DESIGNER BRANDS INC-CLASS A (DBI) Stock Fundamental Analysis
NYSE:DBI - US2505651081 - Common Stock
3.825 USD
+0.24 (+6.55%)
We assign a fundamental rating of 3 out of 10 to DBI. DBI was compared to 123 industry peers in the Specialty Retail industry. DBI may be in some trouble as it scores bad on both profitability and health. DBI has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
DBI had negative earnings in the past year.
In the past year DBI had a positive cash flow from operations.
In multiple years DBI reported negative net income over the last 5 years.
DBI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of DBI (-1.37%) is worse than 60.98% of its industry peers.
DBI's Return On Equity of -10.77% is in line compared to the rest of the industry. DBI outperforms 43.90% of its industry peers.
Looking at the Return On Invested Capital, with a value of 1.57%, DBI is in line with its industry, outperforming 46.34% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for DBI is significantly below the industry average of 11.94%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.37% | ||
| ROE | -10.77% | ||
| ROIC | 1.57% |
ROA(3y)2.99%
ROA(5y)-1.62%
ROE(3y)13.96%
ROE(5y)-24.35%
ROIC(3y)5.27%
ROIC(5y)N/A
1.3 Margins
The Operating Margin of DBI (1.08%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of DBI has declined.
With a decent Gross Margin value of 45.30%, DBI is doing good in the industry, outperforming 72.36% of the companies in the same industry.
In the last couple of years the Gross Margin of DBI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.08% | ||
| PM (TTM) | N/A | ||
| GM | 45.3% |
OM growth 3Y-37.23%
OM growth 5Y-17.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.53%
GM growth 5Y8.35%
2. Health
2.1 Basic Checks
DBI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for DBI has been reduced compared to 1 year ago.
The number of shares outstanding for DBI has been reduced compared to 5 years ago.
Compared to 1 year ago, DBI has a worse debt to assets ratio.
2.2 Solvency
DBI has an Altman-Z score of 1.65. This is a bad value and indicates that DBI is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.65, DBI is doing worse than 61.79% of the companies in the same industry.
DBI has a debt to FCF ratio of 14.03. This is a negative value and a sign of low solvency as DBI would need 14.03 years to pay back of all of its debts.
DBI's Debt to FCF ratio of 14.03 is in line compared to the rest of the industry. DBI outperforms 51.22% of its industry peers.
DBI has a Debt/Equity ratio of 2.04. This is a high value indicating a heavy dependency on external financing.
DBI has a Debt to Equity ratio of 2.04. This is in the lower half of the industry: DBI underperforms 69.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.04 | ||
| Debt/FCF | 14.03 | ||
| Altman-Z | 1.65 |
ROIC/WACC0.17
WACC9.02%
2.3 Liquidity
A Current Ratio of 1.27 indicates that DBI should not have too much problems paying its short term obligations.
DBI's Current ratio of 1.27 is in line compared to the rest of the industry. DBI outperforms 46.34% of its industry peers.
A Quick Ratio of 0.25 indicates that DBI may have some problems paying its short term obligations.
The Quick ratio of DBI (0.25) is worse than 79.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.25 |
3. Growth
3.1 Past
The earnings per share for DBI have decreased strongly by -129.79% in the last year.
Measured over the past years, DBI shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -33.43% on average per year.
Looking at the last year, DBI shows a decrease in Revenue. The Revenue has decreased by -4.22% in the last year.
Measured over the past years, DBI shows a decrease in Revenue. The Revenue has been decreasing by -2.94% on average per year.
EPS 1Y (TTM)-129.79%
EPS 3Y-50.9%
EPS 5Y-33.43%
EPS Q2Q%-425%
Revenue 1Y (TTM)-4.22%
Revenue growth 3Y-1.99%
Revenue growth 5Y-2.94%
Sales Q2Q%-7.99%
3.2 Future
The Earnings Per Share is expected to grow by 36.17% on average over the next years. This is a very strong growth
The Revenue is expected to decrease by -0.22% on average over the next years.
EPS Next Y-456.87%
EPS Next 2Y-111.53%
EPS Next 3Y36.17%
EPS Next 5YN/A
Revenue Next Year-4.7%
Revenue Next 2Y-1.19%
Revenue Next 3Y-0.22%
Revenue Next 5YN/A
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
DBI reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year DBI is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DBI indicates a somewhat cheap valuation: DBI is cheaper than 73.98% of the companies listed in the same industry.
DBI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DBI is cheaper than 97.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.75 | ||
| EV/EBITDA | 7.23 |
4.3 Compensation for Growth
DBI's earnings are expected to grow with 36.17% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-111.53%
EPS Next 3Y36.17%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.78%, DBI is a good candidate for dividend investing.
DBI's Dividend Yield is rather good when compared to the industry average which is at 5.70. DBI pays more dividend than 92.68% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, DBI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.78% |
5.2 History
The dividend of DBI decreases each year by -27.12%.
DBI has been paying a dividend for at least 10 years, so it has a reliable track record.
DBI has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-27.12%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
DBI has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-34.73%
EPS Next 2Y-111.53%
EPS Next 3Y36.17%
NYSE:DBI (8/27/2025, 3:40:06 PM)
3.825
+0.24 (+6.55%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners94.78%
Inst Owner Change-6.22%
Ins Owners19.28%
Ins Owner Change16.57%
Market Cap186.74M
Analysts48
Price Target3.57 (-6.67%)
Short Float %23.44%
Short Ratio4.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.78% |
Yearly Dividend0.2
Dividend Growth(5Y)-27.12%
DP-34.73%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-148%
Min EPS beat(2)-306.48%
Max EPS beat(2)10.48%
EPS beat(4)1
Avg EPS beat(4)-91.54%
Min EPS beat(4)-306.48%
Max EPS beat(4)10.48%
EPS beat(8)3
Avg EPS beat(8)-51.37%
EPS beat(12)5
Avg EPS beat(12)6.14%
EPS beat(16)8
Avg EPS beat(16)21.67%
Revenue beat(2)0
Avg Revenue beat(2)-4.49%
Min Revenue beat(2)-7.19%
Max Revenue beat(2)-1.78%
Revenue beat(4)0
Avg Revenue beat(4)-4.85%
Min Revenue beat(4)-7.19%
Max Revenue beat(4)-1.78%
Revenue beat(8)0
Avg Revenue beat(8)-3.26%
Revenue beat(12)1
Avg Revenue beat(12)-2.82%
Revenue beat(16)3
Avg Revenue beat(16)-2.11%
PT rev (1m)0%
PT rev (3m)-12.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-62.04%
EPS NY rev (1m)0%
EPS NY rev (3m)-276.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.59%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.06 | ||
| P/FCF | 4.75 | ||
| P/OCF | 2.29 | ||
| P/B | 0.7 | ||
| P/tB | 3.65 | ||
| EV/EBITDA | 7.23 |
EPS(TTM)-0.14
EYN/A
EPS(NY)-0.49
Fwd EYN/A
FCF(TTM)0.81
FCFY21.06%
OCF(TTM)1.67
OCFY43.67%
SpS60.42
BVpS5.47
TBVpS1.05
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.37% | ||
| ROE | -10.77% | ||
| ROCE | 2.15% | ||
| ROIC | 1.57% | ||
| ROICexc | 1.62% | ||
| ROICexgc | 1.9% | ||
| OM | 1.08% | ||
| PM (TTM) | N/A | ||
| GM | 45.3% | ||
| FCFM | 1.33% |
ROA(3y)2.99%
ROA(5y)-1.62%
ROE(3y)13.96%
ROE(5y)-24.35%
ROIC(3y)5.27%
ROIC(5y)N/A
ROICexc(3y)5.49%
ROICexc(5y)N/A
ROICexgc(3y)6.23%
ROICexgc(5y)N/A
ROCE(3y)7.26%
ROCE(5y)N/A
ROICexcg growth 3Y-40.03%
ROICexcg growth 5Y-14.78%
ROICexc growth 3Y-41.48%
ROICexc growth 5Y-16.22%
OM growth 3Y-37.23%
OM growth 5Y-17.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.53%
GM growth 5Y8.35%
F-Score3
Asset Turnover1.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.04 | ||
| Debt/FCF | 14.03 | ||
| Debt/EBITDA | 5.79 | ||
| Cap/Depr | 67.85% | ||
| Cap/Sales | 1.43% | ||
| Interest Coverage | 0.77 | ||
| Cash Conversion | 86.56% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.25 | ||
| Altman-Z | 1.65 |
F-Score3
WACC9.02%
ROIC/WACC0.17
Cap/Depr(3y)76.83%
Cap/Depr(5y)61.65%
Cap/Sales(3y)1.71%
Cap/Sales(5y)1.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-129.79%
EPS 3Y-50.9%
EPS 5Y-33.43%
EPS Q2Q%-425%
EPS Next Y-456.87%
EPS Next 2Y-111.53%
EPS Next 3Y36.17%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.22%
Revenue growth 3Y-1.99%
Revenue growth 5Y-2.94%
Sales Q2Q%-7.99%
Revenue Next Year-4.7%
Revenue Next 2Y-1.19%
Revenue Next 3Y-0.22%
Revenue Next 5YN/A
EBIT growth 1Y-48.55%
EBIT growth 3Y-38.48%
EBIT growth 5Y-19.46%
EBIT Next Year24.95%
EBIT Next 3Y25.08%
EBIT Next 5YN/A
FCF growth 1Y-81.05%
FCF growth 3Y-39.04%
FCF growth 5Y-23.41%
OCF growth 1Y-69.18%
OCF growth 3Y-21.72%
OCF growth 5Y-16.01%