FOOT LOCKER INC (FL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FL - US3448491049 - Common Stock
24.01 USD
-0.09 (-0.37%)
24.0497 USD
+0.04 (+0.17%)
Taking everything into account, FL scores 3 out of 10 in our fundamental rating. FL was compared to 123 industry peers in the Specialty Retail industry. Both the profitability and financial health of FL have multiple concerns. FL has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
FL had positive earnings in the past year.
FL had a positive operating cash flow in the past year.
FL had positive earnings in 4 of the past 5 years.
In the past 5 years FL always reported a positive cash flow from operatings.
1.2 Ratios
FL's Return On Assets of -5.92% is on the low side compared to the rest of the industry. FL is outperformed by 69.92% of its industry peers.
FL has a Return On Equity (-14.93%) which is in line with its industry peers.
FL has a Return On Invested Capital (2.79%) which is in line with its industry peers.
FL had an Average Return On Invested Capital over the past 3 years of 4.94%. This is significantly below the industry average of 12.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.92% | ||
| ROE | -14.93% | ||
| ROIC | 2.79% |
ROA(3y)-0.1%
ROA(5y)3.05%
ROE(3y)-0.21%
ROE(5y)7.72%
ROIC(3y)4.94%
ROIC(5y)6.74%
1.3 Margins
In the last couple of years the Profit Margin of FL has declined.
Looking at the Operating Margin, with a value of 2.25%, FL is in line with its industry, outperforming 51.22% of the companies in the same industry.
FL's Operating Margin has declined in the last couple of years.
FL has a Gross Margin of 28.92%. This is in the lower half of the industry: FL underperforms 67.48% of its industry peers.
FL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.25% | ||
| PM (TTM) | N/A | ||
| GM | 28.92% |
OM growth 3Y-39.88%
OM growth 5Y-22.44%
PM growth 3Y-75.3%
PM growth 5Y-52.38%
GM growth 3Y-5.44%
GM growth 5Y-1.76%
2. Health
2.1 Basic Checks
FL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, FL has more shares outstanding
The number of shares outstanding for FL has been reduced compared to 5 years ago.
Compared to 1 year ago, FL has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of FL is 74.00, which is on the high side as it means it would take FL, 74.00 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 74.00, FL is in line with its industry, outperforming 47.15% of the companies in the same industry.
A Debt/Equity ratio of 0.17 indicates that FL is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.17, FL is doing good in the industry, outperforming 63.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 74 | ||
| Altman-Z | N/A |
ROIC/WACC0.3
WACC9.29%
2.3 Liquidity
A Current Ratio of 1.59 indicates that FL should not have too much problems paying its short term obligations.
FL has a better Current ratio (1.59) than 69.11% of its industry peers.
FL has a Quick Ratio of 1.59. This is a bad value and indicates that FL is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.45, FL is in line with its industry, outperforming 42.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The earnings per share for FL have decreased by 0.00% in the last year.
FL shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -22.77% yearly.
The Revenue has decreased by -3.58% in the past year.
The Revenue has been decreasing by -0.04% on average over the past years.
EPS 1Y (TTM)0%
EPS 3Y-44.06%
EPS 5Y-22.77%
EPS Q2Q%-440%
Revenue 1Y (TTM)-3.58%
Revenue growth 3Y-3.75%
Revenue growth 5Y-0.04%
Sales Q2Q%-2.26%
3.2 Future
The Earnings Per Share is expected to grow by 8.04% on average over the next years. This is quite good.
Based on estimates for the next years, FL will show a decrease in Revenue. The Revenue will decrease by -0.36% on average per year.
EPS Next Y-8.87%
EPS Next 2Y3.37%
EPS Next 3Y8.04%
EPS Next 5YN/A
Revenue Next Year-3.04%
Revenue Next 2Y-0.55%
Revenue Next 3Y-0.36%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
Based on the Price/Earnings ratio of 28.25, the valuation of FL can be described as expensive.
62.60% of the companies in the same industry are more expensive than FL, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of FL to the average of the S&P500 Index (26.84), we can say FL is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 16.52, the valuation of FL can be described as correct.
Based on the Price/Forward Earnings ratio, FL is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of FL to the average of the S&P500 Index (23.40), we can say FL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.25 | ||
| Fwd PE | 16.52 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FL indicates a somewhat cheap valuation: FL is cheaper than 77.24% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 382.48 | ||
| EV/EBITDA | 6.44 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.37%
EPS Next 3Y8.04%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.86%, FL is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.01, FL pays a better dividend. On top of this FL pays more dividend than 95.94% of the companies listed in the same industry.
FL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.86% |
5.2 History
FL has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y3.37%
EPS Next 3Y8.04%
24.01
-0.09 (-0.37%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners87.05%
Inst Owner Change-90.5%
Ins Owners0.52%
Ins Owner Change-13.93%
Market Cap2.29B
Revenue(TTM)7.86B
Net Income(TTM)-385.00M
Analysts69.17
Price Target23.47 (-2.25%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.86% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-260.71%
Min EPS beat(2)-441.72%
Max EPS beat(2)-79.7%
EPS beat(4)1
Avg EPS beat(4)-131.85%
Min EPS beat(4)-441.72%
Max EPS beat(4)15.94%
EPS beat(8)5
Avg EPS beat(8)-44.7%
EPS beat(12)7
Avg EPS beat(12)-23.99%
EPS beat(16)11
Avg EPS beat(16)-12.76%
Revenue beat(2)0
Avg Revenue beat(2)-4.95%
Min Revenue beat(2)-6.22%
Max Revenue beat(2)-3.68%
Revenue beat(4)0
Avg Revenue beat(4)-5.31%
Min Revenue beat(4)-6.22%
Max Revenue beat(4)-3.68%
Revenue beat(8)1
Avg Revenue beat(8)-3.3%
Revenue beat(12)3
Avg Revenue beat(12)-2.41%
Revenue beat(16)3
Avg Revenue beat(16)-2.47%
PT rev (1m)0.62%
PT rev (3m)3.54%
EPS NQ rev (1m)1.95%
EPS NQ rev (3m)-37.59%
EPS NY rev (1m)4%
EPS NY rev (3m)-11.31%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)-4.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.25 | ||
| Fwd PE | 16.52 | ||
| P/S | 0.29 | ||
| P/FCF | 382.48 | ||
| P/OCF | 10.38 | ||
| P/B | 0.89 | ||
| P/tB | 1.35 | ||
| EV/EBITDA | 6.44 |
EPS(TTM)0.85
EY3.54%
EPS(NY)1.45
Fwd EY6.05%
FCF(TTM)0.06
FCFY0.26%
OCF(TTM)2.31
OCFY9.63%
SpS82.23
BVpS26.97
TBVpS17.74
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.92% | ||
| ROE | -14.93% | ||
| ROCE | 3.53% | ||
| ROIC | 2.79% | ||
| ROICexc | 2.96% | ||
| ROICexgc | 3.64% | ||
| OM | 2.25% | ||
| PM (TTM) | N/A | ||
| GM | 28.92% | ||
| FCFM | 0.08% |
ROA(3y)-0.1%
ROA(5y)3.05%
ROE(3y)-0.21%
ROE(5y)7.72%
ROIC(3y)4.94%
ROIC(5y)6.74%
ROICexc(3y)5.34%
ROICexc(5y)7.9%
ROICexgc(3y)6.81%
ROICexgc(5y)9.71%
ROCE(3y)6.25%
ROCE(5y)8.53%
ROICexgc growth 3Y-39.97%
ROICexgc growth 5Y-20.87%
ROICexc growth 3Y-39.98%
ROICexc growth 5Y-24.18%
OM growth 3Y-39.88%
OM growth 5Y-22.44%
PM growth 3Y-75.3%
PM growth 5Y-52.38%
GM growth 3Y-5.44%
GM growth 5Y-1.76%
F-Score4
Asset Turnover1.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 74 | ||
| Debt/EBITDA | 1.16 | ||
| Cap/Depr | 106.44% | ||
| Cap/Sales | 2.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 58.31% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.59 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | N/A |
F-Score4
WACC9.29%
ROIC/WACC0.3
Cap/Depr(3y)125.81%
Cap/Depr(5y)114.77%
Cap/Sales(3y)3.07%
Cap/Sales(5y)2.73%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y-44.06%
EPS 5Y-22.77%
EPS Q2Q%-440%
EPS Next Y-8.87%
EPS Next 2Y3.37%
EPS Next 3Y8.04%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.58%
Revenue growth 3Y-3.75%
Revenue growth 5Y-0.04%
Sales Q2Q%-2.26%
Revenue Next Year-3.04%
Revenue Next 2Y-0.55%
Revenue Next 3Y-0.36%
Revenue Next 5YN/A
EBIT growth 1Y23.78%
EBIT growth 3Y-42.13%
EBIT growth 5Y-22.47%
EBIT Next Year110.42%
EBIT Next 3Y34.47%
EBIT Next 5YN/A
FCF growth 1Y104.2%
FCF growth 3Y-38.75%
FCF growth 5Y-27.07%
OCF growth 1Y142.86%
OCF growth 3Y-19.69%
OCF growth 5Y-13.1%
FOOT LOCKER INC / FL FAQ
What is the ChartMill fundamental rating of FOOT LOCKER INC (FL) stock?
ChartMill assigns a fundamental rating of 3 / 10 to FL.
What is the valuation status of FOOT LOCKER INC (FL) stock?
ChartMill assigns a valuation rating of 3 / 10 to FOOT LOCKER INC (FL). This can be considered as Overvalued.
What is the profitability of FL stock?
FOOT LOCKER INC (FL) has a profitability rating of 3 / 10.
What is the valuation of FOOT LOCKER INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FOOT LOCKER INC (FL) is 28.25 and the Price/Book (PB) ratio is 0.89.
What is the expected EPS growth for FOOT LOCKER INC (FL) stock?
The Earnings per Share (EPS) of FOOT LOCKER INC (FL) is expected to decline by -8.87% in the next year.