WEG S.A. engages in the production and trade of capital goods in Brazil and internationally. More Details
No risks detected for WEGE3 from our risk checks.
Flawless balance sheet with solid track record.
Share Price & News
How has WEG's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WEGE3 is not significantly more volatile than the rest of BR stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: WEGE3's weekly volatility (6%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: WEGE3 exceeded the BR Electrical industry which returned 53.3% over the past year.
Return vs Market: WEGE3 exceeded the BR Market which returned -1.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is WEG's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall StHow Does WEG S.A. (BVMF:WEGE3) Fare As A Dividend Stock?
3 weeks ago | Simply Wall StHere's Why I Think WEG (BVMF:WEGE3) Is An Interesting Stock
1 month ago | Simply Wall StWEG S.A. (BVMF:WEGE3) Looks Like A Good Stock, And It's Going Ex-Dividend Soon
Is WEG undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: WEGE3 (R$88.97) is trading above our estimate of fair value (R$5.32)
Significantly Below Fair Value: WEGE3 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: WEGE3 is poor value based on its PE Ratio (88.9x) compared to the XX Electrical industry average (24.5x).
PE vs Market: WEGE3 is poor value based on its PE Ratio (88.9x) compared to the BR market (17.3x).
Price to Earnings Growth Ratio
PEG Ratio: WEGE3 is poor value based on its PEG Ratio (8.4x)
Price to Book Ratio
PB vs Industry: WEGE3 is overvalued based on its PB Ratio (16.8x) compared to the XX Electrical industry average (1.8x).
How is WEG forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WEGE3's forecast earnings growth (10.6% per year) is above the savings rate (9.9%).
Earnings vs Market: WEGE3's earnings (10.6% per year) are forecast to grow slower than the BR market (27.4% per year).
High Growth Earnings: WEGE3's earnings are forecast to grow, but not significantly.
Revenue vs Market: WEGE3's revenue (10.8% per year) is forecast to grow faster than the BR market (10.4% per year).
High Growth Revenue: WEGE3's revenue (10.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WEGE3's Return on Equity is forecast to be high in 3 years time (25.1%)
How has WEG performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WEGE3 has high quality earnings.
Growing Profit Margin: WEGE3's current net profit margins (12.8%) are higher than last year (11.4%).
Past Earnings Growth Analysis
Earnings Trend: WEGE3's earnings have grown by 11.6% per year over the past 5 years.
Accelerating Growth: WEGE3's earnings growth over the past year (44.7%) exceeds its 5-year average (11.6% per year).
Earnings vs Industry: WEGE3 earnings growth over the past year (44.7%) exceeded the Electrical industry 0.8%.
Return on Equity
High ROE: WEGE3's Return on Equity (18.8%) is considered low.
How is WEG's financial position?
Financial Position Analysis
Short Term Liabilities: WEGE3's short term assets (R$11.6B) exceed its short term liabilities (R$4.9B).
Long Term Liabilities: WEGE3's short term assets (R$11.6B) exceed its long term liabilities (R$2.7B).
Debt to Equity History and Analysis
Debt Level: WEGE3's debt to equity ratio (17.3%) is considered satisfactory.
Reducing Debt: WEGE3's debt to equity ratio has reduced from 84.8% to 17.3% over the past 5 years.
Debt Coverage: WEGE3's debt is well covered by operating cash flow (171.9%).
Interest Coverage: WEGE3 earns more interest than it pays, so coverage of interest payments is not a concern.
What is WEG current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: WEGE3's dividend (0.48%) isn’t notable compared to the bottom 25% of dividend payers in the BR market (0.96%).
High Dividend: WEGE3's dividend (0.48%) is low compared to the top 25% of dividend payers in the BR market (5.13%).
Stability and Growth of Payments
Stable Dividend: WEGE3 is not paying a notable dividend for the BR market, therefore no need to check if payments are stable.
Growing Dividend: WEGE3 is not paying a notable dividend for the BR market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: WEGE3 is not paying a notable dividend for the BR market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of WEGE3's dividend in 3 years as they are not forecast to pay a notable one for the BR market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Harry Schmelzer (62 yo)
Mr. Harry Schmelzer, Jr., has been the Chief Executive Officer of WEG S.A. since January 2008 and serves as its Executive President and Member of Executive Board. Mr. Schmelzer joined WEG in 1980 and worke...
|CEO, Executive President & Member of Executive Board||13yrs||no data||no data|
|CFO, Investor Relations Officer & Member of Executive Board||no data||no data||no data|
|Chief Controllership Officer & Member of Executive Board||no data||no data||no data|
|MD of Transmission & Distribution Business Unit and Member of Executive Board||no data||no data||no data|
|COO of WEG China & Member of Executive Board||no data||no data||no data|
|MD of Paints Business Unit & Member of Executive Board||no data||no data||no data|
|HR and Sustainability Officer & Member of Executive Board||no data||no data||no data|
|MD of WEG Automation Business Unit & Member of Executive Board||no data||no data||no data|
|Institutional Relations and Marketing Officer & Member of Executive Board||no data||no data||no data|
|MD of WEG Motors Industrial & Member of Executive Board||1yr||no data||no data|
|MD of WEG Energia & Member of Executive Board||1yr||no data||no data|
|MD of WEG Motors Commercial & Appliance and Member of Executive Board||1yr||no data||no data|
Experienced Management: WEGE3's management team is not considered experienced ( 1 years average tenure), which suggests a new team.
|Vice President of the Board||10.75yrs||no data||no data|
|Independent Director||9yrs||no data||no data|
|Independent Director||4yrs||no data||no data|
|Member of Fiscal Council||no data||no data||no data|
|President of the Board of Directors||13yrs||no data||no data|
|Director||15yrs||no data||no data|
|Independent Director||2.58yrs||no data||no data|
|Director||16yrs||no data||no data|
|Director of Unidade Pulverlux S.A.||no data||no data||no data|
|Member of Fiscal Council||no data||no data||no data|
|Member of Fiscal Council||2.58yrs||no data||no data|
Experienced Board: WEGE3's board of directors are considered experienced (9.9 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
WEG S.A.'s company bio, employee growth, exchange listings and data sources
- Name: WEG S.A.
- Ticker: WEGE3
- Exchange: BOVESPA
- Founded: 1961
- Industry: Electrical Components and Equipment
- Sector: Capital Goods
- Market Cap: R$183.867b
- Shares outstanding: 2.10b
- Website: https://www.weg.net/institutional/BR/en/
- WEG S.A.
- Avenida Prefeito Waldemar Grubba, 3300
- Jaraguá do Sul
- Santa Catarina
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|WEGE3||BOVESPA (Bolsa de Valores de Sao Paulo)||Yes||Ordinary Shares||BR||BRL||Mar 1993|
|WEGZ.Y||OTCPK (Pink Sheets LLC)||SPONSORED ADR||US||USD||Sep 2010|
WEG S.A. engages in the production and trade of capital goods in Brazil and internationally. The company offers electric motors, generators, and transformers; gear units and geared motors; hydraulic and st...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/01/22 22:00|
|End of Day Share Price||2021/01/22 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.