Willian Lyon Homes Stock Analysis, Valuation (NYSE:WLH)
Take a look at Amigobulls Willian Lyon Homes stock analysis video. Our analyst opinion covering the buy and sell arguments for WLH stock is shown in the video.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
William Lyon Homes Stock Rating 3/5
Amigobulls WLH stock analysis takes into account various financial ratios like relative valuation, Willian Lyon Homes revenue, growth and return on equity based on latest quarter 2018 Q1 financial statements. We also check Willian Lyon Homes dividend performance. Willian Lyon Homes valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Our Willian Lyon Homes stock rating is based on company's fundamentals like balance sheet risk and cash flow position.
Should you buy WLH stock?
- Willian Lyon Homes's revenue growth came in at 44.2% in 2018-03.
- The company saw a significant growth in revenue with a 5 year CAGR of 35.3.
- The price to earnings multiple of 10.4 is attractive when compared with the sector average PE ratio of 19.1.
- The lower PS ratio 0.5 for WLH stock versus Construction sector average of 0.9 is a positive for the company.
- The company has a good Free Cash Flow (FCF) margin of 25.6.
Should you sell WLH stock?
- Willian Lyon Homes has a debt/equity ratio of 1.53, which is worse than the average in the -sectordesc- sector.
- Willian Lyon Homes provides a low return on invested capital of 4.1.
Investors can use Amigobulls Willian Lyon Homes stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.
Among the financials of the company, Willian Lyon Homes revenue growth along with the profit or net income give a clear picture of the financial health. One can also combine technical analysis and fundamental analysis to get a holistic picture about WLH stock.