NYSE
WST
Last Price
US $365.74
KEY FIGURES
MKT CAP
$24.8B
EPS
TTM
$7.54
PEG
TTM
2.72x
P/E
TTM
46.66x
P/S
TTM
8.06x
YIELD
0.25%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
17.87%
Return on equity
ROIC: 15.24%
Valuation History
46.7X
Price to Earnings
EV/EBITDA: 29.1X
Cash flow
Profit margin
7.44%
(FY vs FY)
EBITDA Y/Y
6.88%
(FY vs FY)
Cash flow Y/Y
9.48%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $365.74
-67.63%
Default assumptions
EBITDA Multiple
Fair Value
Market $365.74
-79.35%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
West Pharmaceutical Services, Inc. cash flow to debt ratio of 181.14% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.
Financial stability - Healthy cash flow growth.
West Pharmaceutical Services, Inc.'s free cash flow has increased 69.65% from $276.40M last year to $468.90M, signaling increasing performance
Financial stability - Healthy debt to equity ratio.
West Pharmaceutical Services, Inc.'s debt to equity ratio is 0.11, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial stability - Healthy debt to equity ratio development.
West Pharmaceutical Services, Inc.'s debt has decreased relative to shareholder equity from 0.11 last year to 0.11 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
West Pharmaceutical Services, Inc. has a net debt to EBITDA ratio of 0.00x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
West Pharmaceutical Services, Inc. earns at least as much interest as it pays. Interest obligations are fully covered.
Financial risk - Profit margin growth.
West Pharmaceutical Services, Inc.'s profit margin has decreased (-1.06%) in the last year from 17.03% to 16.85%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
West Pharmaceutical Services, Inc.'s short-term assets of $1.98G exceed its short-term liabilities of $654.90M
Increasing performance - ROA.
West Pharmaceutical Services, Inc.'s return on assets of 13.21% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
West Pharmaceutical Services, Inc.'s return on equity of 17.87%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
West Pharmaceutical Services, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
West Pharmaceutical Services, Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
West Pharmaceutical Services, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Decreasing performance - FCF yield.
West Pharmaceutical Services, Inc. has a free cash flow yield of 1.89%, which is below the 2.00% threshold, indicating limited cash return relative to market value
Increasing performance - Healthy earnings growth.
West Pharmaceutical Services, Inc.'s yearly earnings has increased 0.20% since last year from $492.70M to $493.70M, signaling increasing performance
Increasing performance - Healthy revenue growth.
West Pharmaceutical Services, Inc.'s yearly revenue has increased 6.27% since last year from $2.89G to $3.07G, signaling increasing performance
Increasing performance - ROIC.
ROIC 15.24% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
West Pharmaceutical Services, Inc.'s 3-year revenue CAGR of 2.13% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
West Pharmaceutical Services, Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
West Pharmaceutical Services, Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
West Pharmaceutical Services, Inc. is overvalued relative to its fair value price of 118.38 based on Discounted Cash Flow model
Overvalued - Earnings yield.
West Pharmaceutical Services, Inc. has an earnings yield of 2.15%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
West Pharmaceutical Services, Inc. is overvalued relative to its fair value price of 75.54 based on EBITDA multiple model
Overvalued - EV/EBITDA.
West Pharmaceutical Services, Inc. has an EV/EBITDA ratio of 29.14x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings
Overvalued - PEG ratio value.
West Pharmaceutical Services, Inc. has a PEG-ratio over 1 which is considered overvalued
Overvalued - P/B ratio.
West Pharmaceutical Services, Inc. has a price-to-book ratio of 8.45x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
West Pharmaceutical Services, Inc. has a price-to-sales ratio of 7.70x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue