ACADEMY SPORTS & OUTDOORS IN (ASO) Stock Fundamental Analysis
NASDAQ:ASO - Nasdaq - US00402L1070 - Common Stock - Currency: USD
ASO gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. ASO has an excellent profitability rating, but there are some minor concerns on its financial health. ASO scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes ASO very considerable for value investing!
1. Profitability
1.1 Basic Checks
ASO had positive earnings in the past year.
ASO had a positive operating cash flow in the past year.
Each year in the past 5 years ASO has been profitable.
In the past 5 years ASO always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 7.49%, ASO is doing good in the industry, outperforming 78.51% of the companies in the same industry.
The Return On Equity of ASO (19.93%) is better than 78.51% of its industry peers.
ASO's Return On Invested Capital of 10.07% is fine compared to the rest of the industry. ASO outperforms 71.90% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ASO is in line with the industry average of 13.07%.
The last Return On Invested Capital (10.07%) for ASO is well below the 3 year average (14.39%), which needs to be investigated, but indicates that ASO had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 19.93% | ||
| ROIC | 10.07% |
ROA(3y)11.1%
ROA(5y)11%
ROE(3y)28.67%
ROE(5y)31.91%
ROIC(3y)14.39%
ROIC(5y)14.77%
1.3 Margins
With an excellent Profit Margin value of 6.55%, ASO belongs to the best of the industry, outperforming 82.64% of the companies in the same industry.
In the last couple of years the Profit Margin of ASO has grown nicely.
ASO has a better Operating Margin (8.54%) than 80.99% of its industry peers.
In the last couple of years the Operating Margin of ASO has grown nicely.
The Gross Margin of ASO (34.03%) is comparable to the rest of the industry.
ASO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.54% | ||
| PM (TTM) | 6.55% | ||
| GM | 34.03% |
OM growth 3Y-12.18%
OM growth 5Y19.57%
PM growth 3Y-10.73%
PM growth 5Y23.2%
GM growth 3Y-0.79%
GM growth 5Y2.73%
2. Health
2.1 Basic Checks
ASO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
ASO has less shares outstanding than it did 1 year ago.
The number of shares outstanding for ASO has been reduced compared to 5 years ago.
Compared to 1 year ago, ASO has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.66 indicates that ASO is not a great score, but indicates only limited risk for bankruptcy at the moment.
ASO's Altman-Z score of 2.66 is fine compared to the rest of the industry. ASO outperforms 61.98% of its industry peers.
The Debt to FCF ratio of ASO is 1.82, which is an excellent value as it means it would take ASO, only 1.82 years of fcf income to pay off all of its debts.
ASO has a better Debt to FCF ratio (1.82) than 77.69% of its industry peers.
ASO has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
ASO has a Debt to Equity ratio of 0.25. This is in the better half of the industry: ASO outperforms 61.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.82 | ||
| Altman-Z | 2.66 |
ROIC/WACC1.18
WACC8.53%
2.3 Liquidity
A Current Ratio of 1.52 indicates that ASO should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.52, ASO is doing good in the industry, outperforming 63.64% of the companies in the same industry.
A Quick Ratio of 0.29 indicates that ASO may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.29, ASO is doing worse than 74.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.29 |
3. Growth
3.1 Past
ASO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.24%.
Measured over the past years, ASO shows a very strong growth in Earnings Per Share. The EPS has been growing by 33.32% on average per year.
ASO shows a decrease in Revenue. In the last year, the revenue decreased by -3.57%.
ASO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.20% yearly.
EPS 1Y (TTM)-15.24%
EPS 3Y-7.28%
EPS 5Y33.32%
EPS Q2Q%-29.63%
Revenue 1Y (TTM)-3.57%
Revenue growth 3Y-4.32%
Revenue growth 5Y4.2%
Sales Q2Q%-0.94%
3.2 Future
ASO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.68% yearly.
Based on estimates for the next years, ASO will show a small growth in Revenue. The Revenue will grow by 6.21% on average per year.
EPS Next Y-2.44%
EPS Next 2Y4.04%
EPS Next 3Y7.48%
EPS Next 5Y8.68%
Revenue Next Year2.64%
Revenue Next 2Y4.38%
Revenue Next 3Y6.19%
Revenue Next 5Y6.21%
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 decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.25 indicates a reasonable valuation of ASO.
ASO's Price/Earnings ratio is rather cheap when compared to the industry. ASO is cheaper than 91.74% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.45, ASO is valued rather cheaply.
A Price/Forward Earnings ratio of 7.22 indicates a rather cheap valuation of ASO.
Based on the Price/Forward Earnings ratio, ASO is valued cheaper than 91.74% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.90. ASO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.25 | ||
| Fwd PE | 7.22 |
4.2 Price Multiples
ASO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ASO is cheaper than 83.47% of the companies in the same industry.
81.82% of the companies in the same industry are more expensive than ASO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.78 | ||
| EV/EBITDA | 5.35 |
4.3 Compensation for Growth
The excellent profitability rating of ASO may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.25
EPS Next 2Y4.04%
EPS Next 3Y7.48%
5. Dividend
5.1 Amount
ASO has a Yearly Dividend Yield of 1.05%.
Compared to an average industry Dividend Yield of 5.27, ASO pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.05, ASO pays less dividend than the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
5.2 History
ASO has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
8.25% of the earnings are spent on dividend by ASO. This is a low number and sustainable payout ratio.
DP8.25%
EPS Next 2Y4.04%
EPS Next 3Y7.48%
47.25
-0.16 (-0.34%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners114.21%
Inst Owner Change-2.45%
Ins Owners0.87%
Ins Owner Change4.43%
Market Cap3.14B
Analysts75.65
Price Target55.08 (16.57%)
Short Float %11.1%
Short Ratio4.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
Yearly Dividend0.44
Dividend Growth(5Y)N/A
DP8.25%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.05%
Min EPS beat(2)-16.03%
Max EPS beat(2)5.92%
EPS beat(4)1
Avg EPS beat(4)-8.96%
Min EPS beat(4)-24.9%
Max EPS beat(4)5.92%
EPS beat(8)2
Avg EPS beat(8)-7.91%
EPS beat(12)5
Avg EPS beat(12)-4.87%
EPS beat(16)9
Avg EPS beat(16)6.12%
Revenue beat(2)0
Avg Revenue beat(2)-1.69%
Min Revenue beat(2)-2.43%
Max Revenue beat(2)-0.95%
Revenue beat(4)0
Avg Revenue beat(4)-2.52%
Min Revenue beat(4)-4.12%
Max Revenue beat(4)-0.95%
Revenue beat(8)0
Avg Revenue beat(8)-2.24%
Revenue beat(12)0
Avg Revenue beat(12)-2.71%
Revenue beat(16)4
Avg Revenue beat(16)-1.09%
PT rev (1m)-5.08%
PT rev (3m)-13.45%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)-0.38%
EPS NY rev (1m)-2.05%
EPS NY rev (3m)-3.58%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)-0.3%
Revenue NY rev (1m)-0.85%
Revenue NY rev (3m)-2.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.25 | ||
| Fwd PE | 7.22 | ||
| P/S | 0.53 | ||
| P/FCF | 11.78 | ||
| P/OCF | 6.47 | ||
| P/B | 1.61 | ||
| P/tB | 6.21 | ||
| EV/EBITDA | 5.35 |
EPS(TTM)5.73
EY12.13%
EPS(NY)6.55
Fwd EY13.86%
FCF(TTM)4.01
FCFY8.49%
OCF(TTM)7.3
OCFY15.46%
SpS88.99
BVpS29.27
TBVpS7.61
PEG (NY)N/A
PEG (5Y)0.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 19.93% | ||
| ROCE | 12.9% | ||
| ROIC | 10.07% | ||
| ROICexc | 10.86% | ||
| ROICexgc | 18% | ||
| OM | 8.54% | ||
| PM (TTM) | 6.55% | ||
| GM | 34.03% | ||
| FCFM | 4.51% |
ROA(3y)11.1%
ROA(5y)11%
ROE(3y)28.67%
ROE(5y)31.91%
ROIC(3y)14.39%
ROIC(5y)14.77%
ROICexc(3y)15.79%
ROICexc(5y)16.55%
ROICexgc(3y)27.48%
ROICexgc(5y)30.41%
ROCE(3y)18.44%
ROCE(5y)18.93%
ROICexcg growth 3Y-25.62%
ROICexcg growth 5Y22.03%
ROICexc growth 3Y-21.55%
ROICexc growth 5Y23.06%
OM growth 3Y-12.18%
OM growth 5Y19.57%
PM growth 3Y-10.73%
PM growth 5Y23.2%
GM growth 3Y-0.79%
GM growth 5Y2.73%
F-Score5
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.82 | ||
| Debt/EBITDA | 0.77 | ||
| Cap/Depr | 183.46% | ||
| Cap/Sales | 3.7% | ||
| Interest Coverage | 14.24 | ||
| Cash Conversion | 77.75% | ||
| Profit Quality | 68.77% | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.29 | ||
| Altman-Z | 2.66 |
F-Score5
WACC8.53%
ROIC/WACC1.18
Cap/Depr(3y)153.11%
Cap/Depr(5y)114.13%
Cap/Sales(3y)2.82%
Cap/Sales(5y)2.06%
Profit Quality(3y)70.66%
Profit Quality(5y)123.03%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.24%
EPS 3Y-7.28%
EPS 5Y33.32%
EPS Q2Q%-29.63%
EPS Next Y-2.44%
EPS Next 2Y4.04%
EPS Next 3Y7.48%
EPS Next 5Y8.68%
Revenue 1Y (TTM)-3.57%
Revenue growth 3Y-4.32%
Revenue growth 5Y4.2%
Sales Q2Q%-0.94%
Revenue Next Year2.64%
Revenue Next 2Y4.38%
Revenue Next 3Y6.19%
Revenue Next 5Y6.21%
EBIT growth 1Y-22.71%
EBIT growth 3Y-15.97%
EBIT growth 5Y24.59%
EBIT Next Year16.58%
EBIT Next 3Y10.22%
EBIT Next 5Y10.72%
FCF growth 1Y-28.83%
FCF growth 3Y-18.13%
FCF growth 5Y10.28%
OCF growth 1Y-4.17%
OCF growth 3Y-7.78%
OCF growth 5Y14.9%