WOODWARD INC (WWD) Stock Fundamental Analysis
USA - NASDAQ:WWD - US9807451037 - Common Stock
274.03 USD
+4.88 (+1.81%)
274.03 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to WWD. WWD was compared to 72 industry peers in the Aerospace & Defense industry. WWD gets an excellent profitability rating and is at the same time showing great financial health properties. WWD is valied quite expensively at the moment, while it does show 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.
Each year in the past 5 years WWD has been profitable.
Each year in the past 5 years WWD had a positive operating cash flow.
1.2 Ratios
WWD has a Return On Assets of 8.23%. This is amongst the best in the industry. WWD outperforms 88.89% of its industry peers.
WWD's Return On Equity of 15.71% is amongst the best of the industry. WWD outperforms 83.33% of its industry peers.
WWD has a Return On Invested Capital of 8.75%. This is in the better half of the industry: WWD outperforms 77.78% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WWD is in line with the industry average of 8.47%.
The last Return On Invested Capital (8.75%) for WWD is above the 3 year average (7.87%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.23% | ||
| ROE | 15.71% | ||
| ROIC | 8.75% |
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
The Profit Margin of WWD (11.32%) is better than 84.72% of its industry peers.
WWD's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 12.44%, WWD is doing good in the industry, outperforming 77.78% of the companies in the same industry.
WWD's Operating Margin has improved in the last couple of years.
WWD has a Gross Margin of 25.88%. This is comparable to the rest of the industry: WWD outperforms 55.56% of its industry peers.
In the last couple of years the Gross Margin of WWD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.44% | ||
| PM (TTM) | 11.32% | ||
| GM | 25.88% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), WWD is destroying value.
WWD has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, WWD has less shares outstanding
Compared to 1 year ago, WWD has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.72 indicates that WWD is not in any danger for bankruptcy at the moment.
WWD's Altman-Z score of 6.72 is fine compared to the rest of the industry. WWD outperforms 73.61% of its industry peers.
The Debt to FCF ratio of WWD is 3.37, which is a good value as it means it would take WWD, 3.37 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 3.37, WWD belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
A Debt/Equity ratio of 0.35 indicates that WWD is not too dependend on debt financing.
WWD has a Debt to Equity ratio of 0.35. This is in the better half of the industry: WWD outperforms 65.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.37 | ||
| Altman-Z | 6.72 |
ROIC/WACC0.89
WACC9.79%
2.3 Liquidity
A Current Ratio of 2.04 indicates that WWD has no problem at all paying its short term obligations.
WWD has a Current ratio of 2.04. This is comparable to the rest of the industry: WWD outperforms 47.22% of its industry peers.
WWD has a Quick Ratio of 1.39. This is a normal value and indicates that WWD is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.39, WWD is in line with its industry, outperforming 45.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.99% over the past year.
WWD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.60% yearly.
Looking at the last year, WWD shows a small growth in Revenue. The Revenue has grown by 5.53% in the last year.
WWD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.77% yearly.
EPS 1Y (TTM)2.99%
EPS 3Y23.55%
EPS 5Y4.6%
EPS Q2Q%7.98%
Revenue 1Y (TTM)5.53%
Revenue growth 3Y13.97%
Revenue growth 5Y2.77%
Sales Q2Q%7.99%
3.2 Future
WWD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.28% yearly.
Based on estimates for the next years, WWD will show a small growth in Revenue. The Revenue will grow by 2.18% on average per year.
EPS Next Y9.99%
EPS Next 2Y13.94%
EPS Next 3Y14.42%
EPS Next 5Y12.28%
Revenue Next Year6.73%
Revenue Next 2Y8.26%
Revenue Next 3Y8.06%
Revenue Next 5Y2.18%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 44.13, WWD can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of WWD indicates a somewhat cheap valuation: WWD is cheaper than 61.11% of the companies listed in the same industry.
WWD is valuated expensively when we compare the Price/Earnings ratio to 26.34, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 34.55, the valuation of WWD can be described as expensive.
WWD's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.43. WWD is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.13 | ||
| Fwd PE | 34.55 |
4.2 Price Multiples
WWD's Enterprise Value to EBITDA ratio is in line with the industry average.
WWD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 59.3 | ||
| EV/EBITDA | 30.65 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WWD does not grow enough to justify the current Price/Earnings ratio.
WWD has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as WWD's earnings are expected to grow with 14.42% in the coming years.
PEG (NY)4.42
PEG (5Y)9.6
EPS Next 2Y13.94%
EPS Next 3Y14.42%
5. Dividend
5.1 Amount
WWD has a yearly dividend return of 0.43%, which is pretty low.
WWD's Dividend Yield is a higher than the industry average which is at 1.12.
Compared to an average S&P500 Dividend Yield of 2.36, WWD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
5.2 History
On average, the dividend of WWD grows each year by 9.14%, which is quite nice.
WWD has been paying a dividend for at least 10 years, so it has 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 16.25% of its income as dividend. This is a sustainable payout ratio.
WWD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP16.25%
EPS Next 2Y13.94%
EPS Next 3Y14.42%
274.03
+4.88 (+1.81%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners89.57%
Inst Owner Change-1.48%
Ins Owners0.16%
Ins Owner Change-0.84%
Market Cap16.43B
Revenue(TTM)3.43B
Net Income(TTM)387.78M
Analysts77.33
Price Target302.44 (10.37%)
Short Float %2.16%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
Yearly Dividend0.98
Dividend Growth(5Y)9.14%
DP16.25%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.53%
Min EPS beat(2)6.42%
Max EPS beat(2)14.65%
EPS beat(4)4
Avg EPS beat(4)11.21%
Min EPS beat(4)6.42%
Max EPS beat(4)14.65%
EPS beat(8)8
Avg EPS beat(8)12.9%
EPS beat(12)11
Avg EPS beat(12)13.72%
EPS beat(16)11
Avg EPS beat(16)4.92%
Revenue beat(2)2
Avg Revenue beat(2)3.3%
Min Revenue beat(2)1.82%
Max Revenue beat(2)4.78%
Revenue beat(4)3
Avg Revenue beat(4)2.41%
Min Revenue beat(4)-1.28%
Max Revenue beat(4)4.78%
Revenue beat(8)6
Avg Revenue beat(8)1.89%
Revenue beat(12)10
Avg Revenue beat(12)3.38%
Revenue beat(16)10
Avg Revenue beat(16)1.2%
PT rev (1m)1.16%
PT rev (3m)4.18%
EPS NQ rev (1m)1.41%
EPS NQ rev (3m)3.3%
EPS NY rev (1m)0.61%
EPS NY rev (3m)4.84%
Revenue NQ rev (1m)0.52%
Revenue NQ rev (3m)0.78%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)0.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.13 | ||
| Fwd PE | 34.55 | ||
| P/S | 4.8 | ||
| P/FCF | 59.3 | ||
| P/OCF | 43.28 | ||
| P/B | 6.66 | ||
| P/tB | 13.47 | ||
| EV/EBITDA | 30.65 |
EPS(TTM)6.21
EY2.27%
EPS(NY)7.93
Fwd EY2.89%
FCF(TTM)4.62
FCFY1.69%
OCF(TTM)6.33
OCFY2.31%
SpS57.13
BVpS41.16
TBVpS20.34
PEG (NY)4.42
PEG (5Y)9.6
Graham Number75.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.23% | ||
| ROE | 15.71% | ||
| ROCE | 11.52% | ||
| ROIC | 8.75% | ||
| ROICexc | 9.9% | ||
| ROICexgc | 15.21% | ||
| OM | 12.44% | ||
| PM (TTM) | 11.32% | ||
| GM | 25.88% | ||
| FCFM | 8.09% |
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%
ROICexgc growth 3Y16.18%
ROICexgc 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-Score5
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.37 | ||
| Debt/EBITDA | 1.59 | ||
| Cap/Depr | 90.48% | ||
| Cap/Sales | 3% | ||
| Interest Coverage | 11.47 | ||
| Cash Conversion | 70.36% | ||
| Profit Quality | 71.46% | ||
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.39 | ||
| Altman-Z | 6.72 |
F-Score5
WACC9.79%
ROIC/WACC0.89
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)2.99%
EPS 3Y23.55%
EPS 5Y4.6%
EPS Q2Q%7.98%
EPS Next Y9.99%
EPS Next 2Y13.94%
EPS Next 3Y14.42%
EPS Next 5Y12.28%
Revenue 1Y (TTM)5.53%
Revenue growth 3Y13.97%
Revenue growth 5Y2.77%
Sales Q2Q%7.99%
Revenue Next Year6.73%
Revenue Next 2Y8.26%
Revenue Next 3Y8.06%
Revenue Next 5Y2.18%
EBIT growth 1Y-4.47%
EBIT growth 3Y20.46%
EBIT growth 5Y7.58%
EBIT Next Year33.19%
EBIT Next 3Y20.41%
EBIT Next 5Y16.33%
FCF growth 1Y45.58%
FCF growth 3Y-7.06%
FCF growth 5Y3.3%
OCF growth 1Y44.25%
OCF growth 3Y-1.87%
OCF growth 5Y2.37%
WOODWARD INC / WWD FAQ
What is the fundamental rating for WWD stock?
ChartMill assigns a fundamental rating of 6 / 10 to WWD.
Can you provide the valuation status for WOODWARD INC?
ChartMill assigns a valuation rating of 4 / 10 to WOODWARD INC (WWD). This can be considered as Fairly Valued.
What is the profitability of WWD stock?
WOODWARD INC (WWD) has a profitability rating of 8 / 10.
What is the expected EPS growth for WOODWARD INC (WWD) stock?
The Earnings per Share (EPS) of WOODWARD INC (WWD) is expected to grow by 9.99% in the next year.
How sustainable is the dividend of WOODWARD INC (WWD) stock?
The dividend rating of WOODWARD INC (WWD) is 5 / 10 and the dividend payout ratio is 16.25%.