ZALANDO SE (1ZAL.MI) Stock Fundamental Analysis
BIT:1ZAL - Euronext Milan - DE000ZAL1111 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to 1ZAL. 1ZAL was compared to 52 industry peers in the Specialty Retail industry. 1ZAL has an excellent profitability rating, but there are some minor concerns on its financial health. 1ZAL has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
1ZAL had positive earnings in the past year.
In the past year 1ZAL had a positive cash flow from operations.
In the past 5 years 1ZAL has always been profitable.
Each year in the past 5 years 1ZAL had a positive operating cash flow.
1.2 Ratios
1ZAL has a Return On Assets of 3.33%. This is in the better half of the industry: 1ZAL outperforms 71.15% of its industry peers.
1ZAL has a Return On Equity of 10.03%. This is in the better half of the industry: 1ZAL outperforms 71.15% of its industry peers.
1ZAL has a better Return On Invested Capital (6.33%) than 69.23% of its industry peers.
1ZAL had an Average Return On Invested Capital over the past 3 years of 3.34%. This is significantly below the industry average of 8.81%.
The last Return On Invested Capital (6.33%) for 1ZAL is above the 3 year average (3.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 10.03% | ||
| ROIC | 6.33% |
ROA(3y)1.48%
ROA(5y)2.26%
ROE(3y)4.56%
ROE(5y)6.95%
ROIC(3y)3.34%
ROIC(5y)4.59%
1.3 Margins
1ZAL has a Profit Margin of 2.51%. This is in the better half of the industry: 1ZAL outperforms 69.23% of its industry peers.
1ZAL's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 3.83%, 1ZAL is in the better half of the industry, outperforming 63.46% of the companies in the same industry.
1ZAL's Operating Margin has improved in the last couple of years.
1ZAL has a Gross Margin (40.85%) which is in line with its industry peers.
In the last couple of years the Gross Margin of 1ZAL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.83% | ||
| PM (TTM) | 2.51% | ||
| GM | 40.85% |
OM growth 3Y-2.26%
OM growth 5Y7.72%
PM growth 3Y1.6%
PM growth 5Y9.08%
GM growth 3Y-0.88%
GM growth 5Y-0.89%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1ZAL is still creating some value.
Compared to 1 year ago, 1ZAL has less shares outstanding
The number of shares outstanding for 1ZAL has been increased compared to 5 years ago.
1ZAL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.82 indicates that 1ZAL is not a great score, but indicates only limited risk for bankruptcy at the moment.
1ZAL has a better Altman-Z score (2.82) than 73.08% of its industry peers.
The Debt to FCF ratio of 1ZAL is 3.96, which is a good value as it means it would take 1ZAL, 3.96 years of fcf income to pay off all of its debts.
1ZAL's Debt to FCF ratio of 3.96 is fine compared to the rest of the industry. 1ZAL outperforms 65.38% of its industry peers.
1ZAL has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of 1ZAL (0.43) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 3.96 | ||
| Altman-Z | 2.82 |
ROIC/WACC1.04
WACC6.09%
2.3 Liquidity
1ZAL has a Current Ratio of 1.36. This is a normal value and indicates that 1ZAL is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of 1ZAL (1.36) is better than 65.38% of its industry peers.
1ZAL has a Quick Ratio of 1.36. This is a bad value and indicates that 1ZAL is not financially healthy enough and could expect problems in meeting its short term obligations.
1ZAL has a Quick ratio of 0.89. This is in the better half of the industry: 1ZAL outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 44.28% over the past year.
The Earnings Per Share has been growing by 23.33% on average over the past years. This is a very strong growth
1ZAL shows a small growth in Revenue. In the last year, the Revenue has grown by 4.23%.
The Revenue has been growing by 10.28% on average over the past years. This is quite good.
EPS 1Y (TTM)44.28%
EPS 3Y2.91%
EPS 5Y23.33%
EPS Q2Q%-51.01%
Revenue 1Y (TTM)4.23%
Revenue growth 3Y0.7%
Revenue growth 5Y10.28%
Sales Q2Q%5.05%
3.2 Future
1ZAL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.46% yearly.
Based on estimates for the next years, 1ZAL will show a small growth in Revenue. The Revenue will grow by 7.36% on average per year.
EPS Next Y23.95%
EPS Next 2Y24.77%
EPS Next 3Y24.16%
EPS Next 5Y24.46%
Revenue Next Year6.58%
Revenue Next 2Y6.37%
Revenue Next 3Y6.13%
Revenue Next 5Y7.36%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 27.48, the valuation of 1ZAL can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of 1ZAL indicates a somewhat cheap valuation: 1ZAL is cheaper than 63.46% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of 1ZAL to the average of the S&P500 Index (26.48), we can say 1ZAL is valued inline with the index average.
1ZAL is valuated correctly with a Price/Forward Earnings ratio of 15.47.
Based on the Price/Forward Earnings ratio, 1ZAL is valued a bit cheaper than the industry average as 67.31% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of 1ZAL to the average of the S&P500 Index (34.04), we can say 1ZAL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.48 | ||
| Fwd PE | 15.47 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1ZAL is valued a bit cheaper than the industry average as 71.15% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1ZAL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.27 | ||
| EV/EBITDA | 6.36 |
4.3 Compensation for Growth
1ZAL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
1ZAL has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as 1ZAL's earnings are expected to grow with 24.16% in the coming years.
PEG (NY)1.15
PEG (5Y)1.18
EPS Next 2Y24.77%
EPS Next 3Y24.16%
5. Dividend
5.1 Amount
No dividends for 1ZAL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1ZAL (8/8/2025, 7:00:00 PM)
23.36
-1.7 (-6.78%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners62.55%
Inst Owner ChangeN/A
Ins Owners10.07%
Ins Owner ChangeN/A
Market Cap6.17B
Analysts78.18
Price Target39.1 (67.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)454.43%
Min EPS beat(2)16.78%
Max EPS beat(2)892.08%
EPS beat(4)4
Avg EPS beat(4)243.23%
Min EPS beat(4)2.21%
Max EPS beat(4)892.08%
EPS beat(8)4
Avg EPS beat(8)68.14%
EPS beat(12)7
Avg EPS beat(12)1.44%
EPS beat(16)7
Avg EPS beat(16)-20.71%
Revenue beat(2)2
Avg Revenue beat(2)1.09%
Min Revenue beat(2)0.99%
Max Revenue beat(2)1.19%
Revenue beat(4)3
Avg Revenue beat(4)0.36%
Min Revenue beat(4)-1.22%
Max Revenue beat(4)1.19%
Revenue beat(8)3
Avg Revenue beat(8)-0.58%
Revenue beat(12)4
Avg Revenue beat(12)-0.66%
Revenue beat(16)6
Avg Revenue beat(16)-0.74%
PT rev (1m)-0.94%
PT rev (3m)3.34%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)1.51%
Revenue NQ rev (1m)3.84%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.48 | ||
| Fwd PE | 15.47 | ||
| P/S | 0.57 | ||
| P/FCF | 14.27 | ||
| P/OCF | 10.07 | ||
| P/B | 2.29 | ||
| P/tB | 2.7 | ||
| EV/EBITDA | 6.36 |
EPS(TTM)0.85
EY3.64%
EPS(NY)1.51
Fwd EY6.46%
FCF(TTM)1.64
FCFY7.01%
OCF(TTM)2.32
OCFY9.94%
SpS40.7
BVpS10.18
TBVpS8.66
PEG (NY)1.15
PEG (5Y)1.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 10.03% | ||
| ROCE | 10.33% | ||
| ROIC | 6.33% | ||
| ROICexc | 16.78% | ||
| ROICexgc | 22.93% | ||
| OM | 3.83% | ||
| PM (TTM) | 2.51% | ||
| GM | 40.85% | ||
| FCFM | 4.02% |
ROA(3y)1.48%
ROA(5y)2.26%
ROE(3y)4.56%
ROE(5y)6.95%
ROIC(3y)3.34%
ROIC(5y)4.59%
ROICexc(3y)9.52%
ROICexc(5y)14.27%
ROICexgc(3y)13.4%
ROICexgc(5y)19.23%
ROCE(3y)5.45%
ROCE(5y)7.5%
ROICexcg growth 3Y8.96%
ROICexcg growth 5Y22.36%
ROICexc growth 3Y2.72%
ROICexc growth 5Y17.49%
OM growth 3Y-2.26%
OM growth 5Y7.72%
PM growth 3Y1.6%
PM growth 5Y9.08%
GM growth 3Y-0.88%
GM growth 5Y-0.89%
F-Score8
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 3.96 | ||
| Debt/EBITDA | 1.52 | ||
| Cap/Depr | 51.03% | ||
| Cap/Sales | 1.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.99% | ||
| Profit Quality | 160.17% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 2.82 |
F-Score8
WACC6.09%
ROIC/WACC1.04
Cap/Depr(3y)86.74%
Cap/Depr(5y)104.05%
Cap/Sales(3y)2.65%
Cap/Sales(5y)2.86%
Profit Quality(3y)549.88%
Profit Quality(5y)378.62%
High Growth Momentum
Growth
EPS 1Y (TTM)44.28%
EPS 3Y2.91%
EPS 5Y23.33%
EPS Q2Q%-51.01%
EPS Next Y23.95%
EPS Next 2Y24.77%
EPS Next 3Y24.16%
EPS Next 5Y24.46%
Revenue 1Y (TTM)4.23%
Revenue growth 3Y0.7%
Revenue growth 5Y10.28%
Sales Q2Q%5.05%
Revenue Next Year6.58%
Revenue Next 2Y6.37%
Revenue Next 3Y6.13%
Revenue Next 5Y7.36%
EBIT growth 1Y89.26%
EBIT growth 3Y-1.58%
EBIT growth 5Y18.79%
EBIT Next Year114.38%
EBIT Next 3Y39.75%
EBIT Next 5Y30.53%
FCF growth 1Y0.14%
FCF growth 3Y16.44%
FCF growth 5Y84.9%
OCF growth 1Y-18.75%
OCF growth 3Y2.01%
OCF growth 5Y14.86%