BUCKLE INC/THE (BKE) Stock Fundamental Analysis
NYSE:BKE - New York Stock Exchange, Inc. - US1184401065 - Common Stock - Currency: USD
Taking everything into account, BKE scores 7 out of 10 in our fundamental rating. BKE was compared to 120 industry peers in the Specialty Retail industry. BKE gets an excellent profitability rating and is at the same time showing great financial health properties. BKE has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BKE was profitable.
In the past year BKE had a positive cash flow from operations.
BKE had positive earnings in each of the past 5 years.
In the past 5 years BKE always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 21.41%, BKE belongs to the best of the industry, outperforming 98.33% of the companies in the same industry.
With an excellent Return On Equity value of 46.12%, BKE belongs to the best of the industry, outperforming 92.50% of the companies in the same industry.
BKE has a better Return On Invested Capital (26.21%) than 93.33% of its industry peers.
BKE had an Average Return On Invested Capital over the past 3 years of 32.58%. This is significantly above the industry average of 13.32%.
The last Return On Invested Capital (26.21%) for BKE is well below the 3 year average (32.58%), which needs to be investigated, but indicates that BKE had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.41% | ||
| ROE | 46.12% | ||
| ROIC | 26.21% |
ROA(3y)25.51%
ROA(5y)24.91%
ROE(3y)55.67%
ROE(5y)56.25%
ROIC(3y)32.58%
ROIC(5y)33.11%
1.3 Margins
BKE's Profit Margin of 16.05% is amongst the best of the industry. BKE outperforms 97.50% of its industry peers.
BKE's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 19.82%, BKE belongs to the top of the industry, outperforming 97.50% of the companies in the same industry.
BKE's Operating Margin has improved in the last couple of years.
BKE has a Gross Margin of 48.68%. This is in the better half of the industry: BKE outperforms 77.50% of its industry peers.
BKE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.82% | ||
| PM (TTM) | 16.05% | ||
| GM | 48.68% |
OM growth 3Y-8.55%
OM growth 5Y6.3%
PM growth 3Y-6.57%
PM growth 5Y6.72%
GM growth 3Y-1.18%
GM growth 5Y3.03%
2. Health
2.1 Basic Checks
BKE has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
BKE has more shares outstanding than it did 1 year ago.
BKE has more shares outstanding than it did 5 years ago.
BKE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 5.57 indicates that BKE is not in any danger for bankruptcy at the moment.
BKE has a Altman-Z score of 5.57. This is amongst the best in the industry. BKE outperforms 88.33% of its industry peers.
BKE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 5.57 |
ROIC/WACC2.75
WACC9.53%
2.3 Liquidity
A Current Ratio of 2.05 indicates that BKE has no problem at all paying its short term obligations.
BKE has a better Current ratio (2.05) than 82.50% of its industry peers.
A Quick Ratio of 1.49 indicates that BKE should not have too much problems paying its short term obligations.
BKE has a Quick ratio of 1.49. This is amongst the best in the industry. BKE outperforms 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.05 | ||
| Quick Ratio | 1.49 |
3. Growth
3.1 Past
BKE shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.25%.
The Earnings Per Share has been growing by 12.64% on average over the past years. This is quite good.
Looking at the last year, BKE shows a decrease in Revenue. The Revenue has decreased by -1.08% in the last year.
Measured over the past years, BKE shows a small growth in Revenue. The Revenue has been growing by 6.23% on average per year.
EPS 1Y (TTM)-8.25%
EPS 3Y-9.01%
EPS 5Y12.64%
EPS Q2Q%1.45%
Revenue 1Y (TTM)-1.08%
Revenue growth 3Y-2.02%
Revenue growth 5Y6.23%
Sales Q2Q%3.67%
3.2 Future
Based on estimates for the next years, BKE will show a small growth in Earnings Per Share. The EPS will grow by 1.35% on average per year.
The Revenue is expected to grow by 2.57% on average over the next years.
EPS Next Y-3.82%
EPS Next 2Y-1.2%
EPS Next 3Y1.35%
EPS Next 5YN/A
Revenue Next Year1.72%
Revenue Next 2Y1.94%
Revenue Next 3Y2.57%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.22, the valuation of BKE can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of BKE indicates a rather cheap valuation: BKE is cheaper than 81.67% of the companies listed in the same industry.
BKE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.60.
The Price/Forward Earnings ratio is 11.52, which indicates a very decent valuation of BKE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BKE indicates a somewhat cheap valuation: BKE is cheaper than 71.67% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of BKE to the average of the S&P500 Index (22.39), we can say BKE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.22 | ||
| Fwd PE | 11.52 |
4.2 Price Multiples
70.00% of the companies in the same industry are more expensive than BKE, based on the Enterprise Value to EBITDA ratio.
78.33% of the companies in the same industry are more expensive than BKE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.18 | ||
| EV/EBITDA | 7.26 |
4.3 Compensation for Growth
BKE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.89
EPS Next 2Y-1.2%
EPS Next 3Y1.35%
5. Dividend
5.1 Amount
BKE has a Yearly Dividend Yield of 3.28%. Purely for dividend investing, there may be better candidates out there.
BKE's Dividend Yield is rather good when compared to the industry average which is at 5.19. BKE pays more dividend than 90.83% of the companies in the same industry.
BKE's Dividend Yield is a higher than the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
5.2 History
The dividend of BKE is nicely growing with an annual growth rate of 11.22%!
BKE has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)11.22%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
101.31% of the earnings are spent on dividend by BKE. This is not a sustainable payout ratio.
The dividend of BKE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP101.31%
EPS Next 2Y-1.2%
EPS Next 3Y1.35%
43.65
-0.01 (-0.02%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners61.12%
Inst Owner Change0.85%
Ins Owners8.14%
Ins Owner Change17.79%
Market Cap2.23B
Analysts46.67
Price Target40.8 (-6.53%)
Short Float %7.61%
Short Ratio3.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
Yearly Dividend3.91
Dividend Growth(5Y)11.22%
DP101.31%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.64%
Min EPS beat(2)-2.1%
Max EPS beat(2)9.38%
EPS beat(4)1
Avg EPS beat(4)-0.82%
Min EPS beat(4)-7.68%
Max EPS beat(4)9.38%
EPS beat(8)4
Avg EPS beat(8)2.5%
EPS beat(12)8
Avg EPS beat(12)5.87%
EPS beat(16)12
Avg EPS beat(16)19.32%
Revenue beat(2)1
Avg Revenue beat(2)0.03%
Min Revenue beat(2)-0.42%
Max Revenue beat(2)0.47%
Revenue beat(4)2
Avg Revenue beat(4)-0.09%
Min Revenue beat(4)-1.43%
Max Revenue beat(4)1.03%
Revenue beat(8)2
Avg Revenue beat(8)-1.43%
Revenue beat(12)5
Avg Revenue beat(12)-0.33%
Revenue beat(16)9
Avg Revenue beat(16)3.16%
PT rev (1m)17.65%
PT rev (3m)-23.08%
EPS NQ rev (1m)6.92%
EPS NQ rev (3m)-6.08%
EPS NY rev (1m)8.84%
EPS NY rev (3m)-3.02%
Revenue NQ rev (1m)1.43%
Revenue NQ rev (3m)-1.58%
Revenue NY rev (1m)2.22%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.22 | ||
| Fwd PE | 11.52 | ||
| P/S | 1.83 | ||
| P/FCF | 11.18 | ||
| P/OCF | 9.23 | ||
| P/B | 5.27 | ||
| P/tB | 5.27 | ||
| EV/EBITDA | 7.26 |
EPS(TTM)3.89
EY8.91%
EPS(NY)3.79
Fwd EY8.68%
FCF(TTM)3.9
FCFY8.94%
OCF(TTM)4.73
OCFY10.84%
SpS23.8
BVpS8.28
TBVpS8.28
PEG (NY)N/A
PEG (5Y)0.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.41% | ||
| ROE | 46.12% | ||
| ROCE | 34.52% | ||
| ROIC | 26.21% | ||
| ROICexc | 44.86% | ||
| ROICexgc | 44.86% | ||
| OM | 19.82% | ||
| PM (TTM) | 16.05% | ||
| GM | 48.68% | ||
| FCFM | 16.4% |
ROA(3y)25.51%
ROA(5y)24.91%
ROE(3y)55.67%
ROE(5y)56.25%
ROIC(3y)32.58%
ROIC(5y)33.11%
ROICexc(3y)57.64%
ROICexc(5y)61.82%
ROICexgc(3y)57.64%
ROICexgc(5y)61.82%
ROCE(3y)42.91%
ROCE(5y)43.6%
ROICexcg growth 3Y-22.38%
ROICexcg growth 5Y15.72%
ROICexc growth 3Y-22.38%
ROICexc growth 5Y15.72%
OM growth 3Y-8.55%
OM growth 5Y6.3%
PM growth 3Y-6.57%
PM growth 5Y6.72%
GM growth 3Y-1.18%
GM growth 5Y3.03%
F-Score5
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 183.86% | ||
| Cap/Sales | 3.47% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.55% | ||
| Profit Quality | 102.19% | ||
| Current Ratio | 2.05 | ||
| Quick Ratio | 1.49 | ||
| Altman-Z | 5.57 |
F-Score5
WACC9.53%
ROIC/WACC2.75
Cap/Depr(3y)174.55%
Cap/Depr(5y)132.53%
Cap/Sales(3y)2.9%
Cap/Sales(5y)2.2%
Profit Quality(3y)94.76%
Profit Quality(5y)113.61%
High Growth Momentum
Growth
EPS 1Y (TTM)-8.25%
EPS 3Y-9.01%
EPS 5Y12.64%
EPS Q2Q%1.45%
EPS Next Y-3.82%
EPS Next 2Y-1.2%
EPS Next 3Y1.35%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.08%
Revenue growth 3Y-2.02%
Revenue growth 5Y6.23%
Sales Q2Q%3.67%
Revenue Next Year1.72%
Revenue Next 2Y1.94%
Revenue Next 3Y2.57%
Revenue Next 5YN/A
EBIT growth 1Y-10.96%
EBIT growth 3Y-10.4%
EBIT growth 5Y12.91%
EBIT Next Year11.17%
EBIT Next 3Y6.86%
EBIT Next 5YN/A
FCF growth 1Y-8.11%
FCF growth 3Y-11.96%
FCF growth 5Y10.11%
OCF growth 1Y-4.96%
OCF growth 3Y-8.1%
OCF growth 5Y13.11%