Winmark Corporation
Find Ratings ReportsWINMARK CORP's gross profit margin for the fourth quarter of its fiscal year 2023 is essentially unchanged when compared to the same period a year ago. Sales and net income have dropped, underperforming the average competitor within its subsector. WINMARK CORP has average liquidity. Currently, the Quick Ratio is 1.43 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year, indicating deteriorating cash flow.
At the same time, stockholders' equity ("net worth") has remained virtually unchanged only increasing by 4.01% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
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Net Sales ($mil) | 20.04 | 21.13 |
EBITDA ($mil) | 12.71 | 13.59 |
EBIT ($mil) | 12.52 | 13.4 |
Net Income ($mil) | 9.72 | 10.18 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 13.39 | 13.68 |
Total Assets ($mil) | 28.97 | 30.46 |
Total Debt ($mil) | 72.78 | 78.1 |
Equity ($mil) | -59.16 | -61.63 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | 95.43 | 94.98 |
EBITDA Margin | 63.43 | 64.33 |
Operating Margin | 62.47 | 63.42 |
Sales Turnover | 2.87 | 2.67 |
Return on Assets | 138.69 | 129.44 |
Return on Equity | 0.0 | 0.0 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 1.6 | 1.71 |
Debt/Capital | 5.34 | 4.74 |
Interest Expense | 0.75 | 0.87 |
Interest Coverage | 16.67 | 15.42 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 3.5 | 3.46 |
Div / share | 10.2 | 3.7 |
EPS | 2.64 | 2.86 |
Book value / share | -16.92 | -17.81 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 26038.0 | 32090.0 |
BUY. WINMARK CORP's P/E ratio indicates a premium compared to an average of 26.07 for the Lessors of Nonfinancial Intangible Assets subsector and a premium compared to the S&P 500 average of 27.95. Normally, for additional comaprison, we would look at the price-to-book ratio; however, this company's price-to-book ratio is negative making the value useless for comparisons. The price-to-sales ratio is well above both the S&P 500 average and the subsector average, indicating a premium. Upon assessment of these and other key valuation criteria, WINMARK CORP seems to be trading at a premium to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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WINA 32.05 | Peers 26.07 | WINA 28.10 | Peers 24.29 | |||||||||||||||||||||
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations. WINA is trading at a premium to its peers. |
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. WINA is trading at a premium to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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WINA NA | Peers 21.35 | WINA NA | Peers 3.01 | |||||||||||||||||||||
Neutral. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth potential. Ratio not available. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. Ratio not available. |
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Price/Book |
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Earnings Growth |
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WINA NM | Peers 75.73 | WINA 0.45 | Peers 342.07 | |||||||||||||||||||||
Neutral. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. WINA's P/B is negative making this valuation measure meaningless. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, WINA is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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WINA 14.85 | Peers 11.47 | WINA 2.25 | Peers -0.46 | |||||||||||||||||||||
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. WINA is trading at a significant premium to its subsector. |
Higher. A sales growth rate that exceeds the subsector implies that a company is gaining market share. WINA has a sales growth rate that significantly exceeds its peers. |
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