WINMARK CORP (WINA) Stock Fundamental Analysis
NASDAQ:WINA - US9742501029 - Common Stock
479.69 USD
+15.83 (+3.41%)
479.69 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to WINA. WINA was compared to 123 industry peers in the Specialty Retail industry. WINA has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. WINA does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
WINA had positive earnings in the past year.
WINA had a positive operating cash flow in the past year.
In the past 5 years WINA has always been profitable.
WINA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 95.57%, WINA belongs to the top of the industry, outperforming 99.19% of the companies in the same industry.
The Return On Invested Capital of WINA (117.39%) is better than 100.00% of its industry peers.
WINA had an Average Return On Invested Capital over the past 3 years of 208.58%. This is significantly above the industry average of 12.10%.
The last Return On Invested Capital (117.39%) for WINA is well below the 3 year average (208.58%), which needs to be investigated, but indicates that WINA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 95.57% | ||
| ROE | N/A | ||
| ROIC | 117.39% |
ROA(3y)138.96%
ROA(5y)132.06%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)208.58%
ROIC(5y)203.98%
1.3 Margins
WINA's Profit Margin of 49.48% is amongst the best of the industry. WINA outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of WINA has grown nicely.
WINA has a better Operating Margin (65.17%) than 100.00% of its industry peers.
WINA's Operating Margin has improved in the last couple of years.
WINA has a better Gross Margin (96.24%) than 99.19% of its industry peers.
In the last couple of years the Gross Margin of WINA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 65.17% | ||
| PM (TTM) | 49.48% | ||
| GM | 96.24% |
OM growth 3Y-0.25%
OM growth 5Y2.06%
PM growth 3Y-1.24%
PM growth 5Y2.34%
GM growth 3Y-0.16%
GM growth 5Y-0.16%
2. Health
2.1 Basic Checks
WINA has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
WINA has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, WINA has less shares outstanding
The debt/assets ratio for WINA has been reduced compared to a year ago.
2.2 Solvency
WINA has an Altman-Z score of 17.87. This indicates that WINA is financially healthy and has little risk of bankruptcy at the moment.
WINA has a Altman-Z score of 17.87. This is amongst the best in the industry. WINA outperforms 98.37% of its industry peers.
The Debt to FCF ratio of WINA is 1.34, which is an excellent value as it means it would take WINA, only 1.34 years of fcf income to pay off all of its debts.
WINA has a better Debt to FCF ratio (1.34) than 79.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 1.34 | ||
| Altman-Z | 17.87 |
ROIC/WACC12.54
WACC9.36%
2.3 Liquidity
WINA has a Current Ratio of 4.60. This indicates that WINA is financially healthy and has no problem in meeting its short term obligations.
WINA's Current ratio of 4.60 is amongst the best of the industry. WINA outperforms 98.37% of its industry peers.
A Quick Ratio of 4.54 indicates that WINA has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 4.54, WINA belongs to the top of the industry, outperforming 99.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.6 | ||
| Quick Ratio | 4.54 |
3. Growth
3.1 Past
The earnings per share for WINA have decreased strongly by -15.88% in the last year.
WINA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.80% yearly.
Looking at the last year, WINA shows a very negative growth in Revenue. The Revenue has decreased by -18.80% in the last year.
Measured over the past years, WINA shows a small growth in Revenue. The Revenue has been growing by 2.09% on average per year.
EPS 1Y (TTM)-15.88%
EPS 3Y1.3%
EPS 5Y6.8%
EPS Q2Q%1.4%
Revenue 1Y (TTM)-18.8%
Revenue growth 3Y1.3%
Revenue growth 5Y2.09%
Sales Q2Q%1.47%
3.2 Future
The Earnings Per Share is expected to grow by 7.77% on average over the next years.
Based on estimates for the next years, WINA will show a small growth in Revenue. The Revenue will grow by 3.59% on average per year.
EPS Next Y8.18%
EPS Next 2Y7.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.57%
Revenue Next 2Y3.59%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 42.72, which means the current valuation is very expensive for WINA.
WINA's Price/Earnings is on the same level as the industry average.
WINA's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.03.
The Price/Forward Earnings ratio is 37.93, which means the current valuation is very expensive for WINA.
WINA's Price/Forward Earnings ratio is in line with the industry average.
WINA is valuated expensively when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.72 | ||
| Fwd PE | 37.93 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WINA indicates a slightly more expensive valuation: WINA is more expensive than 61.79% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, WINA is valued a bit cheaper than 60.98% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.19 | ||
| EV/EBITDA | 31.18 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WINA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.22
PEG (5Y)6.28
EPS Next 2Y7.77%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.01%, WINA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.41, WINA pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.01, WINA pays less dividend than the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
5.2 History
On average, the dividend of WINA grows each year by 65.94%, which is quite nice.
WINA has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)65.94%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
WINA pays out 95.70% of its income as dividend. This is not a sustainable payout ratio.
The dividend of WINA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP95.7%
EPS Next 2Y7.77%
EPS Next 3YN/A
479.69
+15.83 (+3.41%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners76.76%
Inst Owner Change6.12%
Ins Owners5.58%
Ins Owner Change2.13%
Market Cap1.70B
Analysts82.86
Price Target453.9 (-5.38%)
Short Float %7.4%
Short Ratio2.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
Yearly Dividend11.05
Dividend Growth(5Y)65.94%
DP95.7%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.33%
Min EPS beat(2)-3.03%
Max EPS beat(2)-1.62%
EPS beat(4)0
Avg EPS beat(4)-3.61%
Min EPS beat(4)-5.99%
Max EPS beat(4)-1.62%
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)1
Avg Revenue beat(2)0.66%
Min Revenue beat(2)-1.45%
Max Revenue beat(2)2.78%
Revenue beat(4)1
Avg Revenue beat(4)-2.4%
Min Revenue beat(4)-5.53%
Max Revenue beat(4)2.78%
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%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.67%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.72 | ||
| Fwd PE | 37.93 | ||
| P/S | 20.42 | ||
| P/FCF | 38.19 | ||
| P/OCF | 38.1 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 31.18 |
EPS(TTM)11.23
EY2.34%
EPS(NY)12.65
Fwd EY2.64%
FCF(TTM)12.56
FCFY2.62%
OCF(TTM)12.59
OCFY2.62%
SpS23.49
BVpS-10.38
TBVpS-11.24
PEG (NY)5.22
PEG (5Y)6.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 95.57% | ||
| ROE | N/A | ||
| ROCE | 150.29% | ||
| ROIC | 117.39% | ||
| ROICexc | 573.71% | ||
| ROICexgc | 980.63% | ||
| OM | 65.17% | ||
| PM (TTM) | 49.48% | ||
| GM | 96.24% | ||
| FCFM | 53.46% |
ROA(3y)138.96%
ROA(5y)132.06%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)208.58%
ROIC(5y)203.98%
ROICexc(3y)654.26%
ROICexc(5y)834.68%
ROICexgc(3y)1882.71%
ROICexgc(5y)1685.36%
ROCE(3y)267.03%
ROCE(5y)261.14%
ROICexcg growth 3Y-31.02%
ROICexcg growth 5Y17.18%
ROICexc growth 3Y-34.38%
ROICexc growth 5Y8.99%
OM growth 3Y-0.25%
OM growth 5Y2.06%
PM growth 3Y-1.24%
PM growth 5Y2.34%
GM growth 3Y-0.16%
GM growth 5Y-0.16%
F-Score6
Asset Turnover1.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 1.34 | ||
| Debt/EBITDA | 1.08 | ||
| Cap/Depr | 8.78% | ||
| Cap/Sales | 0.13% | ||
| Interest Coverage | 20.82 | ||
| Cash Conversion | 80.38% | ||
| Profit Quality | 108.06% | ||
| Current Ratio | 4.6 | ||
| Quick Ratio | 4.54 | ||
| Altman-Z | 17.87 |
F-Score6
WACC9.36%
ROIC/WACC12.54
Cap/Depr(3y)25.64%
Cap/Depr(5y)201.74%
Cap/Sales(3y)0.29%
Cap/Sales(5y)1.5%
Profit Quality(3y)108.12%
Profit Quality(5y)115.18%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.88%
EPS 3Y1.3%
EPS 5Y6.8%
EPS Q2Q%1.4%
EPS Next Y8.18%
EPS Next 2Y7.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-18.8%
Revenue growth 3Y1.3%
Revenue growth 5Y2.09%
Sales Q2Q%1.47%
Revenue Next Year3.57%
Revenue Next 2Y3.59%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-16.5%
EBIT growth 3Y1.05%
EBIT growth 5Y4.19%
EBIT Next Year8.07%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y0.48%
FCF growth 3Y-4.43%
FCF growth 5Y0.24%
OCF growth 1Y0.28%
OCF growth 3Y-4.47%
OCF growth 5Y-3.6%