NasdaqGM:WSTG

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Wayside Technology Group

Executive Summary

Wayside Technology Group, Inc. operates as an information technology channel company worldwide. More Details


Snowflake Analysis

Flawless balance sheet average dividend payer.

Share Price & News

How has Wayside Technology Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.5%

WSTG

2.7%

US Electronic

1.3%

US Market


1 Year Return

65.0%

WSTG

5.4%

US Electronic

15.8%

US Market

Return vs Industry: WSTG exceeded the US Electronic industry which returned 5.4% over the past year.

Return vs Market: WSTG exceeded the US Market which returned 15.8% over the past year.


Shareholder returns

WSTGIndustryMarket
7 Day1.5%2.7%1.3%
30 Day-5.9%-2.0%-4.1%
90 Day-3.0%7.4%8.4%
1 Year71.7%65.0%6.5%5.4%18.4%15.8%
3 Year99.9%73.2%15.1%11.8%38.2%29.0%
5 Year67.4%34.3%77.4%69.1%84.9%64.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Wayside Technology Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WSTG ($23.38) is trading below our estimate of fair value ($996.02)

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


Price To Earnings Ratio

PE vs Industry: WSTG is good value based on its PE Ratio (21.5x) compared to the US Electronic industry average (25x).

PE vs Market: WSTG is poor value based on its PE Ratio (21.5x) compared to the US market (18x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: WSTG is overvalued based on its PB Ratio (2.4x) compared to the US Electronic industry average (1.9x).


Next Steps

Future Growth

How is Wayside Technology Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

40.6%

Forecasted Tech 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 Wayside Technology Group 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 Wayside Technology Group performed over the past 5 years?

-2.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WSTG has high quality earnings.

Growing Profit Margin: WSTG's current net profit margins (2.1%) are lower than last year (3.2%).


Past Earnings Growth Analysis

Earnings Trend: WSTG's earnings have declined by 2.9% per year over the past 5 years.

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

Earnings vs Industry: WSTG had negative earnings growth (-23%) over the past year, making it difficult to compare to the Electronic industry average (-20.5%).


Return on Equity

High ROE: WSTG's Return on Equity (11.7%) is considered low.


Next Steps

Financial Health

How is Wayside Technology Group's financial position?


Financial Position Analysis

Short Term Liabilities: WSTG's short term assets ($124.8M) exceed its short term liabilities ($91.1M).

Long Term Liabilities: WSTG's short term assets ($124.8M) exceed its long term liabilities ($3.0M).


Debt to Equity History and Analysis

Debt Level: WSTG is debt free.

Reducing Debt: WSTG had no debt 5 years ago.

Debt Coverage: WSTG has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: WSTG has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Wayside Technology Group current dividend yield, its reliability and sustainability?

2.91%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: WSTG's dividend (2.91%) is higher than the bottom 25% of dividend payers in the US market (1.71%).

High Dividend: WSTG's dividend (2.91%) is low compared to the top 25% of dividend payers in the US market (4.83%).


Stability and Growth of Payments

Stable Dividend: WSTG's dividends per share have been stable in the past 10 years.

Growing Dividend: WSTG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (62.4%), WSTG'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?

3.3yrs

Average management tenure


CEO

Dale Foster (56 yo)

0.67

Tenure

US$498,337

Compensation

Mr. Dale Richard Foster served as President at Lifeboat Distribution, Inc. since July 1, 2019 until January 2020 and its Chief Executive Officer since January 2020. Mr. Foster has been Chief Executive Offi ...


CEO Compensation Analysis

Compensation vs Market: Dale's total compensation ($USD498.34K) is about average for companies of similar size in the US market ($USD601.03K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Dale Foster
CEO & Director0.67yrUS$498.34k1.16%
$ 1.1m
Michael Vesey
CFO, VP & Principal Accounting Officer3.92yrsUS$541.20k0.80%
$ 785.7k
Vito Legrottaglie
VP of Operations & Chief Information Officer5.5yrsUS$526.27k1.17%
$ 1.2m
Charles Bass
Vice President of Vendor Development at Lifeboat Distribution2.67yrsUS$444.03k0.40%
$ 398.7k
Melanie Caponigro
Director of Accountingno datano datano data

3.3yrs

Average Tenure

56yo

Average Age

Experienced Management: WSTG's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Dale Foster
CEO & Director0.67yrUS$498.34k1.16%
$ 1.1m
Andrew Bryant
Independent Director1.17yrsUS$61.53k0.12%
$ 119.4k
Ross Crane
Independent Director0.75yrUS$5.00k0.10%
$ 100.3k
Carol DiBattiste
Independent Director0.25yrno data0.069%
$ 67.7k
John McCarthy
Independent Director1.25yrsUS$71.95k0.12%
$ 119.4k
Jeffrey Geygan
Independent Chairman of the Board2.33yrsUS$134.87k0.34%
$ 339.7k
Diana Kurty
Independent Director4.75yrsUS$108.20k0.26%
$ 259.7k

1.2yrs

Average Tenure

59yo

Average Age

Experienced Board: WSTG's board of directors are not considered experienced ( 1.2 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: Insufficient data to determine if insiders have bought more shares than they have sold 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

Wayside Technology Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wayside Technology Group, Inc.
  • Ticker: WSTG
  • Exchange: NasdaqGM
  • Founded: 1982
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: US$98.548m
  • Shares outstanding: 4.22m
  • Website: https://www.waysidetechnology.com

Number of Employees


Location

  • Wayside Technology Group, Inc.
  • 4 Industrial Way West
  • Suite 300
  • Eatontown
  • New Jersey
  • 7724
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PYADB (Deutsche Boerse AG)YesCommon StockDEEURJul 1995
WSTGNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDJul 1995

Biography

Wayside Technology Group, Inc. operates as an information technology channel company worldwide. It operates in two segments, Lifeboat Distribution and TechXtend. The company distributes technical software ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/30 00:30
End of Day Share Price2020/09/29 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.