WSP GLOBAL INC (WSP.CA) Stock Fundamental Analysis
Canada - TSX:WSP - CA92938W2022 - Common Stock
254.44 CAD
-14.09 (-5.25%)
Overall WSP gets a fundamental rating of 6 out of 10. We evaluated WSP against 7 industry peers in the Construction & Engineering industry. While WSP has a great profitability rating, there are some minor concerns on its financial health. WSP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year WSP was profitable.
WSP had a positive operating cash flow in the past year.
Each year in the past 5 years WSP has been profitable.
WSP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
WSP has a Return On Assets (4.13%) which is in line with its industry peers.
With a Return On Equity value of 9.37%, WSP perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
With a Return On Invested Capital value of 8.43%, WSP perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for WSP is in line with the industry average of 9.40%.
The last Return On Invested Capital (8.43%) for WSP is above the 3 year average (7.42%), which is a sign of increasing profitability.
| 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
The Profit Margin of WSP (4.52%) is comparable to the rest of the industry.
WSP's Profit Margin has improved in the last couple of years.
WSP has a Operating Margin of 9.13%. This is in the better half of the industry: WSP outperforms 71.43% of its industry peers.
In the last couple of years the Operating Margin of WSP has grown nicely.
WSP's Gross Margin of 75.31% is amongst the best of the industry. WSP outperforms 100.00% of its industry peers.
In the last couple of years the Gross Margin of WSP has remained more or less at the same level.
| 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
WSP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, WSP has more shares outstanding
WSP has more shares outstanding than it did 5 years ago.
WSP has a worse debt/assets ratio than last year.
2.2 Solvency
WSP has an Altman-Z score of 3.27. This indicates that WSP is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of WSP (3.27) is comparable to the rest of the industry.
The Debt to FCF ratio of WSP is 2.83, which is a good value as it means it would take WSP, 2.83 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of WSP (2.83) is better than 100.00% of its industry peers.
A Debt/Equity ratio of 0.56 indicates that WSP is somewhat dependend on debt financing.
WSP's Debt to Equity ratio of 0.56 is in line compared to the rest of the industry. WSP outperforms 57.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 3.27 |
ROIC/WACC0.9
WACC9.34%
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 57.14% of its industry peers.
WSP has a Quick Ratio of 1.22. This is a normal value and indicates that WSP is financially healthy and should not expect problems in meeting its short term obligations.
WSP has a Quick ratio (1.22) which is comparable to the rest of the industry.
| 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.
The Earnings Per Share has been growing by 20.94% on average over the past years. This is a very strong growth
The Revenue has grown by 18.24% in the past year. This is quite good.
Measured over the past years, WSP shows a quite strong growth in Revenue. The Revenue has been growing by 12.64% on average per year.
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
WSP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.73% yearly.
Based on estimates for the next years, WSP will show a small growth in Revenue. The Revenue will grow by 6.92% on average per year.
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 29.28 indicates a quite expensive valuation of WSP.
Compared to the rest of the industry, the Price/Earnings ratio of WSP indicates a somewhat cheap valuation: WSP is cheaper than 71.43% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.67, WSP is valued at the same level.
Based on the Price/Forward Earnings ratio of 23.07, the valuation of WSP can be described as rather expensive.
WSP's Price/Forward Earnings is on the same level as the industry average.
WSP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 31.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.28 | ||
| Fwd PE | 23.07 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WSP indicates a somewhat cheap valuation: WSP is cheaper than 71.43% of the companies listed in the same industry.
100.00% of the companies in the same industry are more expensive than WSP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.96 | ||
| EV/EBITDA | 16.05 |
4.3 Compensation for Growth
WSP's 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.
A more expensive valuation may be justified as WSP's earnings are expected to grow with 15.73% in the coming years.
PEG (NY)1.54
PEG (5Y)1.4
EPS Next 2Y17.26%
EPS Next 3Y15.73%
5. Dividend
5.1 Amount
WSP has a yearly dividend return of 0.55%, which is pretty low.
WSP's Dividend Yield is comparable with the industry average which is at 1.23.
Compared to an average S&P500 Dividend Yield of 2.40, WSP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
5.2 History
The dividend of WSP is nicely growing with an annual growth rate of 14.72%!
WSP has been paying a dividend for at least 10 years, so it has 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
WSP pays out 24.11% of its income as dividend. This is a sustainable payout ratio.
WSP's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP24.11%
EPS Next 2Y17.26%
EPS Next 3Y15.73%
TSX:WSP (11/6/2025, 7:00:00 PM)
254.44
-14.09 (-5.25%)
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 Cap33.23B
Revenue(TTM)17.55B
Net Income(TTM)793.80M
Analysts80
Price Target322.32 (26.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
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)0.94%
PT rev (3m)6.14%
EPS NQ rev (1m)0.47%
EPS NQ rev (3m)1.77%
EPS NY rev (1m)0%
EPS NY rev (3m)0.72%
Revenue NQ rev (1m)0.26%
Revenue NQ rev (3m)-1.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.28 | ||
| Fwd PE | 23.07 | ||
| P/S | 1.89 | ||
| P/FCF | 17.96 | ||
| P/OCF | 16.53 | ||
| P/B | 3.92 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.05 |
EPS(TTM)8.69
EY3.42%
EPS(NY)11.03
Fwd EY4.33%
FCF(TTM)14.16
FCFY5.57%
OCF(TTM)15.39
OCFY6.05%
SpS134.34
BVpS64.88
TBVpS-16.99
PEG (NY)1.54
PEG (5Y)1.4
Graham Number112.63
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%
ROICexgc growth 3Y-0.61%
ROICexgc 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 | 3.27 |
F-Score6
WACC9.34%
ROIC/WACC0.9
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%
WSP GLOBAL INC / WSP.CA FAQ
What is the ChartMill fundamental rating of WSP GLOBAL INC (WSP.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to WSP.CA.
Can you provide the valuation status for WSP GLOBAL INC?
ChartMill assigns a valuation rating of 5 / 10 to WSP GLOBAL INC (WSP.CA). This can be considered as Fairly Valued.
How profitable is WSP GLOBAL INC (WSP.CA) stock?
WSP GLOBAL INC (WSP.CA) has a profitability rating of 7 / 10.
What is the valuation of WSP GLOBAL INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for WSP GLOBAL INC (WSP.CA) is 29.28 and the Price/Book (PB) ratio is 3.92.
How sustainable is the dividend of WSP GLOBAL INC (WSP.CA) stock?
The dividend rating of WSP GLOBAL INC (WSP.CA) is 5 / 10 and the dividend payout ratio is 24.11%.