Norwood Financial Corp.
Norwood Financial Corp. Fundamental Analysis
Norwood Financial Corp. (NWFL) shows strong financial fundamentals with a PE ratio of 10.47, profit margin of 19.06%, and ROE of 10.43%. The company generates $0.1B in annual revenue with strong year-over-year growth of 34.22%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 66.6/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze NWFL's fundamental strength across five key dimensions:
Efficiency Score
WeakNWFL struggles to generate sufficient returns from assets.
Valuation Score
ExcellentNWFL trades at attractive valuation levels.
Growth Score
ExcellentNWFL delivers strong and consistent growth momentum.
Financial Health Score
ModerateNWFL shows balanced financial health with some risks.
Profitability Score
ModerateNWFL maintains healthy but balanced margins.
Key Financial Metrics
Is NWFL Expensive or Cheap?
P/E Ratio
NWFL trades at 10.47 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, NWFL's PEG of 0.00 indicates potential undervaluation.
Price to Book
The market values Norwood Financial Corp. at 0.95 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.18 times EBITDA. This is generally considered low.
How Well Does NWFL Make Money?
Net Profit Margin
For every $100 in sales, Norwood Financial Corp. keeps $19.06 as profit after all expenses.
Operating Margin
Core operations generate 24.48 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.43 in profit for every $100 of shareholder equity.
ROA
Norwood Financial Corp. generates $0.88 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Norwood Financial Corp. generates strong operating cash flow of $34.22M, reflecting robust business health.
Free Cash Flow
Norwood Financial Corp. generates strong free cash flow of $30.65M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.32 in free cash annually.
FCF Yield
NWFL converts 11.29% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.47
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.004
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.95
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.01
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.31
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.009
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How NWFL Stacks Against Its Sector Peers
| Metric | NWFL Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.47 | 18.92 | Better (Cheaper) |
| ROE | 10.43% | 816.00% | Weak |
| Net Margin | 19.06% | 830.00% | Weak |
| Debt/Equity | 0.31 | 0.86 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 620.57 | Weak Liquidity |
| ROA | 0.88% | -24635.00% (disorted) | Weak |
NWFL outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Norwood Financial Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
61.58%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
44.68%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
93.53%
Industry Style: Value, Dividend, Cyclical
High Growth