WSE:WSE

Stock Analysis Report

Executive Summary

Work Service S.A. provides employment services in Central and Eastern Europe.

Snowflake

Fundamentals

Fair value with imperfect balance sheet.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

12.5%

WSE

-1.5%

PL Professional Services

0.01%

PL Market


1 Year Return

32.8%

WSE

-24.0%

PL Professional Services

-3.3%

PL Market

Return vs Industry: WSE exceeded the Polish Professional Services industry which returned -24% over the past year.

Return vs Market: WSE exceeded the Polish Market which returned -3.3% over the past year.


Shareholder returns

WSEIndustryMarket
7 Day12.5%-1.5%0.01%
30 Day1.0%-4.1%-2.1%
90 Day-47.2%1.8%-7.4%
1 Year32.8%32.8%-23.9%-24.0%-0.4%-3.3%
3 Year-90.7%-90.7%-25.1%-25.3%11.3%3.4%
5 Year-94.3%-94.3%3.7%1.9%-1.0%-13.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.15x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: WSE (PLN1.06) is trading above our estimate of fair value (PLN0.06)

Significantly Undervalued: WSE is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: WSE is good value based on its PE Ratio (1.2x) compared to the Professional Services industry average (14.2x).

PE vs Market: WSE is good value based on its PE Ratio (1.2x) compared to the Polish market (10x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate WSE's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: WSE is good value based on its PB Ratio (0.5x) compared to the PL Professional Services industry average (1.6x).


Next Steps

Future Growth

How is Work Service forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

10.1%

Forecasted Commercial Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Work Service has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Work Service performed over the past 5 years?

-35.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WSE's earnings have declined by -35.6% per year over the past 5 years.

Accelerating Growth: WSE has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: WSE has become profitable in the last year, making it difficult to compare its past year earnings growth to the Professional Services industry (-28.2%).


Return on Equity

High ROE: WSE's Return on Equity (35.7%) is considered high.


Return on Assets

ROA vs Industry: WSE's Return on Assets is below or equal to the Professional Services industry average last year.


Return on Capital Employed

ROCE Improving: WSE is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Work Service's financial position?


Financial Position Analysis

Short Term Liabilities: WSE's short term assets (PLN624.2M) exceeds its short term liabilities (PLN584.2M)

Long Term Liabilities: WSE's short term assets (624.2M) exceeds its long term liabilities (29.4M)


Debt to Equity History and Analysis

Debt Level: WSE's debt to equity ratio (89.6%) is considered high

Reducing Debt: WSE's debt to equity ratio has increased from 48.1% to 89.6% over the past 5 years.

Debt Coverage: WSE's debt is not well covered by operating cash flow (8.1%).

Interest Coverage: Insufficient data to determine if WSE's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: WSE's debt is covered by short term assets (assets are 3.901200x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%2.7%markettop25%7.4%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate WSE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate WSE's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if WSE's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if WSE's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: WSE is not paying a notable dividend for the Polish market.


Future Payout to Shareholders

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


Next Steps

Management

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

3.6yrs

Average board tenure


CEO

Iwona Szmitkowska 0

0.7yrs

Tenure

0

Ms. Iwona Szmitkowska has been President of the Management Board at Work Service Spólka Akcyjna since February 22, 2019 and served as its Vice-President of the Management Board since October 10, 2014 until ...


Board Age and Tenure

3.6yrs

Average Tenure

46yo

Average Age

Experienced Board: WSE's board of directors are considered experienced (3.6 years average tenure).


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

  • Tomasz Hanczarek

    Co-Founder & VP of the Supervisory Board

    • Tenure: 3.8yrs
  • Jaroslaw Dymitruk

    Vice President of the Management Board

    • Tenure: 0yrs
  • Paul Christodoulou

    Vice President of the Management Board

    • Tenure: 0yrs
  • Krzysztof Inglot

    Head of Market Development Department

    • Tenure: 0yrs
  • Iwona Szmitkowska

    President of the Management Board

    • Tenure: 0.7yrs

Board Members

  • Pierre Francois Mellinger (64yo)

    Member of Supervisory Board

    • Tenure: 6.6yrs
  • Paul Sofianos

    Chairman of Supervisory Board

    • Tenure: 0yrs
  • Krzysztof Kaczmarczyk

    Member of the Supervisory Board

    • Tenure: 3.4yrs
  • Piotr Kaminski

    Member of Supervisory Board

    • Tenure: 6.3yrs
  • Tomasz Hanczarek

    Co-Founder & VP of the Supervisory Board

    • Tenure: 3.8yrs
  • Tomasz Misiak (44yo)

    President of the Supervisory Board

    • Tenure: 0yrs
  • Everett Kamin

    Member of Supervisory Board

    • Tenure: 0yrs
  • John Leone (46yo)

    Member of the Supervisory Board

    • Tenure: 2.8yrs
  • Robert Lugowski

    Member of the Supervisory Board

    • Tenure: 3.4yrs

Company Information

Work Service S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Work Service S.A.
  • Ticker: WSE
  • Exchange: WSE
  • Founded: 1999
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: zł69.657m
  • Shares outstanding: 65.59m
  • Website: https://www.workservice.pl

Number of Employees


Location

  • Work Service S.A.
  • Sky Tower
  • ul. Gwiazdzista 66
  • Wroclaw
  • 53-413
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WSEWSE (Warsaw Stock Exchange)YesCommon Bearer SharesPLPLNMay 2012
WSELSE (London Stock Exchange)YesCommon Bearer SharesGBGBPMay 2012

Biography

Work Service S.A. provides employment services in Central and Eastern Europe. It offers services, including temporary employment, HR consulting, recruitment, competency assessment, outplacement, personnel  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 21:31
End of Day Share Price2019/10/18 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.