NasdaqGS:WWD

Stock Analysis Report

Executive Summary

Woodward, Inc. designs, manufactures, and services control solutions for the aerospace and industrial markets worldwide.

Snowflake

Fundamentals

Proven track record with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-3.1%

NasdaqGS:WWD

-2.5%

US Machinery

-1.6%

US Market


1 Year Return

30.1%

NasdaqGS:WWD

-9.9%

US Machinery

-3.0%

US Market

WWD outperformed the Machinery industry which returned -6% over the past year.

WWD outperformed the Market in United States of America which returned -0% over the past year.


Share holder returns

WWDIndustryMarket
7 Day-3.1%-2.5%-1.6%
30 Day-12.1%-12.1%-5.8%
90 Day-6.8%-4.2%0.2%
1 Year31.0%30.1%-8.0%-9.9%-0.8%-3.0%
3 Year68.9%65.4%32.5%23.9%38.0%29.1%
5 Year104.9%97.5%32.8%16.3%50.8%34.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Woodward undervalued based on future cash flows and its price relative to the stock market?

16%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Woodward's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Woodward's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Woodward is overvalued based on earnings compared to the US Machinery industry average.

Woodward is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Woodward is poor value based on expected growth next year.


Price Based on Value of Assets

Woodward is overvalued based on assets compared to the US Machinery industry average.


Next Steps

Future Growth

How is Woodward expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

20.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Woodward's revenue is expected to grow by 6.6% yearly, however this is not considered high growth (20% yearly).

Woodward's earnings are expected to grow significantly at over 20% yearly.

Woodward's revenue growth is positive but not above the United States of America market average.

Woodward's earnings growth is expected to exceed the United States of America market average.

Woodward's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Woodward is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Woodward performed over the past 5 years?

5.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Woodward's year on year earnings growth rate has been positive over the past 5 years.

Woodward's 1-year earnings growth exceeds its 5-year average (59% vs 5.6%)

Woodward's earnings growth has exceeded the US Machinery industry average in the past year (59% vs 17.5%).


Return on Equity

Woodward has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Woodward used its assets more efficiently than the US Machinery industry average last year based on Return on Assets.


Return on Capital Employed

Woodward's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Woodward's financial position?


Financial Position Analysis

Woodward is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Woodward's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Woodward's level of debt (70.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (58.7% vs 70.1% today).

Debt is well covered by operating cash flow (29.8%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 10.3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.1x debt.


Next Steps

Dividend

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

0.52%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Woodward's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

Woodward's dividend is below the markets top 25% of dividend payers in United States of America (3.82%).

Woodward is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.

Woodward is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Woodward's dividends as it is not paying a notable one for United States of America.


Future Payout to Shareholders

No need to calculate the sustainability of Woodward's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

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

8.2yrs

Average management tenure


CEO

Tom Gendron (58yo)

14.1yrs

Tenure

US$6,101,564

Compensation

Mr. Thomas A. Gendron, also known as Tom, has been the President and Chief Executive Officer of Woodward, Inc. since July 1, 2005 and September 2002 respectively. Previously, Mr. Gendron served as Chief Op ...


CEO Compensation Analysis

Tom's remuneration is about average for companies of similar size in United States of America.

Tom's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

8.2yrs

Average Tenure

54yo

Average Age

The average tenure for the Woodward management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

9.6yrs

Average Tenure

62.5yo

Average Age

The tenure for the Woodward board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$671,44522 Feb 19
James Rulseh
EntityIndividual
Role
Member of the Board of Directors
Director
Shares7,000
Max PriceUS$95.92

Ownership Breakdown


Management Team

  • Tom Gendron (58yo)

    Chairman

    • Tenure: 14.1yrs
    • Compensation: US$6.10m
  • A. Fawzy (49yo)

    Corporate VP

    • Tenure: 10.0yrs
    • Compensation: US$1.30m
  • Robert Weber (65yo)

    Vice Chairman

    • Tenure: 7.9yrs
    • Compensation: US$1.88m
  • Chad Preiss (54yo)

    Business Unit President of Engine & Turbine Controls

    • Tenure: 2.8yrs
    • Compensation: US$1.35m
  • Jack Thayer (48yo)

    Vice Chairman of Corporate Operations

    • Tenure: 0.6yrs
    • Compensation: US$274.41k
  • Tom Cromwell (50yo)

    Vice Chairman & COO

    • Tenure: 0.5yrs
  • Steven Meyer (59yo)

    Corporate Vice President of Human Resources

    • Tenure: 9.8yrs
  • Sagar Patel (53yo)

    Business Unit President of Fuel Systems & Controls

    • Tenure: 8.2yrs
    • Compensation: US$1.49m
  • John Tysver (57yo)

    Corporate Vice President of Technology

    • Tenure: 2.8yrs
  • Don Guzzardo

    VP of Investor Relations & Treasurer

    • Tenure: 0.0yrs

Board Members

  • Gregg Sengstack (61yo)

    Director

    • Tenure: 7.9yrs
    • Compensation: US$284.41k
  • John Cohn (65yo)

    Lead Director

    • Tenure: 1.8yrs
    • Compensation: US$285.28k
  • Paul Donovan (71yo)

    Director

    • Tenure: 19.6yrs
    • Compensation: US$274.41k
  • Tom Gendron (58yo)

    Chairman

    • Tenure: 14.1yrs
    • Compensation: US$6.10m
  • Jim Rulseh (64yo)

    Director

    • Tenure: 17.3yrs
    • Compensation: US$282.03k
  • Mary Petrovich (56yo)

    Director

    • Tenure: 17.1yrs
    • Compensation: US$280.41k
  • Robert Weber (65yo)

    Vice Chairman

    • Tenure: 7.9yrs
    • Compensation: US$1.88m
  • Eileen Drake (52yo)

    Director

    • Tenure: 2.5yrs
    • Compensation: US$274.41k
  • Ronald Sega (66yo)

    Director

    • Tenure: 11.3yrs
    • Compensation: US$274.41k
  • Dan Korte (58yo)

    Director

    • Tenure: 2.5yrs
    • Compensation: US$274.41k

Company Information

Woodward, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Woodward, Inc.
  • Ticker: WWD
  • Exchange: NasdaqGS
  • Founded: 1870
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: US$6.378b
  • Shares outstanding: 61.85m
  • Website: https://www.woodward.com

Number of Employees


Location

  • Woodward, Inc.
  • 1081 Woodward Way
  • Fort Collins
  • Colorado
  • 80524
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WWDNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1972
WW1DB (Deutsche Boerse AG)YesCommon StockDEEURDec 1972

Biography

Woodward, Inc. designs, manufactures, and services control solutions for the aerospace and industrial markets worldwide. The company’s Aerospace segment offers fuel pumps, metering units, actuators, air va ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/23 23:50
End of Day Share Price2019/08/23 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


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.