WSP Global Inc.
WSP Global Inc. Fundamental Analysis
WSP Global Inc. (WSPOF) shows moderate financial fundamentals with a PE ratio of 30.60, profit margin of 5.27%, and ROE of 10.86%. The company generates $18.8B in annual revenue with strong year-over-year growth of 11.98%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 62.2/100 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 WSPOF's fundamental strength across five key dimensions:
Efficiency Score
WeakWSPOF struggles to generate sufficient returns from assets.
Valuation Score
WeakWSPOF trades at a premium to fair value.
Growth Score
ExcellentWSPOF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentWSPOF maintains a strong and stable balance sheet.
Profitability Score
WeakWSPOF struggles to sustain strong margins.
Key Financial Metrics
Is WSPOF Expensive or Cheap?
P/E Ratio
WSPOF trades at 30.60 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, WSPOF's PEG of 2.24 indicates potential overvaluation.
Price to Book
The market values WSP Global Inc. at 3.00 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 10.76 times EBITDA. This signals the market has high growth expectations.
How Well Does WSPOF Make Money?
Net Profit Margin
For every $100 in sales, WSP Global Inc. keeps $5.27 as profit after all expenses.
Operating Margin
Core operations generate 9.70 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.86 in profit for every $100 of shareholder equity.
ROA
WSP Global Inc. generates $4.63 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
WSP Global Inc. produces operating cash flow of $2.20B, showing steady but balanced cash generation.
Free Cash Flow
WSP Global Inc. generates strong free cash flow of $2.05B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $15.19 in free cash annually.
FCF Yield
WSPOF converts 6.55% 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
2.24
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.001
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.66
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.59
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.27
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How WSPOF Stacks Against Its Sector Peers
| Metric | WSPOF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 30.60 | 25.83 | Worse (Expensive) |
| ROE | 10.86% | 1291.00% | Weak |
| Net Margin | 5.27% | -43845.00% (disorted) | Weak |
| Debt/Equity | 0.59 | 0.80 | Strong (Low Leverage) |
| Current Ratio | 1.27 | 10.66 | Neutral |
| ROA | 4.63% | -1540652.00% (disorted) | Weak |
WSPOF 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 WSP Global Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
51.31%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
98.48%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
30.15%
Industry Style: Cyclical, Value, Infrastructure
High Growth