OneSpaWorld Holdings Limited
OneSpaWorld Holdings Limited Fundamental Analysis
OneSpaWorld Holdings Limited (OSW) shows weak financial fundamentals with a PE ratio of 30.60, profit margin of 7.45%, and ROE of 13.18%. The company generates $1.0B in annual revenue with moderate year-over-year growth of 7.37%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.7/100 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 OSW's fundamental strength across five key dimensions:
Efficiency Score
ExcellentOSW demonstrates superior asset utilization.
Valuation Score
ModerateOSW shows balanced valuation metrics.
Growth Score
ModerateOSW shows steady but slowing expansion.
Financial Health Score
ExcellentOSW maintains a strong and stable balance sheet.
Profitability Score
WeakOSW struggles to sustain strong margins.
Key Financial Metrics
Is OSW Expensive or Cheap?
P/E Ratio
OSW trades at 30.60 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, OSW's PEG of -11.01 indicates potential undervaluation.
Price to Book
The market values OneSpaWorld Holdings Limited at 4.04 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 18.85 times EBITDA. This signals the market has high growth expectations.
How Well Does OSW Make Money?
Net Profit Margin
For every $100 in sales, OneSpaWorld Holdings Limited keeps $7.45 as profit after all expenses.
Operating Margin
Core operations generate 9.08 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.18 in profit for every $100 of shareholder equity.
ROA
OneSpaWorld Holdings Limited generates $10.13 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
OneSpaWorld Holdings Limited generates limited operating cash flow of $83.62M, signaling weaker underlying cash strength.
Free Cash Flow
OneSpaWorld Holdings Limited produces free cash flow of $68.53M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.67 in free cash annually.
FCF Yield
OSW converts 3.11% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
30.60
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-11.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.04
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.28
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.91
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.13
vs 25 benchmark
ROA
Return on assets percentage
0.10
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How OSW Stacks Against Its Sector Peers
| Metric | OSW Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 30.60 | 24.85 | Worse (Expensive) |
| ROE | 13.18% | 1165.00% | Weak |
| Net Margin | 7.45% | 752.00% | Weak |
| Debt/Equity | 0.00 | 0.76 | Strong (Low Leverage) |
| Current Ratio | 1.91 | 9.23 | Neutral |
| ROA | 10.13% | 1280.00% | Weak |
OSW outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews OneSpaWorld Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
472.66%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
117.92%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
100.00%
Industry Style: Cyclical, Growth, Discretionary
High Growth