount
- With a yearly dividend of 0.33%, WST is not a good candidate for dividend investing.
- WST's Dividend Yield is rather good when compared to the industry average which is at 0.11. WST pays more dividend than 83.93% of the companies in the same industry.
- With a Dividend Yield of 0.33, WST pays less dividend than the S&P500 average, which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
5.2 History
- The dividend of WST has a limited annual growth rate of 5.48%.
- WST has paid a dividend for at least 10 years, which is a reliable track record.
- WST has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.48%
Div Incr Years33
Div Non Decr Years34
5.3 Sustainability
- 12.40% of the earnings are spent on dividend by WST. This is a low number and sustainable payout ratio.
- The dividend of WST is growing, but earnings are growing more, so the dividend growth is sustainable.
DP12.4%
EPS Next 2Y11.04%
EPS Next 3Y11.52%
WST Fundamentals: All Metrics, Ratios and Statistics
274.41
-0.31 (-0.11%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)02-12 2026-02-12/bmo
Earnings (Next)04-23 2026-04-23/bmo
Inst Owners97.62%
Inst Owner Change-0.26%
Ins Owners0.29%
Ins Owner Change0.38%
Market Cap19.78B
Revenue(TTM)3.07B
Net Income(TTM)493.70M
Analysts80.87
Price Target328.99 (19.89%)
Short Float %4.08%
Short Ratio3.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
Yearly Dividend0.85
Dividend Growth(5Y)5.48%
DP12.4%
Div Incr Years33
Div Non Decr Years34
Ex-Date04-29 2026-04-29 (0.22)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.82%
Min EPS beat(2)10.24%
Max EPS beat(2)15.4%
EPS beat(4)4
Avg EPS beat(4)15.68%
Min EPS beat(4)10.24%
Max EPS beat(4)20.68%
EPS beat(8)7
Avg EPS beat(8)12.16%
EPS beat(12)11
Avg EPS beat(12)11.7%
EPS beat(16)14
Avg EPS beat(16)11.27%
Revenue beat(2)2
Avg Revenue beat(2)0.72%
Min Revenue beat(2)0.33%
Max Revenue beat(2)1.1%
Revenue beat(4)4
Avg Revenue beat(4)1.63%
Min Revenue beat(4)0.33%
Max Revenue beat(4)4.33%
Revenue beat(8)7
Avg Revenue beat(8)1.11%
Revenue beat(12)8
Avg Revenue beat(12)0.49%
Revenue beat(16)10
Avg Revenue beat(16)0.34%
PT rev (1m)0%
PT rev (3m)-7.08%
EPS NQ rev (1m)-0.05%
EPS NQ rev (3m)1.65%
EPS NY rev (1m)0.09%
EPS NY rev (3m)3.31%
Revenue NQ rev (1m)0.15%
Revenue NQ rev (3m)2.55%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.64 | ||
| Fwd PE | 33.84 | ||
| P/S | 6.43 | ||
| P/FCF | 42.18 | ||
| P/OCF | 26.2 | ||
| P/B | 6.23 | ||
| P/tB | 6.47 | ||
| EV/EBITDA | 23.95 |
EPS(TTM)7.29
EY2.66%
EPS(NY)8.11
Fwd EY2.96%
FCF(TTM)6.51
FCFY2.37%
OCF(TTM)10.47
OCFY3.82%
SpS42.65
BVpS44.06
TBVpS42.43
PEG (NY)3.35
PEG (5Y)4.21
Graham Number85.0135 (-69.02%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.56% | ||
| ROE | 15.54% | ||
| ROCE | 17.45% | ||
| ROIC | 14.09% | ||
| ROICexc | 18.03% | ||
| ROICexgc | 18.82% | ||
| OM | 20.53% | ||
| PM (TTM) | 16.06% | ||
| GM | 35.91% | ||
| FCFM | 15.25% |
ROA(3y)13.53%
ROA(5y)15.35%
ROE(3y)18.17%
ROE(5y)20.93%
ROIC(3y)15.83%
ROIC(5y)17.92%
ROICexc(3y)20.32%
ROICexc(5y)23.97%
ROICexgc(3y)21.34%
ROICexgc(5y)25.37%
ROCE(3y)19.61%
ROCE(5y)22.21%
ROICexgc growth 3Y-13.74%
ROICexgc growth 5Y-3.06%
ROICexc growth 3Y-13.28%
ROICexc growth 5Y-2.17%
OM growth 3Y-7.75%
OM growth 5Y1.08%
PM growth 3Y-7.51%
PM growth 5Y-0.08%
GM growth 3Y-3.01%
GM growth 5Y0.08%
F-Score7
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.44 | ||
| Debt/EBITDA | 0.26 | ||
| Cap/Depr | 166.8% | ||
| Cap/Sales | 9.3% | ||
| Interest Coverage | 2103.33 | ||
| Cash Conversion | 94.07% | ||
| Profit Quality | 94.98% | ||
| Current Ratio | 3.02 | ||
| Quick Ratio | 2.34 | ||
| Altman-Z | 13.87 |
F-Score7
WACC11.05%
ROIC/WACC1.27
Cap/Depr(3y)224.35%
Cap/Depr(5y)223.25%
Cap/Sales(3y)11.53%
Cap/Sales(5y)10.68%
Profit Quality(3y)73.64%
Profit Quality(5y)69.18%
High Growth Momentum
Growth
EPS 1Y (TTM)8%
EPS 3Y-5.25%
EPS 5Y8.94%
EPS Q2Q%12.09%
EPS Next Y11.24%
EPS Next 2Y11.04%
EPS Next 3Y11.52%
EPS Next 5Y9.5%
Revenue 1Y (TTM)6.25%
Revenue growth 3Y2.12%
Revenue growth 5Y7.44%
Sales Q2Q%7.51%
Revenue Next Year6.04%
Revenue Next 2Y6.13%
Revenue Next 3Y6.47%
Revenue Next 5Y5.6%
EBIT growth 1Y7.88%
EBIT growth 3Y-5.8%
EBIT growth 5Y8.6%
EBIT Next Year43.62%
EBIT Next 3Y20.28%
EBIT Next 5Y13.54%
FCF growth 1Y69.65%
FCF growth 3Y2.19%
FCF growth 5Y9.48%
OCF growth 1Y15.52%
OCF growth 3Y1.4%
OCF growth 5Y9.82%
WEST PHARMACEUTICAL SERVICES / WST Fundamental Analysis FAQ
What is the fundamental rating for WST stock?
ChartMill assigns a fundamental rating of 6 / 10 to WST.
What is the valuation status for WST stock?
ChartMill assigns a valuation rating of 4 / 10 to WEST PHARMACEUTICAL SERVICES (WST). This can be considered as Fairly Valued.
How profitable is WEST PHARMACEUTICAL SERVICES (WST) stock?
WEST PHARMACEUTICAL SERVICES (WST) has a profitability rating of 7 / 10.
What is the financial health of WEST PHARMACEUTICAL SERVICES (WST) stock?
The financial health rating of WEST PHARMACEUTICAL SERVICES (WST) is 8 / 10.
What is the expected EPS growth for WEST PHARMACEUTICAL SERVICES (WST) stock?
The Earnings per Share (EPS) of WEST PHARMACEUTICAL SERVICES (WST) is expected to grow by 11.24% in the next year.