CAPRI HOLDINGS LTD (CPRI) Stock Fundamental Analysis
USA - NYSE:CPRI - VGG1890L1076 - Common Stock
19.11 USD
-1.4 (-6.83%)
18.82 USD
-0.29 (-1.52%)
We assign a fundamental rating of 3 out of 10 to CPRI. CPRI was compared to 48 industry peers in the Textiles, Apparel & Luxury Goods industry. Both the profitability and financial health of CPRI have multiple concerns. CPRI has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CPRI had positive earnings in the past year.
CPRI had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: CPRI reported negative net income in multiple years.
In the past 5 years CPRI always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -20.39%, CPRI is doing worse than 87.50% of the companies in the same industry.
With a Return On Invested Capital value of 1.48%, CPRI is not doing good in the industry: 81.25% of the companies in the same industry are doing better.
CPRI had an Average Return On Invested Capital over the past 3 years of 5.93%. This is significantly below the industry average of 12.15%.
The last Return On Invested Capital (1.48%) for CPRI is well below the 3 year average (5.93%), which needs to be investigated, but indicates that CPRI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.39% | ||
| ROE | N/A | ||
| ROIC | 1.48% |
ROA(3y)-5.88%
ROA(5y)-1.5%
ROE(3y)-100.73%
ROE(5y)-54.59%
ROIC(3y)5.93%
ROIC(5y)7.29%
1.3 Margins
Looking at the Operating Margin, with a value of 1.82%, CPRI is doing worse than 79.17% of the companies in the same industry.
In the last couple of years the Operating Margin of CPRI has declined.
Looking at the Gross Margin, with a value of 63.26%, CPRI belongs to the top of the industry, outperforming 85.42% of the companies in the same industry.
CPRI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.82% | ||
| PM (TTM) | N/A | ||
| GM | 63.26% |
OM growth 3Y-59.47%
OM growth 5Y-34.95%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.18%
GM growth 5Y1.54%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CPRI is destroying value.
Compared to 1 year ago, CPRI has more shares outstanding
CPRI has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, CPRI has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.22 indicates that CPRI is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.22, CPRI is doing worse than 64.58% of the companies in the same industry.
CPRI has a debt to FCF ratio of 18.16. This is a negative value and a sign of low solvency as CPRI would need 18.16 years to pay back of all of its debts.
The Debt to FCF ratio of CPRI (18.16) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 18.16 | ||
| Altman-Z | 2.22 |
ROIC/WACC0.19
WACC7.92%
2.3 Liquidity
CPRI has a Current Ratio of 1.17. This is a normal value and indicates that CPRI is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.17, CPRI is doing worse than 89.58% of the companies in the same industry.
CPRI has a Quick Ratio of 1.17. This is a bad value and indicates that CPRI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.61, CPRI is not doing good in the industry: 89.58% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
CPRI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -53.41%.
The earnings per share for CPRI have been decreasing by -26.36% on average. This is quite bad
CPRI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -16.69%.
CPRI shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.36% yearly.
EPS 1Y (TTM)-53.41%
EPS 3Y-48.61%
EPS 5Y-26.36%
EPS Q2Q%1150%
Revenue 1Y (TTM)-16.69%
Revenue growth 3Y-7.73%
Revenue growth 5Y-4.36%
Sales Q2Q%-25.3%
3.2 Future
Based on estimates for the next years, CPRI will show a very strong growth in Earnings Per Share. The EPS will grow by 46.93% on average per year.
CPRI is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.49% yearly.
EPS Next Y59.68%
EPS Next 2Y45.06%
EPS Next 3Y39.87%
EPS Next 5Y46.93%
Revenue Next Year-22.03%
Revenue Next 2Y-10.01%
Revenue Next 3Y-5.92%
Revenue Next 5Y-2.49%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
With a Price/Earnings ratio of 14.70, CPRI is valued correctly.
Based on the Price/Earnings ratio, CPRI is valued a bit cheaper than 66.67% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.02. CPRI is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 10.81, which indicates a very decent valuation of CPRI.
Based on the Price/Forward Earnings ratio, CPRI is valued cheaper than 81.25% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.57. CPRI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.7 | ||
| Fwd PE | 10.81 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CPRI is valued a bit more expensive than 62.50% of the companies in the same industry.
CPRI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.73 | ||
| EV/EBITDA | 15.15 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CPRI's earnings are expected to grow with 39.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.25
PEG (5Y)N/A
EPS Next 2Y45.06%
EPS Next 3Y39.87%
5. Dividend
5.1 Amount
No dividends for CPRI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.11
-1.4 (-6.83%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners101.17%
Inst Owner Change-0.02%
Ins Owners2.24%
Ins Owner Change4.35%
Market Cap2.28B
Analysts68.42
Price Target26.12 (36.68%)
Short Float %8.05%
Short Ratio3.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)87.12%
Min EPS beat(2)-102.84%
Max EPS beat(2)277.07%
EPS beat(4)1
Avg EPS beat(4)31.34%
Min EPS beat(4)-102.84%
Max EPS beat(4)277.07%
EPS beat(8)1
Avg EPS beat(8)-7.86%
EPS beat(12)4
Avg EPS beat(12)-5.36%
EPS beat(16)8
Avg EPS beat(16)3.29%
Revenue beat(2)1
Avg Revenue beat(2)0.7%
Min Revenue beat(2)-1.48%
Max Revenue beat(2)2.88%
Revenue beat(4)1
Avg Revenue beat(4)-2.62%
Min Revenue beat(4)-10.23%
Max Revenue beat(4)2.88%
Revenue beat(8)1
Avg Revenue beat(8)-4.8%
Revenue beat(12)3
Avg Revenue beat(12)-3.35%
Revenue beat(16)7
Avg Revenue beat(16)-1.58%
PT rev (1m)1.99%
PT rev (3m)6.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-56.13%
EPS NY rev (1m)-1.13%
EPS NY rev (3m)0.99%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.86%
Revenue NY rev (1m)-1.38%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.7 | ||
| Fwd PE | 10.81 | ||
| P/S | 0.55 | ||
| P/FCF | 24.73 | ||
| P/OCF | 11.97 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.15 |
EPS(TTM)1.3
EY6.8%
EPS(NY)1.77
Fwd EY9.25%
FCF(TTM)0.77
FCFY4.04%
OCF(TTM)1.6
OCFY8.35%
SpS35.04
BVpS-0.14
TBVpS-6.85
PEG (NY)0.25
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.39% | ||
| ROE | N/A | ||
| ROCE | 1.87% | ||
| ROIC | 1.48% | ||
| ROICexc | 1.52% | ||
| ROICexgc | 1.91% | ||
| OM | 1.82% | ||
| PM (TTM) | N/A | ||
| GM | 63.26% | ||
| FCFM | 2.21% |
ROA(3y)-5.88%
ROA(5y)-1.5%
ROE(3y)-100.73%
ROE(5y)-54.59%
ROIC(3y)5.93%
ROIC(5y)7.29%
ROICexc(3y)6.19%
ROICexc(5y)7.57%
ROICexgc(3y)13.19%
ROICexgc(5y)17.21%
ROCE(3y)7.5%
ROCE(5y)9.23%
ROICexcg growth 3Y-59.18%
ROICexcg growth 5Y-34.44%
ROICexc growth 3Y-56.73%
ROICexc growth 5Y-31.62%
OM growth 3Y-59.47%
OM growth 5Y-34.95%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.18%
GM growth 5Y1.54%
F-Score5
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 18.16 | ||
| Debt/EBITDA | 6.55 | ||
| Cap/Depr | 55.68% | ||
| Cap/Sales | 2.35% | ||
| Interest Coverage | 0.9 | ||
| Cash Conversion | 75.4% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 2.22 |
F-Score5
WACC7.92%
ROIC/WACC0.19
Cap/Depr(3y)97.7%
Cap/Depr(5y)82.67%
Cap/Sales(3y)3.52%
Cap/Sales(5y)3.12%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-53.41%
EPS 3Y-48.61%
EPS 5Y-26.36%
EPS Q2Q%1150%
EPS Next Y59.68%
EPS Next 2Y45.06%
EPS Next 3Y39.87%
EPS Next 5Y46.93%
Revenue 1Y (TTM)-16.69%
Revenue growth 3Y-7.73%
Revenue growth 5Y-4.36%
Sales Q2Q%-25.3%
Revenue Next Year-22.03%
Revenue Next 2Y-10.01%
Revenue Next 3Y-5.92%
Revenue Next 5Y-2.49%
EBIT growth 1Y-73.05%
EBIT growth 3Y-62.6%
EBIT growth 5Y-37.79%
EBIT Next Year156.25%
EBIT Next 3Y59.53%
EBIT Next 5Y43.48%
FCF growth 1Y-78.8%
FCF growth 3Y-35.61%
FCF growth 5Y-24.79%
OCF growth 1Y-71.81%
OCF growth 3Y-26.37%
OCF growth 5Y-20.03%