G-III APPAREL GROUP LTD (GIII) Stock Fundamental Analysis
NASDAQ:GIII - Nasdaq - US36237H1014 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to GIII. GIII was compared to 49 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 is cheap, but on the other hand it scores bad on growth. These ratings would make GIII suitable 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.
Of the past 5 years GIII 4 years were profitable.
Of the past 5 years GIII 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.79%, GIII is in the better half of the industry, outperforming 73.47% of the companies in the same industry.
GIII has a Return On Equity (11.53%) which is in line with its industry peers.
GIII has a Return On Invested Capital of 11.02%. This is in the better half of the industry: GIII outperforms 67.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GIII is below the industry average of 13.58%.
The 3 year average ROIC (9.69%) for GIII is below the current ROIC(11.02%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.79% | ||
| ROE | 11.53% | ||
| ROIC | 11.02% |
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
The Profit Margin of GIII (6.09%) is better than 63.27% of its industry peers.
In the last couple of years the Profit Margin of GIII has grown nicely.
GIII has a better Operating Margin (9.47%) than 65.31% of its industry peers.
GIII's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 40.82%, GIII is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of GIII has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.47% | ||
| PM (TTM) | 6.09% | ||
| GM | 40.82% |
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
GIII has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, GIII has less shares outstanding
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 3.67 indicates that GIII is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.67, GIII is doing good in the industry, outperforming 71.43% of the companies in the same industry.
The Debt to FCF ratio of GIII is 0.02, which is an excellent value as it means it would take GIII, only 0.02 years of fcf income to pay off all of its debts.
GIII has a better Debt to FCF ratio (0.02) than 89.80% of its industry peers.
GIII has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.00, GIII belongs to the best of the industry, outperforming 83.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.02 | ||
| Altman-Z | 3.67 |
ROIC/WACC1.07
WACC10.27%
2.3 Liquidity
A Current Ratio of 2.62 indicates that GIII has no problem at all paying its short term obligations.
The Current ratio of GIII (2.62) is better than 69.39% of its industry peers.
A Quick Ratio of 1.68 indicates that GIII should not have too much problems paying its short term obligations.
GIII's Quick ratio of 1.68 is amongst the best of the industry. GIII outperforms 81.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.57% over the past year.
Measured over the past 5 years, GIII shows a small growth in Earnings Per Share. The EPS has been growing by 6.92% on average per year.
Looking at the last year, GIII shows a small growth in Revenue. The Revenue has grown by 2.66% in the last year.
The Revenue has been growing slightly by 0.13% on average over the past years.
EPS 1Y (TTM)10.57%
EPS 3Y3.49%
EPS 5Y6.92%
EPS Q2Q%67.11%
Revenue 1Y (TTM)2.66%
Revenue growth 3Y4.76%
Revenue growth 5Y0.13%
Sales Q2Q%9.77%
3.2 Future
Based on estimates for the next years, GIII will show a decrease in Earnings Per Share. The EPS will decrease by -8.68% on average per year.
The Revenue is expected to decrease by -1.04% on average over the next years.
EPS Next Y-4.23%
EPS Next 2Y-7.68%
EPS Next 3Y-8.68%
EPS Next 5YN/A
Revenue Next Year-1.12%
Revenue Next 2Y-2.06%
Revenue Next 3Y-4.92%
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
The Price/Earnings ratio is 5.60, which indicates a rather cheap valuation of GIII.
GIII's Price/Earnings ratio is rather cheap when compared to the industry. GIII is cheaper than 95.92% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 28.88. GIII is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 5.85 indicates a rather cheap valuation of GIII.
Based on the Price/Forward Earnings ratio, GIII is valued cheaper than 95.92% of the companies in the same industry.
GIII's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.6 | ||
| Fwd PE | 5.85 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GIII indicates a rather cheap valuation: GIII is cheaper than 97.96% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GIII indicates a rather cheap valuation: GIII is cheaper than 91.84% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.02 | ||
| EV/EBITDA | 2.83 |
4.3 Compensation for Growth
The decent profitability rating of GIII may justify a higher PE ratio.
A cheap valuation may be justified as GIII's earnings are expected to decrease with -8.68% in the coming years.
PEG (NY)N/A
PEG (5Y)0.81
EPS Next 2Y-7.68%
EPS Next 3Y-8.68%
5. Dividend
5.1 Amount
GIII does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:GIII (5/1/2025, 10:55:22 AM)
25.2
-0.02 (-0.08%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners102.15%
Inst Owner Change0.32%
Ins Owners13.15%
Ins Owner Change5.61%
Market Cap1.11B
Analysts48.89
Price Target31.11 (23.45%)
Short Float %13.32%
Short Ratio7.57
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)20.33%
Min EPS beat(2)12%
Max EPS beat(2)28.66%
EPS beat(4)4
Avg EPS beat(4)163.52%
Min EPS beat(4)12%
Max EPS beat(4)526.26%
EPS beat(8)8
Avg EPS beat(8)486.63%
EPS beat(12)9
Avg EPS beat(12)321.9%
EPS beat(16)13
Avg EPS beat(16)281.59%
Revenue beat(2)1
Avg Revenue beat(2)-0.53%
Min Revenue beat(2)-2.97%
Max Revenue beat(2)1.92%
Revenue beat(4)1
Avg Revenue beat(4)-1.68%
Min Revenue beat(4)-3%
Max Revenue beat(4)1.92%
Revenue beat(8)3
Avg Revenue beat(8)-0.87%
Revenue beat(12)6
Avg Revenue beat(12)1.16%
Revenue beat(16)8
Avg Revenue beat(16)1.4%
PT rev (1m)-3.94%
PT rev (3m)-16.21%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.23%
EPS NY rev (1m)0%
EPS NY rev (3m)3.35%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-6.94%
Revenue NY rev (1m)-3.82%
Revenue NY rev (3m)-3.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.6 | ||
| Fwd PE | 5.85 | ||
| P/S | 0.35 | ||
| P/FCF | 4.02 | ||
| P/OCF | 3.49 | ||
| P/B | 0.66 | ||
| P/tB | 1.06 | ||
| EV/EBITDA | 2.83 |
EPS(TTM)4.5
EY17.86%
EPS(NY)4.31
Fwd EY17.1%
FCF(TTM)6.26
FCFY24.86%
OCF(TTM)7.21
OCFY28.61%
SpS72.49
BVpS38.27
TBVpS23.78
PEG (NY)N/A
PEG (5Y)0.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.79% | ||
| ROE | 11.53% | ||
| ROCE | 15.27% | ||
| ROIC | 11.02% | ||
| ROICexc | 12.13% | ||
| ROICexgc | 18.81% | ||
| OM | 9.47% | ||
| PM (TTM) | 6.09% | ||
| GM | 40.82% | ||
| FCFM | 8.64% |
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-Score8
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.02 | ||
| Debt/EBITDA | 0.01 | ||
| Cap/Depr | 151.28% | ||
| Cap/Sales | 1.31% | ||
| Interest Coverage | 10.98 | ||
| Cash Conversion | 96.25% | ||
| Profit Quality | 142.01% | ||
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | 3.67 |
F-Score8
WACC10.27%
ROIC/WACC1.07
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)10.57%
EPS 3Y3.49%
EPS 5Y6.92%
EPS Q2Q%67.11%
EPS Next Y-4.23%
EPS Next 2Y-7.68%
EPS Next 3Y-8.68%
EPS Next 5YN/A
Revenue 1Y (TTM)2.66%
Revenue growth 3Y4.76%
Revenue growth 5Y0.13%
Sales Q2Q%9.77%
Revenue Next Year-1.12%
Revenue Next 2Y-2.06%
Revenue Next 3Y-4.92%
Revenue Next 5Y-1.04%
EBIT growth 1Y1.87%
EBIT growth 3Y-1.22%
EBIT growth 5Y4.04%
EBIT Next Year8.74%
EBIT Next 3Y-4.69%
EBIT Next 5YN/A
FCF growth 1Y-51.17%
FCF growth 3Y21.23%
FCF growth 5Y9.96%
OCF growth 1Y-46.15%
OCF growth 3Y19.42%
OCF growth 5Y8.65%