XTRA:WDI

Stock Analysis Report

Executive Summary

Wirecard AG, a technology company, provides outsourcing and white label solutions for electronic payments worldwide.

Snowflake

Fundamentals

Exceptional growth potential with solid track record.


Similar Companies

Share Price & News

How has Wirecard's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-5.8%

WDI

-3.8%

DE IT

1.7%

DE Market


1 Year Return

-28.7%

WDI

-15.3%

DE IT

7.2%

DE Market

Return vs Industry: WDI underperformed the German IT industry which returned -15.3% over the past year.

Return vs Market: WDI underperformed the German Market which returned 7.2% over the past year.


Shareholder returns

WDIIndustryMarket
7 Day-5.8%-3.8%1.7%
30 Day-20.7%-14.8%2.4%
90 Day-23.1%-17.0%2.3%
1 Year-28.6%-28.7%-14.9%-15.3%10.6%7.2%
3 Year168.1%166.7%119.1%113.4%18.4%8.1%
5 Year312.2%307.1%268.7%253.0%42.3%22.9%

Price Volatility Vs. Market

How volatile is Wirecard's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Wirecard undervalued compared to its fair value and its price relative to the market?

42.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WDI (€115.4) is trading below our estimate of fair value (€201.65)

Significantly Below Fair Value: WDI is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: WDI is poor value based on its PE Ratio (33.4x) compared to the IT industry average (26x).

PE vs Market: WDI is poor value based on its PE Ratio (33.4x) compared to the German market (19x).


Price to Earnings Growth Ratio

PEG Ratio: WDI is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: WDI is overvalued based on its PB Ratio (6.6x) compared to the DE IT industry average (3.6x).


Next Steps

Future Growth

How is Wirecard forecast to perform in the next 1 to 3 years based on estimates from 24 analysts?

25.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WDI's forecast earnings growth (25.9% per year) is above the savings rate (0.2%).

Earnings vs Market: WDI's earnings (25.9% per year) are forecast to grow faster than the German market (12.7% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: WDI's revenue (22.4% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: WDI's revenue (22.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WDI's Return on Equity is forecast to be high in 3 years time (24.4%)


Next Steps

Past Performance

How has Wirecard performed over the past 5 years?

27.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WDI's earnings have grown significantly by 27% per year over the past 5 years.

Accelerating Growth: WDI's earnings growth over the past year (38.2%) exceeds its 5-year average (27% per year).

Earnings vs Industry: WDI earnings growth over the past year (38.2%) exceeded the IT industry 22.7%.


Return on Equity

High ROE: WDI's Return on Equity (19.9%) is considered low.


Return on Assets

ROA vs Industry: WDI has a higher Return on Assets than the IT industry average last year.


Return on Capital Employed

ROCE Improving: WDI has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Wirecard's financial position?


Financial Position Analysis

Short Term Liabilities: WDI's short term assets (€4.8B) exceeds its short term liabilities (€2.7B)

Long Term Liabilities: WDI's short term assets (4.8B) exceeds its long term liabilities (1.8B)


Debt to Equity History and Analysis

Debt Level: WDI's debt to equity ratio (80.1%) is considered high

Reducing Debt: WDI's debt to equity ratio has increased from 9.9% to 80.1% over the past 5 years.

Debt Coverage: WDI's debt is well covered by operating cash flow (41%).

Interest Coverage: WDI's interest payments on its debt are well covered by EBIT (20x coverage).


Balance Sheet

Inventory Level: WDI has a low level of unsold assets or inventory.

Debt Coverage by Assets: WDI's debt is covered by short term assets (assets are 2.779980x debt).


Next Steps

Dividend

What is Wirecard's current dividend yield, its reliability and sustainability?

0.17%

Current Dividend Yield


Dividend Yield vs Market

company0.2%marketbottom25%1.5%markettop25%3.8%industryaverage0.6%forecastin3Years0.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: WDI's dividend (0.17%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.48%).

High Dividend: WDI's dividend (0.17%) is low compared to the top 25% of dividend payers in the German market (3.83%).

Stable Dividend: WDI is not paying a notable dividend for the German market, therefore no need to check if payments are stable.

Growing Dividend: WDI is not paying a notable dividend for the German market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: WDI is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of WDI's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

What is the CEO of Wirecard's salary, the management and board of directors tenure and is there insider trading?

2.4yrs

Average management tenure


CEO

Markus Braun (50yo)

0yrs

Tenure

€3,308,000

Compensation

Dr. Markus Braun is a CEO, CTO and Member of the Management Board at Wirecard AG & Wirecard Bank AG since January 2002. He serves as Chairman of Management Board at Wirecard AG since 2019. He was e-Strateg ...


CEO Compensation Analysis

Compensation vs. Market: Markus's total compensation ($USD3.68M) is about average for companies of similar size in the German market ($USD4.53M).

Compensation vs Earnings: Markus's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.4yrs

Average Tenure

47.5yo

Average Age

Experienced Management: WDI's management team is considered experienced (2.4 years average tenure).


Board Age and Tenure

2.3yrs

Average Tenure

49.5yo

Average Age

Experienced Board: WDI's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Markus Braun (50yo)

    CEO, CTO & Chairman of Management Board

    • Tenure: 0yrs
    • Compensation: €3.31m
  • Brad Fauss

    General Counsel

    • Tenure: 2.4yrs
  • Jan Marsalek (39yo)

    COO & Member of Management Board

    • Tenure: 9.7yrs
    • Compensation: €2.36m
  • Carlos Häuser

    Executive Vice President of Payment & Risk Services

    • Tenure: 0yrs
  • Susanne Steidl (48yo)

    Chief Product Officer & Member of Management Board

    • Tenure: 1.8yrs
    • Compensation: €1.76m
  • Brigitte Häuser-Axtner

    Executive Vice President of Sales Digital

    • Tenure: 0yrs
  • Christian Reindl

    Executive Vice President of Sales - Consumer Goods

    • Tenure: 19.8yrs
  • Jörg Möller

    Executive Vice President Sales Travel

    • Tenure: 0yrs
  • Alexander von Knoop (47yo)

    CFO & Member of Management Board

    • Tenure: 1.8yrs
    • Compensation: €1.77m
  • Iris Stöckl

    Vice President of Corporate Communications & IR

    • Tenure: 0yrs

Board Members

  • Thomas Eichelmann (54yo)

    Member of the Supervisory Board

    • Tenure: 0.3yrs
  • Wulf Matthias (75yo)

    Chairman of the Supervisory Board

    • Tenure: 11.3yrs
    • Compensation: €316.00k
  • Stefan Klestil (52yo)

    Member of Supervisory Board

    • Tenure: 10.8yrs
    • Compensation: €186.00k
  • Anastassia Lauterbach (47yo)

    Member of Supervisory Board

    • Tenure: 1.3yrs
    • Compensation: €65.00k
  • Susana Quintana-Plaza (45yo)

    Member of Supervisory Board

    • Tenure: 1.3yrs
    • Compensation: €65.00k
  • Vuyiswa M’Cwabeni (41yo)

    Member of Supervisory Board

    • Tenure: 3.3yrs
    • Compensation: €131.00k

Company Information

Wirecard AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wirecard AG
  • Ticker: WDI
  • Exchange: XTRA
  • Founded: 1999
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: €14.259b
  • Shares outstanding: 123.57m
  • Website: https://www.wirecard.com

Number of Employees


Location

  • Wirecard AG
  • Einsteinring 35
  • Aschheim
  • Bavaria
  • 85609
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WDIDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2000
WDIXTRA (XETRA Trading Platform)YesCommon StockDEEUROct 2000
0O8XLSE (London Stock Exchange)YesCommon StockGBEUROct 2000
WRCD.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDOct 2000
WDIDBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEUROct 2000
WDISWX (SIX Swiss Exchange)YesCommon StockCHCHFOct 2000
WDIWBAG (Wiener Boerse AG)YesCommon StockATEUROct 2000
WCAG.YOTCPK (Pink Sheets LLC)UNSPON ADR EACH REPR 0.5 ORD EUR0.00USUSDSep 2013
WDIADB (Deutsche Boerse AG)UNSPON ADR EACH REPR 0.5 ORD EUR0.00DEEURSep 2013

Biography

Wirecard AG, a technology company, provides outsourcing and white label solutions for electronic payments worldwide. The company operates in three segments: Payment Processing & Risk Management, Acquiring  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 20:52
End of Day Share Price2019/10/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.