WAYSTAR HOLDING CORP (WAY) Stock Fundamental Analysis
NASDAQ:WAY - Nasdaq - US9467841055 - Common Stock - Currency: USD
WAY gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 36 industry peers in the Health Care Technology industry. Both the profitability and the financial health of WAY get a neutral evaluation. Nothing too spectacular is happening here. WAY is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WAY was profitable.
WAY had a positive operating cash flow in the past year.
1.2 Ratios
WAY's Return On Assets of 0.56% is amongst the best of the industry. WAY outperforms 86.11% of its industry peers.
WAY's Return On Equity of 0.83% is amongst the best of the industry. WAY outperforms 86.11% of its industry peers.
WAY has a Return On Invested Capital of 2.71%. This is amongst the best in the industry. WAY outperforms 83.33% of its industry peers.
WAY had an Average Return On Invested Capital over the past 3 years of 2.09%. This is below the industry average of 6.38%.
The last Return On Invested Capital (2.71%) for WAY is above the 3 year average (2.09%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.56% | ||
| ROE | 0.83% | ||
| ROIC | 2.71% |
ROA(3y)-0.88%
ROA(5y)N/A
ROE(3y)-1.85%
ROE(5y)N/A
ROIC(3y)2.09%
ROIC(5y)N/A
1.3 Margins
WAY has a Profit Margin of 2.67%. This is amongst the best in the industry. WAY outperforms 86.11% of its industry peers.
WAY has a Operating Margin of 15.77%. This is amongst the best in the industry. WAY outperforms 94.44% of its industry peers.
WAY's Operating Margin has improved in the last couple of years.
WAY's Gross Margin of 66.79% is fine compared to the rest of the industry. WAY outperforms 66.67% of its industry peers.
WAY's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.77% | ||
| PM (TTM) | 2.67% | ||
| GM | 66.79% |
OM growth 3Y7.95%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.38%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), WAY is destroying value.
The number of shares outstanding for WAY has been increased compared to 1 year ago.
WAY has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.07 indicates that WAY is not in any danger for bankruptcy at the moment.
The Altman-Z score of WAY (3.07) is better than 75.00% of its industry peers.
WAY has a debt to FCF ratio of 6.33. This is a slightly negative value and a sign of low solvency as WAY would need 6.33 years to pay back of all of its debts.
The Debt to FCF ratio of WAY (6.33) is comparable to the rest of the industry.
WAY has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
WAY's Debt to Equity ratio of 0.39 is on the low side compared to the rest of the industry. WAY is outperformed by 63.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 6.33 | ||
| Altman-Z | 3.07 |
ROIC/WACC0.28
WACC9.8%
2.3 Liquidity
A Current Ratio of 3.12 indicates that WAY has no problem at all paying its short term obligations.
WAY has a Current ratio of 3.12. This is in the better half of the industry: WAY outperforms 75.00% of its industry peers.
WAY has a Quick Ratio of 3.12. This indicates that WAY is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 3.12, WAY is doing good in the industry, outperforming 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.12 | ||
| Quick Ratio | 3.12 |
3. Growth
3.1 Past
WAY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 58.57%, which is quite impressive.
WAY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 19.28%.
WAY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.71% yearly.
EPS 1Y (TTM)58.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%269.46%
Revenue 1Y (TTM)19.28%
Revenue growth 3Y17.71%
Revenue growth 5YN/A
Sales Q2Q%14.08%
3.2 Future
WAY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 76.96% yearly.
WAY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.93% yearly.
EPS Next Y323.19%
EPS Next 2Y118.44%
EPS Next 3Y76.96%
EPS Next 5YN/A
Revenue Next Year9.25%
Revenue Next 2Y9.34%
Revenue Next 3Y9.93%
Revenue Next 5YN/A
3.3 Evolution
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
A Price/Earnings ratio of 50.33 indicates a quite expensive valuation of WAY.
Compared to the rest of the industry, the Price/Earnings ratio of WAY indicates a somewhat cheap valuation: WAY is cheaper than 72.22% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.92. WAY is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 26.27, which means the current valuation is very expensive for WAY.
Based on the Price/Forward Earnings ratio, WAY is valued a bit cheaper than 72.22% of the companies in the same industry.
WAY's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 21.49.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.33 | ||
| Fwd PE | 26.27 |
4.2 Price Multiples
WAY's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. WAY is cheaper than 77.78% of the companies in the same industry.
WAY's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. WAY is cheaper than 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.07 | ||
| EV/EBITDA | 23.56 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
WAY has a very decent profitability rating, which may justify a higher PE ratio.
WAY's earnings are expected to grow with 76.96% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.16
PEG (5Y)N/A
EPS Next 2Y118.44%
EPS Next 3Y76.96%
5. Dividend
5.1 Amount
WAY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
39.76
+0.49 (+1.25%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners64.6%
Inst Owner Change9.99%
Ins Owners1.33%
Ins Owner Change6.1%
Market Cap6.88B
Analysts85
Price Target49.47 (24.42%)
Short Float %4.18%
Short Ratio2.86
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)1
Avg EPS beat(2)51.34%
Min EPS beat(2)-1.27%
Max EPS beat(2)103.96%
EPS beat(4)3
Avg EPS beat(4)113.84%
Min EPS beat(4)-1.27%
Max EPS beat(4)322.74%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.24%
Min Revenue beat(2)2.36%
Max Revenue beat(2)4.13%
Revenue beat(4)4
Avg Revenue beat(4)5.04%
Min Revenue beat(4)2.36%
Max Revenue beat(4)7.44%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.46%
PT rev (3m)-3.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.36%
EPS NY rev (1m)0.61%
EPS NY rev (3m)27.28%
Revenue NQ rev (1m)0.38%
Revenue NQ rev (3m)1.18%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.33 | ||
| Fwd PE | 26.27 | ||
| P/S | 7.05 | ||
| P/FCF | 35.07 | ||
| P/OCF | 30.81 | ||
| P/B | 2.2 | ||
| P/tB | N/A | ||
| EV/EBITDA | 23.56 |
EPS(TTM)0.79
EY1.99%
EPS(NY)1.51
Fwd EY3.81%
FCF(TTM)1.13
FCFY2.85%
OCF(TTM)1.29
OCFY3.25%
SpS5.64
BVpS18.07
TBVpS-5.23
PEG (NY)0.16
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.56% | ||
| ROE | 0.83% | ||
| ROCE | 3.43% | ||
| ROIC | 2.71% | ||
| ROICexc | 2.87% | ||
| ROICexgc | 61.18% | ||
| OM | 15.77% | ||
| PM (TTM) | 2.67% | ||
| GM | 66.79% | ||
| FCFM | 20.11% |
ROA(3y)-0.88%
ROA(5y)N/A
ROE(3y)-1.85%
ROE(5y)N/A
ROIC(3y)2.09%
ROIC(5y)N/A
ROICexc(3y)2.13%
ROICexc(5y)N/A
ROICexgc(3y)47.51%
ROICexgc(5y)N/A
ROCE(3y)2.64%
ROCE(5y)N/A
ROICexcg growth 3Y7.56%
ROICexcg growth 5YN/A
ROICexc growth 3Y30.65%
ROICexc growth 5YN/A
OM growth 3Y7.95%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.38%
GM growth 5YN/A
F-Score7
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 6.33 | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | 15.43% | ||
| Cap/Sales | 2.78% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.75% | ||
| Profit Quality | 752.24% | ||
| Current Ratio | 3.12 | ||
| Quick Ratio | 3.12 | ||
| Altman-Z | 3.07 |
F-Score7
WACC9.8%
ROIC/WACC0.28
Cap/Depr(3y)12.11%
Cap/Depr(5y)N/A
Cap/Sales(3y)2.69%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)58.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%269.46%
EPS Next Y323.19%
EPS Next 2Y118.44%
EPS Next 3Y76.96%
EPS Next 5YN/A
Revenue 1Y (TTM)19.28%
Revenue growth 3Y17.71%
Revenue growth 5YN/A
Sales Q2Q%14.08%
Revenue Next Year9.25%
Revenue Next 2Y9.34%
Revenue Next 3Y9.93%
Revenue Next 5YN/A
EBIT growth 1Y-12.92%
EBIT growth 3Y27.06%
EBIT growth 5YN/A
EBIT Next Year127.15%
EBIT Next 3Y40.45%
EBIT Next 5YN/A
FCF growth 1Y375.9%
FCF growth 3Y15.76%
FCF growth 5YN/A
OCF growth 1Y229.9%
OCF growth 3Y16.85%
OCF growth 5YN/A