WW INTERNATIONAL INC (WW) Stock Fundamental Analysis
NASDAQ:WW - Nasdaq - US98262P1012 - Common Stock - Currency: USD
WW gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 71 industry peers in the Diversified Consumer Services industry. There are concerns on the financial health of WW while its profitability can be described as average. WW is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
WW had positive earnings in the past year.
In the past year WW had a positive cash flow from operations.
In multiple years WW reported negative net income over the last 5 years.
Of the past 5 years WW 4 years had a positive operating cash flow.
1.2 Ratios
WW has a Return On Assets (-10.10%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for WW is above the industry average of 10.64%.
The last Return On Invested Capital (%ROIC%%) for WW is well below the 3 year average (14.03%), which needs to be investigated, but indicates that WW had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.1% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-33.08%
ROA(5y)-17.89%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)14.03%
ROIC(5y)14.19%
1.3 Margins
The Operating Margin of WW (15.03%) is better than 79.45% of its industry peers.
In the last couple of years the Operating Margin of WW has declined.
Looking at the Gross Margin, with a value of 69.24%, WW belongs to the top of the industry, outperforming 86.30% of the companies in the same industry.
In the last couple of years the Gross Margin of WW has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.03% | ||
| PM (TTM) | N/A | ||
| GM | 69.24% |
OM growth 3Y-6.32%
OM growth 5Y-8.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.5%
GM growth 5Y4.23%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), WW is creating value.
WW has more shares outstanding than it did 1 year ago.
The number of shares outstanding for WW has been increased compared to 5 years ago.
The debt/assets ratio for WW is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.72 indicates that WW is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.72, WW is in the better half of the industry, outperforming 67.12% of the companies in the same industry.
WW has a debt to FCF ratio of 82.56. This is a negative value and a sign of low solvency as WW would need 82.56 years to pay back of all of its debts.
WW's Debt to FCF ratio of 82.56 is in line compared to the rest of the industry. WW outperforms 57.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 82.56 | ||
| Altman-Z | 2.72 |
ROIC/WACCN/A
WACC5.5%
2.3 Liquidity
WW has a Current Ratio of 0.15. This is a bad value and indicates that WW is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.15, WW is not doing good in the industry: 86.30% of the companies in the same industry are doing better.
A Quick Ratio of 0.15 indicates that WW may have some problems paying its short term obligations.
With a Quick ratio value of 0.15, WW is not doing good in the industry: 86.30% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.15 | ||
| Quick Ratio | 0.15 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 272.73% over the past year.
Measured over the past years, WW shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -14.46% on average per year.
Looking at the last year, WW shows a very negative growth in Revenue. The Revenue has decreased by -10.33% in the last year.
The Revenue for WW have been decreasing by -11.07% on average. This is quite bad
EPS 1Y (TTM)272.73%
EPS 3Y-15.31%
EPS 5Y-14.46%
EPS Q2Q%-683.33%
Revenue 1Y (TTM)-10.33%
Revenue growth 3Y-13.43%
Revenue growth 5Y-11.07%
Sales Q2Q%-9.67%
3.2 Future
WW is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -76.75% yearly.
Based on estimates for the next years, WW will show a decrease in Revenue. The Revenue will decrease by -0.07% on average per year.
EPS Next Y-133.5%
EPS Next 2Y-52.33%
EPS Next 3Y-76.75%
EPS Next 5YN/A
Revenue Next Year-7.83%
Revenue Next 2Y-4.15%
Revenue Next 3Y-0.07%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 0.61, the valuation of WW can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of WW indicates a rather cheap valuation: WW is cheaper than 100.00% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of WW to the average of the S&P500 Index (27.45), we can say WW is valued rather cheaply.
The Forward Price/Earnings Ratio is negative for WW. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.61 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WW indicates a somewhat cheap valuation: WW is cheaper than 71.23% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, WW is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.03 | ||
| EV/EBITDA | 9.28 |
4.3 Compensation for Growth
A cheap valuation may be justified as WW's earnings are expected to decrease with -76.75% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-52.33%
EPS Next 3Y-76.75%
5. Dividend
5.1 Amount
No dividends for WW!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
0.2496
-0.03 (-10.51%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners22.84%
Inst Owner Change-14.5%
Ins Owners0.81%
Ins Owner Change-21.87%
Market Cap20.04M
Analysts43.64
Price Target1.02 (308.65%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1477.35%
Min EPS beat(2)-52.1%
Max EPS beat(2)3006.8%
EPS beat(4)3
Avg EPS beat(4)1821.36%
Min EPS beat(4)-52.1%
Max EPS beat(4)4042.39%
EPS beat(8)5
Avg EPS beat(8)878.11%
EPS beat(12)5
Avg EPS beat(12)258.86%
EPS beat(16)6
Avg EPS beat(16)197.65%
Revenue beat(2)2
Avg Revenue beat(2)2.41%
Min Revenue beat(2)1.46%
Max Revenue beat(2)3.36%
Revenue beat(4)2
Avg Revenue beat(4)-1.11%
Min Revenue beat(4)-6.07%
Max Revenue beat(4)3.36%
Revenue beat(8)3
Avg Revenue beat(8)-2.1%
Revenue beat(12)3
Avg Revenue beat(12)-2.7%
Revenue beat(16)3
Avg Revenue beat(16)-3.7%
PT rev (1m)0%
PT rev (3m)-3.22%
EPS NQ rev (1m)106.22%
EPS NQ rev (3m)3.13%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.94%
Revenue NQ rev (1m)2.98%
Revenue NQ rev (3m)3.86%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.61 | ||
| Fwd PE | N/A | ||
| P/S | 0.03 | ||
| P/FCF | 1.03 | ||
| P/OCF | 0.59 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.28 |
EPS(TTM)0.41
EY164.26%
EPS(NY)-0.26
Fwd EYN/A
FCF(TTM)0.24
FCFY96.9%
OCF(TTM)0.43
OCFY170.64%
SpS9.54
BVpS-14.73
TBVpS-18.79
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.1% | ||
| ROE | N/A | ||
| ROCE | -10.24% | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 15.03% | ||
| PM (TTM) | N/A | ||
| GM | 69.24% | ||
| FCFM | 2.54% |
ROA(3y)-33.08%
ROA(5y)-17.89%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)14.03%
ROIC(5y)14.19%
ROICexc(3y)16.76%
ROICexc(5y)16.75%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)17.76%
ROCE(5y)17.96%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y19.88%
ROICexc growth 5Y0.37%
OM growth 3Y-6.32%
OM growth 5Y-8.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.5%
GM growth 5Y4.23%
F-Score5
Asset Turnover1.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 82.56 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 43.09% | ||
| Cap/Sales | 1.93% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 22.88% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.15 | ||
| Quick Ratio | 0.15 | ||
| Altman-Z | 2.72 |
F-Score5
WACC5.5%
ROIC/WACCN/A
Cap/Depr(3y)66.65%
Cap/Depr(5y)75.38%
Cap/Sales(3y)3.28%
Cap/Sales(5y)3.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)272.73%
EPS 3Y-15.31%
EPS 5Y-14.46%
EPS Q2Q%-683.33%
EPS Next Y-133.5%
EPS Next 2Y-52.33%
EPS Next 3Y-76.75%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.33%
Revenue growth 3Y-13.43%
Revenue growth 5Y-11.07%
Sales Q2Q%-9.67%
Revenue Next Year-7.83%
Revenue Next 2Y-4.15%
Revenue Next 3Y-0.07%
Revenue Next 5YN/A
EBIT growth 1Y44.28%
EBIT growth 3Y-18.9%
EBIT growth 5Y-18.57%
EBIT Next Year25.71%
EBIT Next 3Y8.54%
EBIT Next 5YN/A
FCF growth 1Y-7.6%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-43.37%
OCF growth 3YN/A
OCF growth 5YN/A