WOLVERINE WORLD WIDE INC (WWW) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WWW - US9780971035 - Common Stock
17.44 USD
+0.03 (+0.17%)
17.6 USD
+0.16 (+0.92%)
WWW gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 45 industry peers in the Textiles, Apparel & Luxury Goods industry. WWW has a medium profitability rating, but doesn't score so well on its financial health evaluation. WWW is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
WWW had positive earnings in the past year.
WWW had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: WWW reported negative net income in multiple years.
Of the past 5 years WWW 4 years had a positive operating cash flow.
1.2 Ratios
WWW's Return On Assets of 4.98% is fine compared to the rest of the industry. WWW outperforms 71.11% of its industry peers.
WWW has a Return On Equity of 22.56%. This is amongst the best in the industry. WWW outperforms 82.22% of its industry peers.
WWW's Return On Invested Capital of 8.97% is fine compared to the rest of the industry. WWW outperforms 64.44% of its industry peers.
WWW had an Average Return On Invested Capital over the past 3 years of 4.86%. This is significantly below the industry average of 11.82%.
The last Return On Invested Capital (8.97%) for WWW is above the 3 year average (4.86%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.98% | ||
| ROE | 22.56% | ||
| ROIC | 8.97% |
ROA(3y)-2.24%
ROA(5y)-2.11%
ROE(3y)-19.36%
ROE(5y)-14.37%
ROIC(3y)4.86%
ROIC(5y)5.01%
1.3 Margins
WWW has a Profit Margin of 4.59%. This is in the better half of the industry: WWW outperforms 66.67% of its industry peers.
In the last couple of years the Profit Margin of WWW has declined.
WWW has a Operating Margin of 7.55%. This is in the better half of the industry: WWW outperforms 68.89% of its industry peers.
WWW's Operating Margin has declined in the last couple of years.
WWW has a Gross Margin of 46.43%. This is comparable to the rest of the industry: WWW outperforms 42.22% of its industry peers.
In the last couple of years the Gross Margin of WWW has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.55% | ||
| PM (TTM) | 4.59% | ||
| GM | 46.43% |
OM growth 3Y-3.46%
OM growth 5Y-5.06%
PM growth 3Y-1.91%
PM growth 5Y-13.78%
GM growth 3Y1.45%
GM growth 5Y1.85%
2. Health
2.1 Basic Checks
WWW has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, WWW has more shares outstanding
WWW has less shares outstanding than it did 5 years ago.
WWW has a better debt/assets ratio than last year.
2.2 Solvency
WWW has an Altman-Z score of 2.86. This is not the best score and indicates that WWW is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.86, WWW perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
The Debt to FCF ratio of WWW is 12.46, which is on the high side as it means it would take WWW, 12.46 years of fcf income to pay off all of its debts.
WWW has a Debt to FCF ratio (12.46) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.80 is on the high side and indicates that WWW has dependencies on debt financing.
The Debt to Equity ratio of WWW (1.80) is worse than 84.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 12.46 | ||
| Altman-Z | 2.86 |
ROIC/WACC0.81
WACC11.07%
2.3 Liquidity
WWW has a Current Ratio of 1.34. This is a normal value and indicates that WWW is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of WWW (1.34) is worse than 84.44% of its industry peers.
WWW has a Quick Ratio of 1.34. This is a bad value and indicates that WWW is not financially healthy enough and could expect problems in meeting its short term obligations.
WWW has a Quick ratio of 0.79. This is in the lower half of the industry: WWW underperforms 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
WWW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 584.21%, which is quite impressive.
Measured over the past years, WWW shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -16.78% on average per year.
WWW shows a small growth in Revenue. In the last year, the Revenue has grown by 3.61%.
Measured over the past years, WWW shows a decrease in Revenue. The Revenue has been decreasing by -5.05% on average per year.
EPS 1Y (TTM)584.21%
EPS 3Y-24.33%
EPS 5Y-16.78%
EPS Q2Q%20.69%
Revenue 1Y (TTM)3.61%
Revenue growth 3Y-10.09%
Revenue growth 5Y-5.05%
Sales Q2Q%6.84%
3.2 Future
WWW is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.71% yearly.
The Revenue is expected to grow by 5.91% on average over the next years.
EPS Next Y47.52%
EPS Next 2Y25.72%
EPS Next 3Y23.71%
EPS Next 5YN/A
Revenue Next Year7.05%
Revenue Next 2Y6.23%
Revenue Next 3Y5.91%
Revenue Next 5YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.42, WWW is valued correctly.
77.78% of the companies in the same industry are more expensive than WWW, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.34, WWW is valued a bit cheaper.
The Price/Forward Earnings ratio is 12.13, which indicates a correct valuation of WWW.
Based on the Price/Forward Earnings ratio, WWW is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.56. WWW is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.42 | ||
| Fwd PE | 12.13 |
4.2 Price Multiples
WWW's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as WWW.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.33 | ||
| EV/EBITDA | 11.04 |
4.3 Compensation for Growth
WWW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of WWW may justify a higher PE ratio.
WWW's earnings are expected to grow with 23.71% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y25.72%
EPS Next 3Y23.71%
5. Dividend
5.1 Amount
WWW has a Yearly Dividend Yield of 1.61%.
The stock price of WWW dropped by -42.88% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 3.22, WWW pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.31, WWW is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
5.2 History
On average, the dividend of WWW grows each year by 11.30%, which is quite nice.
WWW has paid a dividend for at least 10 years, which is a reliable track record.
WWW has decreased its dividend recently.
Dividend Growth(5Y)11.3%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
WWW pays out 38.94% of its income as dividend. This is a sustainable payout ratio.
The dividend of WWW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP38.94%
EPS Next 2Y25.72%
EPS Next 3Y23.71%
17.44
+0.03 (+0.17%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners112.24%
Inst Owner Change1.32%
Ins Owners1.12%
Ins Owner Change0.42%
Market Cap1.43B
Revenue(TTM)1.85B
Net Income(TTM)85.00M
Analysts81.43
Price Target24.82 (42.32%)
Short Float %8.84%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
Yearly Dividend0.41
Dividend Growth(5Y)11.3%
DP38.94%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.41%
Min EPS beat(2)5.13%
Max EPS beat(2)47.69%
EPS beat(4)3
Avg EPS beat(4)29.56%
Min EPS beat(4)-0.37%
Max EPS beat(4)65.78%
EPS beat(8)6
Avg EPS beat(8)116.78%
EPS beat(12)8
Avg EPS beat(12)152.09%
EPS beat(16)11
Avg EPS beat(16)113.42%
Revenue beat(2)2
Avg Revenue beat(2)2.31%
Min Revenue beat(2)0.58%
Max Revenue beat(2)4.05%
Revenue beat(4)4
Avg Revenue beat(4)2.1%
Min Revenue beat(4)0.58%
Max Revenue beat(4)4.05%
Revenue beat(8)8
Avg Revenue beat(8)2.9%
Revenue beat(12)11
Avg Revenue beat(12)2.15%
Revenue beat(16)13
Avg Revenue beat(16)1.16%
PT rev (1m)-27.72%
PT rev (3m)-25.76%
EPS NQ rev (1m)-0.85%
EPS NQ rev (3m)-4.67%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)4.65%
Revenue NQ rev (1m)-0.15%
Revenue NQ rev (3m)-1.89%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.42 | ||
| Fwd PE | 12.13 | ||
| P/S | 0.77 | ||
| P/FCF | 26.33 | ||
| P/OCF | 18.76 | ||
| P/B | 3.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.04 |
EPS(TTM)1.3
EY7.45%
EPS(NY)1.44
Fwd EY8.25%
FCF(TTM)0.66
FCFY3.8%
OCF(TTM)0.93
OCFY5.33%
SpS22.59
BVpS4.6
TBVpS-3.22
PEG (NY)0.28
PEG (5Y)N/A
Graham Number11.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.98% | ||
| ROE | 22.56% | ||
| ROCE | 11.92% | ||
| ROIC | 8.97% | ||
| ROICexc | 10% | ||
| ROICexgc | 22.12% | ||
| OM | 7.55% | ||
| PM (TTM) | 4.59% | ||
| GM | 46.43% | ||
| FCFM | 2.93% |
ROA(3y)-2.24%
ROA(5y)-2.11%
ROE(3y)-19.36%
ROE(5y)-14.37%
ROIC(3y)4.86%
ROIC(5y)5.01%
ROICexc(3y)5.42%
ROICexc(5y)5.66%
ROICexgc(3y)12.05%
ROICexgc(5y)14.97%
ROCE(3y)6.88%
ROCE(5y)6.81%
ROICexgc growth 3Y-5.91%
ROICexgc growth 5Y1.04%
ROICexc growth 3Y5.46%
ROICexc growth 5Y1.13%
OM growth 3Y-3.46%
OM growth 5Y-5.06%
PM growth 3Y-1.91%
PM growth 5Y-13.78%
GM growth 3Y1.45%
GM growth 5Y1.85%
F-Score7
Asset Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 12.46 | ||
| Debt/EBITDA | 4.05 | ||
| Cap/Depr | 80.81% | ||
| Cap/Sales | 1.18% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 45.66% | ||
| Profit Quality | 63.88% | ||
| Current Ratio | 1.34 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 2.86 |
F-Score7
WACC11.07%
ROIC/WACC0.81
Cap/Depr(3y)74.73%
Cap/Depr(5y)61.72%
Cap/Sales(3y)1.05%
Cap/Sales(5y)0.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)584.21%
EPS 3Y-24.33%
EPS 5Y-16.78%
EPS Q2Q%20.69%
EPS Next Y47.52%
EPS Next 2Y25.72%
EPS Next 3Y23.71%
EPS Next 5YN/A
Revenue 1Y (TTM)3.61%
Revenue growth 3Y-10.09%
Revenue growth 5Y-5.05%
Sales Q2Q%6.84%
Revenue Next Year7.05%
Revenue Next 2Y6.23%
Revenue Next 3Y5.91%
Revenue Next 5YN/A
EBIT growth 1Y1847.5%
EBIT growth 3Y-13.21%
EBIT growth 5Y-9.85%
EBIT Next Year56.5%
EBIT Next 3Y18.18%
EBIT Next 5YN/A
FCF growth 1Y-81.07%
FCF growth 3Y32.2%
FCF growth 5Y-3.21%
OCF growth 1Y-76.06%
OCF growth 3Y27.55%
OCF growth 5Y-4.15%
WOLVERINE WORLD WIDE INC / WWW FAQ
What is the fundamental rating for WWW stock?
ChartMill assigns a fundamental rating of 5 / 10 to WWW.
What is the valuation status for WWW stock?
ChartMill assigns a valuation rating of 6 / 10 to WOLVERINE WORLD WIDE INC (WWW). This can be considered as Fairly Valued.
What is the profitability of WWW stock?
WOLVERINE WORLD WIDE INC (WWW) has a profitability rating of 6 / 10.
What are the PE and PB ratios of WOLVERINE WORLD WIDE INC (WWW) stock?
The Price/Earnings (PE) ratio for WOLVERINE WORLD WIDE INC (WWW) is 13.42 and the Price/Book (PB) ratio is 3.79.
Is the dividend of WOLVERINE WORLD WIDE INC sustainable?
The dividend rating of WOLVERINE WORLD WIDE INC (WWW) is 5 / 10 and the dividend payout ratio is 38.94%.