WORTHINGTON ENTERPRISES INC (WOR)
US9818111026 - Common Stock
Taking everything into account, WOR scores 5 out of 10 in our fundamental rating. WOR was compared to 66 industry peers in the Household Durables industry. WOR has only an average score on both its financial health and profitability. WOR is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year WOR was profitable.
In the past year WOR had a positive cash flow from operations.
Each year in the past 5 years WOR has been profitable.
WOR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
WOR has a Return On Assets of 8.00%. This is in the better half of the industry: WOR outperforms 64.62% of its industry peers.
WOR has a Return On Equity of 14.75%. This is in the better half of the industry: WOR outperforms 64.62% of its industry peers.
WOR has a Return On Invested Capital of 3.73%. This is in the lower half of the industry: WOR underperforms 61.54% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WOR is significantly below the industry average of 10.45%.
The last Return On Invested Capital (3.73%) for WOR is above the 3 year average (2.68%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8% | ||
| ROE | 14.75% | ||
| ROIC | 3.73% |
ROA(3y)8.06%
ROA(5y)9.81%
ROE(3y)17.73%
ROE(5y)22.91%
ROIC(3y)2.68%
ROIC(5y)3.75%
1.3 Margins
With a Profit Margin value of 5.37%, WOR perfoms like the industry average, outperforming 49.23% of the companies in the same industry.
In the last couple of years the Profit Margin of WOR has grown nicely.
WOR's Operating Margin of 3.55% is on the low side compared to the rest of the industry. WOR is outperformed by 61.54% of its industry peers.
WOR's Operating Margin has declined in the last couple of years.
WOR has a worse Gross Margin (19.78%) than 83.08% of its industry peers.
WOR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.55% | ||
| PM (TTM) | 5.37% | ||
| GM | 19.78% |
OM growth 3Y-76.08%
OM growth 5Y-49.45%
PM growth 3Y-26.99%
PM growth 5Y16.81%
GM growth 3Y4.32%
GM growth 5Y12.38%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WOR is destroying value.
WOR has more shares outstanding than it did 1 year ago.
The number of shares outstanding for WOR has been reduced compared to 5 years ago.
The debt/assets ratio for WOR has been reduced compared to a year ago.
2.2 Solvency
WOR has a debt to FCF ratio of 1.44. This is a very positive value and a sign of high solvency as it would only need 1.44 years to pay back of all of its debts.
WOR has a Debt to FCF ratio of 1.44. This is in the better half of the industry: WOR outperforms 76.92% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that WOR is not too dependend on debt financing.
WOR's Debt to Equity ratio of 0.34 is in line compared to the rest of the industry. WOR outperforms 55.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 1.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.39
WACC9.67%
2.3 Liquidity
A Current Ratio of 3.78 indicates that WOR has no problem at all paying its short term obligations.
WOR has a Current ratio of 3.78. This is in the better half of the industry: WOR outperforms 66.15% of its industry peers.
WOR has a Quick Ratio of 2.86. This indicates that WOR is financially healthy and has no problem in meeting its short term obligations.
WOR's Quick ratio of 2.86 is amongst the best of the industry. WOR outperforms 93.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.78 | ||
| Quick Ratio | 2.86 |
3. Growth
3.1 Past
WOR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.87%.
Measured over the past years, WOR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.52% on average per year.
WOR shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -50.39%.
The Revenue for WOR have been decreasing by -19.82% on average. This is quite bad
EPS 1Y (TTM)-24.87%
EPS 3Y-6.04%
EPS 5Y8.52%
EPS Q2Q%-72.99%
Revenue 1Y (TTM)-50.39%
Revenue growth 3Y-26.76%
Revenue growth 5Y-19.82%
Sales Q2Q%-74.06%
3.2 Future
WOR is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.09% yearly.
WOR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.67% yearly.
EPS Next Y-18.66%
EPS Next 2Y-5.53%
EPS Next 3Y-2.09%
EPS Next 5YN/A
Revenue Next Year3.08%
Revenue Next 2Y3.18%
Revenue Next 3Y2.67%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.60, which indicates a very decent valuation of WOR.
WOR's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of WOR to the average of the S&P500 Index (24.41), we can say WOR is valued rather cheaply.
WOR is valuated correctly with a Price/Forward Earnings ratio of 14.26.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WOR is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of WOR to the average of the S&P500 Index (20.59), we can say WOR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 14.26 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as WOR.
67.69% of the companies in the same industry are more expensive than WOR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.34 | ||
| EV/EBITDA | 15.33 |
4.3 Compensation for Growth
WOR's earnings are expected to decrease with -2.09% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.36
EPS Next 2Y-5.53%
EPS Next 3Y-2.09%
5. Dividend
5.1 Amount
WOR has a Yearly Dividend Yield of 1.38%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.49, WOR pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.38, WOR pays less dividend than the S&P500 average, which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.38% |
5.2 History
The dividend of WOR has a limited annual growth rate of 4.70%.
WOR has paid a dividend for at least 10 years, which is a reliable track record.
WOR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.7%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
WOR pays out 43.35% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP43.35%
EPS Next 2Y-5.53%
EPS Next 3Y-2.09%
WORTHINGTON ENTERPRISES INC
NYSE:WOR (7/26/2024, 7:07:21 PM)
After market: 50.8 0 (0%)50.8
+0.72 (+1.44%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.55B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.38% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 14.26 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)1.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8% | ||
| ROE | 14.75% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 3.55% | ||
| PM (TTM) | 5.37% | ||
| GM | 19.78% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.78 | ||
| Quick Ratio | 2.86 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-24.87%
EPS 3Y-6.04%
EPS 5Y
EPS Q2Q%
EPS Next Y-18.66%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-50.39%
Revenue growth 3Y-26.76%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y