FIRST WATCH RESTAURANT GROUP (FWRG) Stock Fundamental Analysis
USA - NASDAQ:FWRG - US33748L1017 - Common Stock
17.69 USD
-0.34 (-1.89%)
17.69 USD
0 (0%)
We assign a fundamental rating of 2 out of 10 to FWRG. FWRG was compared to 133 industry peers in the Hotels, Restaurants & Leisure industry. FWRG has a bad profitability rating. Also its financial health evaluation is rather negative. While showing a medium growth rate, FWRG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year FWRG was profitable.
FWRG had a positive operating cash flow in the past year.
In multiple years FWRG reported negative net income over the last 5 years.
Of the past 5 years FWRG 4 years had a positive operating cash flow.
1.2 Ratios
FWRG has a worse Return On Assets (0.24%) than 63.91% of its industry peers.
Looking at the Return On Equity, with a value of 0.68%, FWRG is in line with its industry, outperforming 50.38% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 1.19%, FWRG is doing worse than 75.94% of the companies in the same industry.
FWRG had an Average Return On Invested Capital over the past 3 years of 2.26%. This is significantly below the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.24% | ||
| ROE | 0.68% | ||
| ROIC | 1.19% |
ROA(3y)1.29%
ROA(5y)-0.25%
ROE(3y)3.01%
ROE(5y)-1.38%
ROIC(3y)2.26%
ROIC(5y)N/A
1.3 Margins
FWRG has a worse Profit Margin (0.37%) than 64.66% of its industry peers.
FWRG has a Operating Margin of 2.37%. This is in the lower half of the industry: FWRG underperforms 72.18% of its industry peers.
In the last couple of years the Operating Margin of FWRG has grown nicely.
FWRG has a better Gross Margin (61.79%) than 74.44% of its industry peers.
In the last couple of years the Gross Margin of FWRG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.37% | ||
| PM (TTM) | 0.37% | ||
| GM | 61.79% |
OM growth 3Y3.02%
OM growth 5Y16.3%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.64%
GM growth 5Y-0.07%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FWRG is destroying value.
FWRG has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, FWRG has more shares outstanding
FWRG has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.20, we must say that FWRG is in the distress zone and has some risk of bankruptcy.
FWRG has a Altman-Z score of 1.20. This is in the lower half of the industry: FWRG underperforms 62.41% of its industry peers.
A Debt/Equity ratio of 0.42 indicates that FWRG is not too dependend on debt financing.
FWRG has a better Debt to Equity ratio (0.42) than 69.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.2 |
ROIC/WACC0.14
WACC8.21%
2.3 Liquidity
A Current Ratio of 0.27 indicates that FWRG may have some problems paying its short term obligations.
With a Current ratio value of 0.27, FWRG is not doing good in the industry: 92.48% of the companies in the same industry are doing better.
FWRG has a Quick Ratio of 0.27. This is a bad value and indicates that FWRG is not financially healthy enough and could expect problems in meeting its short term obligations.
FWRG's Quick ratio of 0.23 is on the low side compared to the rest of the industry. FWRG is outperformed by 90.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.27 | ||
| Quick Ratio | 0.23 |
3. Growth
3.1 Past
FWRG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -83.59%.
FWRG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.53%.
FWRG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.41% yearly.
EPS 1Y (TTM)-83.59%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-78.57%
Revenue 1Y (TTM)14.53%
Revenue growth 3Y19.11%
Revenue growth 5Y18.41%
Sales Q2Q%19.08%
3.2 Future
The Earnings Per Share is expected to grow by 20.59% on average over the next years. This is a very strong growth
Based on estimates for the next years, FWRG will show a quite strong growth in Revenue. The Revenue will grow by 14.50% on average per year.
EPS Next Y-42.59%
EPS Next 2Y9.8%
EPS Next 3Y20.42%
EPS Next 5Y20.59%
Revenue Next Year19.67%
Revenue Next 2Y17.96%
Revenue Next 3Y16.01%
Revenue Next 5Y14.5%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 294.83, FWRG can be considered very expensive at the moment.
Based on the Price/Earnings ratio, FWRG is valued a bit more expensive than the industry average as 66.17% of the companies are valued more cheaply.
FWRG's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.83.
The Price/Forward Earnings ratio is 48.27, which means the current valuation is very expensive for FWRG.
Based on the Price/Forward Earnings ratio, FWRG is valued a bit more expensive than the industry average as 62.41% of the companies are valued more cheaply.
The average S&P500 Price/Forward Earnings ratio is at 22.88. FWRG is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 294.83 | ||
| Fwd PE | 48.27 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FWRG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.63 |
4.3 Compensation for Growth
FWRG's earnings are expected to grow with 20.42% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.8%
EPS Next 3Y20.42%
5. Dividend
5.1 Amount
FWRG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
17.69
-0.34 (-1.89%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners94.28%
Inst Owner Change-0.08%
Ins Owners2.2%
Ins Owner Change-5.58%
Market Cap1.08B
Revenue(TTM)1.11B
Net Income(TTM)4.09M
Analysts87.06
Price Target22.44 (26.85%)
Short Float %10.54%
Short Ratio5.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-87.51%
Min EPS beat(2)-130.75%
Max EPS beat(2)-44.27%
EPS beat(4)0
Avg EPS beat(4)-63.63%
Min EPS beat(4)-130.75%
Max EPS beat(4)-26.42%
EPS beat(8)4
Avg EPS beat(8)-10.91%
EPS beat(12)6
Avg EPS beat(12)-15.89%
EPS beat(16)10
Avg EPS beat(16)21.62%
Revenue beat(2)0
Avg Revenue beat(2)-1.93%
Min Revenue beat(2)-2.32%
Max Revenue beat(2)-1.53%
Revenue beat(4)0
Avg Revenue beat(4)-2.55%
Min Revenue beat(4)-3.75%
Max Revenue beat(4)-1.53%
Revenue beat(8)1
Avg Revenue beat(8)-1.83%
Revenue beat(12)3
Avg Revenue beat(12)-1.31%
Revenue beat(16)7
Avg Revenue beat(16)-0.63%
PT rev (1m)0%
PT rev (3m)5.22%
EPS NQ rev (1m)3.13%
EPS NQ rev (3m)46.44%
EPS NY rev (1m)5.48%
EPS NY rev (3m)6.42%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)1.77%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 294.83 | ||
| Fwd PE | 48.27 | ||
| P/S | 0.98 | ||
| P/FCF | N/A | ||
| P/OCF | 9.12 | ||
| P/B | 1.8 | ||
| P/tB | 547.11 | ||
| EV/EBITDA | 14.63 |
EPS(TTM)0.06
EY0.34%
EPS(NY)0.37
Fwd EY2.07%
FCF(TTM)-0.48
FCFYN/A
OCF(TTM)1.94
OCFY10.96%
SpS18.11
BVpS9.85
TBVpS0.03
PEG (NY)N/A
PEG (5Y)N/A
Graham Number3.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.24% | ||
| ROE | 0.68% | ||
| ROCE | 1.73% | ||
| ROIC | 1.19% | ||
| ROICexc | 1.21% | ||
| ROICexgc | 2.01% | ||
| OM | 2.37% | ||
| PM (TTM) | 0.37% | ||
| GM | 61.79% | ||
| FCFM | N/A |
ROA(3y)1.29%
ROA(5y)-0.25%
ROE(3y)3.01%
ROE(5y)-1.38%
ROIC(3y)2.26%
ROIC(5y)N/A
ROICexc(3y)2.35%
ROICexc(5y)N/A
ROICexgc(3y)4.37%
ROICexgc(5y)N/A
ROCE(3y)3.27%
ROCE(5y)N/A
ROICexgc growth 3Y-0.6%
ROICexgc growth 5Y21.1%
ROICexc growth 3Y7.43%
ROICexc growth 5Y27.07%
OM growth 3Y3.02%
OM growth 5Y16.3%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.64%
GM growth 5Y-0.07%
F-Score3
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.72 | ||
| Cap/Depr | 225.38% | ||
| Cap/Sales | 13.38% | ||
| Interest Coverage | 2.44 | ||
| Cash Conversion | 128.92% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.27 | ||
| Quick Ratio | 0.23 | ||
| Altman-Z | 1.2 |
F-Score3
WACC8.21%
ROIC/WACC0.14
Cap/Depr(3y)204.11%
Cap/Depr(5y)162.05%
Cap/Sales(3y)10.26%
Cap/Sales(5y)8.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-83.59%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-78.57%
EPS Next Y-42.59%
EPS Next 2Y9.8%
EPS Next 3Y20.42%
EPS Next 5Y20.59%
Revenue 1Y (TTM)14.53%
Revenue growth 3Y19.11%
Revenue growth 5Y18.41%
Sales Q2Q%19.08%
Revenue Next Year19.67%
Revenue Next 2Y17.96%
Revenue Next 3Y16.01%
Revenue Next 5Y14.5%
EBIT growth 1Y-47.16%
EBIT growth 3Y22.71%
EBIT growth 5Y37.72%
EBIT Next Year195.13%
EBIT Next 3Y61.4%
EBIT Next 5Y40.23%
FCF growth 1Y-243.34%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y36.49%
OCF growth 3Y22.47%
OCF growth 5Y40.05%
FIRST WATCH RESTAURANT GROUP / FWRG FAQ
What is the ChartMill fundamental rating of FIRST WATCH RESTAURANT GROUP (FWRG) stock?
ChartMill assigns a fundamental rating of 2 / 10 to FWRG.
What is the valuation status of FIRST WATCH RESTAURANT GROUP (FWRG) stock?
ChartMill assigns a valuation rating of 1 / 10 to FIRST WATCH RESTAURANT GROUP (FWRG). This can be considered as Overvalued.
Can you provide the profitability details for FIRST WATCH RESTAURANT GROUP?
FIRST WATCH RESTAURANT GROUP (FWRG) has a profitability rating of 3 / 10.
How financially healthy is FIRST WATCH RESTAURANT GROUP?
The financial health rating of FIRST WATCH RESTAURANT GROUP (FWRG) is 1 / 10.