WSP GLOBAL INC (WSP.CA) Stock Fundamental Analysis
Canada - TSX:WSP - CA92938W2022 - Common Stock
277.99 CAD
-5.74 (-2.02%)
Taking everything into account, WSP scores 5 out of 10 in our fundamental rating. WSP was compared to 6 industry peers in the Construction & Engineering industry. Both the profitability and the financial health of WSP get a neutral evaluation. Nothing too spectacular is happening here. WSP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year WSP was profitable.
In the past year WSP had a positive cash flow from operations.
Each year in the past 5 years WSP has been profitable.
Each year in the past 5 years WSP had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 4.13%, WSP is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
WSP has a Return On Equity of 9.37%. This is in the lower half of the industry: WSP underperforms 66.67% of its industry peers.
WSP has a Return On Invested Capital (8.43%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WSP is in line with the industry average of 9.40%.
The 3 year average ROIC (7.42%) for WSP is below the current ROIC(8.43%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.13% | ||
| ROE | 9.37% | ||
| ROIC | 8.43% |
ROA(3y)3.27%
ROA(5y)3.43%
ROE(3y)8.04%
ROE(5y)8.21%
ROIC(3y)7.42%
ROIC(5y)7.37%
1.3 Margins
WSP's Profit Margin of 4.52% is in line compared to the rest of the industry. WSP outperforms 50.00% of its industry peers.
WSP's Profit Margin has improved in the last couple of years.
The Operating Margin of WSP (9.13%) is better than 66.67% of its industry peers.
WSP's Operating Margin has improved in the last couple of years.
The Gross Margin of WSP (75.31%) is better than 100.00% of its industry peers.
WSP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.13% | ||
| PM (TTM) | 4.52% | ||
| GM | 75.31% |
OM growth 3Y7.44%
OM growth 5Y7.57%
PM growth 3Y-2.93%
PM growth 5Y5.58%
GM growth 3Y-0.56%
GM growth 5Y-0.51%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WSP is destroying value.
WSP has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, WSP has more shares outstanding
Compared to 1 year ago, WSP has a worse debt to assets ratio.
2.2 Solvency
WSP has an Altman-Z score of 3.44. This indicates that WSP is financially healthy and has little risk of bankruptcy at the moment.
WSP's Altman-Z score of 3.44 is fine compared to the rest of the industry. WSP outperforms 66.67% of its industry peers.
WSP has a debt to FCF ratio of 2.83. This is a good value and a sign of high solvency as WSP would need 2.83 years to pay back of all of its debts.
The Debt to FCF ratio of WSP (2.83) is better than 100.00% of its industry peers.
WSP has a Debt/Equity ratio of 0.56. This is a neutral value indicating WSP is somewhat dependend on debt financing.
The Debt to Equity ratio of WSP (0.56) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 3.44 |
ROIC/WACC0.81
WACC10.41%
2.3 Liquidity
A Current Ratio of 1.22 indicates that WSP should not have too much problems paying its short term obligations.
WSP has a Current ratio of 1.22. This is comparable to the rest of the industry: WSP outperforms 50.00% of its industry peers.
A Quick Ratio of 1.22 indicates that WSP should not have too much problems paying its short term obligations.
WSP has a Quick ratio (1.22) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 |
3. Growth
3.1 Past
WSP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.27%, which is quite good.
WSP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.94% yearly.
Looking at the last year, WSP shows a quite strong growth in Revenue. The Revenue has grown by 18.24% in the last year.
WSP shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.64% yearly.
EPS 1Y (TTM)17.27%
EPS 3Y16.44%
EPS 5Y20.94%
EPS Q2Q%24.34%
Revenue 1Y (TTM)18.24%
Revenue growth 3Y16.29%
Revenue growth 5Y12.64%
Sales Q2Q%-11.62%
3.2 Future
Based on estimates for the next years, WSP will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.73% on average per year.
The Revenue is expected to grow by 6.92% on average over the next years.
EPS Next Y19.01%
EPS Next 2Y17.26%
EPS Next 3Y15.73%
EPS Next 5YN/A
Revenue Next Year13.57%
Revenue Next 2Y10.92%
Revenue Next 3Y9.19%
Revenue Next 5Y6.92%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
WSP is valuated quite expensively with a Price/Earnings ratio of 31.99.
Compared to the rest of the industry, the Price/Earnings ratio of WSP is on the same level as its industry peers.
WSP's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.29.
WSP is valuated quite expensively with a Price/Forward Earnings ratio of 25.21.
Based on the Price/Forward Earnings ratio, WSP is valued expensively inside the industry as 83.33% of the companies are valued cheaper.
WSP's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.99 | ||
| Fwd PE | 25.21 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as WSP.
Based on the Price/Free Cash Flow ratio, WSP is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.63 | ||
| EV/EBITDA | 17.37 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of WSP may justify a higher PE ratio.
WSP's earnings are expected to grow with 15.73% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.68
PEG (5Y)1.53
EPS Next 2Y17.26%
EPS Next 3Y15.73%
5. Dividend
5.1 Amount
With a yearly dividend of 0.54%, WSP is not a good candidate for dividend investing.
WSP's Dividend Yield is slightly below the industry average, which is at 1.36.
Compared to an average S&P500 Dividend Yield of 2.38, WSP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.54% |
5.2 History
The dividend of WSP is nicely growing with an annual growth rate of 14.72%!
WSP has paid a dividend for at least 10 years, which is a reliable track record.
WSP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)14.72%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
24.11% of the earnings are spent on dividend by WSP. This is a low number and sustainable payout ratio.
The dividend of WSP is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP24.11%
EPS Next 2Y17.26%
EPS Next 3Y15.73%
TSX:WSP (10/16/2025, 7:00:00 PM)
277.99
-5.74 (-2.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners57.6%
Inst Owner ChangeN/A
Ins Owners0.45%
Ins Owner ChangeN/A
Market Cap36.31B
Analysts80
Price Target319.33 (14.87%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.54% |
Yearly Dividend1.47
Dividend Growth(5Y)14.72%
DP24.11%
Div Incr Years1
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.14%
Min EPS beat(2)1.66%
Max EPS beat(2)2.61%
EPS beat(4)3
Avg EPS beat(4)1.45%
Min EPS beat(4)-0.41%
Max EPS beat(4)2.61%
EPS beat(8)7
Avg EPS beat(8)2.28%
EPS beat(12)11
Avg EPS beat(12)2.84%
EPS beat(16)14
Avg EPS beat(16)3.41%
Revenue beat(2)1
Avg Revenue beat(2)-0.63%
Min Revenue beat(2)-1.53%
Max Revenue beat(2)0.28%
Revenue beat(4)2
Avg Revenue beat(4)-0.75%
Min Revenue beat(4)-2.7%
Max Revenue beat(4)0.95%
Revenue beat(8)5
Avg Revenue beat(8)3.59%
Revenue beat(12)9
Avg Revenue beat(12)12.24%
Revenue beat(16)13
Avg Revenue beat(16)17.02%
PT rev (1m)0%
PT rev (3m)5.51%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.42%
EPS NY rev (1m)0.33%
EPS NY rev (3m)0.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.51%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.99 | ||
| Fwd PE | 25.21 | ||
| P/S | 2.07 | ||
| P/FCF | 19.63 | ||
| P/OCF | 18.06 | ||
| P/B | 4.28 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.37 |
EPS(TTM)8.69
EY3.13%
EPS(NY)11.03
Fwd EY3.97%
FCF(TTM)14.16
FCFY5.1%
OCF(TTM)15.39
OCFY5.54%
SpS134.34
BVpS64.88
TBVpS-16.99
PEG (NY)1.68
PEG (5Y)1.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.13% | ||
| ROE | 9.37% | ||
| ROCE | 11.43% | ||
| ROIC | 8.43% | ||
| ROICexc | 8.86% | ||
| ROICexgc | 44.63% | ||
| OM | 9.13% | ||
| PM (TTM) | 4.52% | ||
| GM | 75.31% | ||
| FCFM | 10.54% |
ROA(3y)3.27%
ROA(5y)3.43%
ROE(3y)8.04%
ROE(5y)8.21%
ROIC(3y)7.42%
ROIC(5y)7.37%
ROICexc(3y)7.84%
ROICexc(5y)8.02%
ROICexgc(3y)43.25%
ROICexgc(5y)43.64%
ROCE(3y)10.06%
ROCE(5y)9.98%
ROICexcg growth 3Y-0.61%
ROICexcg growth 5Y10.43%
ROICexc growth 3Y-1.72%
ROICexc growth 5Y0.95%
OM growth 3Y7.44%
OM growth 5Y7.57%
PM growth 3Y-2.93%
PM growth 5Y5.58%
GM growth 3Y-0.56%
GM growth 5Y-0.51%
F-Score6
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.83 | ||
| Debt/EBITDA | 2.04 | ||
| Cap/Depr | 21.84% | ||
| Cap/Sales | 0.91% | ||
| Interest Coverage | 6.34 | ||
| Cash Conversion | 86.06% | ||
| Profit Quality | 233.06% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 3.44 |
F-Score6
WACC10.41%
ROIC/WACC0.81
Cap/Depr(3y)25.14%
Cap/Depr(5y)23.67%
Cap/Sales(3y)1.22%
Cap/Sales(5y)1.18%
Profit Quality(3y)158.5%
Profit Quality(5y)209.53%
High Growth Momentum
Growth
EPS 1Y (TTM)17.27%
EPS 3Y16.44%
EPS 5Y20.94%
EPS Q2Q%24.34%
EPS Next Y19.01%
EPS Next 2Y17.26%
EPS Next 3Y15.73%
EPS Next 5YN/A
Revenue 1Y (TTM)18.24%
Revenue growth 3Y16.29%
Revenue growth 5Y12.64%
Sales Q2Q%-11.62%
Revenue Next Year13.57%
Revenue Next 2Y10.92%
Revenue Next 3Y9.19%
Revenue Next 5Y6.92%
EBIT growth 1Y23.35%
EBIT growth 3Y24.95%
EBIT growth 5Y21.17%
EBIT Next Year71.87%
EBIT Next 3Y28.3%
EBIT Next 5Y18.81%
FCF growth 1Y186.2%
FCF growth 3Y9.07%
FCF growth 5Y12.86%
OCF growth 1Y141.47%
OCF growth 3Y9.24%
OCF growth 5Y11.16%