GENESCO INC (GCO) Stock Fundamental Analysis
NYSE:GCO - New York Stock Exchange, Inc. - US3715321028 - Common Stock - Currency: USD
Taking everything into account, GCO scores 4 out of 10 in our fundamental rating. GCO was compared to 123 industry peers in the Specialty Retail industry. While GCO seems to be doing ok healthwise, there are quite some concerns on its profitability. GCO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year GCO was profitable.
In the past year GCO had a positive cash flow from operations.
In multiple years GCO reported negative net income over the last 5 years.
Of the past 5 years GCO 4 years had a positive operating cash flow.
1.2 Ratios
GCO has a Return On Assets (-1.12%) which is in line with its industry peers.
GCO's Return On Equity of -3.02% is in line compared to the rest of the industry. GCO outperforms 47.15% of its industry peers.
With a Return On Invested Capital value of 1.53%, GCO perfoms like the industry average, outperforming 44.72% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GCO is significantly below the industry average of 11.91%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.12% | ||
| ROE | -3.02% | ||
| ROIC | 1.53% |
ROA(3y)0.75%
ROA(5y)1.21%
ROE(3y)1.82%
ROE(5y)2.91%
ROIC(3y)3.2%
ROIC(5y)N/A
1.3 Margins
GCO has a Operating Margin (0.89%) which is in line with its industry peers.
GCO's Operating Margin has declined in the last couple of years.
The Gross Margin of GCO (47.05%) is better than 74.80% of its industry peers.
In the last couple of years the Gross Margin of GCO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.89% | ||
| PM (TTM) | N/A | ||
| GM | 47.05% |
OM growth 3Y-51.59%
OM growth 5Y-30.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.1%
GM growth 5Y-0.51%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GCO is destroying value.
The number of shares outstanding for GCO has been reduced compared to 1 year ago.
The number of shares outstanding for GCO has been reduced compared to 5 years ago.
GCO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
GCO has an Altman-Z score of 2.40. This is not the best score and indicates that GCO is in the grey zone with still only limited risk for bankruptcy at the moment.
GCO has a Altman-Z score (2.40) which is comparable to the rest of the industry.
GCO has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
GCO has a Debt to Equity ratio of 0.22. This is in the better half of the industry: GCO outperforms 62.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.4 |
ROIC/WACC0.15
WACC10.21%
2.3 Liquidity
A Current Ratio of 1.91 indicates that GCO should not have too much problems paying its short term obligations.
The Current ratio of GCO (1.91) is better than 82.11% of its industry peers.
GCO has a Quick Ratio of 1.91. This is a bad value and indicates that GCO is not financially healthy enough and could expect problems in meeting its short term obligations.
GCO's Quick ratio of 0.55 is in line compared to the rest of the industry. GCO outperforms 56.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.91 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
GCO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 371.43%, which is quite impressive.
GCO shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -28.12% yearly.
GCO shows a small growth in Revenue. In the last year, the Revenue has grown by 1.85%.
GCO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.14% yearly.
EPS 1Y (TTM)371.43%
EPS 3Y-50.35%
EPS 5Y-28.12%
EPS Q2Q%2.38%
Revenue 1Y (TTM)1.85%
Revenue growth 3Y-1.35%
Revenue growth 5Y1.14%
Sales Q2Q%3.58%
3.2 Future
GCO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 43.84% yearly.
Based on estimates for the next years, GCO will show a small growth in Revenue. The Revenue will grow by 1.92% on average per year.
EPS Next Y62.96%
EPS Next 2Y49.26%
EPS Next 3Y43.84%
EPS Next 5YN/A
Revenue Next Year-0.17%
Revenue Next 2Y0.92%
Revenue Next 3Y1.92%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GCO is valuated quite expensively with a Price/Earnings ratio of 26.75.
Based on the Price/Earnings ratio, GCO is valued a bit cheaper than the industry average as 60.98% of the companies are valued more expensively.
GCO's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.93.
GCO is valuated correctly with a Price/Forward Earnings ratio of 12.65.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GCO indicates a somewhat cheap valuation: GCO is cheaper than 73.17% of the companies listed in the same industry.
GCO is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.31, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.75 | ||
| Fwd PE | 12.65 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GCO is valued cheaper than 84.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.33 |
4.3 Compensation for Growth
GCO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as GCO's earnings are expected to grow with 43.84% in the coming years.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y49.26%
EPS Next 3Y43.84%
5. Dividend
5.1 Amount
No dividends for GCO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
26.48
-0.67 (-2.47%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners101.81%
Inst Owner Change6.52%
Ins Owners8.07%
Ins Owner Change5.71%
Market Cap285.45M
Analysts48
Price Target24.99 (-5.63%)
Short Float %12.53%
Short Ratio4.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.08%
Min EPS beat(2)-2.34%
Max EPS beat(2)0.18%
EPS beat(4)3
Avg EPS beat(4)21.84%
Min EPS beat(4)-2.34%
Max EPS beat(4)63.23%
EPS beat(8)5
Avg EPS beat(8)11.6%
EPS beat(12)8
Avg EPS beat(12)14.88%
EPS beat(16)12
Avg EPS beat(16)263.93%
Revenue beat(2)1
Avg Revenue beat(2)-2.29%
Min Revenue beat(2)-5.9%
Max Revenue beat(2)1.32%
Revenue beat(4)3
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-5.9%
Max Revenue beat(4)1.64%
Revenue beat(8)6
Avg Revenue beat(8)0.69%
Revenue beat(12)8
Avg Revenue beat(12)0.31%
Revenue beat(16)10
Avg Revenue beat(16)0.65%
PT rev (1m)0%
PT rev (3m)-9.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-61.72%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.55%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.75 | ||
| Fwd PE | 12.65 | ||
| P/S | 0.12 | ||
| P/FCF | N/A | ||
| P/OCF | 13.86 | ||
| P/B | 0.55 | ||
| P/tB | 0.59 | ||
| EV/EBITDA | 5.33 |
EPS(TTM)0.99
EY3.74%
EPS(NY)2.09
Fwd EY7.91%
FCF(TTM)-3.07
FCFYN/A
OCF(TTM)1.91
OCFY7.21%
SpS217.2
BVpS48.44
TBVpS45.03
PEG (NY)0.42
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.12% | ||
| ROE | -3.02% | ||
| ROCE | 1.94% | ||
| ROIC | 1.53% | ||
| ROICexc | 1.57% | ||
| ROICexgc | 1.62% | ||
| OM | 0.89% | ||
| PM (TTM) | N/A | ||
| GM | 47.05% | ||
| FCFM | N/A |
ROA(3y)0.75%
ROA(5y)1.21%
ROE(3y)1.82%
ROE(5y)2.91%
ROIC(3y)3.2%
ROIC(5y)N/A
ROICexc(3y)3.34%
ROICexc(5y)N/A
ROICexgc(3y)3.53%
ROICexgc(5y)N/A
ROCE(3y)4.05%
ROCE(5y)N/A
ROICexcg growth 3Y-55.02%
ROICexcg growth 5Y-26.41%
ROICexc growth 3Y-54.26%
ROICexc growth 5Y-24.94%
OM growth 3Y-51.59%
OM growth 5Y-30.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.1%
GM growth 5Y-0.51%
F-Score4
Asset Turnover1.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.55 | ||
| Cap/Depr | 101.96% | ||
| Cap/Sales | 2.29% | ||
| Interest Coverage | 4.68 | ||
| Cash Conversion | 28.03% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.91 | ||
| Quick Ratio | 0.55 | ||
| Altman-Z | 2.4 |
F-Score4
WACC10.21%
ROIC/WACC0.15
Cap/Depr(3y)113.44%
Cap/Depr(5y)103.5%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)371.43%
EPS 3Y-50.35%
EPS 5Y-28.12%
EPS Q2Q%2.38%
EPS Next Y62.96%
EPS Next 2Y49.26%
EPS Next 3Y43.84%
EPS Next 5YN/A
Revenue 1Y (TTM)1.85%
Revenue growth 3Y-1.35%
Revenue growth 5Y1.14%
Sales Q2Q%3.58%
Revenue Next Year-0.17%
Revenue Next 2Y0.92%
Revenue Next 3Y1.92%
Revenue Next 5YN/A
EBIT growth 1Y160.08%
EBIT growth 3Y-52.25%
EBIT growth 5Y-29.24%
EBIT Next Year333.86%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y83.04%
FCF growth 3Y-36.89%
FCF growth 5Y-11.76%
OCF growth 1Y115.46%
OCF growth 3Y-28.45%
OCF growth 5Y-5.59%