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WE

WeWork NYSE:WE Stock Report

Last Price

US$6.75

Market Cap

US$4.9b

7D

-0.1%

1Y

-47.1%

Updated

21 May, 2022

Data

Company Financials +
WE fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance0/6
Financial Health0/6
Dividends0/6

WE Stock Overview

WeWork Inc. provides flexible workspace solutions to individuals and organizations worldwide.

WeWork Competitors

Price History & Performance

Summary of all time highs, changes and price drops for WeWork
Historical stock prices
Current Share PriceUS$6.75
52 Week HighUS$14.97
52 Week LowUS$4.50
Beta0
1 Month Change4.17%
3 Month Change2.12%
1 Year Change-47.14%
3 Year Changen/a
5 Year Changen/a
Change since IPO-31.12%

Recent News & Updates

May 04
Are Investors Undervaluing WeWork Inc. (NYSE:WE) By 33%?

Are Investors Undervaluing WeWork Inc. (NYSE:WE) By 33%?

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of WeWork Inc. ( NYSE:WE...

Shareholder Returns

WEUS Real EstateUS Market
7D-0.1%-2.3%-2.7%
1Y-47.1%-49.1%-12.9%

Return vs Industry: WE exceeded the US Real Estate industry which returned -48.6% over the past year.

Return vs Market: WE underperformed the US Market which returned -12.7% over the past year.

Price Volatility

Is WE's price volatile compared to industry and market?
WE volatility
WE Average Weekly Movement14.9%
Real Estate Industry Average Movement8.9%
Market Average Movement7.9%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.0%

Stable Share Price: WE is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 15% a week.

Volatility Over Time: WE's weekly volatility (15%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
20104,400Sandeep Mathranihttps://www.wework.com

WeWork Inc. provides flexible workspace solutions to individuals and organizations worldwide. The company offers workstation, private office, and customized floor solutions; and various amenities and services, such as private phone booths, internet, high-speed business printers and copiers, mail and package handling, front desk services, off-peak building access, common areas, and daily enhanced cleaning solutions. It also offers various value-add services; business and technical service solutions, including professional employer organization and payroll services, remote workforce solutions, human resources benefits, dedicated bandwidth, and IT equipment co-location solutions.

WeWork Fundamentals Summary

How do WeWork's earnings and revenue compare to its market cap?
WE fundamental statistics
Market CapUS$4.90b
Earnings (TTM)-US$3.25b
Revenue (TTM)US$2.74b

1.8x

P/S Ratio

-1.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
WE income statement (TTM)
RevenueUS$2.74b
Cost of RevenueUS$594.12m
Gross ProfitUS$2.14b
Other ExpensesUS$5.39b
Earnings-US$3.25b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-4.60
Gross Margin78.29%
Net Profit Margin-118.66%
Debt/Equity Ratio-155.5%

How did WE perform over the long term?

See historical performance and comparison

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: WE ($6.75) is trading below our estimate of fair value ($15.07)

Significantly Below Fair Value: WE is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: WE is unprofitable, so we can't compare its PE Ratio to the US Real Estate industry average.

PE vs Market: WE is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: WE has negative assets, so we can't compare its PB Ratio to the US Real Estate industry average.


Future Growth

How is WeWork forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


77.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WE is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: WE is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: WE is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: WE's revenue (13.8% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: WE's revenue (13.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if WE's Return on Equity is forecast to be high in 3 years time


Past Performance

How has WeWork performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-30.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: WE is currently unprofitable.

Growing Profit Margin: WE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: WE is unprofitable, and losses have increased over the past 5 years at a rate of 30% per year.

Accelerating Growth: Unable to compare WE's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: WE is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (100.8%).


Return on Equity

High ROE: WE's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Financial Health

How is WeWork's financial position?

Financial Health Score

0/6

Financial Health Score 0/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: WE has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: WE has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: WE has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: WE's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: WE has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: WE has less than a year of cash runway if free cash flow continues to reduce at historical rates of 10.4% each year


Dividend

What is WeWork current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.95%

Forecast Dividend Yield

Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as WE has not reported any payouts.


Discover strong dividend paying companies

Management

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

1.3yrs

Average management tenure


CEO

Sandeep Mathrani (59 yo)

2.25yrs

Tenure

US$21,308,250

Compensation

Mr. Sandeep Lakhmi Mathrani serves as Executive Chairman of the Board at WeWork Inc. since March 2022. He serves as Independent Director at Tanger Factory Outlet Centers, Inc. since June 3, 2021. He serves...


CEO Compensation Analysis

Compensation vs Market: Sandeep's total compensation ($USD21.31M) is above average for companies of similar size in the US market ($USD8.23M).

Compensation vs Earnings: Sandeep's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: WE's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: WE's board of directors are not considered experienced ( 1.7 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: WE insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Insufficient data to determine if shareholders have been diluted in the past year.


Top Shareholders

Company Information

WeWork Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: WeWork Inc.
  • Ticker: WE
  • Exchange: NYSE
  • Founded: 2010
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Implied Market Cap: US$4.896b
  • Market Cap: US$4.761b
  • Shares outstanding: 725.33m
  • Website: https://www.wework.com

Number of Employees


Location

  • WeWork Inc.
  • 575 Lexington Avenue
  • 16th Floor
  • New York
  • New York
  • 10022
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/21 00:00
End of Day Share Price2022/05/20 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.