WOODWARD INC (WWD)
US9807451037 - Common Stock
Overall WWD gets a fundamental rating of 7 out of 10. We evaluated WWD against 64 industry peers in the Aerospace & Defense industry. Both the health and profitability get an excellent rating, making WWD a very profitable company, without any liquidiy or solvency issues. WWD is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WWD was profitable.
In the past year WWD had a positive cash flow from operations.
WWD had positive earnings in each of the past 5 years.
Each year in the past 5 years WWD had a positive operating cash flow.
1.2 Ratios
WWD has a Return On Assets of 8.54%. This is amongst the best in the industry. WWD outperforms 85.94% of its industry peers.
WWD has a better Return On Equity (17.14%) than 89.06% of its industry peers.
With an excellent Return On Invested Capital value of 10.25%, WWD belongs to the best of the industry, outperforming 85.94% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for WWD is in line with the industry average of 7.70%.
The last Return On Invested Capital (10.25%) for WWD is above the 3 year average (7.87%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.54% | ||
| ROE | 17.14% | ||
| ROIC | 10.25% |
ROA(3y)6.28%
ROA(5y)6.02%
ROE(3y)12.46%
ROE(5y)11.77%
ROIC(3y)7.87%
ROIC(5y)7.33%
1.3 Margins
With a decent Profit Margin value of 11.22%, WWD is doing good in the industry, outperforming 79.69% of the companies in the same industry.
WWD's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 13.57%, WWD belongs to the top of the industry, outperforming 84.38% of the companies in the same industry.
WWD's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 26.37%, WWD is doing good in the industry, outperforming 64.06% of the companies in the same industry.
In the last couple of years the Gross Margin of WWD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.57% | ||
| PM (TTM) | 11.22% | ||
| GM | 26.37% |
OM growth 3Y5.7%
OM growth 5Y4.68%
PM growth 3Y6.5%
PM growth 5Y4.62%
GM growth 3Y2.42%
GM growth 5Y1.57%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so WWD is still creating some value.
The number of shares outstanding for WWD has been reduced compared to 1 year ago.
The number of shares outstanding for WWD has been reduced compared to 5 years ago.
The debt/assets ratio for WWD is higher compared to a year ago.
2.2 Solvency
WWD has an Altman-Z score of 5.10. This indicates that WWD is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.10, WWD is in the better half of the industry, outperforming 70.31% of the companies in the same industry.
The Debt to FCF ratio of WWD is 2.55, which is a good value as it means it would take WWD, 2.55 years of fcf income to pay off all of its debts.
WWD's Debt to FCF ratio of 2.55 is amongst the best of the industry. WWD outperforms 87.50% of its industry peers.
A Debt/Equity ratio of 0.36 indicates that WWD is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.36, WWD is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.55 | ||
| Altman-Z | 5.1 |
ROIC/WACC1.06
WACC9.67%
2.3 Liquidity
A Current Ratio of 1.89 indicates that WWD should not have too much problems paying its short term obligations.
WWD has a Current ratio (1.89) which is in line with its industry peers.
WWD has a Quick Ratio of 1.23. This is a normal value and indicates that WWD is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.23, WWD perfoms like the industry average, outperforming 48.44% of the companies in the same industry.
The current and quick ratio evaluation for WWD is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
WWD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 45.48%, which is quite impressive.
WWD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.60% yearly.
The Revenue has grown by 14.06% in the past year. This is quite good.
Measured over the past years, WWD shows a small growth in Revenue. The Revenue has been growing by 2.77% on average per year.
EPS 1Y (TTM)45.48%
EPS 3Y23.55%
EPS 5Y4.6%
EPS Q2Q%6.02%
Revenue 1Y (TTM)14.06%
Revenue growth 3Y13.97%
Revenue growth 5Y2.77%
Sales Q2Q%9.96%
3.2 Future
The Earnings Per Share is expected to grow by 5.20% on average over the next years.
WWD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.18% yearly.
EPS Next Y0.61%
EPS Next 2Y9.7%
EPS Next 3Y11.94%
EPS Next 5Y5.2%
Revenue Next Year3.74%
Revenue Next 2Y5.78%
Revenue Next 3Y6.02%
Revenue Next 5Y2.18%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
WWD is valuated quite expensively with a Price/Earnings ratio of 27.61.
WWD's Price/Earnings ratio is a bit cheaper when compared to the industry. WWD is cheaper than 75.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.20. WWD is around the same levels.
With a Price/Forward Earnings ratio of 27.44, WWD can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, WWD is valued a bit cheaper than 68.75% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.73, WWD is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.61 | ||
| Fwd PE | 27.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WWD indicates a somewhat cheap valuation: WWD is cheaper than 65.63% of the companies listed in the same industry.
79.69% of the companies in the same industry are more expensive than WWD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.23 | ||
| EV/EBITDA | 18.33 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WWD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)45.03
PEG (5Y)6
EPS Next 2Y9.7%
EPS Next 3Y11.94%
5. Dividend
5.1 Amount
WWD has a yearly dividend return of 0.59%, which is pretty low.
Compared to an average industry Dividend Yield of 1.46, WWD pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.59, WWD pays less dividend than the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
5.2 History
The dividend of WWD is nicely growing with an annual growth rate of 9.14%!
WWD has paid a dividend for at least 10 years, which is a reliable track record.
WWD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)9.14%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
WWD pays out 15.63% of its income as dividend. This is a sustainable payout ratio.
The dividend of WWD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP15.63%
EPS Next 2Y9.7%
EPS Next 3Y11.94%
WOODWARD INC
NASDAQ:WWD (12/20/2024, 8:00:02 PM)
After market: 168.703 0 (0%)168.7
+0.56 (+0.33%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners87.58%
Inst Owner Change2.84%
Ins Owners0.32%
Ins Owner Change-6.57%
Market Cap10.02B
Analysts71.76
Price Target189.43 (12.29%)
Short Float %1.6%
Short Ratio2.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
Dividend Growth(5Y)9.14%
DP15.63%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.61%
Min EPS beat(2)6.49%
Max EPS beat(2)10.72%
EPS beat(4)4
Avg EPS beat(4)17.12%
Min EPS beat(4)6.49%
Max EPS beat(4)30%
EPS beat(8)7
Avg EPS beat(8)15.08%
EPS beat(12)8
Avg EPS beat(12)4.15%
EPS beat(16)9
Avg EPS beat(16)2.6%
Revenue beat(2)1
Avg Revenue beat(2)1.33%
Min Revenue beat(2)-1.67%
Max Revenue beat(2)4.32%
Revenue beat(4)3
Avg Revenue beat(4)2.31%
Min Revenue beat(4)-1.67%
Max Revenue beat(4)4.32%
Revenue beat(8)7
Avg Revenue beat(8)4.29%
Revenue beat(12)8
Avg Revenue beat(12)1.72%
Revenue beat(16)9
Avg Revenue beat(16)0.11%
PT rev (1m)2.04%
PT rev (3m)1.37%
EPS NQ rev (1m)-11.81%
EPS NQ rev (3m)-11.81%
EPS NY rev (1m)3.67%
EPS NY rev (3m)-0.39%
Revenue NQ rev (1m)-5.48%
Revenue NQ rev (3m)-5.48%
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)-0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.61 | ||
| Fwd PE | 27.44 | ||
| P/S | 3.01 | ||
| P/FCF | 29.23 | ||
| P/OCF | 22.82 | ||
| P/B | 4.6 | ||
| P/tB | 10.78 | ||
| EV/EBITDA | 18.33 |
EPS(TTM)6.11
EY3.62%
EPS(NY)6.15
Fwd EY3.64%
FCF(TTM)5.77
FCFY3.42%
OCF(TTM)7.39
OCFY4.38%
SpS55.96
BVpS36.64
TBVpS15.65
PEG (NY)45.03
PEG (5Y)6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.54% | ||
| ROE | 17.14% | ||
| ROCE | 13.09% | ||
| ROIC | 10.25% | ||
| ROICexc | 11.1% | ||
| ROICexgc | 17.59% | ||
| OM | 13.57% | ||
| PM (TTM) | 11.22% | ||
| GM | 26.37% | ||
| FCFM | 10.31% |
ROA(3y)6.28%
ROA(5y)6.02%
ROE(3y)12.46%
ROE(5y)11.77%
ROIC(3y)7.87%
ROIC(5y)7.33%
ROICexc(3y)8.33%
ROICexc(5y)7.83%
ROICexgc(3y)13.36%
ROICexgc(5y)12.89%
ROCE(3y)9.77%
ROCE(5y)9%
ROICexcg growth 3Y16.18%
ROICexcg growth 5Y3.29%
ROICexc growth 3Y19.24%
ROICexc growth 5Y6.07%
OM growth 3Y5.7%
OM growth 5Y4.68%
PM growth 3Y6.5%
PM growth 5Y4.62%
GM growth 3Y2.42%
GM growth 5Y1.57%
F-Score8
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.55 | ||
| Debt/EBITDA | 1.39 | ||
| Cap/Depr | 82.88% | ||
| Cap/Sales | 2.9% | ||
| Interest Coverage | 12.29 | ||
| Cash Conversion | 77.41% | ||
| Profit Quality | 91.91% | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 5.1 |
F-Score8
WACC9.67%
ROIC/WACC1.06
Cap/Depr(3y)63.55%
Cap/Depr(5y)51.13%
Cap/Sales(3y)2.58%
Cap/Sales(5y)2.26%
Profit Quality(3y)91.23%
Profit Quality(5y)120.84%
High Growth Momentum
Growth
EPS 1Y (TTM)45.48%
EPS 3Y23.55%
EPS 5Y4.6%
EPS Q2Q%6.02%
EPS Next Y0.61%
EPS Next 2Y9.7%
EPS Next 3Y11.94%
EPS Next 5Y5.2%
Revenue 1Y (TTM)14.06%
Revenue growth 3Y13.97%
Revenue growth 5Y2.77%
Sales Q2Q%9.96%
Revenue Next Year3.74%
Revenue Next 2Y5.78%
Revenue Next 3Y6.02%
Revenue Next 5Y2.18%
EBIT growth 1Y42.2%
EBIT growth 3Y20.46%
EBIT growth 5Y7.58%
EBIT Next Year25.22%
EBIT Next 3Y17.93%
EBIT Next 5Y10.39%
FCF growth 1Y47.76%
FCF growth 3Y-7.06%
FCF growth 5Y3.3%
OCF growth 1Y42.33%
OCF growth 3Y-1.87%
OCF growth 5Y2.37%