WISDOMTREE INC (WT) Stock Fundamental Analysis
NYSE:WT - New York Stock Exchange, Inc. - US97717P1049 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to WT. WT was compared to 232 industry peers in the Capital Markets industry. WT has only an average score on both its financial health and profitability. WT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year WT was profitable.
WT had a positive operating cash flow in the past year.
Of the past 5 years WT 4 years were profitable.
In the past 5 years WT always reported a positive cash flow from operatings.
1.2 Ratios
WT's Return On Assets of 7.28% is amongst the best of the industry. WT outperforms 83.19% of its industry peers.
Looking at the Return On Equity, with a value of 17.92%, WT belongs to the top of the industry, outperforming 83.62% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 14.22%, WT belongs to the top of the industry, outperforming 87.93% of the companies in the same industry.
WT had an Average Return On Invested Capital over the past 3 years of 8.34%. This is in line with the industry average of 7.89%.
The last Return On Invested Capital (14.22%) for WT is above the 3 year average (8.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.28% | ||
| ROE | 17.92% | ||
| ROIC | 14.22% |
ROA(3y)6.42%
ROA(5y)3.86%
ROE(3y)13.43%
ROE(5y)8.36%
ROIC(3y)8.34%
ROIC(5y)7.51%
1.3 Margins
With a Profit Margin value of 13.90%, WT perfoms like the industry average, outperforming 49.57% of the companies in the same industry.
WT's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 32.00%, WT perfoms like the industry average, outperforming 55.60% of the companies in the same industry.
In the last couple of years the Operating Margin of WT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32% | ||
| PM (TTM) | 13.9% | ||
| GM | N/A |
OM growth 3Y3.11%
OM growth 5Y9.47%
PM growth 3Y-7.14%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, WT has less shares outstanding
The number of shares outstanding for WT has been reduced compared to 5 years ago.
WT has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.93 indicates that WT is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of WT (2.93) is better than 77.59% of its industry peers.
WT has a debt to FCF ratio of 4.54. This is a neutral value as WT would need 4.54 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 4.54, WT is doing good in the industry, outperforming 66.81% of the companies in the same industry.
A Debt/Equity ratio of 1.26 is on the high side and indicates that WT has dependencies on debt financing.
The Debt to Equity ratio of WT (1.26) is worse than 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 4.54 | ||
| Altman-Z | 2.93 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
WT has a Current Ratio of 3.83. This indicates that WT is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.83, WT belongs to the top of the industry, outperforming 83.19% of the companies in the same industry.
A Quick Ratio of 3.83 indicates that WT has no problem at all paying its short term obligations.
WT has a better Quick ratio (3.83) than 83.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.83 | ||
| Quick Ratio | 3.83 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 59.52% over the past year.
WT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.42% yearly.
WT shows a strong growth in Revenue. In the last year, the Revenue has grown by 47.28%.
Measured over the past years, WT shows a quite strong growth in Revenue. The Revenue has been growing by 9.92% on average per year.
EPS 1Y (TTM)59.52%
EPS 3Y18.35%
EPS 5Y23.42%
EPS Q2Q%33.33%
Revenue 1Y (TTM)47.28%
Revenue growth 3Y12.02%
Revenue growth 5Y9.92%
Sales Q2Q%11.61%
3.2 Future
WT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.51% yearly.
The Revenue is expected to grow by 4.45% on average over the next years.
EPS Next Y12.81%
EPS Next 2Y9.7%
EPS Next 3Y7.51%
EPS Next 5YN/A
Revenue Next Year3.98%
Revenue Next 2Y4.79%
Revenue Next 3Y4.45%
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.
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
Based on the Price/Earnings ratio of 14.15, the valuation of WT can be described as correct.
WT's Price/Earnings is on the same level as the industry average.
WT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.29.
With a Price/Forward Earnings ratio of 12.51, WT is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WT is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.17. WT is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.15 | ||
| Fwd PE | 12.51 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WT indicates a rather cheap valuation: WT is cheaper than 88.36% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WT indicates a somewhat cheap valuation: WT is cheaper than 71.55% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.71 | ||
| EV/EBITDA | 9.1 |
4.3 Compensation for Growth
WT's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of WT may justify a higher PE ratio.
PEG (NY)1.1
PEG (5Y)0.6
EPS Next 2Y9.7%
EPS Next 3Y7.51%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.26%, WT has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 8.15, WT is paying slightly less dividend.
With a Dividend Yield of 1.26, WT pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
5.2 History
The dividend of WT decreases each year by -0.63%.
WT has been paying a dividend for at least 10 years, so it has a reliable track record.
As WT did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-0.63%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
25.02% of the earnings are spent on dividend by WT. This is a low number and sustainable payout ratio.
DP25.02%
EPS Next 2Y9.7%
EPS Next 3Y7.51%
9.48
+0.04 (+0.42%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners99.73%
Inst Owner ChangeN/A
Ins Owners9.32%
Ins Owner Change-9.82%
Market Cap1.39B
Analysts78.67
Price Target11.99 (26.48%)
Short Float %11.33%
Short Ratio8.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.26% |
Yearly Dividend0.13
Dividend Growth(5Y)-0.63%
DP25.02%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.13%
Min EPS beat(2)-9.56%
Max EPS beat(2)1.31%
EPS beat(4)3
Avg EPS beat(4)1.76%
Min EPS beat(4)-9.56%
Max EPS beat(4)10.96%
EPS beat(8)6
Avg EPS beat(8)2.5%
EPS beat(12)7
Avg EPS beat(12)3.38%
EPS beat(16)11
Avg EPS beat(16)5.03%
Revenue beat(2)0
Avg Revenue beat(2)-3.35%
Min Revenue beat(2)-3.78%
Max Revenue beat(2)-2.91%
Revenue beat(4)1
Avg Revenue beat(4)-1.33%
Min Revenue beat(4)-3.78%
Max Revenue beat(4)1.57%
Revenue beat(8)1
Avg Revenue beat(8)-1.33%
Revenue beat(12)2
Avg Revenue beat(12)-1.49%
Revenue beat(16)2
Avg Revenue beat(16)-1.74%
PT rev (1m)0%
PT rev (3m)-4.91%
EPS NQ rev (1m)0.97%
EPS NQ rev (3m)-0.95%
EPS NY rev (1m)2.22%
EPS NY rev (3m)-1.78%
Revenue NQ rev (1m)-1%
Revenue NQ rev (3m)-2.01%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-1.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.15 | ||
| Fwd PE | 12.51 | ||
| P/S | 2.6 | ||
| P/FCF | 11.71 | ||
| P/OCF | 11.53 | ||
| P/B | 3.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.1 |
EPS(TTM)0.67
EY7.07%
EPS(NY)0.76
Fwd EY8%
FCF(TTM)0.81
FCFY8.54%
OCF(TTM)0.82
OCFY8.67%
SpS3.64
BVpS2.83
TBVpS-1.89
PEG (NY)1.1
PEG (5Y)0.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.28% | ||
| ROE | 17.92% | ||
| ROCE | 18.22% | ||
| ROIC | 14.22% | ||
| ROICexc | 19.52% | ||
| ROICexgc | N/A | ||
| OM | 32% | ||
| PM (TTM) | 13.9% | ||
| GM | N/A | ||
| FCFM | 22.21% |
ROA(3y)6.42%
ROA(5y)3.86%
ROE(3y)13.43%
ROE(5y)8.36%
ROIC(3y)8.34%
ROIC(5y)7.51%
ROICexc(3y)11.41%
ROICexc(5y)10.08%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)10.68%
ROCE(5y)9.63%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y17.15%
ROICexc growth 5Y24%
OM growth 3Y3.11%
OM growth 5Y9.47%
PM growth 3Y-7.14%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 4.54 | ||
| Debt/EBITDA | 3 | ||
| Cap/Depr | 52.27% | ||
| Cap/Sales | 0.35% | ||
| Interest Coverage | 11.41 | ||
| Cash Conversion | 69.07% | ||
| Profit Quality | 159.83% | ||
| Current Ratio | 3.83 | ||
| Quick Ratio | 3.83 | ||
| Altman-Z | 2.93 |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)135.71%
Cap/Depr(5y)100%
Cap/Sales(3y)0.43%
Cap/Sales(5y)0.32%
Profit Quality(3y)144.09%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)59.52%
EPS 3Y18.35%
EPS 5Y23.42%
EPS Q2Q%33.33%
EPS Next Y12.81%
EPS Next 2Y9.7%
EPS Next 3Y7.51%
EPS Next 5YN/A
Revenue 1Y (TTM)47.28%
Revenue growth 3Y12.02%
Revenue growth 5Y9.92%
Sales Q2Q%11.61%
Revenue Next Year3.98%
Revenue Next 2Y4.79%
Revenue Next 3Y4.45%
Revenue Next 5YN/A
EBIT growth 1Y73.42%
EBIT growth 3Y15.5%
EBIT growth 5Y20.34%
EBIT Next Year11.1%
EBIT Next 3Y4.78%
EBIT Next 5YN/A
FCF growth 1Y127.57%
FCF growth 3Y13.95%
FCF growth 5Y14.06%
OCF growth 1Y130.67%
OCF growth 3Y14.64%
OCF growth 5Y14.56%