Market Cap
US$2.7b
Last Updated
2020/10/20 23:57 UTC
Data Sources
Company Financials +
Executive Summary
WD-40 Company develops and sells maintenance products, and homecare and cleaning products in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. More Details
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet second-rate dividend payer.
Similar Companies
Share Price & News
How has WD-40's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WDFC has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.01%
WDFC
-1.3%
US Household Products
-1.3%
US Market
1 Year Return
8.6%
WDFC
17.7%
US Household Products
18.5%
US Market
Return vs Industry: WDFC underperformed the US Household Products industry which returned 17.7% over the past year.
Return vs Market: WDFC underperformed the US Market which returned 18.5% over the past year.
Shareholder returns
| WDFC | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.01% | -1.3% | -1.3% |
| 30 Day | 1.8% | 4.1% | 5.3% |
| 90 Day | 3.8% | 10.1% | 7.5% |
| 1 Year | 10.2%8.6% | 19.9%17.7% | 21.3%18.5% |
| 3 Year | 89.8%81.7% | 64.9%52.9% | 42.4%32.9% |
| 5 Year | 126.2%109.4% | 93.7%69.9% | 84.2%63.5% |
Price Volatility Vs. Market
How volatile is WD-40's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did Business Growth Power WD-40's (NASDAQ:WDFC) Share Price Gain of 112%?1 month ago | Simply Wall St
Is WD-40 (NASDAQ:WDFC) Using Too Much Debt?1 month ago | Simply Wall St
Have WD-40 Company (NASDAQ:WDFC) Insiders Been Selling Their Stock?Valuation
Is WD-40 undervalued compared to its fair value and its price relative to the market?
54.83x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: WDFC ($197.5) is trading above our estimate of fair value ($55.74)
Significantly Below Fair Value: WDFC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: WDFC is poor value based on its PE Ratio (54.8x) compared to the US Household Products industry average (26.5x).
PE vs Market: WDFC is poor value based on its PE Ratio (54.8x) compared to the US market (19x).
Price to Earnings Growth Ratio
PEG Ratio: WDFC is poor value based on its PEG Ratio (6.9x)
Price to Book Ratio
PB vs Industry: WDFC is overvalued based on its PB Ratio (18.6x) compared to the US Household Products industry average (7.3x).
Next Steps
Future Growth
How is WD-40 forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
7.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WDFC's forecast earnings growth (7.9% per year) is above the savings rate (2.2%).
Earnings vs Market: WDFC's earnings (7.9% per year) are forecast to grow slower than the US market (22.2% per year).
High Growth Earnings: WDFC's earnings are forecast to grow, but not significantly.
Revenue vs Market: WDFC's revenue (5.6% per year) is forecast to grow slower than the US market (10.1% per year).
High Growth Revenue: WDFC's revenue (5.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WDFC's Return on Equity is forecast to be very high in 3 years time (46%).
Next Steps
Past Performance
How has WD-40 performed over the past 5 years?
5.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WDFC has high quality earnings.
Growing Profit Margin: WDFC's current net profit margins (12.2%) are lower than last year (16.3%).
Past Earnings Growth Analysis
Earnings Trend: WDFC's earnings have grown by 5.2% per year over the past 5 years.
Accelerating Growth: WDFC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: WDFC had negative earnings growth (-27.8%) over the past year, making it difficult to compare to the Household Products industry average (30.9%).
Return on Equity
High ROE: Whilst WDFC's Return on Equity (34.23%) is high, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is WD-40's financial position?
Financial Position Analysis
Short Term Liabilities: WDFC's short term assets ($213.3M) exceed its short term liabilities ($117.7M).
Long Term Liabilities: WDFC's short term assets ($213.3M) exceed its long term liabilities ($123.2M).
Debt to Equity History and Analysis
Debt Level: WDFC's debt to equity ratio (114.1%) is considered high.
Reducing Debt: WDFC's debt to equity ratio has increased from 69.2% to 114.1% over the past 5 years.
Debt Coverage: WDFC's debt is well covered by operating cash flow (40.7%).
Interest Coverage: WDFC's interest payments on its debt are well covered by EBIT (33.1x coverage).
Balance Sheet
Next Steps
Dividend
What is WD-40 current dividend yield, its reliability and sustainability?
1.36%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: WDFC's dividend (1.36%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.64%).
High Dividend: WDFC's dividend (1.36%) is low compared to the top 25% of dividend payers in the US market (4.68%).
Stability and Growth of Payments
Stable Dividend: WDFC's dividends per share have been stable in the past 10 years.
Growing Dividend: WDFC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (72.7%), WDFC's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
8.8yrs
Average management tenure
CEO
Garry Ridge (64 yo)
23yrs
Tenure
US$3,079,841
Compensation
Mr. Garry O. Ridge serves as Chairman of the Board at WD-40 Company since December 10, 2019. He has been the Chief Executive Officer at WD-40 Company since October 1, 1997 and served as its President from ...
CEO Compensation Analysis
Compensation vs Market: Garry's total compensation ($USD3.08M) is below average for companies of similar size in the US market ($USD5.63M).
Compensation vs Earnings: Garry's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 23yrs | US$3.08m | 0.69% $ 18.5m | |
| President & COO | 1.33yrs | US$769.88k | 0.027% $ 715.5k | |
| CFO, VP of Finance & Treasurer | 12.5yrs | US$933.82k | 0.29% $ 7.8m | |
| Corporate Secretary | 6.75yrs | US$678.40k | 0.048% $ 1.3m | |
| Managing Director of Europe | 24.75yrs | US$730.76k | 0.027% $ 740.3k | |
| Principal Accounting Officer | 0.83yr | no data | 0.0030% $ 81.2k | |
| Director of Investor Relations & Corporate Communications | no data | no data | no data | |
| Managing Director of Asia-Pacific | 23.75yrs | US$623.03k | 0.033% $ 879.8k | |
| Divisional President of The Americas | 1.33yrs | no data | 0.014% $ 378.6k | |
| Vice President of Global Organisation Development | 8.75yrs | US$601.91k | 0.046% $ 1.2m |
8.8yrs
Average Tenure
62yo
Average Age
Experienced Management: WDFC's management team is seasoned and experienced (8.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 23yrs | US$3.08m | 0.69% $ 18.5m | |
| Independent Director | 4.33yrs | US$138.94k | 0.013% $ 360.6k | |
| Independent Director | 19.33yrs | US$142.94k | 0.079% $ 2.1m | |
| Independent Director | 4.58yrs | US$146.94k | no data | |
| Independent Director | 2.83yrs | US$136.27k | no data | |
| Lead Independent Director | no data | US$140.94k | 0.039% $ 1.1m | |
| Independent Director | 0.83yr | no data | 0.0069% $ 185.1k | |
| Independent Director | 1.58yrs | US$113.94k | no data | |
| Independent Director | 3.83yrs | US$137.61k | 0.0073% $ 197.6k | |
| Director | 0.42yr | no data | no data | |
| Independent Director | 5.58yrs | US$138.94k | no data | |
| Director | 0.33yr | no data | no data |
2.8yrs
Average Tenure
62yo
Average Age
Experienced Board: WDFC'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: WDFC insiders have only sold shares 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
WD-40 Company's company bio, employee growth, exchange listings and data sources
Key Information
- Name: WD-40 Company
- Ticker: WDFC
- Exchange: NasdaqGS
- Founded: 1953
- Industry: Household Products
- Sector: Household
- Market Cap: US$2.699b
- Shares outstanding: 13.66m
- Website: https://www.wd40company.com
Number of Employees
Location
- WD-40 Company
- 9715 Businesspark Avenue
- San Diego
- California
- 92131
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| WDFC | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Jan 1980 |
| WD1 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1980 |
Biography
WD-40 Company develops and sells maintenance products, and homecare and cleaning products in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. The company offers multi-purpose maintenanc ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/20 23:57 |
| End of Day Share Price | 2020/10/20 00:00 |
| Earnings | 2020/05/31 |
| Annual Earnings | 2019/08/31 |
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.