PETCO HEALTH AND WELLNESS CO (WOOF) Stock Fundamental Analysis
USA - NASDAQ:WOOF - US71601V1052 - Common Stock
3.75 USD
+0.1 (+2.88%)
3.76 USD
+0.01 (+0.27%)
Taking everything into account, WOOF scores 2 out of 10 in our fundamental rating. WOOF was compared to 122 industry peers in the Specialty Retail industry. Both the profitability and financial health of WOOF have multiple concerns. WOOF has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year WOOF was profitable.
In the past year WOOF had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: WOOF reported negative net income in multiple years.
WOOF 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 -0.55%, WOOF is in line with its industry, outperforming 45.90% of the companies in the same industry.
The Return On Equity of WOOF (-2.48%) is comparable to the rest of the industry.
WOOF's Return On Invested Capital of 1.56% is in line compared to the rest of the industry. WOOF outperforms 44.26% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WOOF is significantly below the industry average of 11.64%.
The last Return On Invested Capital (1.56%) for WOOF is above the 3 year average (1.45%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.55% | ||
| ROE | -2.48% | ||
| ROIC | 1.56% |
ROA(3y)-8.15%
ROA(5y)-4.47%
ROE(3y)-37.81%
ROE(5y)-21.49%
ROIC(3y)1.45%
ROIC(5y)2.27%
1.3 Margins
With a Operating Margin value of 1.34%, WOOF perfoms like the industry average, outperforming 46.72% of the companies in the same industry.
In the last couple of years the Operating Margin of WOOF has declined.
With a Gross Margin value of 38.38%, WOOF perfoms like the industry average, outperforming 55.74% of the companies in the same industry.
In the last couple of years the Gross Margin of WOOF has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.34% | ||
| PM (TTM) | N/A | ||
| GM | 38.38% |
OM growth 3Y-62.42%
OM growth 5Y-38.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.11%
GM growth 5Y-2.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), WOOF is destroying value.
Compared to 1 year ago, WOOF has more shares outstanding
Compared to 5 years ago, WOOF has more shares outstanding
Compared to 1 year ago, WOOF has a worse debt to assets ratio.
2.2 Solvency
WOOF has an Altman-Z score of 1.06. This is a bad value and indicates that WOOF is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.06, WOOF is doing worse than 70.49% of the companies in the same industry.
WOOF has a debt to FCF ratio of 27.03. This is a negative value and a sign of low solvency as WOOF would need 27.03 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 27.03, WOOF is in line with its industry, outperforming 48.36% of the companies in the same industry.
A Debt/Equity ratio of 1.39 is on the high side and indicates that WOOF has dependencies on debt financing.
WOOF has a worse Debt to Equity ratio (1.39) than 63.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.39 | ||
| Debt/FCF | 27.03 | ||
| Altman-Z | 1.06 |
ROIC/WACC0.15
WACC10.35%
2.3 Liquidity
A Current Ratio of 0.89 indicates that WOOF may have some problems paying its short term obligations.
WOOF's Current ratio of 0.89 is on the low side compared to the rest of the industry. WOOF is outperformed by 79.51% of its industry peers.
A Quick Ratio of 0.31 indicates that WOOF may have some problems paying its short term obligations.
WOOF has a Quick ratio of 0.31. This is in the lower half of the industry: WOOF underperforms 71.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
WOOF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 248.89%, which is quite impressive.
The Revenue has decreased by -2.83% in the past year.
Measured over the past years, WOOF shows a small growth in Revenue. The Revenue has been growing by 6.64% on average per year.
EPS 1Y (TTM)248.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%730%
Revenue 1Y (TTM)-2.83%
Revenue growth 3Y1.75%
Revenue growth 5Y6.64%
Sales Q2Q%-2.31%
3.2 Future
WOOF is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 55.44% yearly.
WOOF is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.29% yearly.
EPS Next Y325.39%
EPS Next 2Y129.68%
EPS Next 3Y84.49%
EPS Next 5Y55.44%
Revenue Next Year-2.48%
Revenue Next 2Y-0.67%
Revenue Next 3Y0.09%
Revenue Next 5Y0.29%
3.3 Evolution
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
With a Price/Earnings ratio of 28.85, WOOF can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of WOOF indicates a somewhat cheap valuation: WOOF is cheaper than 62.30% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.91. WOOF is around the same levels.
Based on the Price/Forward Earnings ratio of 18.47, the valuation of WOOF can be described as rather expensive.
Based on the Price/Forward Earnings ratio, WOOF is valued a bit cheaper than 63.11% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.30. WOOF is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.85 | ||
| Fwd PE | 18.47 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WOOF indicates a somewhat cheap valuation: WOOF is cheaper than 63.11% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, WOOF is valued a bit cheaper than the industry average as 73.77% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.33 | ||
| EV/EBITDA | 9.14 |
4.3 Compensation for Growth
WOOF's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
WOOF's earnings are expected to grow with 84.49% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.09
PEG (5Y)N/A
EPS Next 2Y129.68%
EPS Next 3Y84.49%
5. Dividend
5.1 Amount
No dividends for WOOF!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
3.75
+0.1 (+2.88%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners66.3%
Inst Owner Change0%
Ins Owners4.07%
Ins Owner Change-0.09%
Market Cap1.19B
Analysts69.41
Price Target4.16 (10.93%)
Short Float %22.1%
Short Ratio4.74
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)390.83%
Min EPS beat(2)155.02%
Max EPS beat(2)626.64%
EPS beat(4)4
Avg EPS beat(4)236.84%
Min EPS beat(4)47.57%
Max EPS beat(4)626.64%
EPS beat(8)7
Avg EPS beat(8)85.95%
EPS beat(12)10
Avg EPS beat(12)58.81%
EPS beat(16)13
Avg EPS beat(16)44.91%
Revenue beat(2)0
Avg Revenue beat(2)-2.33%
Min Revenue beat(2)-2.39%
Max Revenue beat(2)-2.26%
Revenue beat(4)0
Avg Revenue beat(4)-2.11%
Min Revenue beat(4)-2.5%
Max Revenue beat(4)-1.28%
Revenue beat(8)1
Avg Revenue beat(8)-1.6%
Revenue beat(12)2
Avg Revenue beat(12)-1.42%
Revenue beat(16)3
Avg Revenue beat(16)-1.14%
PT rev (1m)0%
PT rev (3m)5.36%
EPS NQ rev (1m)8.35%
EPS NQ rev (3m)34.68%
EPS NY rev (1m)36.18%
EPS NY rev (3m)31.73%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)-0.6%
Revenue NY rev (1m)-0.28%
Revenue NY rev (3m)-0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.85 | ||
| Fwd PE | 18.47 | ||
| P/S | 0.2 | ||
| P/FCF | 20.33 | ||
| P/OCF | 6.37 | ||
| P/B | 1.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.14 |
EPS(TTM)0.13
EY3.47%
EPS(NY)0.2
Fwd EY5.42%
FCF(TTM)0.18
FCFY4.92%
OCF(TTM)0.59
OCFY15.69%
SpS19.01
BVpS3.58
TBVpS-2.72
PEG (NY)0.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.55% | ||
| ROE | -2.48% | ||
| ROCE | 1.97% | ||
| ROIC | 1.56% | ||
| ROICexc | 1.63% | ||
| ROICexgc | 3.36% | ||
| OM | 1.34% | ||
| PM (TTM) | N/A | ||
| GM | 38.38% | ||
| FCFM | 0.97% |
ROA(3y)-8.15%
ROA(5y)-4.47%
ROE(3y)-37.81%
ROE(5y)-21.49%
ROIC(3y)1.45%
ROIC(5y)2.27%
ROICexc(3y)1.5%
ROICexc(5y)2.35%
ROICexgc(3y)3.54%
ROICexgc(5y)5.94%
ROCE(3y)1.84%
ROCE(5y)2.88%
ROICexcg growth 3Y-60.84%
ROICexcg growth 5Y-33.82%
ROICexc growth 3Y-57.79%
ROICexc growth 5Y-30.5%
OM growth 3Y-62.42%
OM growth 5Y-38.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.11%
GM growth 5Y-2.44%
F-Score5
Asset Turnover1.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.39 | ||
| Debt/FCF | 27.03 | ||
| Debt/EBITDA | 5.65 | ||
| Cap/Depr | 64.54% | ||
| Cap/Sales | 2.13% | ||
| Interest Coverage | 0.61 | ||
| Cash Conversion | 66.88% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 1.06 |
F-Score5
WACC10.35%
ROIC/WACC0.15
Cap/Depr(3y)106.63%
Cap/Depr(5y)109.98%
Cap/Sales(3y)3.43%
Cap/Sales(5y)3.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)248.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%730%
EPS Next Y325.39%
EPS Next 2Y129.68%
EPS Next 3Y84.49%
EPS Next 5Y55.44%
Revenue 1Y (TTM)-2.83%
Revenue growth 3Y1.75%
Revenue growth 5Y6.64%
Sales Q2Q%-2.31%
Revenue Next Year-2.48%
Revenue Next 2Y-0.67%
Revenue Next 3Y0.09%
Revenue Next 5Y0.29%
EBIT growth 1Y439.87%
EBIT growth 3Y-61.76%
EBIT growth 5Y-34.33%
EBIT Next Year311.42%
EBIT Next 3Y65.64%
EBIT Next 5Y36.52%
FCF growth 1Y-52.83%
FCF growth 3Y-25.28%
FCF growth 5YN/A
OCF growth 1Y-50.77%
OCF growth 3Y-20.84%
OCF growth 5Y10%