DILLARDS INC-CL A (DDS) Stock Fundamental Analysis
USA - NYSE:DDS - US2540671011 - Common Stock
574.67 USD
-11.29 (-1.93%)
574.67 USD
0 (0%)
DDS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 28 industry peers in the Broadline Retail industry. Both the health and profitability get an excellent rating, making DDS a very profitable company, without any liquidiy or solvency issues. DDS has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
DDS had positive earnings in the past year.
In the past year DDS had a positive cash flow from operations.
DDS had positive earnings in 4 of the past 5 years.
In the past 5 years DDS always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of DDS (14.78%) is better than 96.43% of its industry peers.
DDS has a Return On Equity of 31.07%. This is amongst the best in the industry. DDS outperforms 92.86% of its industry peers.
The Return On Invested Capital of DDS (20.46%) is better than 92.86% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DDS is significantly above the industry average of 11.00%.
The 3 year average ROIC (28.72%) for DDS is well above the current ROIC(20.46%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.78% | ||
| ROE | 31.07% | ||
| ROIC | 20.46% |
ROA(3y)21.67%
ROA(5y)17.85%
ROE(3y)44.12%
ROE(5y)37.36%
ROIC(3y)28.72%
ROIC(5y)N/A
1.3 Margins
DDS's Profit Margin of 8.79% is amongst the best of the industry. DDS outperforms 82.14% of its industry peers.
In the last couple of years the Profit Margin of DDS has grown nicely.
DDS has a Operating Margin of 10.62%. This is in the better half of the industry: DDS outperforms 71.43% of its industry peers.
In the last couple of years the Operating Margin of DDS has grown nicely.
DDS's Gross Margin of 40.29% is on the low side compared to the rest of the industry. DDS is outperformed by 64.29% of its industry peers.
In the last couple of years the Gross Margin of DDS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.62% | ||
| PM (TTM) | 8.79% | ||
| GM | 40.29% |
OM growth 3Y-13.46%
OM growth 5Y33.93%
PM growth 3Y-11.56%
PM growth 5Y38.75%
GM growth 3Y-2.28%
GM growth 5Y4.06%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DDS is creating value.
Compared to 1 year ago, DDS has less shares outstanding
The number of shares outstanding for DDS has been reduced compared to 5 years ago.
DDS has a better debt/assets ratio than last year.
2.2 Solvency
DDS has an Altman-Z score of 7.68. This indicates that DDS is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 7.68, DDS belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
DDS has a debt to FCF ratio of 0.85. This is a very positive value and a sign of high solvency as it would only need 0.85 years to pay back of all of its debts.
DDS has a better Debt to FCF ratio (0.85) than 85.71% of its industry peers.
DDS has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.28, DDS perfoms like the industry average, outperforming 46.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 0.85 | ||
| Altman-Z | 7.68 |
ROIC/WACC2.26
WACC9.07%
2.3 Liquidity
DDS has a Current Ratio of 2.41. This indicates that DDS is financially healthy and has no problem in meeting its short term obligations.
DDS has a better Current ratio (2.41) than 78.57% of its industry peers.
A Quick Ratio of 1.13 indicates that DDS should not have too much problems paying its short term obligations.
DDS's Quick ratio of 1.13 is in line compared to the rest of the industry. DDS outperforms 46.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
DDS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.71%.
DDS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 57.80% yearly.
The Revenue has decreased by -4.13% in the past year.
The Revenue has been growing slightly by 0.77% on average over the past years.
EPS 1Y (TTM)-10.71%
EPS 3Y-5.24%
EPS 5Y57.8%
EPS Q2Q%1.53%
Revenue 1Y (TTM)-4.13%
Revenue growth 3Y-0.17%
Revenue growth 5Y0.77%
Sales Q2Q%1.6%
3.2 Future
The Earnings Per Share is expected to decrease by -12.51% on average over the next years. This is quite bad
The Revenue is expected to decrease by -1.41% on average over the next years.
EPS Next Y-17.14%
EPS Next 2Y-14.85%
EPS Next 3Y-12.51%
EPS Next 5YN/A
Revenue Next Year-0.2%
Revenue Next 2Y-0.54%
Revenue Next 3Y-1.41%
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 decreasing.
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
DDS is valuated correctly with a Price/Earnings ratio of 15.85.
Based on the Price/Earnings ratio, DDS is valued cheaper than 82.14% of the companies in the same industry.
When comparing the Price/Earnings ratio of DDS to the average of the S&P500 Index (27.30), we can say DDS is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 21.48, the valuation of DDS can be described as rather expensive.
60.71% of the companies in the same industry are more expensive than DDS, based on the Price/Forward Earnings ratio.
DDS's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.85 | ||
| Fwd PE | 21.48 |
4.2 Price Multiples
DDS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DDS is cheaper than 75.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DDS is valued a bit cheaper than the industry average as 67.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.56 | ||
| EV/EBITDA | 9.23 |
4.3 Compensation for Growth
DDS has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as DDS's earnings are expected to decrease with -12.51% in the coming years.
PEG (NY)N/A
PEG (5Y)0.27
EPS Next 2Y-14.85%
EPS Next 3Y-12.51%
5. Dividend
5.1 Amount
DDS has a yearly dividend return of 0.20%, which is pretty low.
Compared to an average industry Dividend Yield of 8.00, DDS pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.20, DDS pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.2% |
5.2 History
The dividend of DDS is nicely growing with an annual growth rate of 111.67%!
DDS has been paying a dividend for at least 10 years, so it has a reliable track record.
DDS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)111.67%
Div Incr Years14
Div Non Decr Years34
5.3 Sustainability
71.67% of the earnings are spent on dividend by DDS. This is not a sustainable payout ratio.
DDS's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP71.67%
EPS Next 2Y-14.85%
EPS Next 3Y-12.51%
574.67
-11.29 (-1.93%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners70.74%
Inst Owner Change-1.7%
Ins Owners23.25%
Ins Owner Change0.07%
Market Cap8.97B
Analysts45.45
Price Target369.75 (-35.66%)
Short Float %12.78%
Short Ratio7.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.2% |
Yearly Dividend25.75
Dividend Growth(5Y)111.67%
DP71.67%
Div Incr Years14
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.72%
Min EPS beat(2)12.59%
Max EPS beat(2)36.84%
EPS beat(4)3
Avg EPS beat(4)10.81%
Min EPS beat(4)-23.88%
Max EPS beat(4)36.84%
EPS beat(8)7
Avg EPS beat(8)22.18%
EPS beat(12)11
Avg EPS beat(12)39.39%
EPS beat(16)15
Avg EPS beat(16)166.2%
Revenue beat(2)1
Avg Revenue beat(2)1.15%
Min Revenue beat(2)-0.64%
Max Revenue beat(2)2.94%
Revenue beat(4)2
Avg Revenue beat(4)-0.22%
Min Revenue beat(4)-3.32%
Max Revenue beat(4)2.94%
Revenue beat(8)4
Avg Revenue beat(8)-0.11%
Revenue beat(12)7
Avg Revenue beat(12)0.91%
Revenue beat(16)11
Avg Revenue beat(16)2.81%
PT rev (1m)16.94%
PT rev (3m)16.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)8.07%
EPS NY rev (1m)9.23%
EPS NY rev (3m)21.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.57%
Revenue NY rev (3m)0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.85 | ||
| Fwd PE | 21.48 | ||
| P/S | 1.37 | ||
| P/FCF | 14.56 | ||
| P/OCF | 12.77 | ||
| P/B | 4.83 | ||
| P/tB | 4.83 | ||
| EV/EBITDA | 9.23 |
EPS(TTM)36.26
EY6.31%
EPS(NY)26.75
Fwd EY4.65%
FCF(TTM)39.47
FCFY6.87%
OCF(TTM)44.99
OCFY7.83%
SpS420.52
BVpS119.02
TBVpS119.02
PEG (NY)N/A
PEG (5Y)0.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.78% | ||
| ROE | 31.07% | ||
| ROCE | 25.26% | ||
| ROIC | 20.46% | ||
| ROICexc | 35.26% | ||
| ROICexgc | 35.26% | ||
| OM | 10.62% | ||
| PM (TTM) | 8.79% | ||
| GM | 40.29% | ||
| FCFM | 9.39% |
ROA(3y)21.67%
ROA(5y)17.85%
ROE(3y)44.12%
ROE(5y)37.36%
ROIC(3y)28.72%
ROIC(5y)N/A
ROICexc(3y)44.45%
ROICexc(5y)N/A
ROICexgc(3y)44.45%
ROICexgc(5y)N/A
ROCE(3y)35.47%
ROCE(5y)N/A
ROICexcg growth 3Y-15.2%
ROICexcg growth 5Y43.2%
ROICexc growth 3Y-15.2%
ROICexc growth 5Y43.2%
OM growth 3Y-13.46%
OM growth 5Y33.93%
PM growth 3Y-11.56%
PM growth 5Y38.75%
GM growth 3Y-2.28%
GM growth 5Y4.06%
F-Score5
Asset Turnover1.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 0.85 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 48.52% | ||
| Cap/Sales | 1.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.25% | ||
| Profit Quality | 106.72% | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 7.68 |
F-Score5
WACC9.07%
ROIC/WACC2.26
Cap/Depr(3y)64.95%
Cap/Depr(5y)54.93%
Cap/Sales(3y)1.75%
Cap/Sales(5y)1.64%
Profit Quality(3y)99.06%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.71%
EPS 3Y-5.24%
EPS 5Y57.8%
EPS Q2Q%1.53%
EPS Next Y-17.14%
EPS Next 2Y-14.85%
EPS Next 3Y-12.51%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.13%
Revenue growth 3Y-0.17%
Revenue growth 5Y0.77%
Sales Q2Q%1.6%
Revenue Next Year-0.2%
Revenue Next 2Y-0.54%
Revenue Next 3Y-1.41%
Revenue Next 5YN/A
EBIT growth 1Y-20.35%
EBIT growth 3Y-13.61%
EBIT growth 5Y34.96%
EBIT Next Year15%
EBIT Next 3Y-0.59%
EBIT Next 5YN/A
FCF growth 1Y-16.64%
FCF growth 3Y-19.67%
FCF growth 5Y18.42%
OCF growth 1Y-18.72%
OCF growth 3Y-17.68%
OCF growth 5Y14.36%