(WKL) Wolters Kluwer - Ratings and Ratios
Healthcare Solutions, Tax Software, Financial Compliance, Legal Information, ESG
Description: WKL Wolters Kluwer
Wolters Kluwer N.V. is a global provider of professional information, software solutions, and services operating across multiple segments, including Health, Tax & Accounting, Financial & Corporate Compliance, Legal & Regulatory, and Corporate Performance & ESG. The companys diverse offerings cater to various industries, such as healthcare, financial services, and legal services, supporting professionals in their decision-making and operational efficiency.
The companys segments serve a wide range of customers, from healthcare organizations and accounting firms to corporations, law firms, and government agencies. Wolters Kluwers solutions aim to drive productivity, navigate regulatory changes, and deliver better outcomes for its clients. Its software and services enable professionals to manage risks, meet reporting requirements, and improve sustainability performance.
To evaluate Wolters Kluwers performance, key performance indicators (KPIs) such as revenue growth, operating margin, and return on equity (ROE) are crucial. With a reported ROE of 92.41%, the company demonstrates a high level of profitability. Additionally, the dividend yield and payout ratio can be important metrics for income investors. The companys ability to maintain a strong cash flow and invest in research and development (R&D) is also vital for its long-term growth and competitiveness.
Further analysis of Wolters Kluwers financials reveals that its market capitalization stands at approximately €32 billion, indicating a significant presence in the market. The price-to-earnings (P/E) ratio of 30.66 and forward P/E of 25.71 suggest that the companys stock is relatively expensive compared to its earnings, but expectations for future growth may justify this valuation. Investors should consider these metrics in the context of the companys growth prospects, industry trends, and overall market conditions.
From a strategic perspective, Wolters Kluwers diversified business model and global footprint provide a solid foundation for growth. The companys focus on digital solutions and services positions it well for the ongoing transformation in its target markets. As the demand for professional information and software solutions continues to evolve, Wolters Kluwers ability to innovate and adapt will be critical to its success.
WKL Stock Overview
| Market Cap in USD | 30,216m |
| Sub-Industry | Diversified Support Services |
| IPO / Inception |
WKL Stock Ratings
| Growth Rating | 1.95% |
| Fundamental | 82.8% |
| Dividend Rating | 57.8% |
| Return 12m vs S&P 500 | -40.0% |
| Analyst Rating | - |
WKL Dividends
| Dividend Yield 12m | 1.86% |
| Yield on Cost 5y | 3.62% |
| Annual Growth 5y | 11.69% |
| Payout Consistency | 99.1% |
| Payout Ratio | 45.8% |
WKL Growth Ratios
| Growth Correlation 3m | -94.7% |
| Growth Correlation 12m | -66.3% |
| Growth Correlation 5y | 93.8% |
| CAGR 5y | 4.60% |
| CAGR/Max DD 3y | 0.11 |
| CAGR/Mean DD 3y | 1.26 |
| Sharpe Ratio 12m | -0.54 |
| Alpha | 0.02 |
| Beta | 0.752 |
| Volatility | 25.62% |
| Current Volume | 687.3k |
| Average Volume 20d | 668.1k |
| Stop Loss | 107 (-3%) |
| Signal | -0.20 |
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income (1.58b TTM) > 0 and > 6% of Revenue (6% = 506.2m TTM) |
| FCFTA 0.24 (>2.0%) and ΔFCFTA 11.87pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -13.36% (prev -20.35%; Δ 6.99pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.26 (>3.0%) and CFO 2.46b > Net Income 1.58b (YES >=105%, WARN >=100%) |
| Net Debt (2.87b) to EBITDA (2.70b) ratio: 1.06 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.70 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (234.3m) change vs 12m ago NaN% (target <= -2.0% for YES) |
| Gross Margin 68.71% (prev 69.16%; Δ -0.45pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 90.76% (prev 55.98%; Δ 34.78pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 53.13 (EBITDA TTM 2.70b / Interest Expense TTM 38.0m) >= 6 (WARN >= 3) |
Altman Z'' 1.38
| (A) -0.12 = (Total Current Assets 2.66b - Total Current Liabilities 3.78b) / Total Assets 9.50b |
| (B) 0.21 = Retained Earnings (Balance) 2.04b / Total Assets 9.50b |
| (C) 0.22 = EBIT TTM 2.02b / Avg Total Assets 9.30b |
| (D) 0.0 = Book Value of Equity 0.0 / Total Liabilities 7.95b |
| Total Rating: 1.38 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 82.81
| 1. Piotroski 6.0pt = 1.0 |
| 2. FCF Yield 7.85% = 3.92 |
| 3. FCF Margin 26.64% = 6.66 |
| 4. Debt/Equity 2.48 = 0.04 |
| 5. Debt/Ebitda 1.42 = 1.10 |
| 6. ROIC - WACC (= 22.46)% = 12.50 |
| 7. RoE 92.41% = 2.50 |
| 8. Rev. Trend 61.19% = 4.59 |
| 9. EPS Trend 9.86% = 0.49 |
What is the price of WKL shares?
Over the past week, the price has changed by +1.10%, over one month by -1.49%, over three months by -23.74% and over the past year by -28.76%.
Is Wolters Kluwer a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of WKL is around 93.07 EUR . This means that WKL is currently overvalued and has a potential downside of -15.66%.
Is WKL a buy, sell or hold?
What are the forecasts/targets for the WKL price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 151.1 | 36.9% |
| Analysts Target Price | - | - |
| ValueRay Target Price | 103 | -6.6% |
WKL Fundamental Data Overview
Market Cap EUR = 25.77b (25.77b EUR * 1.0 EUR.EUR)
CCE Cash And Equivalents = 954.0m EUR (Cash only, last quarter)
P/E Trailing = 23.5924
P/E Forward = 20.0401
P/S = 4.2403
P/B = 29.0507
P/EG = 2.1797
Beta = 0.198
Revenue TTM = 8.44b EUR
EBIT TTM = 2.02b EUR
EBITDA TTM = 2.70b EUR
Long Term Debt = 3.47b EUR (from longTermDebt, last quarter)
Short Term Debt = 359.0m EUR (from shortLongTermDebt, last quarter)
Debt = 3.83b EUR (Calculated: Short Term 359.0m + Long Term 3.47b)
Net Debt = 2.87b EUR (from netDebt column, last quarter)
Enterprise Value = 28.64b EUR (25.77b + Debt 3.83b - CCE 954.0m)
Interest Coverage Ratio = 53.13 (Ebit TTM 2.02b / Interest Expense TTM 38.0m)
FCF Yield = 7.85% (FCF TTM 2.25b / Enterprise Value 28.64b)
FCF Margin = 26.64% (FCF TTM 2.25b / Revenue TTM 8.44b)
Net Margin = 18.72% (Net Income TTM 1.58b / Revenue TTM 8.44b)
Gross Margin = 68.71% ((Revenue TTM 8.44b - Cost of Revenue TTM 2.64b) / Revenue TTM)
Tobins Q-Ratio = unknown (Enterprise Value 28.64b / Book Value Of Equity 0.0)
Interest Expense / Debt = 0.37% (Interest Expense 14.0m / Debt 3.83b)
Taxrate = 21.93% (148.0m / 675.0m)
NOPAT = 1.58b (EBIT 2.02b * (1 - 21.93%))
Current Ratio = 0.70 (Total Current Assets 2.66b / Total Current Liabilities 3.78b)
Debt / Equity = 2.48 (Debt 3.83b / last Quarter total Stockholder Equity 1.54b)
Debt / EBITDA = 1.42 (Net Debt 2.87b / EBITDA 2.70b)
Debt / FCF = 1.70 (Debt 3.83b / FCF TTM 2.25b)
Total Stockholder Equity = 1.71b (last 4 quarters mean)
RoA = 16.62% (Net Income 1.58b, Total Assets 9.50b )
RoE = 92.41% (Net Income TTM 1.58b / Total Stockholder Equity 1.71b)
RoCE = 39.01% (Ebit 2.02b / (Equity 1.71b + L.T.Debt 3.47b))
RoIC = 30.14% (NOPAT 1.58b / Invested Capital 5.23b)
WACC = 7.68% (E(25.77b)/V(29.59b) * Re(8.78%)) + (D(3.83b)/V(29.59b) * Rd(0.37%) * (1-Tc(0.22)))
Shares Correlation 3-Years: -92.32 | Cagr: -0.79%
Discount Rate = 8.78% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 77.06% ; FCFE base≈1.78b ; Y1≈1.95b ; Y5≈2.49b
Fair Price DCF = 164.7 (DCF Value 37.80b / Shares Outstanding 229.5m; 5y FCF grow 11.08% → 3.0% )
EPS Correlation: 9.86 | EPS CAGR: 217.5% | SUE: 1.87 | # QB: 1
Revenue Correlation: 61.19 | Revenue CAGR: 11.27%