WINGSTOP INC (WING) Stock Fundamental Analysis
NASDAQ:WING - US9741551033 - Common Stock
309.79 USD
+0.97 (+0.31%)
309.79 USD
0 (0%)
WING gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 134 industry peers in the Hotels, Restaurants & Leisure industry. WING gets an excellent profitability rating and is at the same time showing great financial health properties. WING shows excellent growth, but is valued quite expensive already. These ratings could make WING a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year WING was profitable.
In the past year WING had a positive cash flow from operations.
WING had positive earnings in each of the past 5 years.
In the past 5 years WING always reported a positive cash flow from operatings.
1.2 Ratios
WING has a Return On Assets of 24.22%. This is amongst the best in the industry. WING outperforms 97.76% of its industry peers.
WING's Return On Invested Capital of 20.28% is amongst the best of the industry. WING outperforms 92.54% of its industry peers.
WING had an Average Return On Invested Capital over the past 3 years of 22.46%. This is significantly above the industry average of 16.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 24.22% | ||
| ROE | N/A | ||
| ROIC | 20.28% |
ROA(3y)15.41%
ROA(5y)14.87%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)22.46%
ROIC(5y)23.45%
1.3 Margins
With an excellent Profit Margin value of 25.61%, WING belongs to the best of the industry, outperforming 97.76% of the companies in the same industry.
WING's Profit Margin has improved in the last couple of years.
WING has a better Operating Margin (26.01%) than 92.54% of its industry peers.
In the last couple of years the Operating Margin of WING has grown nicely.
WING has a better Gross Margin (85.83%) than 96.27% of its industry peers.
WING's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.01% | ||
| PM (TTM) | 25.61% | ||
| GM | 85.83% |
OM growth 3Y2.28%
OM growth 5Y4.38%
PM growth 3Y4.75%
PM growth 5Y11.1%
GM growth 3Y2.72%
GM growth 5Y1.69%
2. Health
2.1 Basic Checks
WING has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
WING has less shares outstanding than it did 1 year ago.
The number of shares outstanding for WING has been reduced compared to 5 years ago.
Compared to 1 year ago, WING has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.51 indicates that WING is not in any danger for bankruptcy at the moment.
The Altman-Z score of WING (4.51) is better than 82.09% of its industry peers.
The Debt to FCF ratio of WING is 21.64, which is on the high side as it means it would take WING, 21.64 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of WING (21.64) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 21.64 | ||
| Altman-Z | 4.51 |
ROIC/WACC2.38
WACC8.53%
2.3 Liquidity
A Current Ratio of 4.37 indicates that WING has no problem at all paying its short term obligations.
With an excellent Current ratio value of 4.37, WING belongs to the best of the industry, outperforming 95.52% of the companies in the same industry.
WING has a Quick Ratio of 4.37. This indicates that WING is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of WING (4.37) is better than 96.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.37 | ||
| Quick Ratio | 4.37 |
3. Growth
3.1 Past
WING shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.36%, which is quite good.
Measured over the past years, WING shows a very strong growth in Earnings Per Share. The EPS has been growing by 38.27% on average per year.
The Revenue has grown by 22.74% in the past year. This is a very strong growth!
Measured over the past years, WING shows a very strong growth in Revenue. The Revenue has been growing by 25.66% on average per year.
EPS 1Y (TTM)16.36%
EPS 3Y39.82%
EPS 5Y38.27%
EPS Q2Q%7.53%
Revenue 1Y (TTM)22.74%
Revenue growth 3Y30.36%
Revenue growth 5Y25.66%
Sales Q2Q%11.97%
3.2 Future
WING is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.64% yearly.
WING is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.44% yearly.
EPS Next Y10.6%
EPS Next 2Y19.15%
EPS Next 3Y23.14%
EPS Next 5Y22.64%
Revenue Next Year16.45%
Revenue Next 2Y17.9%
Revenue Next 3Y18.37%
Revenue Next 5Y17.44%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 82.17, which means the current valuation is very expensive for WING.
WING's Price/Earnings ratio is a bit more expensive when compared to the industry. WING is more expensive than 60.45% of the companies in the same industry.
When comparing the Price/Earnings ratio of WING to the average of the S&P500 Index (27.06), we can say WING is valued expensively.
The Price/Forward Earnings ratio is 59.14, which means the current valuation is very expensive for WING.
Based on the Price/Forward Earnings ratio, WING is valued a bit more expensive than 62.69% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.69, WING is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 82.17 | ||
| Fwd PE | 59.14 |
4.2 Price Multiples
WING's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. WING is more expensive than 77.61% of the companies in the same industry.
WING's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 155.01 | ||
| EV/EBITDA | 48.73 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of WING may justify a higher PE ratio.
WING's earnings are expected to grow with 23.14% in the coming years. This may justify a more expensive valuation.
PEG (NY)7.75
PEG (5Y)2.15
EPS Next 2Y19.15%
EPS Next 3Y23.14%
5. Dividend
5.1 Amount
With a yearly dividend of 0.39%, WING is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.01, WING has a dividend in line with its industry peers.
With a Dividend Yield of 0.39, WING pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.39% |
5.2 History
The dividend of WING is nicely growing with an annual growth rate of 20.05%!
WING has been paying a dividend for over 5 years, so it has already some track record.
WING has decreased its dividend recently.
Dividend Growth(5Y)20.05%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
WING pays out 18.32% of its income as dividend. This is a sustainable payout ratio.
The dividend of WING is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP18.32%
EPS Next 2Y19.15%
EPS Next 3Y23.14%
309.79
+0.97 (+0.31%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners111.82%
Inst Owner Change3.44%
Ins Owners0.7%
Ins Owner Change-2.14%
Market Cap8.65B
Analysts82.42
Price Target407.81 (31.64%)
Short Float %9.15%
Short Ratio3.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.39% |
Yearly Dividend1
Dividend Growth(5Y)20.05%
DP18.32%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.88%
Min EPS beat(2)12.57%
Max EPS beat(2)13.19%
EPS beat(4)3
Avg EPS beat(4)4.59%
Min EPS beat(4)-9.66%
Max EPS beat(4)13.19%
EPS beat(8)7
Avg EPS beat(8)12.15%
EPS beat(12)11
Avg EPS beat(12)16.79%
EPS beat(16)12
Avg EPS beat(16)10.13%
Revenue beat(2)0
Avg Revenue beat(2)-1.64%
Min Revenue beat(2)-1.86%
Max Revenue beat(2)-1.41%
Revenue beat(4)0
Avg Revenue beat(4)-2.06%
Min Revenue beat(4)-3.55%
Max Revenue beat(4)-1.41%
Revenue beat(8)4
Avg Revenue beat(8)1.51%
Revenue beat(12)8
Avg Revenue beat(12)1.96%
Revenue beat(16)8
Avg Revenue beat(16)-0.71%
PT rev (1m)0%
PT rev (3m)30.27%
EPS NQ rev (1m)0.3%
EPS NQ rev (3m)-0.29%
EPS NY rev (1m)3.06%
EPS NY rev (3m)3.61%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)-0.69%
Revenue NY rev (1m)0.54%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 82.17 | ||
| Fwd PE | 59.14 | ||
| P/S | 12.91 | ||
| P/FCF | 155.01 | ||
| P/OCF | 79.61 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 48.73 |
EPS(TTM)3.77
EY1.22%
EPS(NY)5.24
Fwd EY1.69%
FCF(TTM)2
FCFY0.65%
OCF(TTM)3.89
OCFY1.26%
SpS23.99
BVpS-24.57
TBVpS-28.58
PEG (NY)7.75
PEG (5Y)2.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 24.22% | ||
| ROE | N/A | ||
| ROCE | 27.36% | ||
| ROIC | 20.28% | ||
| ROICexc | 31.6% | ||
| ROICexgc | 43.51% | ||
| OM | 26.01% | ||
| PM (TTM) | 25.61% | ||
| GM | 85.83% | ||
| FCFM | 8.33% |
ROA(3y)15.41%
ROA(5y)14.87%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)22.46%
ROIC(5y)23.45%
ROICexc(3y)39.7%
ROICexc(5y)37%
ROICexgc(3y)90.29%
ROICexgc(5y)109.89%
ROCE(3y)30.29%
ROCE(5y)31.63%
ROICexcg growth 3Y-10.66%
ROICexcg growth 5Y-11.71%
ROICexc growth 3Y6.82%
ROICexc growth 5Y8.37%
OM growth 3Y2.28%
OM growth 5Y4.38%
PM growth 3Y4.75%
PM growth 5Y11.1%
GM growth 3Y2.72%
GM growth 5Y1.69%
F-Score6
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 21.64 | ||
| Debt/EBITDA | 6.11 | ||
| Cap/Depr | 226.18% | ||
| Cap/Sales | 7.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 54.99% | ||
| Profit Quality | 32.53% | ||
| Current Ratio | 4.37 | ||
| Quick Ratio | 4.37 | ||
| Altman-Z | 4.51 |
F-Score6
WACC8.53%
ROIC/WACC2.38
Cap/Depr(3y)264.83%
Cap/Depr(5y)245.57%
Cap/Sales(3y)7.96%
Cap/Sales(5y)7.24%
Profit Quality(3y)103.72%
Profit Quality(5y)123.06%
High Growth Momentum
Growth
EPS 1Y (TTM)16.36%
EPS 3Y39.82%
EPS 5Y38.27%
EPS Q2Q%7.53%
EPS Next Y10.6%
EPS Next 2Y19.15%
EPS Next 3Y23.14%
EPS Next 5Y22.64%
Revenue 1Y (TTM)22.74%
Revenue growth 3Y30.36%
Revenue growth 5Y25.66%
Sales Q2Q%11.97%
Revenue Next Year16.45%
Revenue Next 2Y17.9%
Revenue Next 3Y18.37%
Revenue Next 5Y17.44%
EBIT growth 1Y19.51%
EBIT growth 3Y33.33%
EBIT growth 5Y31.17%
EBIT Next Year45.86%
EBIT Next 3Y28.95%
EBIT Next 5Y24.03%
FCF growth 1Y-16.11%
FCF growth 3Y71.75%
FCF growth 5Y45.71%
OCF growth 1Y14.67%
OCF growth 3Y47.74%
OCF growth 5Y32.51%