DILLARDS INC-CL A (DDS)
US2540671011 - Common Stock
DDS gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 34 industry peers in the Broadline Retail industry. DDS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DDS 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 DDS was profitable.
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 21.42%, DDS belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 43.54%, DDS belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
DDS has a better Return On Invested Capital (27.82%) than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DDS is significantly above the industry average of 11.30%.
The 3 year average ROIC (34.49%) for DDS is well above the current ROIC(27.82%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.42% | ||
| ROE | 43.54% | ||
| ROIC | 27.82% |
ROA(3y)24.93%
ROA(5y)15.14%
ROE(3y)52.91%
ROE(5y)32.12%
ROIC(3y)34.49%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of DDS (10.75%) is better than 84.85% of its industry peers.
In the last couple of years the Profit Margin of DDS has grown nicely.
DDS has a Operating Margin of 13.18%. This is amongst the best in the industry. DDS outperforms 87.88% of its industry peers.
DDS's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 41.36%, DDS is in the better half of the industry, outperforming 60.61% of the companies in the same industry.
DDS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.18% | ||
| PM (TTM) | 10.75% | ||
| GM | 41.36% |
OM growth 3YN/A
OM growth 5Y26.89%
PM growth 3YN/A
PM growth 5Y32.63%
GM growth 3Y10.36%
GM growth 5Y3.99%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DDS is creating value.
The number of shares outstanding for DDS has been reduced compared to 1 year ago.
Compared to 5 years ago, DDS has less shares outstanding
The debt/assets ratio for DDS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 8.29 indicates that DDS is not in any danger for bankruptcy at the moment.
The Debt to FCF ratio of DDS is 0.69, which is an excellent value as it means it would take DDS, only 0.69 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 0.69, DDS belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
DDS has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
DDS has a Debt to Equity ratio (0.31) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 0.69 | ||
| Altman-Z | 8.29 |
ROIC/WACC2.7
WACC10.3%
2.3 Liquidity
DDS has a Current Ratio of 2.67. This indicates that DDS is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 2.67, DDS belongs to the best of the industry, outperforming 93.94% of the companies in the same industry.
DDS has a Quick Ratio of 1.35. This is a normal value and indicates that DDS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.35, DDS is in the better half of the industry, outperforming 60.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.67 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
The earnings per share for DDS have decreased strongly by -12.04% in the last year.
Measured over the past years, DDS shows a very strong growth in Earnings Per Share. The EPS has been growing by 48.60% on average per year.
DDS shows a decrease in Revenue. In the last year, the revenue decreased by -1.74%.
DDS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.12% yearly.
EPS 1Y (TTM)-12.04%
EPS 3YN/A
EPS 5Y48.6%
EPS growth Q2Q-8.58%
Revenue 1Y (TTM)-1.74%
Revenue growth 3Y15.75%
Revenue growth 5Y1.12%
Revenue growth Q2Q-0.17%
3.2 Future
The Earnings Per Share is expected to decrease by -27.24% on average over the next years. This is quite bad
DDS is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.75% yearly.
EPS Next Y-31.51%
EPS Next 2Y-16.26%
EPS Next 3Y-27.24%
EPS Next 5YN/A
Revenue Next Year-2.43%
Revenue Next 2Y-0.94%
Revenue Next 3Y-3.75%
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.
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
A Price/Earnings ratio of 10.04 indicates a reasonable valuation of DDS.
78.79% of the companies in the same industry are more expensive than DDS, based on the Price/Earnings ratio.
DDS is valuated cheaply when we compare the Price/Earnings ratio to 24.84, which is the current average of the S&P500 Index.
DDS is valuated correctly with a Price/Forward Earnings ratio of 14.66.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DDS indicates a somewhat cheap valuation: DDS is cheaper than 63.64% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of DDS to the average of the S&P500 Index (21.35), we can say DDS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.04 | ||
| Fwd PE | 14.66 |
4.2 Price Multiples
84.85% of the companies in the same industry are more expensive than DDS, based on the Enterprise Value to EBITDA ratio.
84.85% 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 | 9.71 | ||
| EV/EBITDA | 6.17 |
4.3 Compensation for Growth
DDS has an outstanding profitability rating, which may justify a higher PE ratio.
DDS's earnings are expected to decrease with -27.24% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.21
EPS Next 2Y-16.26%
EPS Next 3Y-27.24%
5. Dividend
5.1 Amount
With a yearly dividend of 0.22%, DDS is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.27, DDS pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.22, DDS pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.22% |
5.2 History
The dividend of DDS is nicely growing with an annual growth rate of 118.44%!
DDS has been paying a dividend for at least 10 years, so it has a reliable track record.
DDS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)118.44%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
DDS pays out 45.83% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP45.83%
EPS Next 2Y-16.26%
EPS Next 3Y-27.24%
DILLARDS INC-CL A
NYSE:DDS (4/26/2024, 7:04:00 PM)
After market: 448.97 0 (0%)448.97
+3.54 (+0.79%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.29B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.22% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.04 | ||
| Fwd PE | 14.66 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.42% | ||
| ROE | 43.54% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 13.18% | ||
| PM (TTM) | 10.75% | ||
| GM | 41.36% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.67 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-12.04%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-31.51%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.74%
Revenue growth 3Y15.75%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y