WiseTech Global (WTC.AX)
Technology · ASX · Australia
Fundamentals
Valuation and ratings
WiseTech Global trades at A$34.83, which is 61% above the A$13.60 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 61 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 48.6 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About WiseTech Global
WiseTech Global Limited engages in the development and provision of software solutions to the logistics execution industry in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. It develops, sells, and implements software solutions that enable and empower logistics service providers to facilitate the movement and storage of goods and information. The company offers various software solutions for forwarding and customs, landside logistics, digital documents, transport and specialist warehouse management system, carrier and rates, and enterprise. WiseTech Global Limited was incorporated in 1994 and is based in Alexandria, Australia.
WTC.AX passes 3 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is WiseTech Global (WTC.AX) undervalued?
Against our discounted cash flow estimate of A$13.60, WTC.AX at A$34.83 is 61% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is WTC.AX's P/E ratio?
WTC.AX trades at 48.6 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.