WORKIVA INC (WK) Stock Fundamental Analysis
NYSE:WK - US98139A1051 - Common Stock
77.29 USD
-4.95 (-6.02%)
77.29 USD
0 (0%)
WK gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 280 industry peers in the Software industry. Both the profitability and financial health of WK have multiple concerns. WK is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year WK was profitable.
WK had a positive operating cash flow in the past year.
WK had negative earnings in each of the past 5 years.
Each year in the past 5 years WK had a positive operating cash flow.
1.2 Ratios
WK has a Return On Assets (-4.95%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.95% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-8.53%
ROA(5y)-7.44%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 76.80%, WK is in the better half of the industry, outperforming 72.86% of the companies in the same industry.
In the last couple of years the Gross Margin of WK has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for WK so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 76.8% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.05%
GM growth 5Y1.43%
2. Health
2.1 Basic Checks
WK does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, WK has more shares outstanding
WK has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, WK has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.78, we must say that WK is in the distress zone and has some risk of bankruptcy.
WK's Altman-Z score of 1.78 is in line compared to the rest of the industry. WK outperforms 43.93% of its industry peers.
The Debt to FCF ratio of WK is 7.58, which is on the high side as it means it would take WK, 7.58 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.58, WK is in line with its industry, outperforming 52.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.58 | ||
| Altman-Z | 1.78 |
ROIC/WACCN/A
WACC10.57%
2.3 Liquidity
WK has a Current Ratio of 1.54. This is a normal value and indicates that WK is financially healthy and should not expect problems in meeting its short term obligations.
WK has a Current ratio of 1.54. This is comparable to the rest of the industry: WK outperforms 51.07% of its industry peers.
A Quick Ratio of 1.54 indicates that WK should not have too much problems paying its short term obligations.
WK has a Quick ratio of 1.54. This is comparable to the rest of the industry: WK outperforms 51.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 2800.00% over the past year.
WK shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 35.48% yearly.
The Revenue has grown by 19.02% in the past year. This is quite good.
Measured over the past years, WK shows a quite strong growth in Revenue. The Revenue has been growing by 19.92% on average per year.
EPS 1Y (TTM)2800%
EPS 3Y35.48%
EPS 5YN/A
EPS Q2Q%18.75%
Revenue 1Y (TTM)19.02%
Revenue growth 3Y18.55%
Revenue growth 5Y19.92%
Sales Q2Q%21.23%
3.2 Future
Based on estimates for the next years, WK will show a very strong growth in Earnings Per Share. The EPS will grow by 46.12% on average per year.
WK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.86% yearly.
EPS Next Y49.53%
EPS Next 2Y46.35%
EPS Next 3Y35.91%
EPS Next 5Y46.12%
Revenue Next Year18.67%
Revenue Next 2Y17.16%
Revenue Next 3Y17.09%
Revenue Next 5Y17.86%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue 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
Based on the Price/Earnings ratio of 88.84, the valuation of WK can be described as expensive.
WK's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.90, WK is valued quite expensively.
A Price/Forward Earnings ratio of 39.22 indicates a quite expensive valuation of WK.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WK is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.52, WK is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 88.84 | ||
| Fwd PE | 39.22 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, WK is valued a bit cheaper than the industry average as 64.29% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.1 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as WK's earnings are expected to grow with 35.91% in the coming years.
PEG (NY)1.79
PEG (5Y)N/A
EPS Next 2Y46.35%
EPS Next 3Y35.91%
5. Dividend
5.1 Amount
No dividends for WK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
77.29
-4.95 (-6.02%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners92.83%
Inst Owner Change-1.87%
Ins Owners2.03%
Ins Owner Change1.63%
Market Cap4.33B
Analysts88
Price Target99.07 (28.18%)
Short Float %5.48%
Short Ratio3.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)162.76%
Min EPS beat(2)88.78%
Max EPS beat(2)236.74%
EPS beat(4)2
Avg EPS beat(4)77.57%
Min EPS beat(4)-11.74%
Max EPS beat(4)236.74%
EPS beat(8)4
Avg EPS beat(8)-162.9%
EPS beat(12)8
Avg EPS beat(12)-75.61%
EPS beat(16)12
Avg EPS beat(16)-26.27%
Revenue beat(2)1
Avg Revenue beat(2)-0.91%
Min Revenue beat(2)-1.84%
Max Revenue beat(2)0.02%
Revenue beat(4)1
Avg Revenue beat(4)-0.94%
Min Revenue beat(4)-1.84%
Max Revenue beat(4)0.02%
Revenue beat(8)1
Avg Revenue beat(8)-1.3%
Revenue beat(12)2
Avg Revenue beat(12)-1.4%
Revenue beat(16)5
Avg Revenue beat(16)-0.97%
PT rev (1m)-3.43%
PT rev (3m)-4.39%
EPS NQ rev (1m)15.86%
EPS NQ rev (3m)18.98%
EPS NY rev (1m)27.97%
EPS NY rev (3m)27.85%
Revenue NQ rev (1m)0.36%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)0.56%
Revenue NY rev (3m)0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 88.84 | ||
| Fwd PE | 39.22 | ||
| P/S | 5.37 | ||
| P/FCF | 42.1 | ||
| P/OCF | 40.91 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.87
EY1.13%
EPS(NY)1.97
Fwd EY2.55%
FCF(TTM)1.84
FCFY2.38%
OCF(TTM)1.89
OCFY2.44%
SpS14.41
BVpS-1.19
TBVpS-5.32
PEG (NY)1.79
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.95% | ||
| ROE | N/A | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 76.8% | ||
| FCFM | 12.74% |
ROA(3y)-8.53%
ROA(5y)-7.44%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.05%
GM growth 5Y1.43%
F-Score7
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.58 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 25.42% | ||
| Cap/Sales | 0.37% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 1.78 |
F-Score7
WACC10.57%
ROIC/WACCN/A
Cap/Depr(3y)23.58%
Cap/Depr(5y)38.56%
Cap/Sales(3y)0.42%
Cap/Sales(5y)0.54%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2800%
EPS 3Y35.48%
EPS 5YN/A
EPS Q2Q%18.75%
EPS Next Y49.53%
EPS Next 2Y46.35%
EPS Next 3Y35.91%
EPS Next 5Y46.12%
Revenue 1Y (TTM)19.02%
Revenue growth 3Y18.55%
Revenue growth 5Y19.92%
Sales Q2Q%21.23%
Revenue Next Year18.67%
Revenue Next 2Y17.16%
Revenue Next 3Y17.09%
Revenue Next 5Y17.86%
EBIT growth 1Y-22.56%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year120.12%
EBIT Next 3Y85.47%
EBIT Next 5Y66.99%
FCF growth 1Y223.5%
FCF growth 3Y23.18%
FCF growth 5Y26.04%
OCF growth 1Y201.34%
OCF growth 3Y20.73%
OCF growth 5Y23.19%