WIIT SPA (WIIT.MI) Stock Fundamental Analysis
BIT:WIIT - Euronext Milan - IT0005440893 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to WIIT. WIIT was compared to 74 industry peers in the IT Services industry. While WIIT is still in line with the averages on profitability rating, there are concerns on its financial health. WIIT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WIIT was profitable.
WIIT had a positive operating cash flow in the past year.
Of the past 5 years WIIT 4 years were profitable.
Each year in the past 5 years WIIT had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 4.88%, WIIT is doing good in the industry, outperforming 62.16% of the companies in the same industry.
Looking at the Return On Equity, with a value of 44.39%, WIIT belongs to the top of the industry, outperforming 94.59% of the companies in the same industry.
WIIT's Return On Invested Capital of 9.39% is fine compared to the rest of the industry. WIIT outperforms 60.81% of its industry peers.
WIIT had an Average Return On Invested Capital over the past 3 years of 5.22%. This is significantly below the industry average of 11.05%.
The last Return On Invested Capital (9.39%) for WIIT is above the 3 year average (5.22%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.88% | ||
| ROE | 44.39% | ||
| ROIC | 9.39% |
ROA(3y)2.7%
ROA(5y)1.76%
ROE(3y)24.1%
ROE(5y)16.26%
ROIC(3y)5.22%
ROIC(5y)4.01%
1.3 Margins
WIIT has a better Profit Margin (6.84%) than 79.73% of its industry peers.
WIIT's Profit Margin has declined in the last couple of years.
WIIT's Operating Margin of 14.64% is amongst the best of the industry. WIIT outperforms 91.89% of its industry peers.
In the last couple of years the Operating Margin of WIIT has declined.
Looking at the Gross Margin, with a value of 67.88%, WIIT is in line with its industry, outperforming 58.11% of the companies in the same industry.
In the last couple of years the Gross Margin of WIIT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.64% | ||
| PM (TTM) | 6.84% | ||
| GM | 67.88% |
OM growth 3Y27.14%
OM growth 5Y-2.4%
PM growth 3YN/A
PM growth 5Y-16.64%
GM growth 3Y4.45%
GM growth 5Y2.19%
2. Health
2.1 Basic Checks
WIIT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, WIIT has less shares outstanding
The number of shares outstanding for WIIT has been increased compared to 5 years ago.
The debt/assets ratio for WIIT has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.94 indicates that WIIT is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of WIIT (1.94) is worse than 64.86% of its industry peers.
WIIT has a debt to FCF ratio of 6.64. This is a slightly negative value and a sign of low solvency as WIIT would need 6.64 years to pay back of all of its debts.
WIIT has a worse Debt to FCF ratio (6.64) than 66.22% of its industry peers.
WIIT has a Debt/Equity ratio of 5.84. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 5.84, WIIT is doing worse than 89.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.84 | ||
| Debt/FCF | 6.64 | ||
| Altman-Z | 1.94 |
ROIC/WACC1.38
WACC6.81%
2.3 Liquidity
WIIT has a Current Ratio of 0.78. This is a bad value and indicates that WIIT is not financially healthy enough and could expect problems in meeting its short term obligations.
WIIT has a Current ratio of 0.78. This is amonst the worse of the industry: WIIT underperforms 83.78% of its industry peers.
WIIT has a Quick Ratio of 0.78. This is a bad value and indicates that WIIT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of WIIT (0.78) is worse than 83.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
WIIT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.60%, which is quite good.
The Earnings Per Share has been growing by 12.68% on average over the past years. This is quite good.
The Revenue has grown by 21.57% in the past year. This is a very strong growth!
WIIT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 35.67% yearly.
EPS 1Y (TTM)13.6%
EPS 3YN/A
EPS 5Y12.68%
EPS Q2Q%3.67%
Revenue 1Y (TTM)21.57%
Revenue growth 3Y26.61%
Revenue growth 5Y35.67%
Sales Q2Q%22.33%
3.2 Future
WIIT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.67% yearly.
WIIT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.77% yearly.
EPS Next Y1.42%
EPS Next 2Y13.6%
EPS Next 3Y14.29%
EPS Next 5Y10.67%
Revenue Next Year9.27%
Revenue Next 2Y7.57%
Revenue Next 3Y7.02%
Revenue Next 5Y5.77%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 24.61, WIIT is valued on the expensive side.
WIIT's Price/Earnings ratio is in line with the industry average.
WIIT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.35.
WIIT is valuated rather expensively with a Price/Forward Earnings ratio of 19.14.
WIIT's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of WIIT to the average of the S&P500 Index (22.19), we can say WIIT is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.61 | ||
| Fwd PE | 19.14 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as WIIT.
The rest of the industry has a similar Price/Free Cash Flow ratio as WIIT.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.16 | ||
| EV/EBITDA | 8.58 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WIIT has a very decent profitability rating, which may justify a higher PE ratio.
WIIT's earnings are expected to grow with 14.29% in the coming years. This may justify a more expensive valuation.
PEG (NY)17.34
PEG (5Y)1.94
EPS Next 2Y13.6%
EPS Next 3Y14.29%
5. Dividend
5.1 Amount
WIIT has a Yearly Dividend Yield of 1.90%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.79, WIIT has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.40, WIIT is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
5.2 History
On average, the dividend of WIIT grows each year by 26.91%, which is quite nice.
Dividend Growth(5Y)26.91%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
48.55% of the earnings are spent on dividend by WIIT. This is a bit on the high side, but may be sustainable.
WIIT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP48.55%
EPS Next 2Y13.6%
EPS Next 3Y14.29%
BIT:WIIT (6/20/2025, 7:00:00 PM)
15.26
+0.32 (+2.14%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners9.31%
Inst Owner ChangeN/A
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap427.59M
Analysts83.64
Price Target24.09 (57.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
Yearly Dividend0.3
Dividend Growth(5Y)26.91%
DP48.55%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)-0.84%
PT rev (3m)-4.66%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-25.44%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.61 | ||
| Fwd PE | 19.14 | ||
| P/S | 1.81 | ||
| P/FCF | 12.16 | ||
| P/OCF | 10.27 | ||
| P/B | 11.77 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.58 |
EPS(TTM)0.62
EY4.06%
EPS(NY)0.8
Fwd EY5.23%
FCF(TTM)1.25
FCFY8.22%
OCF(TTM)1.49
OCFY9.74%
SpS8.42
BVpS1.3
TBVpS-5.3
PEG (NY)17.34
PEG (5Y)1.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.88% | ||
| ROE | 44.39% | ||
| ROCE | 13.79% | ||
| ROIC | 9.39% | ||
| ROICexc | 10.13% | ||
| ROICexgc | 40.68% | ||
| OM | 14.64% | ||
| PM (TTM) | 6.84% | ||
| GM | 67.88% | ||
| FCFM | 14.91% |
ROA(3y)2.7%
ROA(5y)1.76%
ROE(3y)24.1%
ROE(5y)16.26%
ROIC(3y)5.22%
ROIC(5y)4.01%
ROICexc(3y)5.8%
ROICexc(5y)4.54%
ROICexgc(3y)23.93%
ROICexgc(5y)19.83%
ROCE(3y)7.55%
ROCE(5y)5.77%
ROICexcg growth 3Y34.16%
ROICexcg growth 5Y2.01%
ROICexc growth 3Y47.89%
ROICexc growth 5Y-4.74%
OM growth 3Y27.14%
OM growth 5Y-2.4%
PM growth 3YN/A
PM growth 5Y-16.64%
GM growth 3Y4.45%
GM growth 5Y2.19%
F-Score8
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.84 | ||
| Debt/FCF | 6.64 | ||
| Debt/EBITDA | 2.95 | ||
| Cap/Depr | 17.44% | ||
| Cap/Sales | 2.75% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 58.04% | ||
| Profit Quality | 218.07% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 1.94 |
F-Score8
WACC6.81%
ROIC/WACC1.38
Cap/Depr(3y)42.11%
Cap/Depr(5y)39.29%
Cap/Sales(3y)8.83%
Cap/Sales(5y)8.51%
Profit Quality(3y)256.88%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.6%
EPS 3YN/A
EPS 5Y12.68%
EPS Q2Q%3.67%
EPS Next Y1.42%
EPS Next 2Y13.6%
EPS Next 3Y14.29%
EPS Next 5Y10.67%
Revenue 1Y (TTM)21.57%
Revenue growth 3Y26.61%
Revenue growth 5Y35.67%
Sales Q2Q%22.33%
Revenue Next Year9.27%
Revenue Next 2Y7.57%
Revenue Next 3Y7.02%
Revenue Next 5Y5.77%
EBIT growth 1Y11.42%
EBIT growth 3Y60.98%
EBIT growth 5Y32.41%
EBIT Next Year124.98%
EBIT Next 3Y38.34%
EBIT Next 5Y23.1%
FCF growth 1Y440.66%
FCF growth 3Y23.95%
FCF growth 5Y37.89%
OCF growth 1Y110.59%
OCF growth 3Y16.84%
OCF growth 5Y30.53%