WD-40 CO (WDFC) Stock Fundamental Analysis
NASDAQ:WDFC - US9292361071 - Common Stock
218.08 USD
+1.42 (+0.66%)
218.08 USD
0 (0%)
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.
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.
WDFC had positive earnings in each of the past 5 years.
WDFC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 18.92%, WDFC belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
WDFC has a better Return On Equity (33.56%) than 66.67% of its industry peers.
With a decent Return On Invested Capital value of 21.16%, WDFC is doing good in the industry, outperforming 75.00% of the companies in the same industry.
WDFC had an Average Return On Invested Capital over the past 3 years of 20.62%. This is significantly above the industry average of 15.56%.
The 3 year average ROIC (20.62%) for WDFC is below the current ROIC(21.16%), indicating increased profibility in the last year.
| 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
With an excellent Profit Margin value of 14.09%, WDFC belongs to the best 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.
With a Operating Margin value of 16.30%, WDFC perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
In the last couple of years the Operating Margin of WDFC has declined.
Looking at the Gross Margin, with a value of 54.90%, WDFC belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
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 less shares outstanding
WDFC has less shares outstanding than it did 5 years ago.
WDFC has a better debt/assets ratio than last year.
2.2 Solvency
WDFC has an Altman-Z score of 13.06. This indicates that WDFC is financially healthy and has little risk of bankruptcy at the moment.
WDFC has a better Altman-Z score (13.06) than 100.00% of its industry peers.
The Debt to FCF ratio of WDFC is 1.18, which is an excellent value as it means it would take WDFC, only 1.18 years of fcf income to pay off 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.
WDFC has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
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 | 13.06 |
ROIC/WACC2.48
WACC8.54%
2.3 Liquidity
A Current Ratio of 2.84 indicates that WDFC has no problem at all paying its short term obligations.
WDFC's Current ratio of 2.84 is amongst the best of the industry. WDFC outperforms 83.33% of its industry peers.
A Quick Ratio of 2.02 indicates that WDFC has no problem at all paying its short term obligations.
WDFC's Quick ratio of 2.02 is amongst the best of the industry. WDFC outperforms 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 small growth in Earnings Per Share. In the last year, the EPS has grown by 7.66%.
Measured over the past 5 years, WDFC shows a small growth in Earnings Per Share. The EPS has been growing by 1.90% on average per year.
WDFC shows a small growth in Revenue. In the last year, the Revenue has grown by 6.51%.
Measured over the past years, WDFC shows a small growth in Revenue. The Revenue has been growing by 6.88% on average per year.
EPS 1Y (TTM)7.66%
EPS 3Y0.13%
EPS 5Y1.9%
EPS Q2Q%5.48%
Revenue 1Y (TTM)6.51%
Revenue growth 3Y6.56%
Revenue growth 5Y6.88%
Sales Q2Q%1.21%
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 7.68% on average per year.
Based on estimates for the next years, WDFC will show a small growth in Revenue. The Revenue will grow by 5.98% on average per year.
EPS Next Y10.41%
EPS Next 2Y9.22%
EPS Next 3Y7.68%
EPS Next 5YN/A
Revenue Next Year5.33%
Revenue Next 2Y5.55%
Revenue Next 3Y5.98%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 39.80, 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.
Compared to an average S&P500 Price/Earnings ratio of 27.06, WDFC is valued a bit more expensive.
WDFC is valuated quite expensively with a Price/Forward Earnings ratio of 35.77.
Based on the Price/Forward Earnings ratio, WDFC is valued more expensive than 83.33% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.69. WDFC is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.8 | ||
| Fwd PE | 35.77 |
4.2 Price Multiples
WDFC's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. WDFC is more expensive than 91.67% of the companies in the same industry.
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 | 36.35 | ||
| EV/EBITDA | 27.22 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WDFC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.82
PEG (5Y)20.89
EPS Next 2Y9.22%
EPS Next 3Y7.68%
5. Dividend
5.1 Amount
WDFC has a Yearly Dividend Yield of 1.74%.
Compared to an average industry Dividend Yield of 2.86, WDFC has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.45, WDFC is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
5.2 History
The dividend of WDFC is nicely growing with an annual growth rate of 7.85%!
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
57.33% of the earnings are spent on dividend by WDFC. This is a bit on the high side, but may be sustainable.
The dividend of WDFC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP57.33%
EPS Next 2Y9.22%
EPS Next 3Y7.68%
218.08
+1.42 (+0.66%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners90.34%
Inst Owner Change0.73%
Ins Owners0.63%
Ins Owner Change0.04%
Market Cap2.95B
Analysts82.22
Price Target289.85 (32.91%)
Short Float %5.02%
Short Ratio4.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
Yearly Dividend3.48
Dividend Growth(5Y)7.85%
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)2.4%
PT rev (3m)-4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.61%
EPS NY rev (1m)-0.23%
EPS NY rev (3m)-0.23%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.23%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)-2.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.8 | ||
| Fwd PE | 35.77 | ||
| P/S | 4.82 | ||
| P/FCF | 36.35 | ||
| P/OCF | 34.64 | ||
| P/B | 11.48 | ||
| P/tB | 18.7 | ||
| EV/EBITDA | 27.22 |
EPS(TTM)5.48
EY2.51%
EPS(NY)6.1
Fwd EY2.8%
FCF(TTM)6
FCFY2.75%
OCF(TTM)6.3
OCFY2.89%
SpS45.27
BVpS19
TBVpS11.66
PEG (NY)3.82
PEG (5Y)20.89
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%
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 Turnover1.34
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 | 13.06 |
F-Score8
WACC8.54%
ROIC/WACC2.48
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)7.66%
EPS 3Y0.13%
EPS 5Y1.9%
EPS Q2Q%5.48%
EPS Next Y10.41%
EPS Next 2Y9.22%
EPS Next 3Y7.68%
EPS Next 5YN/A
Revenue 1Y (TTM)6.51%
Revenue growth 3Y6.56%
Revenue growth 5Y6.88%
Sales Q2Q%1.21%
Revenue Next Year5.33%
Revenue Next 2Y5.55%
Revenue Next 3Y5.98%
Revenue Next 5YN/A
EBIT growth 1Y4.52%
EBIT growth 3Y2.76%
EBIT growth 5Y3.18%
EBIT Next Year15.6%
EBIT Next 3Y8.31%
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%