WEIBO CORP-SPON ADR (WB) Stock Fundamental Analysis
USA - NASDAQ:WB - US9485961018 - ADR
9.94 USD
-0.01 (-0.1%)
9.8809 USD
-0.06 (-0.59%)
We assign a fundamental rating of 5 out of 10 to WB. WB was compared to 70 industry peers in the Interactive Media & Services industry. WB has an excellent profitability rating, but there are concerns on its financial health. WB has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
WB had positive earnings in the past year.
In the past 5 years WB has always been profitable.
Each year in the past 5 years WB had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 5.38%, WB is doing good in the industry, outperforming 75.71% of the companies in the same industry.
With an excellent Return On Equity value of 10.44%, WB belongs to the best of the industry, outperforming 81.43% of the companies in the same industry.
WB's Return On Invested Capital of 6.69% is fine compared to the rest of the industry. WB outperforms 77.14% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WB is significantly below the industry average of 13.26%.
The 3 year average ROIC (6.24%) for WB is below the current ROIC(6.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.38% | ||
| ROE | 10.44% | ||
| ROIC | 6.69% |
ROA(3y)3.51%
ROA(5y)4.23%
ROE(3y)7.1%
ROE(5y)8.87%
ROIC(3y)6.24%
ROIC(5y)6.99%
1.3 Margins
WB has a better Profit Margin (20.41%) than 85.71% of its industry peers.
In the last couple of years the Profit Margin of WB has declined.
Looking at the Operating Margin, with a value of 28.77%, WB belongs to the top of the industry, outperforming 94.29% of the companies in the same industry.
WB's Operating Margin has declined in the last couple of years.
WB has a better Gross Margin (78.83%) than 74.29% of its industry peers.
WB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.77% | ||
| PM (TTM) | 20.41% | ||
| GM | 78.83% |
OM growth 3Y-3.03%
OM growth 5Y-3.59%
PM growth 3Y-3.33%
PM growth 5Y-9.34%
GM growth 3Y-1.3%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WB is destroying value.
WB has more shares outstanding than it did 1 year ago.
The number of shares outstanding for WB has been increased compared to 5 years ago.
The debt/assets ratio for WB has been reduced compared to a year ago.
2.2 Solvency
A Debt/Equity ratio of 0.54 indicates that WB is somewhat dependend on debt financing.
WB's Debt to Equity ratio of 0.54 is on the low side compared to the rest of the industry. WB is outperformed by 68.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.8
WACC8.36%
2.3 Liquidity
WB has a Current Ratio of 2.72. This indicates that WB is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.72, WB is doing good in the industry, outperforming 68.57% of the companies in the same industry.
WB has a Quick Ratio of 2.72. This indicates that WB is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 2.72, WB is doing good in the industry, outperforming 68.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.72 | ||
| Quick Ratio | 2.72 |
3. Growth
3.1 Past
WB shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.35%, which is quite good.
WB shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.53% yearly.
Looking at the last year, WB shows a decrease in Revenue. The Revenue has decreased by -0.29% in the last year.
Measured over the past years, WB shows a decrease in Revenue. The Revenue has been decreasing by -0.14% on average per year.
EPS 1Y (TTM)9.35%
EPS 3Y-15.31%
EPS 5Y1.53%
EPS Q2Q%-20.75%
Revenue 1Y (TTM)-0.29%
Revenue growth 3Y-8.05%
Revenue growth 5Y-0.14%
Sales Q2Q%-4.77%
3.2 Future
Based on estimates for the next years, WB will show a decrease in Earnings Per Share. The EPS will decrease by -7.85% on average per year.
Based on estimates for the next years, WB will show a small growth in Revenue. The Revenue will grow by 1.97% on average per year.
EPS Next Y-33.86%
EPS Next 2Y-19.08%
EPS Next 3Y-7.38%
EPS Next 5Y-7.85%
Revenue Next Year-0.73%
Revenue Next 2Y0.7%
Revenue Next 3Y1.38%
Revenue Next 5Y1.97%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
WB is valuated cheaply with a Price/Earnings ratio of 3.91.
Based on the Price/Earnings ratio, WB is valued cheaply inside the industry as 92.86% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.51, WB is valued rather cheaply.
A Price/Forward Earnings ratio of 5.06 indicates a rather cheap valuation of WB.
Based on the Price/Forward Earnings ratio, WB is valued cheaply inside the industry as 94.29% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.98, WB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.91 | ||
| Fwd PE | 5.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WB is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.63 |
4.3 Compensation for Growth
The decent profitability rating of WB may justify a higher PE ratio.
A cheap valuation may be justified as WB's earnings are expected to decrease with -7.38% in the coming years.
PEG (NY)N/A
PEG (5Y)2.56
EPS Next 2Y-19.08%
EPS Next 3Y-7.38%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.95%, WB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.80, WB pays a better dividend. On top of this WB pays more dividend than 100.00% of the companies listed in the same industry.
WB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.95% |
5.2 History
WB has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
DPN/A
EPS Next 2Y-19.08%
EPS Next 3Y-7.38%
9.94
-0.01 (-0.1%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners3.85%
Inst Owner Change-4.91%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.43B
Revenue(TTM)1.75B
Net Income(TTM)358.36M
Analysts70.59
Price Target10.63 (6.94%)
Short Float %17.06%
Short Ratio12.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.95% |
Yearly Dividend0.8
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)-0.91%
PT rev (3m)7.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)1.05%
EPS NY rev (3m)-1.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.51%
Revenue NY rev (3m)-1.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.91 | ||
| Fwd PE | 5.06 | ||
| P/S | 1.39 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.71 | ||
| P/tB | 0.77 | ||
| EV/EBITDA | 7.63 |
EPS(TTM)2.54
EY25.55%
EPS(NY)1.96
Fwd EY19.75%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS7.17
BVpS14.02
TBVpS12.92
PEG (NY)N/A
PEG (5Y)2.56
Graham Number28.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.38% | ||
| ROE | 10.44% | ||
| ROCE | 9.24% | ||
| ROIC | 6.69% | ||
| ROICexc | 6.69% | ||
| ROICexgc | 7.04% | ||
| OM | 28.77% | ||
| PM (TTM) | 20.41% | ||
| GM | 78.83% | ||
| FCFM | N/A |
ROA(3y)3.51%
ROA(5y)4.23%
ROE(3y)7.1%
ROE(5y)8.87%
ROIC(3y)6.24%
ROIC(5y)6.99%
ROICexc(3y)13.13%
ROICexc(5y)16.32%
ROICexgc(3y)14.68%
ROICexgc(5y)18.44%
ROCE(3y)8.62%
ROCE(5y)9.66%
ROICexgc growth 3Y-22.3%
ROICexgc growth 5Y-15.11%
ROICexc growth 3Y-20.89%
ROICexc growth 5Y-16.12%
OM growth 3Y-3.03%
OM growth 5Y-3.59%
PM growth 3Y-3.33%
PM growth 5Y-9.34%
GM growth 3Y-1.3%
GM growth 5Y-0.61%
F-ScoreN/A
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.31 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.72 | ||
| Quick Ratio | 2.72 | ||
| Altman-Z | N/A |
F-ScoreN/A
WACC8.36%
ROIC/WACC0.8
Cap/Depr(3y)82.48%
Cap/Depr(5y)83.94%
Cap/Sales(3y)2.65%
Cap/Sales(5y)2.31%
Profit Quality(3y)328.96%
Profit Quality(5y)278.86%
High Growth Momentum
Growth
EPS 1Y (TTM)9.35%
EPS 3Y-15.31%
EPS 5Y1.53%
EPS Q2Q%-20.75%
EPS Next Y-33.86%
EPS Next 2Y-19.08%
EPS Next 3Y-7.38%
EPS Next 5Y-7.85%
Revenue 1Y (TTM)-0.29%
Revenue growth 3Y-8.05%
Revenue growth 5Y-0.14%
Sales Q2Q%-4.77%
Revenue Next Year-0.73%
Revenue Next 2Y0.7%
Revenue Next 3Y1.38%
Revenue Next 5Y1.97%
EBIT growth 1Y6.1%
EBIT growth 3Y-10.84%
EBIT growth 5Y-3.72%
EBIT Next Year14.43%
EBIT Next 3Y7.75%
EBIT Next 5Y5.41%
FCF growth 1Y-9.06%
FCF growth 3Y-9.44%
FCF growth 5Y-1.05%
OCF growth 1Y-4.89%
OCF growth 3Y-7.71%
OCF growth 5Y0.26%
WEIBO CORP-SPON ADR / WB FAQ
What is the ChartMill fundamental rating of WEIBO CORP-SPON ADR (WB) stock?
ChartMill assigns a fundamental rating of 5 / 10 to WB.
Can you provide the valuation status for WEIBO CORP-SPON ADR?
ChartMill assigns a valuation rating of 6 / 10 to WEIBO CORP-SPON ADR (WB). This can be considered as Fairly Valued.
How profitable is WEIBO CORP-SPON ADR (WB) stock?
WEIBO CORP-SPON ADR (WB) has a profitability rating of 7 / 10.
How financially healthy is WEIBO CORP-SPON ADR?
The financial health rating of WEIBO CORP-SPON ADR (WB) is 3 / 10.