DILLARDS INC-CL A (DDS) Stock Fundamental Analysis
USA - NYSE:DDS - US2540671011 - Common Stock
600.08 USD
+3.3 (+0.55%)
600.08 USD
0 (0%)
DDS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 30 industry peers in the Broadline Retail industry. DDS gets an excellent profitability rating and is at the same time showing great financial health properties. DDS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
DDS had positive earnings in the past year.
DDS had a positive operating cash flow in the past year.
Of the past 5 years DDS 4 years were profitable.
Each year in the past 5 years DDS had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 15.62%, DDS belongs to the top of the industry, outperforming 96.67% of the companies in the same industry.
The Return On Equity of DDS (30.00%) is better than 93.33% of its industry peers.
With an excellent Return On Invested Capital value of 20.57%, DDS belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DDS is significantly above the industry average of 10.45%.
The 3 year average ROIC (28.72%) for DDS is well above the current ROIC(20.57%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.62% | ||
| ROE | 30% | ||
| ROIC | 20.57% |
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
The Profit Margin of DDS (8.74%) is better than 83.33% of its industry peers.
DDS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 10.51%, DDS is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
In the last couple of years the Operating Margin of DDS has grown nicely.
DDS's Gross Margin of 40.05% is on the low side compared to the rest of the industry. DDS is outperformed by 66.67% of its industry peers.
DDS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.51% | ||
| PM (TTM) | 8.74% | ||
| GM | 40.05% |
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so DDS is creating value.
The number of shares outstanding for DDS has been reduced compared to 1 year ago.
DDS has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, DDS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 8.55 indicates that DDS is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 8.55, DDS belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
The Debt to FCF ratio of DDS is 0.68, which is an excellent value as it means it would take DDS, only 0.68 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 0.68, DDS belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
DDS has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
DDS's Debt to Equity ratio of 0.22 is in line compared to the rest of the industry. DDS outperforms 56.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 0.68 | ||
| Altman-Z | 8.55 |
ROIC/WACC2.39
WACC8.59%
2.3 Liquidity
A Current Ratio of 2.68 indicates that DDS has no problem at all paying its short term obligations.
The Current ratio of DDS (2.68) is better than 86.67% of its industry peers.
DDS has a Quick Ratio of 1.41. This is a normal value and indicates that DDS is financially healthy and should not expect problems in meeting its short term obligations.
DDS has a Quick ratio of 1.41. This is comparable to the rest of the industry: DDS outperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.41 |
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%.
The Earnings Per Share has been growing by 57.80% on average over the past years. This is a very strong growth
DDS shows a decrease in Revenue. In the last year, the revenue decreased by -2.44%.
Measured over the past years, DDS shows a small growth in Revenue. The Revenue has been growing by 0.77% on average per year.
EPS 1Y (TTM)-10.71%
EPS 3Y-5.24%
EPS 5Y57.8%
EPS Q2Q%1.53%
Revenue 1Y (TTM)-2.44%
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-8.3%
EPS Next 2Y-7.54%
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
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
A Price/Earnings ratio of 16.55 indicates a correct valuation of DDS.
Based on the Price/Earnings ratio, DDS is valued a bit cheaper than 80.00% of the companies in the same industry.
DDS is valuated rather cheaply when we compare the Price/Earnings ratio to 26.10, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 19.03, which indicates a rather expensive current valuation of DDS.
Based on the Price/Forward Earnings ratio, DDS is valued a bit cheaper than 66.67% of the companies in the same industry.
DDS is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.55 | ||
| Fwd PE | 19.03 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DDS is valued a bit cheaper than 76.67% of the companies in the same industry.
80.00% of the companies in the same industry are more expensive than DDS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.16 | ||
| EV/EBITDA | 9.7 |
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)0.29
EPS Next 2Y-7.54%
EPS Next 3Y-12.51%
5. Dividend
5.1 Amount
With a yearly dividend of 0.20%, DDS is not a good candidate for dividend investing.
DDS's Dividend Yield is a higher than the industry average which is at 9.37.
With a Dividend Yield of 0.20, DDS pays less dividend than the S&P500 average, which is at 2.35.
| 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 paid a dividend for at least 10 years, which is 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
71.85% 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.
DP71.85%
EPS Next 2Y-7.54%
EPS Next 3Y-12.51%
600.08
+3.3 (+0.55%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners71.33%
Inst Owner Change0.93%
Ins Owners23.24%
Ins Owner Change0%
Market Cap9.37B
Revenue(TTM)6.59B
Net Income(TTM)575.65M
Analysts45.45
Price Target386.24 (-35.64%)
Short Float %10.08%
Short Ratio6.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.2% |
Yearly Dividend25.75
Dividend Growth(5Y)111.67%
DP71.85%
Div Incr Years14
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)23.42%
Min EPS beat(2)12.59%
Max EPS beat(2)34.25%
EPS beat(4)4
Avg EPS beat(4)25.34%
Min EPS beat(4)12.59%
Max EPS beat(4)36.84%
EPS beat(8)7
Avg EPS beat(8)17.92%
EPS beat(12)11
Avg EPS beat(12)28.45%
EPS beat(16)15
Avg EPS beat(16)45.48%
Revenue beat(2)1
Avg Revenue beat(2)-0.26%
Min Revenue beat(2)-0.64%
Max Revenue beat(2)0.12%
Revenue beat(4)3
Avg Revenue beat(4)0.64%
Min Revenue beat(4)-0.64%
Max Revenue beat(4)2.94%
Revenue beat(8)4
Avg Revenue beat(8)-0.36%
Revenue beat(12)7
Avg Revenue beat(12)0.57%
Revenue beat(16)11
Avg Revenue beat(16)1.46%
PT rev (1m)0%
PT rev (3m)16.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.92%
EPS NY rev (1m)0%
EPS NY rev (3m)20.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.14%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.55 | ||
| Fwd PE | 19.03 | ||
| P/S | 1.42 | ||
| P/FCF | 12.16 | ||
| P/OCF | 10.92 | ||
| P/B | 4.88 | ||
| P/tB | 4.88 | ||
| EV/EBITDA | 9.7 |
EPS(TTM)36.26
EY6.04%
EPS(NY)31.54
Fwd EY5.26%
FCF(TTM)49.36
FCFY8.23%
OCF(TTM)54.94
OCFY9.15%
SpS421.89
BVpS122.94
TBVpS122.94
PEG (NY)N/A
PEG (5Y)0.29
Graham Number316.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.62% | ||
| ROE | 30% | ||
| ROCE | 25.4% | ||
| ROIC | 20.57% | ||
| ROICexc | 37.03% | ||
| ROICexgc | 37.03% | ||
| OM | 10.51% | ||
| PM (TTM) | 8.74% | ||
| GM | 40.05% | ||
| FCFM | 11.7% |
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
ROICexgc growth 3Y-15.2%
ROICexgc 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 Turnover1.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 0.68 | ||
| Debt/EBITDA | 0.49 | ||
| Cap/Depr | 49.45% | ||
| Cap/Sales | 1.32% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 98.74% | ||
| Profit Quality | 133.85% | ||
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 8.55 |
F-Score5
WACC8.59%
ROIC/WACC2.39
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-8.3%
EPS Next 2Y-7.54%
EPS Next 3Y-12.51%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.44%
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-13.13%
EBIT growth 3Y-13.61%
EBIT growth 5Y34.96%
EBIT Next Year22.74%
EBIT Next 3Y-0.59%
EBIT Next 5YN/A
FCF growth 1Y-18.41%
FCF growth 3Y-19.67%
FCF growth 5Y18.42%
OCF growth 1Y-19.65%
OCF growth 3Y-17.68%
OCF growth 5Y14.36%
DILLARDS INC-CL A / DDS FAQ
What is the fundamental rating for DDS stock?
ChartMill assigns a fundamental rating of 6 / 10 to DDS.
What is the valuation status for DDS stock?
ChartMill assigns a valuation rating of 5 / 10 to DILLARDS INC-CL A (DDS). This can be considered as Fairly Valued.
How profitable is DILLARDS INC-CL A (DDS) stock?
DILLARDS INC-CL A (DDS) has a profitability rating of 8 / 10.
What are the PE and PB ratios of DILLARDS INC-CL A (DDS) stock?
The Price/Earnings (PE) ratio for DILLARDS INC-CL A (DDS) is 16.55 and the Price/Book (PB) ratio is 4.88.
Can you provide the financial health for DDS stock?
The financial health rating of DILLARDS INC-CL A (DDS) is 9 / 10.