WD-40 CO (WDFC) Stock Fundamental Analysis
NASDAQ:WDFC - Nasdaq - US9292361071 - Common Stock - Currency: USD
Overall WDFC gets a fundamental rating of 6 out of 10. We evaluated WDFC against 12 industry peers in the Household Products industry. Both the health and profitability get an excellent rating, making WDFC a very profitable company, without any liquidiy or solvency issues. WDFC is valied quite expensively at the moment, while it does show a decent growth rate. With these ratings, WDFC could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
In the past year WDFC was profitable.
In the past year WDFC had a positive cash flow from operations.
In the past 5 years WDFC has always been profitable.
WDFC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
WDFC has a Return On Assets of 18.58%. This is amongst the best in the industry. WDFC outperforms 100.00% of its industry peers.
WDFC's Return On Equity of 35.16% is fine compared to the rest of the industry. WDFC outperforms 75.00% of its industry peers.
WDFC has a better Return On Invested Capital (22.19%) than 83.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WDFC is significantly above the industry average of 15.43%.
The 3 year average ROIC (20.62%) for WDFC is below the current ROIC(22.19%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.58% | ||
| ROE | 35.16% | ||
| ROIC | 22.19% |
ROA(3y)15.3%
ROA(5y)15.77%
ROE(3y)32.31%
ROE(5y)33.91%
ROIC(3y)20.62%
ROIC(5y)20.25%
1.3 Margins
WDFC's Profit Margin of 13.94% is amongst the best of the industry. WDFC outperforms 83.33% of its industry peers.
In the last couple of years the Profit Margin of WDFC has declined.
The Operating Margin of WDFC (16.32%) is better than 66.67% of its industry peers.
WDFC's Operating Margin has declined in the last couple of years.
WDFC's Gross Margin of 54.13% is amongst the best of the industry. WDFC outperforms 91.67% of its industry peers.
WDFC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.32% | ||
| PM (TTM) | 13.94% | ||
| GM | 54.13% |
OM growth 3Y-3.57%
OM growth 5Y-3.47%
PM growth 3Y-6.42%
PM growth 5Y-2.2%
GM growth 3Y-0.4%
GM growth 5Y-0.55%
2. Health
2.1 Basic Checks
WDFC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for WDFC has been reduced compared to 1 year ago.
WDFC has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, WDFC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 12.89 indicates that WDFC is not in any danger for bankruptcy at the moment.
The Altman-Z score of WDFC (12.89) is better than 100.00% of its industry peers.
WDFC has a debt to FCF ratio of 1.75. This is a very positive value and a sign of high solvency as it would only need 1.75 years to pay back of all of its debts.
The Debt to FCF ratio of WDFC (1.75) is better than 91.67% of its industry peers.
A Debt/Equity ratio of 0.35 indicates that WDFC is not too dependend on debt financing.
The Debt to Equity ratio of WDFC (0.35) is better than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 1.75 | ||
| Altman-Z | 12.89 |
ROIC/WACC2.55
WACC8.71%
2.3 Liquidity
WDFC has a Current Ratio of 2.40. This indicates that WDFC is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.40, WDFC is doing good in the industry, outperforming 75.00% of the companies in the same industry.
WDFC has a Quick Ratio of 1.69. This is a normal value and indicates that WDFC is financially healthy and should not expect problems in meeting its short term obligations.
WDFC has a Quick ratio of 1.69. This is in the better half of the industry: WDFC outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.4 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.15% over the past year.
WDFC shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.90% yearly.
Looking at the last year, WDFC shows a quite strong growth in Revenue. The Revenue has grown by 8.71% in the last year.
WDFC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.88% yearly.
EPS 1Y (TTM)25.15%
EPS 3Y0.13%
EPS 5Y1.9%
EPS Q2Q%92.11%
Revenue 1Y (TTM)8.71%
Revenue growth 3Y6.56%
Revenue growth 5Y6.88%
Sales Q2Q%5.03%
3.2 Future
Based on estimates for the next years, WDFC will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.62% on average per year.
The Revenue is expected to grow by 6.57% on average over the next years.
EPS Next Y8.23%
EPS Next 2Y9.12%
EPS Next 3Y9.62%
EPS Next 5YN/A
Revenue Next Year7.5%
Revenue Next 2Y6.09%
Revenue Next 3Y6.57%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 37.33, the valuation of WDFC can be described as expensive.
Based on the Price/Earnings ratio, WDFC is valued expensively inside the industry as 91.67% of the companies are valued cheaper.
WDFC's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.12.
A Price/Forward Earnings ratio of 38.47 indicates a quite expensive valuation of WDFC.
83.33% of the companies in the same industry are cheaper than WDFC, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of WDFC to the average of the S&P500 Index (20.42), we can say WDFC is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.33 | ||
| Fwd PE | 38.47 |
4.2 Price Multiples
91.67% of the companies in the same industry are cheaper than WDFC, based on the Enterprise Value to EBITDA ratio.
91.67% of the companies in the same industry are cheaper than WDFC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.15 | ||
| EV/EBITDA | 29.41 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WDFC does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of WDFC may justify a higher PE ratio.
PEG (NY)4.54
PEG (5Y)19.6
EPS Next 2Y9.12%
EPS Next 3Y9.62%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.65%, WDFC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.88, WDFC has a dividend in line with its industry peers.
WDFC's Dividend Yield is slightly below the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
5.2 History
On average, the dividend of WDFC grows each year by 7.85%, which is quite nice.
WDFC has been paying a dividend for at least 10 years, so it has a reliable track record.
WDFC has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)7.85%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
WDFC pays out 57.17% of its income as dividend. This is a bit on the high side, but may be sustainable.
WDFC's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP57.17%
EPS Next 2Y9.12%
EPS Next 3Y9.62%
NASDAQ:WDFC (5/9/2025, 3:33:20 PM)
234.09
-0.56 (-0.24%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners91.24%
Inst Owner Change1.37%
Ins Owners0.63%
Ins Owner Change0.58%
Market Cap3.17B
Analysts80
Price Target301.92 (28.98%)
Short Float %6.72%
Short Ratio6.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
Yearly Dividend3.48
Dividend Growth(5Y)7.85%
DP57.17%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)37.43%
Min EPS beat(2)6.01%
Max EPS beat(2)68.86%
EPS beat(4)3
Avg EPS beat(4)17.05%
Min EPS beat(4)-10.01%
Max EPS beat(4)68.86%
EPS beat(8)6
Avg EPS beat(8)12.25%
EPS beat(12)7
Avg EPS beat(12)6.35%
EPS beat(16)10
Avg EPS beat(16)5.97%
Revenue beat(2)1
Avg Revenue beat(2)-2.59%
Min Revenue beat(2)-7.24%
Max Revenue beat(2)2.06%
Revenue beat(4)3
Avg Revenue beat(4)0.4%
Min Revenue beat(4)-7.24%
Max Revenue beat(4)4.25%
Revenue beat(8)5
Avg Revenue beat(8)0.14%
Revenue beat(12)6
Avg Revenue beat(12)-2.33%
Revenue beat(16)9
Avg Revenue beat(16)-0.36%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.33 | ||
| Fwd PE | 38.47 | ||
| P/S | 5.19 | ||
| P/FCF | 48.15 | ||
| P/OCF | 45.28 | ||
| P/B | 13.1 | ||
| P/tB | 22.14 | ||
| EV/EBITDA | 29.41 |
EPS(TTM)6.27
EY2.68%
EPS(NY)6.08
Fwd EY2.6%
FCF(TTM)4.86
FCFY2.08%
OCF(TTM)5.17
OCFY2.21%
SpS45.07
BVpS17.87
TBVpS10.58
PEG (NY)4.54
PEG (5Y)19.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.58% | ||
| ROE | 35.16% | ||
| ROCE | 28.9% | ||
| ROIC | 22.19% | ||
| ROICexc | 26.22% | ||
| ROICexgc | 39.65% | ||
| OM | 16.32% | ||
| PM (TTM) | 13.94% | ||
| GM | 54.13% | ||
| FCFM | 10.79% |
ROA(3y)15.3%
ROA(5y)15.77%
ROE(3y)32.31%
ROE(5y)33.91%
ROIC(3y)20.62%
ROIC(5y)20.25%
ROICexc(3y)23.7%
ROICexc(5y)24.32%
ROICexgc(3y)36.12%
ROICexgc(5y)38.82%
ROCE(3y)26.85%
ROCE(5y)26.37%
ROICexcg growth 3Y-4.87%
ROICexcg growth 5Y-10.65%
ROICexc growth 3Y-2.12%
ROICexc growth 5Y-4.66%
OM growth 3Y-3.57%
OM growth 5Y-3.47%
PM growth 3Y-6.42%
PM growth 5Y-2.2%
GM growth 3Y-0.4%
GM growth 5Y-0.55%
F-Score8
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 1.75 | ||
| Debt/EBITDA | 0.77 | ||
| Cap/Depr | 39.43% | ||
| Cap/Sales | 0.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.56% | ||
| Profit Quality | 77.39% | ||
| Current Ratio | 2.4 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | 12.89 |
F-Score8
WACC8.71%
ROIC/WACC2.55
Cap/Depr(3y)74.6%
Cap/Depr(5y)137.82%
Cap/Sales(3y)1.2%
Cap/Sales(5y)2.28%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25.15%
EPS 3Y0.13%
EPS 5Y1.9%
EPS Q2Q%92.11%
EPS Next Y8.23%
EPS Next 2Y9.12%
EPS Next 3Y9.62%
EPS Next 5YN/A
Revenue 1Y (TTM)8.71%
Revenue growth 3Y6.56%
Revenue growth 5Y6.88%
Sales Q2Q%5.03%
Revenue Next Year7.5%
Revenue Next 2Y6.09%
Revenue Next 3Y6.57%
Revenue Next 5YN/A
EBIT growth 1Y5.96%
EBIT growth 3Y2.76%
EBIT growth 5Y3.18%
EBIT Next Year15.65%
EBIT Next 3Y11.17%
EBIT Next 5YN/A
FCF growth 1Y474.86%
FCF growth 3Y8.04%
FCF growth 5Y12.12%
OCF growth 1Y259.78%
OCF growth 3Y2.8%
OCF growth 5Y7.93%