STEVEN MADDEN LTD (SHOO) Stock Fundamental Analysis
NASDAQ:SHOO - Nasdaq - US5562691080 - Common Stock - Currency: USD
Overall SHOO gets a fundamental rating of 7 out of 10. We evaluated SHOO against 48 industry peers in the Textiles, Apparel & Luxury Goods industry. SHOO has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. SHOO is not valued too expensively and it also shows a decent growth rate. SHOO also has an excellent dividend rating. These ratings could make SHOO a good candidate for dividend and quality investing.
1. Profitability
1.1 Basic Checks
SHOO had positive earnings in the past year.
In the past year SHOO had a positive cash flow from operations.
SHOO had positive earnings in 4 of the past 5 years.
Each year in the past 5 years SHOO had a positive operating cash flow.
1.2 Ratios
SHOO has a better Return On Assets (12.00%) than 87.50% of its industry peers.
SHOO has a better Return On Equity (19.98%) than 77.08% of its industry peers.
Looking at the Return On Invested Capital, with a value of 19.06%, SHOO belongs to the top of the industry, outperforming 85.42% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SHOO is significantly above the industry average of 13.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12% | ||
| ROE | 19.98% | ||
| ROIC | 19.06% |
ROA(3y)13.97%
ROA(5y)10.87%
ROE(3y)22.22%
ROE(5y)17.55%
ROIC(3y)20.07%
ROIC(5y)17.19%
1.3 Margins
SHOO has a Profit Margin of 7.42%. This is in the better half of the industry: SHOO outperforms 75.00% of its industry peers.
In the last couple of years the Profit Margin of SHOO has remained more or less at the same level.
With a decent Operating Margin value of 10.74%, SHOO is doing good in the industry, outperforming 72.92% of the companies in the same industry.
In the last couple of years the Operating Margin of SHOO has remained more or less at the same level.
With a Gross Margin value of 41.04%, SHOO is not doing good in the industry: 72.92% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of SHOO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.74% | ||
| PM (TTM) | 7.42% | ||
| GM | 41.04% |
OM growth 3Y-6.39%
OM growth 5Y1.47%
PM growth 3Y-10.12%
PM growth 5Y-1.26%
GM growth 3Y-0.07%
GM growth 5Y1.35%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SHOO is creating value.
SHOO has less shares outstanding than it did 1 year ago.
The number of shares outstanding for SHOO has been reduced compared to 5 years ago.
There is no outstanding debt for SHOO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 6.44 indicates that SHOO is not in any danger for bankruptcy at the moment.
SHOO has a better Altman-Z score (6.44) than 91.67% of its industry peers.
SHOO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.44 |
ROIC/WACC1.89
WACC10.07%
2.3 Liquidity
SHOO has a Current Ratio of 2.16. This indicates that SHOO is financially healthy and has no problem in meeting its short term obligations.
SHOO has a Current ratio (2.16) which is comparable to the rest of the industry.
SHOO has a Quick Ratio of 1.54. This is a normal value and indicates that SHOO is financially healthy and should not expect problems in meeting its short term obligations.
SHOO has a better Quick ratio (1.54) than 72.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
SHOO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.77%.
Measured over the past 5 years, SHOO shows a small growth in Earnings Per Share. The EPS has been growing by 6.57% on average per year.
The Revenue has grown by 15.21% in the past year. This is quite good.
Measured over the past years, SHOO shows a small growth in Revenue. The Revenue has been growing by 5.02% on average per year.
EPS 1Y (TTM)0.77%
EPS 3Y3.18%
EPS 5Y6.57%
EPS Q2Q%-7.69%
Revenue 1Y (TTM)15.21%
Revenue growth 3Y6.95%
Revenue growth 5Y5.02%
Sales Q2Q%0.54%
3.2 Future
Based on estimates for the next years, SHOO will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.76% on average per year.
The Revenue is expected to grow by 10.55% on average over the next years. This is quite good.
EPS Next Y-14.87%
EPS Next 2Y-0.85%
EPS Next 3Y4.79%
EPS Next 5Y10.76%
Revenue Next Year12.82%
Revenue Next 2Y10.7%
Revenue Next 3Y8.5%
Revenue Next 5Y10.56%
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
The Price/Earnings ratio is 9.95, which indicates a very decent valuation of SHOO.
77.08% of the companies in the same industry are more expensive than SHOO, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of SHOO to the average of the S&P500 Index (24.85), we can say SHOO is valued rather cheaply.
SHOO is valuated reasonably with a Price/Forward Earnings ratio of 9.93.
81.25% of the companies in the same industry are more expensive than SHOO, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.89, SHOO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.95 | ||
| Fwd PE | 9.93 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SHOO is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
SHOO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SHOO is cheaper than 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.03 | ||
| EV/EBITDA | 6.5 |
4.3 Compensation for Growth
SHOO has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.52
EPS Next 2Y-0.85%
EPS Next 3Y4.79%
5. Dividend
5.1 Amount
SHOO has a Yearly Dividend Yield of 3.18%.
The stock price of SHOO dropped by -33.96% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 3.72, SHOO pays a better dividend. On top of this SHOO pays more dividend than 87.50% of the companies listed in the same industry.
SHOO's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
5.2 History
On average, the dividend of SHOO grows each year by 7.91%, which is quite nice.
SHOO has been paying a dividend for over 5 years, so it has already some track record.
SHOO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.91%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
SHOO pays out 36.03% of its income as dividend. This is a sustainable payout ratio.
The dividend of SHOO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP36.03%
EPS Next 2Y-0.85%
EPS Next 3Y4.79%
26.17
-0.58 (-2.17%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners103.38%
Inst Owner Change-1.18%
Ins Owners2.08%
Ins Owner Change1.34%
Market Cap1.90B
Analysts72.5
Price Target32.3 (23.42%)
Short Float %5.75%
Short Ratio1.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
Yearly Dividend0.84
Dividend Growth(5Y)7.91%
DP36.03%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.09%
Min EPS beat(2)0.19%
Max EPS beat(2)1.99%
EPS beat(4)4
Avg EPS beat(4)5.35%
Min EPS beat(4)0.19%
Max EPS beat(4)13.53%
EPS beat(8)8
Avg EPS beat(8)3.54%
EPS beat(12)10
Avg EPS beat(12)8.33%
EPS beat(16)14
Avg EPS beat(16)16.04%
Revenue beat(2)2
Avg Revenue beat(2)2.42%
Min Revenue beat(2)0.75%
Max Revenue beat(2)4.08%
Revenue beat(4)3
Avg Revenue beat(4)1.66%
Min Revenue beat(4)-0.76%
Max Revenue beat(4)4.08%
Revenue beat(8)4
Avg Revenue beat(8)0.11%
Revenue beat(12)8
Avg Revenue beat(12)2.45%
Revenue beat(16)11
Avg Revenue beat(16)2.88%
PT rev (1m)-15.43%
PT rev (3m)-31.82%
EPS NQ rev (1m)1.12%
EPS NQ rev (3m)-35.13%
EPS NY rev (1m)-4.57%
EPS NY rev (3m)-23.86%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)-3.75%
Revenue NY rev (1m)-5.45%
Revenue NY rev (3m)7.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.95 | ||
| Fwd PE | 9.93 | ||
| P/S | 0.83 | ||
| P/FCF | 11.03 | ||
| P/OCF | 9.59 | ||
| P/B | 2.24 | ||
| P/tB | 3.45 | ||
| EV/EBITDA | 6.5 |
EPS(TTM)2.63
EY10.05%
EPS(NY)2.63
Fwd EY10.07%
FCF(TTM)2.37
FCFY9.07%
OCF(TTM)2.73
OCFY10.43%
SpS31.45
BVpS11.68
TBVpS7.59
PEG (NY)N/A
PEG (5Y)1.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12% | ||
| ROE | 19.98% | ||
| ROCE | 24.57% | ||
| ROIC | 19.06% | ||
| ROICexc | 23.94% | ||
| ROICexgc | 38.24% | ||
| OM | 10.74% | ||
| PM (TTM) | 7.42% | ||
| GM | 41.04% | ||
| FCFM | 7.54% |
ROA(3y)13.97%
ROA(5y)10.87%
ROE(3y)22.22%
ROE(5y)17.55%
ROIC(3y)20.07%
ROIC(5y)17.19%
ROICexc(3y)26.91%
ROICexc(5y)23.43%
ROICexgc(3y)44.98%
ROICexgc(5y)39.85%
ROCE(3y)25.87%
ROCE(5y)22.16%
ROICexcg growth 3Y-8.75%
ROICexcg growth 5Y-0.19%
ROICexc growth 3Y-6.05%
ROICexc growth 5Y3.67%
OM growth 3Y-6.39%
OM growth 5Y1.47%
PM growth 3Y-10.12%
PM growth 5Y-1.26%
GM growth 3Y-0.07%
GM growth 5Y1.35%
F-Score6
Asset Turnover1.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 129.49% | ||
| Cap/Sales | 1.13% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.7% | ||
| Profit Quality | 101.65% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 6.44 |
F-Score6
WACC10.07%
ROIC/WACC1.89
Cap/Depr(3y)114.81%
Cap/Depr(5y)85.15%
Cap/Sales(3y)0.99%
Cap/Sales(5y)0.78%
Profit Quality(3y)113.13%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.77%
EPS 3Y3.18%
EPS 5Y6.57%
EPS Q2Q%-7.69%
EPS Next Y-14.87%
EPS Next 2Y-0.85%
EPS Next 3Y4.79%
EPS Next 5Y10.76%
Revenue 1Y (TTM)15.21%
Revenue growth 3Y6.95%
Revenue growth 5Y5.02%
Sales Q2Q%0.54%
Revenue Next Year12.82%
Revenue Next 2Y10.7%
Revenue Next 3Y8.5%
Revenue Next 5Y10.56%
EBIT growth 1Y11.62%
EBIT growth 3Y0.11%
EBIT growth 5Y6.56%
EBIT Next Year1.34%
EBIT Next 3Y11.47%
EBIT Next 5Y13.53%
FCF growth 1Y-17.92%
FCF growth 3Y4.04%
FCF growth 5Y-4.39%
OCF growth 1Y-13.58%
OCF growth 3Y7.49%
OCF growth 5Y-3.26%