DICK'S SPORTING GOODS INC (DKS) Stock Fundamental Analysis
USA - NYSE:DKS - US2533931026 - Common Stock
216.35 USD
-3.75 (-1.7%)
216.35 USD
0 (0%)
DKS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 122 industry peers in the Specialty Retail industry. DKS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DKS has a correct valuation and a medium growth rate. These ratings would make DKS suitable for quality investing!
1. Profitability
1.1 Basic Checks
DKS had positive earnings in the past year.
DKS had a positive operating cash flow in the past year.
DKS had positive earnings in each of the past 5 years.
DKS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 10.98%, DKS belongs to the best of the industry, outperforming 86.89% of the companies in the same industry.
DKS's Return On Equity of 34.98% is amongst the best of the industry. DKS outperforms 87.70% of its industry peers.
Looking at the Return On Invested Capital, with a value of 15.18%, DKS belongs to the top of the industry, outperforming 86.07% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DKS is above the industry average of 11.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.98% | ||
| ROE | 34.98% | ||
| ROIC | 15.18% |
ROA(3y)11.33%
ROA(5y)11.53%
ROE(3y)39.25%
ROE(5y)42.54%
ROIC(3y)16.29%
ROIC(5y)17.01%
1.3 Margins
DKS has a Profit Margin of 8.52%. This is amongst the best in the industry. DKS outperforms 85.25% of its industry peers.
DKS's Profit Margin has improved in the last couple of years.
DKS's Operating Margin of 10.89% is amongst the best of the industry. DKS outperforms 84.43% of its industry peers.
In the last couple of years the Operating Margin of DKS has grown nicely.
DKS's Gross Margin of 36.10% is in line compared to the rest of the industry. DKS outperforms 50.00% of its industry peers.
DKS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.89% | ||
| PM (TTM) | 8.52% | ||
| GM | 36.1% |
OM growth 3Y-12.82%
OM growth 5Y17.23%
PM growth 3Y-11.16%
PM growth 5Y20.59%
GM growth 3Y-2.16%
GM growth 5Y4.22%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DKS is creating some value.
DKS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for DKS has been reduced compared to 5 years ago.
Compared to 1 year ago, DKS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.49 indicates that DKS is not in any danger for bankruptcy at the moment.
DKS's Altman-Z score of 4.49 is amongst the best of the industry. DKS outperforms 85.25% of its industry peers.
The Debt to FCF ratio of DKS is 3.19, which is a good value as it means it would take DKS, 3.19 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DKS (3.19) is better than 72.13% of its industry peers.
DKS has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.44, DKS is in line with its industry, outperforming 54.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.19 | ||
| Altman-Z | 4.49 |
ROIC/WACC1.67
WACC9.08%
2.3 Liquidity
DKS has a Current Ratio of 1.70. This is a normal value and indicates that DKS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.70, DKS is in the better half of the industry, outperforming 72.95% of the companies in the same industry.
DKS has a Quick Ratio of 1.70. This is a bad value and indicates that DKS is not financially healthy enough and could expect problems in meeting its short term obligations.
DKS has a Quick ratio (0.55) which is in line with its industry peers.
The current and quick ratio evaluation for DKS is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.7 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
The earnings per share for DKS have decreased by -2.62% in the last year.
Measured over the past years, DKS shows a very strong growth in Earnings Per Share. The EPS has been growing by 30.43% on average per year.
DKS shows a small growth in Revenue. In the last year, the Revenue has grown by 2.70%.
Measured over the past years, DKS shows a quite strong growth in Revenue. The Revenue has been growing by 8.97% on average per year.
EPS 1Y (TTM)-2.62%
EPS 3Y-3.66%
EPS 5Y30.43%
EPS Q2Q%0.23%
Revenue 1Y (TTM)2.7%
Revenue growth 3Y3.02%
Revenue growth 5Y8.97%
Sales Q2Q%4.98%
3.2 Future
DKS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.95% yearly.
DKS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.01% yearly.
EPS Next Y3.88%
EPS Next 2Y5.05%
EPS Next 3Y7.41%
EPS Next 5Y7.95%
Revenue Next Year13.73%
Revenue Next 2Y10.75%
Revenue Next 3Y18.78%
Revenue Next 5Y13.01%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
DKS is valuated correctly with a Price/Earnings ratio of 15.46.
74.59% of the companies in the same industry are more expensive than DKS, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.89. DKS is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 13.96, which indicates a correct valuation of DKS.
67.21% of the companies in the same industry are more expensive than DKS, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of DKS to the average of the S&P500 Index (34.59), we can say DKS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.46 | ||
| Fwd PE | 13.96 |
4.2 Price Multiples
DKS's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DKS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.74 | ||
| EV/EBITDA | 10.44 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DKS does not grow enough to justify the current Price/Earnings ratio.
DKS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.99
PEG (5Y)0.51
EPS Next 2Y5.05%
EPS Next 3Y7.41%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.24%, DKS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.45, DKS pays a better dividend. On top of this DKS pays more dividend than 80.33% of the companies listed in the same industry.
DKS's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.24% |
5.2 History
On average, the dividend of DKS grows each year by 32.36%, which is quite nice.
DKS has paid a dividend for at least 10 years, which is a reliable track record.
DKS has decreased its dividend in the last 3 years.
Dividend Growth(5Y)32.36%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
31.93% of the earnings are spent on dividend by DKS. This is a low number and sustainable payout ratio.
The dividend of DKS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP31.93%
EPS Next 2Y5.05%
EPS Next 3Y7.41%
216.35
-3.75 (-1.7%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners84.01%
Inst Owner Change1.99%
Ins Owners2.88%
Ins Owner Change-0.07%
Market Cap19.40B
Revenue(TTM)13.77B
Net Income(TTM)1.17B
Analysts73.94
Price Target247.05 (14.19%)
Short Float %7.5%
Short Ratio2.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.24% |
Yearly Dividend4.5
Dividend Growth(5Y)32.36%
DP31.93%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.04%
Min EPS beat(2)-0.29%
Max EPS beat(2)0.36%
EPS beat(4)3
Avg EPS beat(4)0.79%
Min EPS beat(4)-0.29%
Max EPS beat(4)1.62%
EPS beat(8)7
Avg EPS beat(8)7.01%
EPS beat(12)10
Avg EPS beat(12)4.36%
EPS beat(16)14
Avg EPS beat(16)8.35%
Revenue beat(2)1
Avg Revenue beat(2)-0.01%
Min Revenue beat(2)-0.45%
Max Revenue beat(2)0.43%
Revenue beat(4)3
Avg Revenue beat(4)0.51%
Min Revenue beat(4)-0.45%
Max Revenue beat(4)1.98%
Revenue beat(8)7
Avg Revenue beat(8)0.92%
Revenue beat(12)10
Avg Revenue beat(12)1.54%
Revenue beat(16)14
Avg Revenue beat(16)1.95%
PT rev (1m)-0.09%
PT rev (3m)12.61%
EPS NQ rev (1m)-0.46%
EPS NQ rev (3m)-3.62%
EPS NY rev (1m)0.33%
EPS NY rev (3m)0.8%
Revenue NQ rev (1m)7.8%
Revenue NQ rev (3m)11.87%
Revenue NY rev (1m)4.19%
Revenue NY rev (3m)8.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.46 | ||
| Fwd PE | 13.96 | ||
| P/S | 1.41 | ||
| P/FCF | 41.74 | ||
| P/OCF | 13.65 | ||
| P/B | 5.78 | ||
| P/tB | 6.36 | ||
| EV/EBITDA | 10.44 |
EPS(TTM)13.99
EY6.47%
EPS(NY)15.49
Fwd EY7.16%
FCF(TTM)5.18
FCFY2.4%
OCF(TTM)15.85
OCFY7.33%
SpS153.57
BVpS37.41
TBVpS34.02
PEG (NY)3.99
PEG (5Y)0.51
Graham Number108.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.98% | ||
| ROE | 34.98% | ||
| ROCE | 19.44% | ||
| ROIC | 15.18% | ||
| ROICexc | 18.06% | ||
| ROICexgc | 18.95% | ||
| OM | 10.89% | ||
| PM (TTM) | 8.52% | ||
| GM | 36.1% | ||
| FCFM | 3.37% |
ROA(3y)11.33%
ROA(5y)11.53%
ROE(3y)39.25%
ROE(5y)42.54%
ROIC(3y)16.29%
ROIC(5y)17.01%
ROICexc(3y)22.36%
ROICexc(5y)25.3%
ROICexgc(3y)23.86%
ROICexgc(5y)27.4%
ROCE(3y)20.87%
ROCE(5y)21.8%
ROICexgc growth 3Y-23.3%
ROICexgc growth 5Y21.21%
ROICexc growth 3Y-22.28%
ROICexc growth 5Y21.8%
OM growth 3Y-12.82%
OM growth 5Y17.23%
PM growth 3Y-11.16%
PM growth 5Y20.59%
GM growth 3Y-2.16%
GM growth 5Y4.22%
F-Score6
Asset Turnover1.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.19 | ||
| Debt/EBITDA | 0.78 | ||
| Cap/Depr | 230.65% | ||
| Cap/Sales | 6.95% | ||
| Interest Coverage | 31.96 | ||
| Cash Conversion | 74.26% | ||
| Profit Quality | 39.61% | ||
| Current Ratio | 1.7 | ||
| Quick Ratio | 0.55 | ||
| Altman-Z | 4.49 |
F-Score6
WACC9.08%
ROIC/WACC1.67
Cap/Depr(3y)149.72%
Cap/Depr(5y)122.69%
Cap/Sales(3y)4.48%
Cap/Sales(5y)3.66%
Profit Quality(3y)62.33%
Profit Quality(5y)104.74%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.62%
EPS 3Y-3.66%
EPS 5Y30.43%
EPS Q2Q%0.23%
EPS Next Y3.88%
EPS Next 2Y5.05%
EPS Next 3Y7.41%
EPS Next 5Y7.95%
Revenue 1Y (TTM)2.7%
Revenue growth 3Y3.02%
Revenue growth 5Y8.97%
Sales Q2Q%4.98%
Revenue Next Year13.73%
Revenue Next 2Y10.75%
Revenue Next 3Y18.78%
Revenue Next 5Y13.01%
EBIT growth 1Y3.54%
EBIT growth 3Y-10.19%
EBIT growth 5Y27.74%
EBIT Next Year33.92%
EBIT Next 3Y21.29%
EBIT Next 5Y15.59%
FCF growth 1Y-56.51%
FCF growth 3Y-26.99%
FCF growth 5Y22.17%
OCF growth 1Y-6.1%
OCF growth 3Y-6.73%
OCF growth 5Y26.52%
DICK'S SPORTING GOODS INC / DKS FAQ
What is the fundamental rating for DKS stock?
ChartMill assigns a fundamental rating of 6 / 10 to DKS.
Can you provide the valuation status for DICK'S SPORTING GOODS INC?
ChartMill assigns a valuation rating of 5 / 10 to DICK'S SPORTING GOODS INC (DKS). This can be considered as Fairly Valued.
Can you provide the profitability details for DICK'S SPORTING GOODS INC?
DICK'S SPORTING GOODS INC (DKS) has a profitability rating of 8 / 10.
Can you provide the financial health for DKS stock?
The financial health rating of DICK'S SPORTING GOODS INC (DKS) is 7 / 10.
What is the expected EPS growth for DICK'S SPORTING GOODS INC (DKS) stock?
The Earnings per Share (EPS) of DICK'S SPORTING GOODS INC (DKS) is expected to grow by 3.88% in the next year.