NasdaqCM:WVVI

Stock Analysis Report

Executive Summary

Willamette Valley Vineyards, Inc. produces and sells wine in the United States and internationally.

Rewards

PE ratio (20.5x) is below the Beverage industry average (30x)

Risk Analysis

Earnings have declined by -1.64% per year over past 5 years

Profit margins (6.9%) are lower than last year (10.2%)

Does not have a meaningful market cap ($35M)



Snowflake Analysis

Flawless balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Willamette Valley Vineyards's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WVVI has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.2%

WVVI

-0.5%

US Beverage

0.8%

US Market


1 Year Return

-1.7%

WVVI

10.9%

US Beverage

17.8%

US Market

Return vs Industry: WVVI underperformed the US Beverage industry which returned 10.9% over the past year.

Return vs Market: WVVI underperformed the US Market which returned 17.8% over the past year.


Shareholder returns

WVVIIndustryMarket
7 Day2.2%-0.5%0.8%
30 Day-0.07%3.0%1.8%
90 Day-1.3%-1.2%4.1%
1 Year-1.7%-1.7%13.8%10.9%20.4%17.8%
3 Year-13.2%-13.2%38.2%27.4%45.9%36.4%
5 Year20.8%20.8%57.3%37.4%68.1%49.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Willamette Valley Vineyards undervalued compared to its fair value and its price relative to the market?

20.51x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate WVVI's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate WVVI's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: WVVI is good value based on its PE Ratio (20.5x) compared to the Beverage industry average (30x).

PE vs Market: WVVI is poor value based on its PE Ratio (20.5x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: WVVI is good value based on its PB Ratio (1.2x) compared to the US Beverage industry average (3.3x).


Next Steps

Future Growth

How is Willamette Valley Vineyards forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

11.3%

Forecasted Food, Beverage & Tobacco 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 Willamette Valley Vineyards 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 Willamette Valley Vineyards performed over the past 5 years?

-1.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WVVI has high quality earnings.

Growing Profit Margin: WVVI's current net profit margins (6.9%) are lower than last year (10.2%).


Past Earnings Growth Analysis

Earnings Trend: WVVI's earnings have declined by -1.6% per year over the past 5 years.

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

Earnings vs Industry: WVVI had negative earnings growth (-23.5%) over the past year, making it difficult to compare to the Beverage industry average (6.8%).


Return on Equity

High ROE: WVVI's Return on Equity (5.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Willamette Valley Vineyards's financial position?


Financial Position Analysis

Short Term Liabilities: WVVI's short term assets ($26.3M) exceed its short term liabilities ($4.5M).

Long Term Liabilities: WVVI's short term assets ($26.3M) exceed its long term liabilities ($12.9M).


Debt to Equity History and Analysis

Debt Level: WVVI's debt to equity ratio (16%) is considered satisfactory.

Reducing Debt: WVVI's debt to equity ratio has reduced from 27.6% to 16% over the past 5 years.

Debt Coverage: WVVI's debt is well covered by operating cash flow (36.3%).

Interest Coverage: WVVI's interest payments on its debt are well covered by EBIT (10.4x coverage).


Balance Sheet

Inventory Level: WVVI has a high level of physical assets or inventory.

Debt Coverage by Assets: WVVI's debt is covered by short term assets (assets are 3.3x debt).


Next Steps

Dividend

What is Willamette Valley Vineyards's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.7%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

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

10.9yrs

Average management tenure


CEO

Jim Bernau (65yo)

31.6yrs

Tenure

US$579,557

Compensation

Mr. James W. Bernau, also known as Jim, an Oregon winegrower, originally established Willamette Valley Vineyards, Inc., as a sole proprietorship in 1983, and he co-founded it in 1988. Mr. Bernau has been P ...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD579.56K) is about average for companies of similar size in the US market ($USD530.45K).

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


Management Age and Tenure

10.9yrs

Average Tenure

65yo

Average Age

Experienced Management: WVVI's management team is seasoned and experienced (10.9 years average tenure).


Board Age and Tenure

12.4yrs

Average Tenure

68yo

Average Age

Experienced Board: WVVI's board of directors are seasoned and experienced ( 12.4 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.


Recent Insider Transactions

SellUS$91,75511 Apr 19
James Bernau
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares13,100
Max PriceUS$7.10
SellUS$709 Apr 19
James Bernau
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares1
Max PriceUS$7.10
SellUS$6,37609 Apr 19
James Bernau
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares898
Max PriceUS$7.10
SellUS$2,84004 Apr 19
James Bernau
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares400
Max PriceUS$7.10
SellUS$704 Apr 19
James Bernau
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares1
Max PriceUS$7.10

Ownership Breakdown

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


Management Team

  • Jim Bernau (65yo)

    Co-Founder

    • Tenure: 31.6yrs
    • Compensation: US$579.56k
  • Craig Smith (72yo)

    Secretary & Independent Director

    • Tenure: 12.2yrs
    • Compensation: US$3.85k
  • John Ferry (53yo)

    Chief Financial Officer

    • Tenure: 0.3yrs

Board Members

  • Jim Bernau (65yo)

    Co-Founder

    • Tenure: 31.6yrs
    • Compensation: US$579.56k
  • James Ellis (74yo)

    Director

    • Tenure: 28.4yrs
    • Compensation: US$13.36k
  • Stan Turel (71yo)

    Independent Director

    • Tenure: 25.1yrs
    • Compensation: US$4.50k
  • Sean Cary (46yo)

    Independent Director

    • Tenure: 12.4yrs
    • Compensation: US$4.90k
  • Craig Smith (72yo)

    Secretary & Independent Director

    • Tenure: 12.2yrs
    • Compensation: US$3.85k
  • Chris Sarles (54yo)

    Independent Director

    • Tenure: 4.9yrs
    • Compensation: US$4.00k
  • Leslie Copland

    Director

    • Tenure: 0.3yrs

Company Information

Willamette Valley Vineyards, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Willamette Valley Vineyards, Inc.
  • Ticker: WVVI
  • Exchange: NasdaqCM
  • Founded: 1983
  • Industry: Distillers and Vintners
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$34.900m
  • Shares outstanding: 4.96m
  • Website: https://www.wvv.com

Number of Employees


Location

  • Willamette Valley Vineyards, Inc.
  • 8800 Enchanted Way, SE
  • Turner
  • Oregon
  • 97392
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WVVINasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDSep 1994
WVVI.PNasdaqCM (Nasdaq Capital Market)RED PFD SER AUSUSDNov 2015

Biography

Willamette Valley Vineyards, Inc. produces and sells wine in the United States and internationally. The company offers Pinot Noir, Chardonnay, Pinot Gris, Pinot Blanc, Methode Champenoise Brut, Rose, and R ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 23:51
End of Day Share Price2019/12/11 00:00
Earnings2019/09/30
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.