Willdan Group, Inc.
Willdan Group, Inc. Fundamental Analysis
Willdan Group, Inc. (WLDN) shows moderate financial fundamentals with a PE ratio of 24.30, profit margin of 8.24%, and ROE of 19.38%. The company generates $0.7B in annual revenue with strong year-over-year growth of 20.46%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 76.1/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze WLDN's fundamental strength across five key dimensions:
Efficiency Score
ExcellentWLDN demonstrates superior asset utilization.
Valuation Score
ExcellentWLDN trades at attractive valuation levels.
Growth Score
ModerateWLDN shows steady but slowing expansion.
Financial Health Score
ExcellentWLDN maintains a strong and stable balance sheet.
Profitability Score
ModerateWLDN maintains healthy but balanced margins.
Key Financial Metrics
Is WLDN Expensive or Cheap?
P/E Ratio
WLDN trades at 24.30 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, WLDN's PEG of 0.20 indicates potential undervaluation.
Price to Book
The market values Willdan Group, Inc. at 4.42 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 20.83 times EBITDA. This signals the market has high growth expectations.
How Well Does WLDN Make Money?
Net Profit Margin
For every $100 in sales, Willdan Group, Inc. keeps $8.24 as profit after all expenses.
Operating Margin
Core operations generate 6.49 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $19.38 in profit for every $100 of shareholder equity.
ROA
Willdan Group, Inc. generates $11.02 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Willdan Group, Inc. generates limited operating cash flow of $53.73M, signaling weaker underlying cash strength.
Free Cash Flow
Willdan Group, Inc. produces free cash flow of $44.40M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $2.94 in free cash annually.
FCF Yield
WLDN converts 3.10% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
24.30
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.20
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.42
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.05
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.22
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.68
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.19
vs 25 benchmark
ROA
Return on assets percentage
0.11
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How WLDN Stacks Against Its Sector Peers
| Metric | WLDN Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 24.30 | 26.36 | Neutral |
| ROE | 19.38% | 1262.00% | Weak |
| Net Margin | 8.24% | -30224.00% (disorted) | Weak |
| Debt/Equity | 0.22 | 0.73 | Strong (Low Leverage) |
| Current Ratio | 1.68 | 8.96 | Neutral |
| ROA | 11.02% | -1491455.00% (disorted) | Strong |
WLDN outperforms its industry in 2 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Willdan Group, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
42.16%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
395.67%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
38.88%
Industry Style: Cyclical, Value, Infrastructure
High Growth