J. JILL INC (JILL) Stock Fundamental Analysis
NYSE:JILL - New York Stock Exchange, Inc. - US46620W2017 - Common Stock - Currency: USD
JILL gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 122 industry peers in the Specialty Retail industry. JILL has an excellent profitability rating, but there are some minor concerns on its financial health. JILL has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
In the past year JILL was profitable.
In the past year JILL had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: JILL reported negative net income in multiple years.
JILL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of JILL (7.96%) is better than 80.33% of its industry peers.
JILL has a better Return On Equity (30.79%) than 86.07% of its industry peers.
Looking at the Return On Invested Capital, with a value of 15.92%, JILL belongs to the top of the industry, outperforming 86.07% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for JILL is significantly above the industry average of 12.95%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.96% | ||
| ROE | 30.79% | ||
| ROIC | 15.92% |
ROA(3y)8.99%
ROA(5y)-1.46%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)19.89%
ROIC(5y)N/A
1.3 Margins
JILL's Profit Margin of 5.72% is amongst the best of the industry. JILL outperforms 80.33% of its industry peers.
JILL's Operating Margin of 11.13% is amongst the best of the industry. JILL outperforms 86.89% of its industry peers.
JILL's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 70.07%, JILL belongs to the top of the industry, outperforming 95.08% of the companies in the same industry.
In the last couple of years the Gross Margin of JILL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.13% | ||
| PM (TTM) | 5.72% | ||
| GM | 70.07% |
OM growth 3Y7.67%
OM growth 5Y34.72%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.45%
GM growth 5Y2.57%
2. Health
2.1 Basic Checks
JILL has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for JILL has been increased compared to 1 year ago.
JILL has more shares outstanding than it did 5 years ago.
JILL has a better debt/assets ratio than last year.
2.2 Solvency
JILL has an Altman-Z score of 1.93. This is not the best score and indicates that JILL is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 1.93, JILL perfoms like the industry average, outperforming 42.62% of the companies in the same industry.
The Debt to FCF ratio of JILL is 2.27, which is a good value as it means it would take JILL, 2.27 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of JILL (2.27) is better than 76.23% of its industry peers.
A Debt/Equity ratio of 0.62 indicates that JILL is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.62, JILL is in line with its industry, outperforming 46.72% of the companies in the same industry.
Although JILL does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 2.27 | ||
| Altman-Z | 1.93 |
ROIC/WACC1.45
WACC11%
2.3 Liquidity
JILL has a Current Ratio of 0.99. This is a bad value and indicates that JILL is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of JILL (0.99) is worse than 74.59% of its industry peers.
A Quick Ratio of 0.50 indicates that JILL may have some problems paying its short term obligations.
JILL has a Quick ratio of 0.50. This is comparable to the rest of the industry: JILL outperforms 50.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.5 |
3. Growth
3.1 Past
The earnings per share for JILL have decreased by -5.71% in the last year.
The Earnings Per Share has been growing by 58.31% on average over the past years. This is a very strong growth
Looking at the last year, JILL shows a decrease in Revenue. The Revenue has decreased by -2.24% in the last year.
The Revenue has been decreasing by -2.44% on average over the past years.
EPS 1Y (TTM)-5.71%
EPS 3Y4.38%
EPS 5Y58.31%
EPS Q2Q%-27.87%
Revenue 1Y (TTM)-2.24%
Revenue growth 3Y1.44%
Revenue growth 5Y-2.44%
Sales Q2Q%-4.88%
3.2 Future
JILL is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.67% yearly.
JILL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.35% yearly.
EPS Next Y-16.64%
EPS Next 2Y-2.67%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.74%
Revenue Next 2Y0.35%
Revenue Next 3YN/A
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 decreasing.
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
JILL is valuated cheaply with a Price/Earnings ratio of 4.79.
Based on the Price/Earnings ratio, JILL is valued cheaper than 98.36% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.50, JILL is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 4.56, the valuation of JILL can be described as very cheap.
Based on the Price/Forward Earnings ratio, JILL is valued cheaper than 96.72% of the companies in the same industry.
JILL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.79 | ||
| Fwd PE | 4.56 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, JILL is valued cheaply inside the industry as 94.26% of the companies are valued more expensively.
JILL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. JILL is cheaper than 91.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.49 | ||
| EV/EBITDA | 3.05 |
4.3 Compensation for Growth
JILL has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as JILL's earnings are expected to decrease with -2.67% in the coming years.
PEG (NY)N/A
PEG (5Y)0.08
EPS Next 2Y-2.67%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.90%, JILL has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.90, JILL pays a better dividend. On top of this JILL pays more dividend than 81.15% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, JILL has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
5.2 History
JILL has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
11.96% of the earnings are spent on dividend by JILL. This is a low number and sustainable payout ratio.
DP11.96%
EPS Next 2Y-2.67%
EPS Next 3YN/A
15.04
0 (0%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners51.21%
Inst Owner Change0%
Ins Owners5.13%
Ins Owner Change7.12%
Market Cap229.81M
Analysts83.33
Price Target22.03 (46.48%)
Short Float %12.25%
Short Ratio6.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
Yearly Dividend0.22
Dividend Growth(5Y)N/A
DP11.96%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.06%
Min EPS beat(2)0.32%
Max EPS beat(2)51.8%
EPS beat(4)4
Avg EPS beat(4)18.59%
Min EPS beat(4)0.32%
Max EPS beat(4)51.8%
EPS beat(8)8
Avg EPS beat(8)569.22%
EPS beat(12)12
Avg EPS beat(12)403.15%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.37%
Min Revenue beat(2)-5.09%
Max Revenue beat(2)-1.64%
Revenue beat(4)0
Avg Revenue beat(4)-2.5%
Min Revenue beat(4)-5.09%
Max Revenue beat(4)-1.32%
Revenue beat(8)2
Avg Revenue beat(8)-1.32%
Revenue beat(12)3
Avg Revenue beat(12)-1.27%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-24.48%
PT rev (3m)-28%
EPS NQ rev (1m)-26.77%
EPS NQ rev (3m)-26.77%
EPS NY rev (1m)-16.76%
EPS NY rev (3m)-16.76%
Revenue NQ rev (1m)-6.07%
Revenue NQ rev (3m)-6.07%
Revenue NY rev (1m)-2.58%
Revenue NY rev (3m)-2.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.79 | ||
| Fwd PE | 4.56 | ||
| P/S | 0.38 | ||
| P/FCF | 7.49 | ||
| P/OCF | 4.7 | ||
| P/B | 2.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.05 |
EPS(TTM)3.14
EY20.88%
EPS(NY)3.3
Fwd EY21.92%
FCF(TTM)2.01
FCFY13.36%
OCF(TTM)3.2
OCFY21.26%
SpS39.46
BVpS7.33
TBVpS-0.5
PEG (NY)N/A
PEG (5Y)0.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.96% | ||
| ROE | 30.79% | ||
| ROCE | 21.73% | ||
| ROIC | 15.92% | ||
| ROICexc | 17.71% | ||
| ROICexgc | 31.1% | ||
| OM | 11.13% | ||
| PM (TTM) | 5.72% | ||
| GM | 70.07% | ||
| FCFM | 5.09% |
ROA(3y)8.99%
ROA(5y)-1.46%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)19.89%
ROIC(5y)N/A
ROICexc(3y)25.04%
ROICexc(5y)N/A
ROICexgc(3y)55%
ROICexgc(5y)N/A
ROCE(3y)27.16%
ROCE(5y)N/A
ROICexcg growth 3Y9.82%
ROICexcg growth 5Y54.28%
ROICexc growth 3Y12.26%
ROICexc growth 5Y49.76%
OM growth 3Y7.67%
OM growth 5Y34.72%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.45%
GM growth 5Y2.57%
F-Score5
Asset Turnover1.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 2.27 | ||
| Debt/EBITDA | 0.79 | ||
| Cap/Depr | 87.15% | ||
| Cap/Sales | 3.01% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 55.56% | ||
| Profit Quality | 89.04% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.5 | ||
| Altman-Z | 1.93 |
F-Score5
WACC11%
ROIC/WACC1.45
Cap/Depr(3y)71.89%
Cap/Depr(5y)49.13%
Cap/Sales(3y)2.71%
Cap/Sales(5y)1.99%
Profit Quality(3y)129.51%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.71%
EPS 3Y4.38%
EPS 5Y58.31%
EPS Q2Q%-27.87%
EPS Next Y-16.64%
EPS Next 2Y-2.67%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.24%
Revenue growth 3Y1.44%
Revenue growth 5Y-2.44%
Sales Q2Q%-4.88%
Revenue Next Year-0.74%
Revenue Next 2Y0.35%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-24.91%
EBIT growth 3Y9.22%
EBIT growth 5Y31.43%
EBIT Next Year26.83%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-46.95%
FCF growth 3Y-12.07%
FCF growth 5Y26.79%
OCF growth 1Y-34.95%
OCF growth 3Y-4.64%
OCF growth 5Y14.78%