Wolverine World Wide Inc.
Find Ratings ReportsWOLVERINE WORLD WIDE's gross profit margin for the fourth quarter of its fiscal year 2023 has increased when compared to the same period a year ago. Even though sales decreased, the net income has increased. WOLVERINE WORLD WIDE has very weak liquidity. Currently, the Quick Ratio is 0.47 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has increased from the same period last year.
During the same period, stockholders' equity ("net worth") has decreased by 13.10% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
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Net Sales ($mil) | 526.7 | 665.0 |
EBITDA ($mil) | -30.2 | -5.6 |
EBIT ($mil) | -39.0 | -15.0 |
Net Income ($mil) | -91.2 | -361.6 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 179.0 | 131.5 |
Total Assets ($mil) | 2062.8 | 2492.7 |
Total Debt ($mil) | 1087.9 | 1350.7 |
Equity ($mil) | 278.6 | 320.6 |
Profitability | Q4 FY23 | Q4 FY22 |
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Gross Profit Margin | 38.31 | 35.28 |
EBITDA Margin | -5.73 | -0.84 |
Operating Margin | -7.4 | -2.26 |
Sales Turnover | 1.09 | 1.08 |
Return on Assets | -1.91 | -7.55 |
Return on Equity | -14.21 | -58.73 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 1.18 | 1.14 |
Debt/Capital | 0.8 | 0.81 |
Interest Expense | 16.1 | 16.0 |
Interest Coverage | -2.42 | -0.94 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 79.55 | 78.79 |
Div / share | 0.1 | 0.1 |
EPS | -1.15 | -4.59 |
Book value / share | 3.5 | 4.07 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 940046.0 | 1099971.0 |
SELL. This stock’s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. For additional comparison, its price-to-book ratio of 2.86 indicates a significant discount versus the S&P 500 average of 4.68 and a significant discount versus the subsector average of 9.26. The price-to-sales ratio is well below both the S&P 500 average and the subsector average, indicating a discount. After reviewing these and other key valuation criteria, WOLVERINE WORLD WIDE proves to trade at a discount to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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WWW NM | Peers 31.14 | WWW 6.54 | Peers 19.85 | |||||||||||||||||||||
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings. WWW's P/E is negative making this valuation measure meaningless. |
Discount. 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. WWW is trading at a significant discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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WWW 8.86 | Peers 23.39 | WWW NA | Peers 2.17 | |||||||||||||||||||||
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations. WWW is trading at a significant discount to its peers. |
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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WWW 2.86 | Peers 9.26 | WWW 79.27 | Peers 13.36 | |||||||||||||||||||||
Discount. 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. WWW is trading at a significant discount to its peers. |
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. WWW is expected to have an earnings growth rate that significantly exceeds its peers. |
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Price/Sales |
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Sales Growth |
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WWW 0.36 | Peers 3.18 | WWW -16.46 | Peers 8.95 | |||||||||||||||||||||
Discount. 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. WWW is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. WWW significantly trails its peers on the basis of sales growth. |
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