Washington Trust Bancorp, Inc.
Washington Trust Bancorp, Inc. Fundamental Analysis
Washington Trust Bancorp, Inc. (WASH) shows moderate financial fundamentals with a PE ratio of 11.19, profit margin of 13.71%, and ROE of 9.72%. The company generates $0.4B in annual revenue with strong year-over-year growth of 22.62%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 64.1/100 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 WASH's fundamental strength across five key dimensions:
Efficiency Score
WeakWASH struggles to generate sufficient returns from assets.
Valuation Score
ExcellentWASH trades at attractive valuation levels.
Growth Score
ModerateWASH shows steady but slowing expansion.
Financial Health Score
ModerateWASH shows balanced financial health with some risks.
Profitability Score
WeakWASH struggles to sustain strong margins.
Key Financial Metrics
Is WASH Expensive or Cheap?
P/E Ratio
WASH trades at 11.19 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, WASH's PEG of 0.04 indicates potential undervaluation.
Price to Book
The market values Washington Trust Bancorp, Inc. at 1.07 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.67 times EBITDA. This is generally considered low.
How Well Does WASH Make Money?
Net Profit Margin
For every $100 in sales, Washington Trust Bancorp, Inc. keeps $13.71 as profit after all expenses.
Operating Margin
Core operations generate 17.69 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.72 in profit for every $100 of shareholder equity.
ROA
Washington Trust Bancorp, Inc. generates $0.81 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Washington Trust Bancorp, Inc. produces operating cash flow of $52.57M, showing steady but balanced cash generation.
Free Cash Flow
Washington Trust Bancorp, Inc. generates strong free cash flow of $52.57M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.76 in free cash annually.
FCF Yield
WASH converts 9.19% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.19
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.07
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.53
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
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
0.008
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How WASH Stacks Against Its Sector Peers
| Metric | WASH Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.19 | 18.99 | Better (Cheaper) |
| ROE | 9.72% | 821.00% | Weak |
| Net Margin | 13.71% | 1914.00% | Weak |
| Debt/Equity | 0.00 | 1.00 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 657.31 | Weak Liquidity |
| ROA | 0.81% | -25084.00% (disorted) | Weak |
WASH outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Washington Trust Bancorp, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
27.47%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
-32.59%
Industry Style: Value, Dividend, Cyclical
DecliningFCF CAGR
109.07%
Industry Style: Value, Dividend, Cyclical
High Growth