325.31 USD
-4.14 (-1.26%)
Overall WTW gets a fundamental rating of 5 out of 10. We evaluated WTW against 146 industry peers in the Insurance industry. WTW has an excellent profitability rating, but there are some minor concerns on its financial health. WTW is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WTW was profitable.
WTW had a positive operating cash flow in the past year.
Of the past 5 years WTW 4 years were profitable.
In the past 5 years WTW always reported a positive cash flow from operatings.
1.2 Ratios
WTW has a Return On Assets of 7.71%. This is amongst the best in the industry. WTW outperforms 93.15% of its industry peers.
WTW has a better Return On Equity (27.36%) than 93.84% of its industry peers.
Looking at the Return On Invested Capital, with a value of 12.62%, WTW belongs to the top of the industry, outperforming 95.21% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for WTW is significantly below the industry average of 15.11%.
The 3 year average ROIC (8.90%) for WTW is below the current ROIC(12.62%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.71% | ||
| ROE | 27.36% | ||
| ROIC | 12.62% |
ROA(3y)2.15%
ROA(5y)4.22%
ROE(3y)6.64%
ROE(5y)12.19%
ROIC(3y)8.9%
ROIC(5y)7.27%
1.3 Margins
WTW has a better Profit Margin (21.58%) than 91.78% of its industry peers.
WTW has a Operating Margin of 23.13%. This is amongst the best in the industry. WTW outperforms 82.19% of its industry peers.
In the last couple of years the Operating Margin of WTW has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.13% | ||
| PM (TTM) | 21.58% | ||
| GM | N/A |
OM growth 3Y10.88%
OM growth 5Y11.06%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), WTW is creating some value.
Compared to 1 year ago, WTW has less shares outstanding
Compared to 5 years ago, WTW has less shares outstanding
The debt/assets ratio for WTW is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.62, we must say that WTW is in the distress zone and has some risk of bankruptcy.
WTW has a Altman-Z score of 1.62. This is amongst the best in the industry. WTW outperforms 85.62% of its industry peers.
WTW has a debt to FCF ratio of 3.85. This is a good value and a sign of high solvency as WTW would need 3.85 years to pay back of all of its debts.
WTW has a Debt to FCF ratio (3.85) which is comparable to the rest of the industry.
WTW has a Debt/Equity ratio of 0.62. This is a neutral value indicating WTW is somewhat dependend on debt financing.
WTW has a Debt to Equity ratio of 0.62. This is in the lower half of the industry: WTW underperforms 78.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 3.85 | ||
| Altman-Z | 1.62 |
ROIC/WACC1.48
WACC8.51%
2.3 Liquidity
A Current Ratio of 1.10 indicates that WTW should not have too much problems paying its short term obligations.
WTW has a better Current ratio (1.10) than 80.82% of its industry peers.
WTW has a Quick Ratio of 1.10. This is a normal value and indicates that WTW is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Quick ratio value of 1.10, WTW belongs to the best of the industry, outperforming 80.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
WTW shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.05%.
Measured over the past years, WTW shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.03% on average per year.
WTW shows a decrease in Revenue. In the last year, the revenue decreased by -0.02%.
The Revenue has been growing slightly by 3.48% on average over the past years.
EPS 1Y (TTM)6.05%
EPS 3Y7.25%
EPS 5Y9.03%
EPS Q2Q%4.78%
Revenue 1Y (TTM)-0.02%
Revenue growth 3Y3.34%
Revenue growth 5Y3.48%
Sales Q2Q%-0.04%
3.2 Future
WTW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.39% yearly.
WTW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.99% yearly.
EPS Next Y1.39%
EPS Next 2Y7.45%
EPS Next 3Y9.96%
EPS Next 5Y9.39%
Revenue Next Year-2.82%
Revenue Next 2Y1.76%
Revenue Next 3Y3.21%
Revenue Next 5Y2.99%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.92 indicates a rather expensive valuation of WTW.
Based on the Price/Earnings ratio, WTW is valued a bit more expensive than the industry average as 65.75% of the companies are valued more cheaply.
WTW is valuated rather cheaply when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 16.67, WTW is valued correctly.
Based on the Price/Forward Earnings ratio, WTW is valued a bit more expensive than 65.07% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.98. WTW is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.92 | ||
| Fwd PE | 16.67 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as WTW.
66.44% of the companies in the same industry are cheaper than WTW, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.55 | ||
| EV/EBITDA | 13.01 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WTW has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)13.61
PEG (5Y)2.1
EPS Next 2Y7.45%
EPS Next 3Y9.96%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.11%, WTW has a reasonable but not impressive dividend return.
WTW's Dividend Yield is comparable with the industry average which is at 2.42.
With a Dividend Yield of 1.11, WTW pays less dividend than the S&P500 average, which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
The dividend of WTW is nicely growing with an annual growth rate of 6.49%!
WTW has been paying a dividend for at least 10 years, so it has a reliable track record.
WTW has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)6.49%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
WTW pays out 16.92% of its income as dividend. This is a sustainable payout ratio.
The dividend of WTW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP16.92%
EPS Next 2Y7.45%
EPS Next 3Y9.96%
NASDAQ:WTW (1/13/2026, 3:21:51 PM)
325.31
-4.14 (-1.26%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners99.63%
Inst Owner Change0%
Ins Owners0.28%
Ins Owner Change-0.27%
Market Cap31.15B
Revenue(TTM)9.81B
Net Income(TTM)2.12B
Analysts75.56
Price Target372.04 (14.36%)
Short Float %2.74%
Short Ratio3.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
Yearly Dividend3.5
Dividend Growth(5Y)6.49%
DP16.92%
Div Incr Years8
Div Non Decr Years8
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.31%
Min EPS beat(2)-0.42%
Max EPS beat(2)9.03%
EPS beat(4)2
Avg EPS beat(4)1.48%
Min EPS beat(4)-2.96%
Max EPS beat(4)9.03%
EPS beat(8)5
Avg EPS beat(8)3.13%
EPS beat(12)8
Avg EPS beat(12)1.8%
EPS beat(16)12
Avg EPS beat(16)2.06%
Revenue beat(2)1
Avg Revenue beat(2)-0.3%
Min Revenue beat(2)-0.82%
Max Revenue beat(2)0.22%
Revenue beat(4)1
Avg Revenue beat(4)-1.37%
Min Revenue beat(4)-3.05%
Max Revenue beat(4)0.22%
Revenue beat(8)1
Avg Revenue beat(8)-1.45%
Revenue beat(12)4
Avg Revenue beat(12)-0.68%
Revenue beat(16)4
Avg Revenue beat(16)-1.44%
PT rev (1m)0.21%
PT rev (3m)0.42%
EPS NQ rev (1m)-0.24%
EPS NQ rev (3m)-0.42%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)0.29%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-0.21%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.92 | ||
| Fwd PE | 16.67 | ||
| P/S | 3.18 | ||
| P/FCF | 22.55 | ||
| P/OCF | 19.43 | ||
| P/B | 4.03 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.01 |
EPS(TTM)17.19
EY5.28%
EPS(NY)19.51
Fwd EY6%
FCF(TTM)14.42
FCFY4.43%
OCF(TTM)16.74
OCFY5.15%
SpS102.42
BVpS80.78
TBVpS-24.92
PEG (NY)13.61
PEG (5Y)2.1
Graham Number176.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.71% | ||
| ROE | 27.36% | ||
| ROCE | 15.98% | ||
| ROIC | 12.62% | ||
| ROICexc | 14.6% | ||
| ROICexgc | 83.34% | ||
| OM | 23.13% | ||
| PM (TTM) | 21.58% | ||
| GM | N/A | ||
| FCFM | 14.08% |
ROA(3y)2.15%
ROA(5y)4.22%
ROE(3y)6.64%
ROE(5y)12.19%
ROIC(3y)8.9%
ROIC(5y)7.27%
ROICexc(3y)9.9%
ROICexc(5y)8.3%
ROICexgc(3y)46.83%
ROICexgc(5y)41.54%
ROCE(3y)11.27%
ROCE(5y)9.2%
ROICexgc growth 3Y11.06%
ROICexgc growth 5Y19.69%
ROICexc growth 3Y21.06%
ROICexc growth 5Y22.92%
OM growth 3Y10.88%
OM growth 5Y11.06%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 3.85 | ||
| Debt/EBITDA | 1.78 | ||
| Cap/Depr | 53.49% | ||
| Cap/Sales | 2.26% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 59.75% | ||
| Profit Quality | 65.26% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 1.62 |
F-Score6
WACC8.51%
ROIC/WACC1.48
Cap/Depr(3y)45.88%
Cap/Depr(5y)41.14%
Cap/Sales(3y)2.44%
Cap/Sales(5y)2.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.05%
EPS 3Y7.25%
EPS 5Y9.03%
EPS Q2Q%4.78%
EPS Next Y1.39%
EPS Next 2Y7.45%
EPS Next 3Y9.96%
EPS Next 5Y9.39%
Revenue 1Y (TTM)-0.02%
Revenue growth 3Y3.34%
Revenue growth 5Y3.48%
Sales Q2Q%-0.04%
Revenue Next Year-2.82%
Revenue Next 2Y1.76%
Revenue Next 3Y3.21%
Revenue Next 5Y2.99%
EBIT growth 1Y11.67%
EBIT growth 3Y14.58%
EBIT growth 5Y14.92%
EBIT Next Year28.17%
EBIT Next 3Y14.89%
EBIT Next 5YN/A
FCF growth 1Y43.56%
FCF growth 3Y-12.01%
FCF growth 5Y10.3%
OCF growth 1Y33.81%
OCF growth 3Y-9.81%
OCF growth 5Y6.94%
WILLIS TOWERS WATSON PLC / WTW FAQ
Can you provide the ChartMill fundamental rating for WILLIS TOWERS WATSON PLC?
ChartMill assigns a fundamental rating of 5 / 10 to WTW.
What is the valuation status for WTW stock?
ChartMill assigns a valuation rating of 2 / 10 to WILLIS TOWERS WATSON PLC (WTW). This can be considered as Overvalued.
Can you provide the profitability details for WILLIS TOWERS WATSON PLC?
WILLIS TOWERS WATSON PLC (WTW) has a profitability rating of 7 / 10.
What is the expected EPS growth for WILLIS TOWERS WATSON PLC (WTW) stock?
The Earnings per Share (EPS) of WILLIS TOWERS WATSON PLC (WTW) is expected to grow by 1.39% in the next year.
Is the dividend of WILLIS TOWERS WATSON PLC sustainable?
The dividend rating of WILLIS TOWERS WATSON PLC (WTW) is 6 / 10 and the dividend payout ratio is 16.92%.