G-III APPAREL GROUP LTD (GIII) Stock Fundamental Analysis
USA - NASDAQ:GIII - US36237H1014 - Common Stock
26.34 USD
-0.99 (-3.62%)
26.34 USD
0 (0%)
Overall GIII gets a fundamental rating of 6 out of 10. We evaluated GIII against 48 industry peers in the Textiles, Apparel & Luxury Goods industry. While GIII has a great health rating, its profitability is only average at the moment. GIII has a bad growth rate and is valued cheaply. These ratings could make GIII a good candidate for value investing.
1. Profitability
1.1 Basic Checks
GIII had positive earnings in the past year.
GIII had a positive operating cash flow in the past year.
GIII had positive earnings in 4 of the past 5 years.
GIII had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.77%, GIII is in the better half of the industry, outperforming 79.17% of the companies in the same industry.
GIII has a Return On Equity (10.67%) which is in line with its industry peers.
GIII's Return On Invested Capital of 9.69% is fine compared to the rest of the industry. GIII outperforms 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GIII is below the industry average of 12.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.77% | ||
| ROE | 10.67% | ||
| ROIC | 9.69% |
ROA(3y)3.15%
ROA(5y)3.55%
ROE(3y)4.43%
ROE(5y)5.65%
ROIC(3y)9.69%
ROIC(5y)8.57%
1.3 Margins
With a decent Profit Margin value of 5.84%, GIII is doing good in the industry, outperforming 77.08% of the companies in the same industry.
In the last couple of years the Profit Margin of GIII has grown nicely.
Looking at the Operating Margin, with a value of 8.68%, GIII is in the better half of the industry, outperforming 72.92% of the companies in the same industry.
GIII's Operating Margin has improved in the last couple of years.
GIII has a worse Gross Margin (40.37%) than 68.75% of its industry peers.
GIII's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.68% | ||
| PM (TTM) | 5.84% | ||
| GM | 40.37% |
OM growth 3Y-5.71%
OM growth 5Y3.91%
PM growth 3Y-5.67%
PM growth 5Y5.99%
GM growth 3Y4.55%
GM growth 5Y2.91%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GIII is destroying value.
GIII has less shares outstanding than it did 1 year ago.
GIII has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, GIII has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.25 indicates that GIII is not in any danger for bankruptcy at the moment.
GIII has a Altman-Z score of 3.25. This is in the better half of the industry: GIII outperforms 64.58% of its industry peers.
GIII has a debt to FCF ratio of 0.04. This is a very positive value and a sign of high solvency as it would only need 0.04 years to pay back of all of its debts.
GIII has a better Debt to FCF ratio (0.04) than 89.58% of its industry peers.
A Debt/Equity ratio of 0.00 indicates that GIII is not too dependend on debt financing.
GIII's Debt to Equity ratio of 0.00 is amongst the best of the industry. GIII outperforms 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.04 | ||
| Altman-Z | 3.25 |
ROIC/WACC0.88
WACC11.06%
2.3 Liquidity
A Current Ratio of 2.21 indicates that GIII has no problem at all paying its short term obligations.
GIII's Current ratio of 2.21 is fine compared to the rest of the industry. GIII outperforms 64.58% of its industry peers.
GIII has a Quick Ratio of 1.26. This is a normal value and indicates that GIII is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of GIII (1.26) is better than 60.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
GIII shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.87%.
The Earnings Per Share has been growing slightly by 6.92% on average over the past years.
The Revenue has been growing slightly by 1.19% in the past year.
Measured over the past years, GIII shows a small growth in Revenue. The Revenue has been growing by 0.13% on average per year.
EPS 1Y (TTM)2.87%
EPS 3Y3.49%
EPS 5Y6.92%
EPS Q2Q%-51.92%
Revenue 1Y (TTM)1.19%
Revenue growth 3Y4.76%
Revenue growth 5Y0.13%
Sales Q2Q%-4.88%
3.2 Future
The Earnings Per Share is expected to decrease by -9.70% on average over the next years.
The Revenue is expected to decrease by -1.04% on average over the next years.
EPS Next Y-33.12%
EPS Next 2Y-16.81%
EPS Next 3Y-9.7%
EPS Next 5YN/A
Revenue Next Year-3.18%
Revenue Next 2Y-2.63%
Revenue Next 3Y-3.44%
Revenue Next 5Y-1.04%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
GIII is valuated cheaply with a Price/Earnings ratio of 6.13.
GIII's Price/Earnings ratio is rather cheap when compared to the industry. GIII is cheaper than 95.83% of the companies in the same industry.
When comparing the Price/Earnings ratio of GIII to the average of the S&P500 Index (27.38), we can say GIII is valued rather cheaply.
The Price/Forward Earnings ratio is 8.46, which indicates a very decent valuation of GIII.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GIII indicates a rather cheap valuation: GIII is cheaper than 95.83% of the companies listed in the same industry.
GIII is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.13 | ||
| Fwd PE | 8.46 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GIII is valued cheaper than 97.92% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GIII is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.14 | ||
| EV/EBITDA | 2.77 |
4.3 Compensation for Growth
GIII has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as GIII's earnings are expected to decrease with -9.70% in the coming years.
PEG (NY)N/A
PEG (5Y)0.88
EPS Next 2Y-16.81%
EPS Next 3Y-9.7%
5. Dividend
5.1 Amount
No dividends for GIII!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
26.34
-0.99 (-3.62%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners102.41%
Inst Owner Change-2.37%
Ins Owners14.22%
Ins Owner Change3.14%
Market Cap1.11B
Analysts48.89
Price Target28.05 (6.49%)
Short Float %17.88%
Short Ratio10.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)108.81%
Min EPS beat(2)49.02%
Max EPS beat(2)168.6%
EPS beat(4)4
Avg EPS beat(4)64.57%
Min EPS beat(4)12%
Max EPS beat(4)168.6%
EPS beat(8)8
Avg EPS beat(8)114.27%
EPS beat(12)10
Avg EPS beat(12)339.59%
EPS beat(16)13
Avg EPS beat(16)259.35%
Revenue beat(2)1
Avg Revenue beat(2)1.91%
Min Revenue beat(2)-1.41%
Max Revenue beat(2)5.24%
Revenue beat(4)2
Avg Revenue beat(4)0.69%
Min Revenue beat(4)-2.97%
Max Revenue beat(4)5.24%
Revenue beat(8)2
Avg Revenue beat(8)-2.37%
Revenue beat(12)5
Avg Revenue beat(12)0.38%
Revenue beat(16)7
Avg Revenue beat(16)0.93%
PT rev (1m)8.91%
PT rev (3m)-8.33%
EPS NQ rev (1m)-14.71%
EPS NQ rev (3m)-21.63%
EPS NY rev (1m)0%
EPS NY rev (3m)-23.92%
Revenue NQ rev (1m)-6.06%
Revenue NQ rev (3m)-6.06%
Revenue NY rev (1m)-2.54%
Revenue NY rev (3m)-2.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.13 | ||
| Fwd PE | 8.46 | ||
| P/S | 0.36 | ||
| P/FCF | 3.14 | ||
| P/OCF | 2.85 | ||
| P/B | 0.65 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 2.77 |
EPS(TTM)4.3
EY16.32%
EPS(NY)3.11
Fwd EY11.82%
FCF(TTM)8.38
FCFY31.81%
OCF(TTM)9.25
OCFY35.11%
SpS73.97
BVpS40.47
TBVpS24.72
PEG (NY)N/A
PEG (5Y)0.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.77% | ||
| ROE | 10.67% | ||
| ROCE | 13.43% | ||
| ROIC | 9.69% | ||
| ROICexc | 11.39% | ||
| ROICexgc | 18.58% | ||
| OM | 8.68% | ||
| PM (TTM) | 5.84% | ||
| GM | 40.37% | ||
| FCFM | 11.33% |
ROA(3y)3.15%
ROA(5y)3.55%
ROE(3y)4.43%
ROE(5y)5.65%
ROIC(3y)9.69%
ROIC(5y)8.57%
ROICexc(3y)11.32%
ROICexc(5y)10.23%
ROICexgc(3y)17.88%
ROICexgc(5y)16.73%
ROCE(3y)13.44%
ROCE(5y)11.88%
ROICexcg growth 3Y-5.29%
ROICexcg growth 5Y1.41%
ROICexc growth 3Y-1.7%
ROICexc growth 5Y3.6%
OM growth 3Y-5.71%
OM growth 5Y3.91%
PM growth 3Y-5.67%
PM growth 5Y5.99%
GM growth 3Y4.55%
GM growth 5Y2.91%
F-Score6
Asset Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.04 | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 134.82% | ||
| Cap/Sales | 1.17% | ||
| Interest Coverage | 12.52 | ||
| Cash Conversion | 130.9% | ||
| Profit Quality | 194.12% | ||
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 3.25 |
F-Score6
WACC11.06%
ROIC/WACC0.88
Cap/Depr(3y)106.1%
Cap/Depr(5y)94.77%
Cap/Sales(3y)0.92%
Cap/Sales(5y)0.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.87%
EPS 3Y3.49%
EPS 5Y6.92%
EPS Q2Q%-51.92%
EPS Next Y-33.12%
EPS Next 2Y-16.81%
EPS Next 3Y-9.7%
EPS Next 5YN/A
Revenue 1Y (TTM)1.19%
Revenue growth 3Y4.76%
Revenue growth 5Y0.13%
Sales Q2Q%-4.88%
Revenue Next Year-3.18%
Revenue Next 2Y-2.63%
Revenue Next 3Y-3.44%
Revenue Next 5Y-1.04%
EBIT growth 1Y-9.13%
EBIT growth 3Y-1.22%
EBIT growth 5Y4.04%
EBIT Next Year-21.91%
EBIT Next 3Y-7.78%
EBIT Next 5YN/A
FCF growth 1Y82.65%
FCF growth 3Y21.23%
FCF growth 5Y9.96%
OCF growth 1Y79.27%
OCF growth 3Y19.42%
OCF growth 5Y8.65%