WOODWARD INC (WWD) Stock Fundamental Analysis
USA - NASDAQ:WWD - US9807451037 - Common Stock
261.69 USD
-0.42 (-0.16%)
261.69 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to WWD. WWD was compared to 71 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
WWD had positive earnings in the past year.
In the past year WWD had a positive cash flow from operations.
WWD had positive earnings in each of the past 5 years.
In the past 5 years WWD always reported a positive cash flow from operatings.
1.2 Ratios
WWD has a Return On Assets of 8.23%. This is amongst the best in the industry. WWD outperforms 88.73% of its industry peers.
Looking at the Return On Equity, with a value of 15.71%, WWD belongs to the top of the industry, outperforming 83.10% of the companies in the same industry.
WWD has a better Return On Invested Capital (8.75%) than 76.06% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WWD is in line with the industry average of 8.48%.
The 3 year average ROIC (7.87%) for WWD is below the current ROIC(8.75%), indicating increased profibility in the last year.
| 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
WWD's Profit Margin of 11.32% is amongst the best of the industry. WWD outperforms 83.10% of its industry peers.
In the last couple of years the Profit Margin of WWD has grown nicely.
Looking at the Operating Margin, with a value of 12.44%, WWD is in the better half of the industry, outperforming 78.87% of the companies in the same industry.
In the last couple of years the Operating Margin of WWD has grown nicely.
Looking at the Gross Margin, with a value of 25.88%, WWD is in line with its industry, outperforming 56.34% 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 | 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.
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.
WWD has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 6.53 indicates that WWD is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 6.53, WWD is doing good in the industry, outperforming 69.01% of the companies in the same industry.
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.
WWD has a better Debt to FCF ratio (3.37) than 83.10% of its industry peers.
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 64.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.37 | ||
| Altman-Z | 6.53 |
ROIC/WACC0.92
WACC9.5%
2.3 Liquidity
WWD has a Current Ratio of 2.04. This indicates that WWD is financially healthy and has no problem in meeting its short term obligations.
WWD has a Current ratio of 2.04. This is comparable to the rest of the industry: WWD outperforms 45.07% 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.
The Quick ratio of WWD (1.39) is comparable to the rest of the 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.
The Earnings Per Share has been growing slightly by 4.60% on average over the past years.
Looking at the last year, WWD shows a small growth in Revenue. The Revenue has grown by 5.53% in the last year.
The Revenue has been growing slightly by 2.77% on average over the past years.
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 12.07% yearly.
WWD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.18% yearly.
EPS Next Y9.99%
EPS Next 2Y13.94%
EPS Next 3Y14.42%
EPS Next 5Y12.07%
Revenue Next Year6.7%
Revenue Next 2Y8.26%
Revenue Next 3Y8.07%
Revenue Next 5Y2.18%
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 accelerating.
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
A Price/Earnings ratio of 42.14 indicates a quite expensive valuation of WWD.
Based on the Price/Earnings ratio, WWD is valued a bit cheaper than the industry average as 63.38% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of WWD to the average of the S&P500 Index (26.51), we can say WWD is valued expensively.
Based on the Price/Forward Earnings ratio of 32.99, the valuation of WWD can be described as expensive.
Based on the Price/Forward Earnings ratio, WWD is valued a bit cheaper than the industry average as 60.56% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of WWD to the average of the S&P500 Index (22.53), we can say WWD is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.14 | ||
| Fwd PE | 32.99 |
4.2 Price Multiples
WWD's Enterprise Value to EBITDA ratio is in line with the industry average.
WWD's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 56.63 | ||
| EV/EBITDA | 29.32 |
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.
The excellent profitability rating of WWD 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)4.22
PEG (5Y)9.16
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 1.10.
Compared to an average S&P500 Dividend Yield of 2.38, 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 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 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%
261.69
-0.42 (-0.16%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners89.57%
Inst Owner Change-0.71%
Ins Owners0.16%
Ins Owner Change-2.78%
Market Cap15.69B
Revenue(TTM)3.43B
Net Income(TTM)387.78M
Analysts74.67
Price Target302.44 (15.57%)
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)4.18%
PT rev (3m)11.32%
EPS NQ rev (1m)1.41%
EPS NQ rev (3m)4.17%
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)0.03%
Revenue NY rev (3m)0.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.14 | ||
| Fwd PE | 32.99 | ||
| P/S | 4.58 | ||
| P/FCF | 56.63 | ||
| P/OCF | 41.33 | ||
| P/B | 6.36 | ||
| P/tB | 12.87 | ||
| EV/EBITDA | 29.32 |
EPS(TTM)6.21
EY2.37%
EPS(NY)7.93
Fwd EY3.03%
FCF(TTM)4.62
FCFY1.77%
OCF(TTM)6.33
OCFY2.42%
SpS57.13
BVpS41.16
TBVpS20.34
PEG (NY)4.22
PEG (5Y)9.16
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 | 6.53 |
F-Score5
WACC9.5%
ROIC/WACC0.92
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 5Y12.07%
Revenue 1Y (TTM)5.53%
Revenue growth 3Y13.97%
Revenue growth 5Y2.77%
Sales Q2Q%7.99%
Revenue Next Year6.7%
Revenue Next 2Y8.26%
Revenue Next 3Y8.07%
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 3 / 10 to WOODWARD INC (WWD). This can be considered as Overvalued.
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%.