DICK'S SPORTING GOODS INC (DKS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DKS - US2533931026 - Common Stock
216.19 USD
-0.47 (-0.22%)
216.19 USD
0 (0%)
Taking everything into account, DKS scores 6 out of 10 in our fundamental rating. DKS was compared to 122 industry peers in the Specialty Retail industry. DKS has an excellent profitability rating, but there are some minor concerns on its financial health. DKS has a decent growth rate and is not valued too expensively.
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.
Each year in the past 5 years DKS has been profitable.
DKS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DKS has a Return On Assets of 5.86%. This is in the better half of the industry: DKS outperforms 73.77% of its industry peers.
With a decent Return On Equity value of 18.49%, DKS is doing good in the industry, outperforming 79.51% of the companies in the same industry.
DKS has a better Return On Invested Capital (8.85%) than 72.13% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DKS is above the industry average of 12.24%.
The last Return On Invested Capital (8.85%) for DKS is well below the 3 year average (16.29%), which needs to be investigated, but indicates that DKS had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.86% | ||
| ROE | 18.49% | ||
| ROIC | 8.85% |
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
With an excellent Profit Margin value of 6.86%, DKS belongs to the best of the industry, outperforming 81.15% of the companies in the same industry.
DKS's Profit Margin has improved in the last couple of years.
DKS has a better Operating Margin (9.71%) than 83.61% of its industry peers.
DKS's Operating Margin has improved in the last couple of years.
DKS has a Gross Margin (35.33%) which is in line with its industry peers.
DKS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.71% | ||
| PM (TTM) | 6.86% | ||
| GM | 35.33% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DKS is still creating some value.
Compared to 1 year ago, DKS has less shares outstanding
The number of shares outstanding for DKS has been reduced compared to 5 years ago.
The debt/assets ratio for DKS has been reduced compared to a year ago.
2.2 Solvency
DKS has an Altman-Z score of 2.84. This is not the best score and indicates that DKS is in the grey zone with still only limited risk for bankruptcy at the moment.
DKS has a Altman-Z score of 2.84. This is in the better half of the industry: DKS outperforms 62.30% of its industry peers.
DKS has a debt to FCF ratio of 21.52. This is a negative value and a sign of low solvency as DKS would need 21.52 years to pay back of all of its debts.
DKS has a Debt to FCF ratio (21.52) which is in line with its industry peers.
DKS has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.35, DKS is in line with its industry, outperforming 58.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 21.52 | ||
| Altman-Z | 2.84 |
ROIC/WACC0.93
WACC9.55%
2.3 Liquidity
DKS has a Current Ratio of 1.57. This is a normal value and indicates that DKS is financially healthy and should not expect problems in meeting its short term obligations.
DKS has a Current ratio of 1.57. This is in the better half of the industry: DKS outperforms 63.11% of its industry peers.
A Quick Ratio of 0.37 indicates that DKS may have some problems paying its short term obligations.
DKS has a worse Quick ratio (0.37) than 63.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
DKS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.72%.
DKS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 30.43% yearly.
The Revenue has grown by 10.86% in the past year. This is quite good.
DKS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.97% yearly.
EPS 1Y (TTM)-1.72%
EPS 3Y-3.66%
EPS 5Y30.43%
EPS Q2Q%1.09%
Revenue 1Y (TTM)10.86%
Revenue growth 3Y3.02%
Revenue growth 5Y8.97%
Sales Q2Q%36.34%
3.2 Future
The Earnings Per Share is expected to grow by 8.26% on average over the next years. This is quite good.
The Revenue is expected to grow by 12.37% on average over the next years. This is quite good.
EPS Next Y-8.57%
EPS Next 2Y3.16%
EPS Next 3Y6.1%
EPS Next 5Y8.26%
Revenue Next Year30.86%
Revenue Next 2Y28.52%
Revenue Next 3Y19.39%
Revenue Next 5Y12.37%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.42, which indicates a correct valuation of DKS.
79.51% of the companies in the same industry are more expensive than DKS, based on the Price/Earnings ratio.
DKS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.19.
A Price/Forward Earnings ratio of 14.47 indicates a correct valuation of DKS.
Based on the Price/Forward Earnings ratio, DKS is valued a bit cheaper than 75.41% of the companies in the same industry.
DKS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.42 | ||
| Fwd PE | 14.47 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DKS is valued a bit cheaper than the industry average as 60.66% of the companies are valued more expensively.
DKS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 219.06 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
DKS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.51
EPS Next 2Y3.16%
EPS Next 3Y6.1%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.24%, DKS has a reasonable but not impressive dividend return.
DKS's Dividend Yield is a higher than the industry average which is at 2.13.
DKS's Dividend Yield is comparable with the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.24% |
5.2 History
The dividend of DKS is nicely growing with an annual growth rate of 32.36%!
DKS has been paying a dividend for at least 10 years, so it has 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
DKS pays out 38.61% of its income as dividend. This is a sustainable payout ratio.
The dividend of DKS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP38.61%
EPS Next 2Y3.16%
EPS Next 3Y6.1%
216.19
-0.47 (-0.22%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners97.15%
Inst Owner Change0.17%
Ins Owners2.86%
Ins Owner Change-0.12%
Market Cap19.39B
Revenue(TTM)14.88B
Net Income(TTM)1.02B
Analysts73.55
Price Target240.82 (11.39%)
Short Float %9.75%
Short Ratio4.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.24% |
Yearly Dividend4.5
Dividend Growth(5Y)32.36%
DP38.61%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.91%
Min EPS beat(2)0.36%
Max EPS beat(2)1.47%
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)5.23%
EPS beat(12)10
Avg EPS beat(12)3.11%
EPS beat(16)14
Avg EPS beat(16)4.67%
Revenue beat(2)1
Avg Revenue beat(2)7.23%
Min Revenue beat(2)-0.45%
Max Revenue beat(2)14.91%
Revenue beat(4)3
Avg Revenue beat(4)4.22%
Min Revenue beat(4)-0.45%
Max Revenue beat(4)14.91%
Revenue beat(8)7
Avg Revenue beat(8)2.49%
Revenue beat(12)10
Avg Revenue beat(12)2.03%
Revenue beat(16)14
Avg Revenue beat(16)2.33%
PT rev (1m)0.02%
PT rev (3m)-2.61%
EPS NQ rev (1m)0.58%
EPS NQ rev (3m)-27.24%
EPS NY rev (1m)-0.56%
EPS NY rev (3m)-11.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)45.18%
Revenue NY rev (1m)1.33%
Revenue NY rev (3m)19.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.42 | ||
| Fwd PE | 14.47 | ||
| P/S | 1.3 | ||
| P/FCF | 219.06 | ||
| P/OCF | 17.33 | ||
| P/B | 3.51 | ||
| P/tB | 4.82 | ||
| EV/EBITDA | 10.85 |
EPS(TTM)14.02
EY6.49%
EPS(NY)14.94
Fwd EY6.91%
FCF(TTM)0.99
FCFY0.46%
OCF(TTM)12.48
OCFY5.77%
SpS165.95
BVpS61.56
TBVpS44.87
PEG (NY)N/A
PEG (5Y)0.51
Graham Number139.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.86% | ||
| ROE | 18.49% | ||
| ROCE | 11.33% | ||
| ROIC | 8.85% | ||
| ROICexc | 9.45% | ||
| ROICexgc | 10.81% | ||
| OM | 9.71% | ||
| PM (TTM) | 6.86% | ||
| GM | 35.33% | ||
| FCFM | 0.59% |
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-Score5
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 21.52 | ||
| Debt/EBITDA | 1.01 | ||
| Cap/Depr | 233.32% | ||
| Cap/Sales | 6.92% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 59.3% | ||
| Profit Quality | 8.67% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 2.84 |
F-Score5
WACC9.55%
ROIC/WACC0.93
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)-1.72%
EPS 3Y-3.66%
EPS 5Y30.43%
EPS Q2Q%1.09%
EPS Next Y-8.57%
EPS Next 2Y3.16%
EPS Next 3Y6.1%
EPS Next 5Y8.26%
Revenue 1Y (TTM)10.86%
Revenue growth 3Y3.02%
Revenue growth 5Y8.97%
Sales Q2Q%36.34%
Revenue Next Year30.86%
Revenue Next 2Y28.52%
Revenue Next 3Y19.39%
Revenue Next 5Y12.37%
EBIT growth 1Y-1.11%
EBIT growth 3Y-10.19%
EBIT growth 5Y27.74%
EBIT Next Year29.15%
EBIT Next 3Y18.93%
EBIT Next 5Y14.15%
FCF growth 1Y-92.32%
FCF growth 3Y-26.99%
FCF growth 5Y22.17%
OCF growth 1Y-32.23%
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.
What is the valuation status of DICK'S SPORTING GOODS INC (DKS) stock?
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.
How financially healthy is DICK'S SPORTING GOODS INC?
The financial health rating of DICK'S SPORTING GOODS INC (DKS) is 5 / 10.
What is the earnings growth outlook for DICK'S SPORTING GOODS INC?
The Earnings per Share (EPS) of DICK'S SPORTING GOODS INC (DKS) is expected to decline by -8.57% in the next year.