WORLD KINECT CORP (WKC) Stock Fundamental Analysis
NYSE:WKC - New York Stock Exchange, Inc. - US9814751064 - Common Stock - Currency: USD
WKC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 213 industry peers in the Oil, Gas & Consumable Fuels industry. WKC scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. WKC is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
WKC had positive earnings in the past year.
In the past year WKC had a positive cash flow from operations.
WKC had positive earnings in each of the past 5 years.
In the past 5 years WKC always reported a positive cash flow from operatings.
1.2 Ratios
WKC has a Return On Assets of 0.29%. This is in the lower half of the industry: WKC underperforms 68.08% of its industry peers.
WKC has a worse Return On Equity (0.98%) than 66.20% of its industry peers.
WKC has a Return On Invested Capital of 5.52%. This is comparable to the rest of the industry: WKC outperforms 45.54% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WKC is significantly below the industry average of 25.70%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.29% | ||
| ROE | 0.98% | ||
| ROIC | 5.52% |
ROA(3y)1.04%
ROA(5y)1.36%
ROE(3y)3.98%
ROE(5y)4.31%
ROIC(3y)5.64%
ROIC(5y)5.14%
1.3 Margins
WKC has a worse Profit Margin (0.05%) than 69.48% of its industry peers.
In the last couple of years the Profit Margin of WKC has declined.
Looking at the Operating Margin, with a value of 0.58%, WKC is doing worse than 77.00% of the companies in the same industry.
WKC's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 2.47%, WKC is doing worse than 78.87% of the companies in the same industry.
WKC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.58% | ||
| PM (TTM) | 0.05% | ||
| GM | 2.47% |
OM growth 3Y5.98%
OM growth 5Y-7.61%
PM growth 3Y-12.2%
PM growth 5Y-19.95%
GM growth 3Y-1.08%
GM growth 5Y-4.22%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WKC is destroying value.
WKC has less shares outstanding than it did 1 year ago.
WKC has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, WKC has a worse debt to assets ratio.
2.2 Solvency
WKC has an Altman-Z score of 6.99. This indicates that WKC is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.99, WKC belongs to the top of the industry, outperforming 94.37% of the companies in the same industry.
WKC has a debt to FCF ratio of 4.30. This is a neutral value as WKC would need 4.30 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 4.30, WKC is doing good in the industry, outperforming 69.01% of the companies in the same industry.
A Debt/Equity ratio of 0.41 indicates that WKC is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.41, WKC is in line with its industry, outperforming 53.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 4.3 | ||
| Altman-Z | 6.99 |
ROIC/WACC0.46
WACC11.96%
2.3 Liquidity
A Current Ratio of 1.15 indicates that WKC should not have too much problems paying its short term obligations.
With a Current ratio value of 1.15, WKC perfoms like the industry average, outperforming 51.17% of the companies in the same industry.
WKC has a Quick Ratio of 1.15. This is a bad value and indicates that WKC is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of WKC (1.00) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.28% over the past year.
The Earnings Per Share has been decreasing by -5.33% on average over the past years.
WKC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -11.93%.
The Revenue has been growing slightly by 2.75% on average over the past years.
EPS 1Y (TTM)6.28%
EPS 3Y17.21%
EPS 5Y-5.33%
EPS Q2Q%2.13%
Revenue 1Y (TTM)-11.93%
Revenue growth 3Y10.4%
Revenue growth 5Y2.75%
Sales Q2Q%-13.69%
3.2 Future
Based on estimates for the next years, WKC will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.30% on average per year.
WKC is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.25% yearly.
EPS Next Y19.26%
EPS Next 2Y18.21%
EPS Next 3Y10.3%
EPS Next 5YN/A
Revenue Next Year0.53%
Revenue Next 2Y2.04%
Revenue Next 3Y-3.25%
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.81, the valuation of WKC can be described as reasonable.
WKC's Price/Earnings ratio is a bit cheaper when compared to the industry. WKC is cheaper than 61.97% of the companies in the same industry.
When comparing the Price/Earnings ratio of WKC to the average of the S&P500 Index (28.18), we can say WKC is valued rather cheaply.
WKC is valuated reasonably with a Price/Forward Earnings ratio of 8.49.
WKC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. WKC is cheaper than 73.24% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.81, WKC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.81 | ||
| Fwd PE | 8.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WKC is valued a bit cheaper than 66.67% of the companies in the same industry.
83.10% of the companies in the same industry are more expensive than WKC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.2 | ||
| EV/EBITDA | 5.49 |
4.3 Compensation for Growth
WKC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.61
PEG (5Y)N/A
EPS Next 2Y18.21%
EPS Next 3Y10.3%
5. Dividend
5.1 Amount
WKC has a Yearly Dividend Yield of 2.68%. Purely for dividend investing, there may be better candidates out there.
WKC's Dividend Yield is comparable with the industry average which is at 7.29.
Compared to an average S&P500 Dividend Yield of 2.45, WKC has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.68% |
5.2 History
On average, the dividend of WKC grows each year by 15.67%, which is quite nice.
WKC has paid a dividend for at least 10 years, which is a reliable track record.
WKC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)15.67%
Div Incr Years5
Div Non Decr Years22
5.3 Sustainability
210.58% of the earnings are spent on dividend by WKC. This is not a sustainable payout ratio.
The dividend of WKC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP210.58%
EPS Next 2Y18.21%
EPS Next 3Y10.3%
NYSE:WKC (5/5/2025, 1:13:30 PM)
25.985
+0.18 (+0.68%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners109.9%
Inst Owner ChangeN/A
Ins Owners3.35%
Ins Owner Change8.4%
Market Cap1.47B
Analysts48.33
Price Target31.62 (21.69%)
Short Float %9.63%
Short Ratio5.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.68% |
Yearly Dividend0.66
Dividend Growth(5Y)15.67%
DP210.58%
Div Incr Years5
Div Non Decr Years22
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.43%
Min EPS beat(2)6.08%
Max EPS beat(2)22.77%
EPS beat(4)2
Avg EPS beat(4)3.34%
Min EPS beat(4)-14.52%
Max EPS beat(4)22.77%
EPS beat(8)4
Avg EPS beat(8)3.71%
EPS beat(12)8
Avg EPS beat(12)7.21%
EPS beat(16)12
Avg EPS beat(16)10.62%
Revenue beat(2)0
Avg Revenue beat(2)-8.53%
Min Revenue beat(2)-10.63%
Max Revenue beat(2)-6.42%
Revenue beat(4)0
Avg Revenue beat(4)-9.53%
Min Revenue beat(4)-11.74%
Max Revenue beat(4)-6.42%
Revenue beat(8)1
Avg Revenue beat(8)-8.1%
Revenue beat(12)2
Avg Revenue beat(12)-2.84%
Revenue beat(16)6
Avg Revenue beat(16)1.12%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-6.86%
EPS NQ rev (3m)-10.59%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.35%
Revenue NQ rev (1m)-8.1%
Revenue NQ rev (3m)-11.48%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-6.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.81 | ||
| Fwd PE | 8.49 | ||
| P/S | 0.04 | ||
| P/FCF | 7.2 | ||
| P/OCF | 5.44 | ||
| P/B | 0.77 | ||
| P/tB | 3.02 | ||
| EV/EBITDA | 5.49 |
EPS(TTM)2.2
EY8.47%
EPS(NY)3.06
Fwd EY11.78%
FCF(TTM)3.61
FCFY13.89%
OCF(TTM)4.77
OCFY18.37%
SpS718.15
BVpS33.93
TBVpS8.59
PEG (NY)0.61
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.29% | ||
| ROE | 0.98% | ||
| ROCE | 7.28% | ||
| ROIC | 5.52% | ||
| ROICexc | 6.42% | ||
| ROICexgc | 13.21% | ||
| OM | 0.58% | ||
| PM (TTM) | 0.05% | ||
| GM | 2.47% | ||
| FCFM | 0.5% |
ROA(3y)1.04%
ROA(5y)1.36%
ROE(3y)3.98%
ROE(5y)4.31%
ROIC(3y)5.64%
ROIC(5y)5.14%
ROICexc(3y)6.25%
ROICexc(5y)6.04%
ROICexgc(3y)12.39%
ROICexgc(5y)15.33%
ROCE(3y)7.44%
ROCE(5y)6.78%
ROICexcg growth 3Y-12.23%
ROICexcg growth 5Y-9.09%
ROICexc growth 3Y6.47%
ROICexc growth 5Y-6.88%
OM growth 3Y5.98%
OM growth 5Y-7.61%
PM growth 3Y-12.2%
PM growth 5Y-19.95%
GM growth 3Y-1.08%
GM growth 5Y-4.22%
F-Score5
Asset Turnover6.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 4.3 | ||
| Debt/EBITDA | 2.31 | ||
| Cap/Depr | 61.76% | ||
| Cap/Sales | 0.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.8% | ||
| Profit Quality | 1081.48% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 6.99 |
F-Score5
WACC11.96%
ROIC/WACC0.46
Cap/Depr(3y)73.61%
Cap/Depr(5y)65.8%
Cap/Sales(3y)0.16%
Cap/Sales(5y)0.17%
Profit Quality(3y)228.19%
Profit Quality(5y)273.61%
High Growth Momentum
Growth
EPS 1Y (TTM)6.28%
EPS 3Y17.21%
EPS 5Y-5.33%
EPS Q2Q%2.13%
EPS Next Y19.26%
EPS Next 2Y18.21%
EPS Next 3Y10.3%
EPS Next 5YN/A
Revenue 1Y (TTM)-11.93%
Revenue growth 3Y10.4%
Revenue growth 5Y2.75%
Sales Q2Q%-13.69%
Revenue Next Year0.53%
Revenue Next 2Y2.04%
Revenue Next 3Y-3.25%
Revenue Next 5YN/A
EBIT growth 1Y-0.25%
EBIT growth 3Y17.01%
EBIT growth 5Y-5.07%
EBIT Next Year57.29%
EBIT Next 3Y22.23%
EBIT Next 5YN/A
FCF growth 1Y-25.07%
FCF growth 3Y12.73%
FCF growth 5Y5.34%
OCF growth 1Y-23.54%
OCF growth 3Y14.52%
OCF growth 5Y2.59%