Worthington Enterprises, Inc. (WOR) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Nucor Corp.

Metallus, Inc.

Reliance, Inc.

Steel Dynamics, Inc.

Commercial Metals Co.

Cleveland-Cliffs, Inc.

Ryerson Holding Corp.

Worthington Enterprises, Inc.

Radius Recycling, Inc.

United States Steel Corp.

Mesabi Trust

Why is Worthington Enterprises, Inc. ?

Company has a low Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate -18.13% of over the last 5 years

Flat results in May 25

NET SALES(9M) At USD 896.45 MM has Grown at -47.96%
INTEREST(HY) At USD 0.68 MM has Grown at 368.97%
OPERATING CASH FLOW(Y) Lowest at USD 209.74 MM

With ROCE of 3.32%, it has a expensive valuation with a 3.04 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 41.95%, its profits have fallen by -60.4%

Market Beating Performance

The stock has generated a return of 41.95% in the last 1 year, much higher than market (S&P 500) returns of 14.11%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Worthington Enterprises, Inc. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Worthington Enterprises, Inc.

3.09%

0.24

40.17%

S&P 500

22.24%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-14.91%

EBIT Growth (5y)

-4.47%

EBIT to Interest (avg)

13.35

Debt to EBITDA (avg)

0.85

Net Debt to Equity (avg)

0.06

Sales to Capital Employed (avg)

1.37

Tax Ratio

26.27%

Dividend Payout Ratio

35.49%

Pledged Shares

Institutional Holding

56.31%

ROCE (avg)

10.28%

ROE (avg)

26.77%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.61

EV to EBIT

36.72

EV to EBITDA

21.44

EV to Capital Employed

2.41

EV to Sales

2.11

PEG Ratio

0.67

Dividend Yield

ROCE (Latest)

6.57%

ROE (Latest)

14.18%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

6What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 1.42% (YoY

NET SALES(Q)

Highest at USD 378.68 MM

OPERATING PROFIT(Q)

Highest at USD 47.86 MM

OPERATING PROFIT MARGIN(Q)

Highest at 12.64 %

EPS(Q)

Highest at USD 0.92

-14What is not working for the Company

DIVIDEND PAYOUT RATIO(Y)

Lowest at 20.76%

CASH AND EQV(HY)

Lowest at USD 186.27 MM

DEBT-EQUITY RATIO (HY)

Highest at 35.08 %

INTEREST(Q)

Highest at USD 1.94 MM

Here's what is working for Worthington Enterprises, Inc.

Net Sales

Highest at USD 378.68 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Net Sales

At USD 378.68 MM has Grown at 20.83%

over average net sales of the previous four periods of USD 313.39 MM

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit

Highest at USD 47.86 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 12.64 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

EPS

Highest at USD 0.92

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by 1.42% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 14.55 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Worthington Enterprises, Inc.

Interest

At USD 1.94 MM has Grown at 27.73%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest

Highest at USD 1.94 MM

in the last five periods and Increased by 27.73% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Cash and Eqv

Lowest at USD 186.27 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 35.08 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Dividend Payout Ratio

Lowest at 20.76%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)