Willis Towers Watson Public Limited Company [NASDAQ:WLTW]: Analyst Rating and Earnings
Professional stock traders oftentimes make sure they verify what some leading Wall Street voices have to say about a potential buy. Currently, in relation to Willis Towers Watson Public Limited Company [WLTW], the latest Wall Street average recommendation we can view is from the fiscal quarter that will be ending in the month of December. On average, stock market experts give WLTW an Outperform rating. The average 12-month price forecast for this stock is $173.89, with the high estimate being $192.00, the low estimate being $149.00 and the median estimate amounting to $177.50. This is compared to its latest closing price of $153.35.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Willis Towers Watson Public Limited Company [WLTW] is sitting at 2.29. This is compared to 1 month ago, when its average rating was 2.29.
For the quarter ending in Sep-18 Willis Towers Watson Public Limited Company [WLTW] generated $1.86 billion in sales. That’s 0.86% lower than the average estimate of $1.88 billion as provided by Wall Street analysts. The three indicators above suggest that on the whole, this stock is not presenting an attractive investment option, as there are too many red flags that don’t point to a high-value ROI.
Keep on the lookout for this organization’s next scheduled financial results, which are expected to be made public on Thu 14 Feb (In 32 Days).
Fundamental Analysis of Willis Towers Watson Public Limited Company [WLTW]
Now let’s turn to look at profitability: with a current Operating Margin for Willis Towers Watson Public Limited Company [WLTW] sitting at +11.15 and its Gross Margin at +71.55, this company’s Net Margin is now 6.80%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 6.29, and its Return on Invested Capital has reached 6.20%. Its Return on Equity is 5.63, and its Return on Assets is 1.81. These metrics suggest that this Willis Towers Watson Public Limited Company does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Willis Towers Watson Public Limited Company [WLTW] has generated a Total Debt to Total Equity ratio of 44.79. Similarly, its Total Debt to Total Capital is 30.93, while its Total Debt to Total Assets stands at 13.97. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 43.95, and its Long-Term Debt to Total Capital is 30.35. This company has a healthy balance between its debt and its current holdings, suggesting it is a reliable investment due to its ability to leverage debt in an efficient way.
What about valuation? This company’s Enterprise Value to EBITDA is 13.60 and its Total Debt to EBITDA Value is 2.41. The Enterprise Value to Sales for this firm is now 2.81, and its Total Debt to Enterprise Value stands at 0.19. Willis Towers Watson Public Limited Company [WLTW] has a Price to Book Ratio of 1.97, a Price to Cash Flow Ratio of 23.77 and P/E Ratio of 36.41. These metrics suggest that this publicly-traded organization will not likely result in investment gains.
Shifting the focus to workforce efficiency, Willis Towers Watson Public Limited Company [WLTW] earns $187,765 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 3.72 and its Total Asset Turnover is 0.26.
Let’s now turn our attention to trading performance: Willis Towers Watson Public Limited Company [WLTW] has 131.00M shares outstanding, amounting to a total market cap of $20.17B. Its stock price has been found in the range of 134.50 to 164.99. At its current price, it has moved by -6.67% from its 52-week high, and it has moved 14.49% from its 52-week low.
This stock’s Beta value is currently 0.76, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 53.02. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Willis Towers Watson Public Limited Company [WLTW] a Reliable Buy?
Willis Towers Watson Public Limited Company [WLTW] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.