WD-40 CO (WDFC) Stock Fundamental Analysis
USA - NASDAQ:WDFC - US9292361071 - Common Stock
202.51 USD
-4.03 (-1.95%)
202.51 USD
0 (0%)
Taking everything into account, WDFC scores 6 out of 10 in our fundamental rating. WDFC was compared to 12 industry peers in the Household Products industry. WDFC gets an excellent profitability rating and is at the same time showing great financial health properties. WDFC does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
WDFC had positive earnings in the past year.
WDFC had a positive operating cash flow in the past year.
In the past 5 years WDFC has always been profitable.
In the past 5 years WDFC always reported a positive cash flow from operatings.
1.2 Ratios
WDFC's Return On Assets of 18.92% is amongst the best of the industry. WDFC outperforms 100.00% of its industry peers.
WDFC has a Return On Equity of 33.56%. This is in the better half of the industry: WDFC outperforms 66.67% of its industry peers.
WDFC has a Return On Invested Capital of 21.16%. This is in the better half of the industry: WDFC outperforms 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WDFC is significantly above the industry average of 15.54%.
The last Return On Invested Capital (21.16%) for WDFC is above the 3 year average (20.62%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.92% | ||
| ROE | 33.56% | ||
| ROIC | 21.16% |
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
Looking at the Profit Margin, with a value of 14.09%, WDFC belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Profit Margin of WDFC has declined.
The Operating Margin of WDFC (16.30%) is comparable to the rest of the industry.
WDFC's Operating Margin has declined in the last couple of years.
WDFC has a Gross Margin of 54.90%. This is amongst the best in 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 | 16.3% | ||
| PM (TTM) | 14.09% | ||
| GM | 54.9% |
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.
Compared to 1 year ago, WDFC has about the same amount of shares outstanding.
The number of shares outstanding for WDFC has been reduced compared to 5 years ago.
The debt/assets ratio for WDFC has been reduced compared to a year ago.
2.2 Solvency
WDFC has an Altman-Z score of 12.58. This indicates that WDFC is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of WDFC (12.58) is better than 100.00% of its industry peers.
WDFC has a debt to FCF ratio of 1.18. This is a very positive value and a sign of high solvency as it would only need 1.18 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.18, WDFC belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
A Debt/Equity ratio of 0.33 indicates that WDFC is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.33, WDFC belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.18 | ||
| Altman-Z | 12.58 |
ROIC/WACC2.5
WACC8.45%
2.3 Liquidity
A Current Ratio of 2.84 indicates that WDFC has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.84, WDFC belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
A Quick Ratio of 2.02 indicates that WDFC has no problem at all paying its short term obligations.
WDFC has a better Quick ratio (2.02) than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.84 | ||
| Quick Ratio | 2.02 |
3. Growth
3.1 Past
WDFC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.70%, which is quite good.
The Earnings Per Share has been growing slightly by 5.72% on average over the past years.
EPS 1Y (TTM)13.7%
EPS 3Y5.84%
EPS 5Y5.72%
EPS Q2Q%26.83%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%4.79%
3.2 Future
Based on estimates for the next years, WDFC will show a small growth in Earnings Per Share. The EPS will grow by 4.79% on average per year.
WDFC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.31% yearly.
EPS Next Y4.93%
EPS Next 2Y4.79%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.76%
Revenue Next 2Y6.31%
Revenue Next 3YN/A
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 34.86, which means the current valuation is very expensive for WDFC.
91.67% of the companies in the same industry are cheaper than WDFC, based on the Price/Earnings ratio.
WDFC's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.91.
The Price/Forward Earnings ratio is 33.22, which means the current valuation is very expensive for WDFC.
83.33% of the companies in the same industry are cheaper than WDFC, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.92. WDFC is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.86 | ||
| Fwd PE | 33.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WDFC indicates a rather expensive valuation: WDFC more expensive than 91.67% of the companies listed in the same industry.
WDFC's Price/Free Cash Flow ratio is rather expensive when compared to the industry. WDFC is more expensive than 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.76 | ||
| EV/EBITDA | 25.8 |
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 decent profitability rating of WDFC may justify a higher PE ratio.
PEG (NY)7.08
PEG (5Y)6.1
EPS Next 2Y4.79%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.82%, WDFC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.06, WDFC has a dividend in line with its industry peers.
WDFC's Dividend Yield is slightly below the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.82% |
5.2 History
On average, the dividend of WDFC grows each year by 7.13%, which is quite nice.
WDFC has paid a dividend for at least 10 years, which is 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)7.13%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
WDFC pays out 57.33% of its income as dividend. This is a bit on the high side, but may be sustainable.
WDFC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP57.33%
EPS Next 2Y4.79%
EPS Next 3YN/A
202.51
-4.03 (-1.95%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners89.92%
Inst Owner Change-0.01%
Ins Owners0.63%
Ins Owner Change3%
Market Cap2.74B
Revenue(TTM)N/A
Net Income(TTM)86.28M
Analysts82.22
Price Target289.85 (43.13%)
Short Float %4.55%
Short Ratio4.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.82% |
Yearly Dividend3.71
Dividend Growth(5Y)7.13%
DP57.33%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.07%
Min EPS beat(2)1.78%
Max EPS beat(2)6.36%
EPS beat(4)3
Avg EPS beat(4)1.04%
Min EPS beat(4)-10.01%
Max EPS beat(4)6.36%
EPS beat(8)6
Avg EPS beat(8)3.32%
EPS beat(12)8
Avg EPS beat(12)2.75%
EPS beat(16)10
Avg EPS beat(16)0.33%
Revenue beat(2)0
Avg Revenue beat(2)-5.72%
Min Revenue beat(2)-7.24%
Max Revenue beat(2)-4.21%
Revenue beat(4)2
Avg Revenue beat(4)-1.72%
Min Revenue beat(4)-7.24%
Max Revenue beat(4)2.51%
Revenue beat(8)4
Avg Revenue beat(8)-0.44%
Revenue beat(12)6
Avg Revenue beat(12)-1.43%
Revenue beat(16)8
Avg Revenue beat(16)-2.08%
PT rev (1m)0%
PT rev (3m)2.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.96%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.23%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.23%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.86 | ||
| Fwd PE | 33.22 | ||
| P/S | 4.47 | ||
| P/FCF | 33.76 | ||
| P/OCF | 32.16 | ||
| P/B | 10.66 | ||
| P/tB | 17.37 | ||
| EV/EBITDA | 25.8 |
EPS(TTM)5.81
EY2.87%
EPS(NY)6.1
Fwd EY3.01%
FCF(TTM)6
FCFY2.96%
OCF(TTM)6.3
OCFY3.11%
SpS45.27
BVpS19
TBVpS11.66
PEG (NY)7.08
PEG (5Y)6.1
Graham Number49.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.92% | ||
| ROE | 33.56% | ||
| ROCE | 27.56% | ||
| ROIC | 21.16% | ||
| ROICexc | 24.68% | ||
| ROICexgc | 36.28% | ||
| OM | 16.3% | ||
| PM (TTM) | 14.09% | ||
| GM | 54.9% | ||
| FCFM | 13.25% |
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%
ROICexgc growth 3Y-4.87%
ROICexgc 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 Turnover1.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.18 | ||
| Debt/EBITDA | 0.78 | ||
| Cap/Depr | 39.43% | ||
| Cap/Sales | 0.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.43% | ||
| Profit Quality | 94.08% | ||
| Current Ratio | 2.84 | ||
| Quick Ratio | 2.02 | ||
| Altman-Z | 12.58 |
F-Score8
WACC8.45%
ROIC/WACC2.5
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)13.7%
EPS 3Y5.84%
EPS 5Y5.72%
EPS Q2Q%26.83%
EPS Next Y4.93%
EPS Next 2Y4.79%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%4.79%
Revenue Next Year5.76%
Revenue Next 2Y6.31%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y4.52%
EBIT growth 3Y2.76%
EBIT growth 5Y3.18%
EBIT Next Year13.92%
EBIT Next 3Y6.84%
EBIT Next 5YN/A
FCF growth 1Y81.58%
FCF growth 3Y8.04%
FCF growth 5Y12.12%
OCF growth 1Y68.59%
OCF growth 3Y2.8%
OCF growth 5Y7.93%
WD-40 CO / WDFC FAQ
What is the fundamental rating for WDFC stock?
ChartMill assigns a fundamental rating of 6 / 10 to WDFC.
Can you provide the valuation status for WD-40 CO?
ChartMill assigns a valuation rating of 1 / 10 to WD-40 CO (WDFC). This can be considered as Overvalued.
How profitable is WD-40 CO (WDFC) stock?
WD-40 CO (WDFC) has a profitability rating of 7 / 10.
What is the valuation of WD-40 CO based on its PE and PB ratios?
The Price/Earnings (PE) ratio for WD-40 CO (WDFC) is 34.86 and the Price/Book (PB) ratio is 10.66.
What is the financial health of WD-40 CO (WDFC) stock?
The financial health rating of WD-40 CO (WDFC) is 9 / 10.