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WKL

Wolters KluwerENXTAM:WKL Stock Report

Last Price

€93.50

Market Cap

€23.9b

7D

-1.8%

1Y

33.6%

Updated

17 Jan, 2022

Data

Company Financials +
WKL fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance2/6
Financial Health2/6
Dividends3/6

WKL Stock Overview

Wolters Kluwer N.V., together with its subsidiaries, provides professional information, software solutions, and services in Europe, North America, the Asia Pacific, and internationally.

Wolters Kluwer Competitors

CME Group

NasdaqGS:CME

US$80.2b

Fiserv

NasdaqGS:FISV

US$72.0b

Fidelity National Information Services

NYSE:FIS

US$71.9b

Moody's

NYSE:MCO

US$65.7b

Price History & Performance

Summary of all time highs, changes and price drops for Wolters Kluwer
Historical stock prices
Current Share Price€93.50
52 Week High€105.25
52 Week Low€63.88
Beta0.22
1 Month Change-7.38%
3 Month Change1.65%
1 Year Change33.57%
3 Year Change73.73%
5 Year Change167.99%
Change since IPO1,276.02%

Recent News & Updates

Dec 25
Investors Will Want Wolters Kluwer's (AMS:WKL) Growth In ROCE To Persist

Investors Will Want Wolters Kluwer's (AMS:WKL) Growth In ROCE To Persist

Did you know there are some financial metrics that can provide clues of a potential multi-bagger? Typically, we'll want...

Dec 12
These 4 Measures Indicate That Wolters Kluwer (AMS:WKL) Is Using Debt Reasonably Well

These 4 Measures Indicate That Wolters Kluwer (AMS:WKL) Is Using Debt Reasonably Well

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Sep 23
Wolters Kluwer (AMS:WKL) Is Doing The Right Things To Multiply Its Share Price

Wolters Kluwer (AMS:WKL) Is Doing The Right Things To Multiply Its Share Price

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Shareholder Returns

WKLNL Professional ServicesNL Market
7D-1.8%-2.4%0.4%
1Y33.6%25.5%15.8%

Return vs Industry: WKL exceeded the Dutch Professional Services industry which returned 25.5% over the past year.

Return vs Market: WKL exceeded the Dutch Market which returned 15.8% over the past year.

Price Volatility

Is WKL's price volatile compared to industry and market?
WKL volatility
WKL Average Weekly Movement2.6%
Professional Services Industry Average Movement7.9%
Market Average Movement4.4%
10% most volatile stocks in NL Market7.2%
10% least volatile stocks in NL Market2.6%

Stable Share Price: WKL is less volatile than 75% of Dutch stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: WKL's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
183618,670Nancy McKinstryhttps://wolterskluwer.com

Wolters Kluwer N.V., together with its subsidiaries, provides professional information, software solutions, and services in Europe, North America, the Asia Pacific, and internationally. The company operates through Health; Tax & Accounting; Governance, Risk & Compliance; and Legal & Regulatory divisions. The company’s Health division offers solutions in the areas of clinical decision support, clinical drug information, patient engagement, clinical terminologies, clinical surveillance, nursing education and practice, medical research, and continuing medical education services; and medical, nursing, and allied health journal and book publishing solutions.

Wolters Kluwer Fundamentals Summary

How do Wolters Kluwer's earnings and revenue compare to its market cap?
WKL fundamental statistics
Market Cap€23.94b
Earnings (TTM)€707.00m
Revenue (TTM)€4.59b

34.2x

P/E Ratio

5.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
WKL income statement (TTM)
Revenue€4.59b
Cost of Revenue€1.33b
Gross Profit€3.26b
Expenses€2.55b
Earnings€707.00m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Feb 23, 2022

Earnings per share (EPS)2.73
Gross Margin71.02%
Net Profit Margin15.41%
Debt/Equity Ratio139.7%

How did WKL perform over the long term?

See historical performance and comparison

Dividends

1.5%

Current Dividend Yield

53%

Payout Ratio

Valuation

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

19.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WKL (€93.5) is trading below our estimate of fair value (€116.03)

Significantly Below Fair Value: WKL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: WKL is poor value based on its PE Ratio (34.2x) compared to the Dutch Professional Services industry average (19.7x).

PE vs Market: WKL is poor value based on its PE Ratio (34.2x) compared to the Dutch market (21.5x).


Price to Earnings Growth Ratio

PEG Ratio: WKL is poor value based on its PEG Ratio (4.6x)


Price to Book Ratio

PB vs Industry: WKL is overvalued based on its PB Ratio (11.2x) compared to the NL Professional Services industry average (2.1x).


Future Growth

How is Wolters Kluwer forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

7.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WKL's forecast earnings growth (7.4% per year) is above the savings rate (0.09%).

Earnings vs Market: WKL's earnings (7.4% per year) are forecast to grow faster than the Dutch market (3.5% per year).

High Growth Earnings: WKL's earnings are forecast to grow, but not significantly.

Revenue vs Market: WKL's revenue (4.3% per year) is forecast to grow slower than the Dutch market (8.8% per year).

High Growth Revenue: WKL's revenue (4.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WKL's Return on Equity is forecast to be high in 3 years time (29.4%)


Past Performance

How has Wolters Kluwer performed over the past 5 years?

7.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WKL has high quality earnings.

Growing Profit Margin: WKL's current net profit margins (15.4%) are lower than last year (15.7%).


Past Earnings Growth Analysis

Earnings Trend: WKL's earnings have grown by 7.5% per year over the past 5 years.

Accelerating Growth: WKL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: WKL had negative earnings growth (-4.5%) over the past year, making it difficult to compare to the Professional Services industry average (185.1%).


Return on Equity

High ROE: Whilst WKL's Return on Equity (32.76%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Wolters Kluwer's financial position?


Financial Position Analysis

Short Term Liabilities: WKL's short term assets (€2.3B) do not cover its short term liabilities (€2.9B).

Long Term Liabilities: WKL's short term assets (€2.3B) do not cover its long term liabilities (€3.6B).


Debt to Equity History and Analysis

Debt Level: WKL's net debt to equity ratio (95.6%) is considered high.

Reducing Debt: WKL's debt to equity ratio has increased from 109.5% to 139.7% over the past 5 years.

Debt Coverage: WKL's debt is well covered by operating cash flow (43.7%).

Interest Coverage: WKL's interest payments on its debt are well covered by EBIT (14x coverage).


Balance Sheet


Dividend

What is Wolters Kluwer current dividend yield, its reliability and sustainability?

1.53%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: WKL's dividend (1.53%) isn’t notable compared to the bottom 25% of dividend payers in the Dutch market (1.55%).

High Dividend: WKL's dividend (1.53%) is low compared to the top 25% of dividend payers in the Dutch market (4.19%).


Stability and Growth of Payments

Stable Dividend: WKL's dividend payments have been volatile in the past 10 years.

Growing Dividend: WKL's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (53.1%), WKL's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WKL's dividends in 3 years are forecast to be well covered by earnings (40.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

9.6yrs

Average management tenure


CEO

Nancy McKinstry (62 yo)

20.58yrs

Tenure

€7,512,000

Compensation

Ms. Nancy McKinstry serves as the Chairman of Executive Board and Chief Executive Officer of MortgageIT Holdings, Inc. Ms. McKinstry has been the Chairman of the Executive Board and Chief Executive Officer...


CEO Compensation Analysis

Compensation vs Market: Nancy's total compensation ($USD8.57M) is above average for companies of similar size in the Dutch market ($USD3.01M).

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


Leadership Team

Experienced Management: WKL's management team is seasoned and experienced (9.6 years average tenure).


Board Members

Experienced Board: WKL's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Wolters Kluwer N.V.'s employee growth, exchange listings and data sources


Key Information

  • Name: Wolters Kluwer N.V.
  • Ticker: WKL
  • Exchange: ENXTAM
  • Founded: 1836
  • Industry: Research and Consulting Services
  • Sector: Commercial Services
  • Implied Market Cap: €23.945b
  • Shares outstanding: 258.58m
  • Website: https://wolterskluwer.com

Number of Employees


Location

  • Wolters Kluwer N.V.
  • Zuidpoolsingel 2
  • PO Box 1030
  • Alphen aan den Rijn
  • Zuid-Holland
  • 2400 BA
  • Netherlands

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/17 19:06
End of Day Share Price2022/01/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.