On the stock market since 2009, it operates in the world of raw materials. It has 9,600 employees. Now — the numbers.
The company closed last year at a loss: costs ran above sales. The picture changes only if spending is reined in.
An average decline of 15% a year over the last 4 years — the most striking risk in this picture. Red columns mark years that ended in a loss.
Before the clock runs out, either sales must climb sharply or new money must come in. This is the most critical line in the whole picture.
The stock trades 30% below its peak. The market has trimmed its expectations for the company.
The average analyst price target is $83.50 — 17% above today’s price.
It pays out $1.28 per share each year — regular cash for whoever holds the stock.
A loss of $952.6M against $5.6B in annual sales. And on top of that, sales fell from the year before.
At the current pace of spending, the cash lasts less than a year. After that, the company needs to find new money.
On our five-subject report card, WFG sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: WFG has solid sales but closed last year at a loss. The road back to profit runs through spending discipline.