WORKIVA INC (WK) Stock Fundamental Analysis
NYSE:WK - New York Stock Exchange, Inc. - US98139A1051 - Common Stock - Currency: USD
Overall WK gets a fundamental rating of 3 out of 10. We evaluated WK against 284 industry peers in the Software industry. WK may be in some trouble as it scores bad on both profitability and health. WK is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
In the past year WK was profitable.
In the past year WK had a positive cash flow from operations.
In the past 5 years WK always reported negative net income.
In the past 5 years WK always reported a positive cash flow from operatings.
1.2 Ratios
WK has a Return On Assets (-5.00%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5% | ||
| 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
With a decent Gross Margin value of 76.75%, WK is doing good in the industry, outperforming 72.54% 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 | 76.75% |
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
The number of shares outstanding for WK has been increased compared to 5 years ago.
The debt/assets ratio for WK has been reduced compared to a year ago.
2.2 Solvency
WK has an Altman-Z score of 1.61. This is a bad value and indicates that WK is not financially healthy and even has some risk of bankruptcy.
WK has a Altman-Z score of 1.61. This is comparable to the rest of the industry: WK outperforms 44.37% of its industry peers.
WK has a debt to FCF ratio of 14.60. This is a negative value and a sign of low solvency as WK would need 14.60 years to pay back of all of its debts.
WK has a Debt to FCF ratio (14.60) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 14.6 | ||
| Altman-Z | 1.61 |
ROIC/WACCN/A
WACC7.81%
2.3 Liquidity
WK has a Current Ratio of 1.78. This is a normal value and indicates that WK is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.78, WK perfoms like the industry average, outperforming 55.63% of the companies in the same industry.
WK has a Quick Ratio of 1.78. 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 Quick ratio (1.78) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
WK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 863.64%, which is quite impressive.
WK shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 35.48% yearly.
WK shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.36%.
The Revenue has been growing by 19.92% on average over the past years. This is quite good.
EPS 1Y (TTM)863.64%
EPS 3Y35.48%
EPS 5YN/A
EPS Q2Q%-36.36%
Revenue 1Y (TTM)17.36%
Revenue growth 3Y18.55%
Revenue growth 5Y19.92%
Sales Q2Q%17.43%
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 46.66% on average per year.
WK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.41% yearly.
EPS Next Y16.85%
EPS Next 2Y37.57%
EPS Next 3Y52.94%
EPS Next 5Y46.66%
Revenue Next Year18%
Revenue Next 2Y17.16%
Revenue Next 3Y17.95%
Revenue Next 5Y18.41%
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 79.98, 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 26.92, WK is valued quite expensively.
The Price/Forward Earnings ratio is 38.58, which means the current valuation is very expensive for WK.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WK is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of WK to the average of the S&P500 Index (21.46), we can say WK is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.98 | ||
| Fwd PE | 38.58 |
4.2 Price Multiples
WK's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 70.11 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as WK's earnings are expected to grow with 52.94% in the coming years.
PEG (NY)4.75
PEG (5Y)N/A
EPS Next 2Y37.57%
EPS Next 3Y52.94%
5. Dividend
5.1 Amount
No dividends for WK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
67.18
+0.91 (+1.37%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners93.58%
Inst Owner Change0.95%
Ins Owners2.03%
Ins Owner Change6.54%
Market Cap3.74B
Analysts87.62
Price Target102.12 (52.01%)
Short Float %3.5%
Short Ratio2.63
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)1
Avg EPS beat(2)42.64%
Min EPS beat(2)-3.5%
Max EPS beat(2)88.78%
EPS beat(4)1
Avg EPS beat(4)15.48%
Min EPS beat(4)-11.74%
Max EPS beat(4)88.78%
EPS beat(8)4
Avg EPS beat(8)-176.88%
EPS beat(12)8
Avg EPS beat(12)-92.27%
EPS beat(16)12
Avg EPS beat(16)27.07%
Revenue beat(2)0
Avg Revenue beat(2)-1.24%
Min Revenue beat(2)-1.84%
Max Revenue beat(2)-0.63%
Revenue beat(4)0
Avg Revenue beat(4)-1.35%
Min Revenue beat(4)-1.84%
Max Revenue beat(4)-0.63%
Revenue beat(8)0
Avg Revenue beat(8)-1.55%
Revenue beat(12)2
Avg Revenue beat(12)-1.3%
Revenue beat(16)5
Avg Revenue beat(16)-0.92%
PT rev (1m)-1.44%
PT rev (3m)-16.39%
EPS NQ rev (1m)1.88%
EPS NQ rev (3m)-72.39%
EPS NY rev (1m)-0.1%
EPS NY rev (3m)-17.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.08%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.98 | ||
| Fwd PE | 38.58 | ||
| P/S | 4.87 | ||
| P/FCF | 70.11 | ||
| P/OCF | 67.45 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.84
EY1.25%
EPS(NY)1.74
Fwd EY2.59%
FCF(TTM)0.96
FCFY1.43%
OCF(TTM)1
OCFY1.48%
SpS13.8
BVpS-1.36
TBVpS-5.41
PEG (NY)4.75
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5% | ||
| ROE | N/A | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 76.75% | ||
| FCFM | 6.94% |
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 Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 14.6 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 18.48% | ||
| Cap/Sales | 0.27% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 1.61 |
F-Score7
WACC7.81%
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)863.64%
EPS 3Y35.48%
EPS 5YN/A
EPS Q2Q%-36.36%
EPS Next Y16.85%
EPS Next 2Y37.57%
EPS Next 3Y52.94%
EPS Next 5Y46.66%
Revenue 1Y (TTM)17.36%
Revenue growth 3Y18.55%
Revenue growth 5Y19.92%
Sales Q2Q%17.43%
Revenue Next Year18%
Revenue Next 2Y17.16%
Revenue Next 3Y17.95%
Revenue Next 5Y18.41%
EBIT growth 1Y-24.93%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year69.01%
EBIT Next 3Y83.86%
EBIT Next 5Y67.66%
FCF growth 1Y268.29%
FCF growth 3Y23.18%
FCF growth 5Y26.04%
OCF growth 1Y211.3%
OCF growth 3Y20.73%
OCF growth 5Y23.19%