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. Both the health and profitability get an excellent rating, making SHOO a very profitable company, without any liquidiy or solvency issues. SHOO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
SHOO had positive earnings in the past year.
SHOO had a positive operating cash flow in the past year.
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
With an excellent Return On Assets value of 11.62%, SHOO belongs to the best of the industry, outperforming 85.42% of the companies in the same industry.
SHOO has a Return On Equity of 18.95%. This is in the better half of the industry: SHOO outperforms 77.08% of its industry peers.
SHOO has a Return On Invested Capital of 18.56%. This is amongst the best in the industry. SHOO outperforms 89.58% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SHOO is significantly above the industry average of 11.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.62% | ||
| ROE | 18.95% | ||
| ROIC | 18.56% |
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
Looking at the Profit Margin, with a value of 7.26%, SHOO is in the better half of the industry, outperforming 77.08% of the companies in the same industry.
SHOO's Profit Margin has been stable in the last couple of years.
SHOO's Operating Margin of 10.82% is fine compared to the rest of the industry. SHOO outperforms 70.83% of its industry peers.
In the last couple of years the Operating Margin of SHOO has remained more or less at the same level.
SHOO has a Gross Margin of 41.08%. This is in the lower half of the industry: SHOO underperforms 70.83% of its industry peers.
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 | 10.82% | ||
| PM (TTM) | 7.26% | ||
| GM | 41.08% |
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.
The number of shares outstanding for SHOO has been reduced compared to 1 year ago.
The number of shares outstanding for SHOO has been reduced compared to 5 years ago.
SHOO 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
SHOO has an Altman-Z score of 6.27. This indicates that SHOO is financially healthy and has little risk of bankruptcy at the moment.
SHOO has a Altman-Z score of 6.27. This is amongst the best in the industry. SHOO outperforms 91.67% of its industry peers.
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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.27 |
ROIC/WACC2.05
WACC9.05%
2.3 Liquidity
SHOO has a Current Ratio of 2.25. This indicates that SHOO is financially healthy and has no problem in meeting its short term obligations.
SHOO's Current ratio of 2.25 is in line compared to the rest of the industry. SHOO outperforms 58.33% of its industry peers.
SHOO has a Quick Ratio of 1.64. This is a normal value and indicates that SHOO is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SHOO (1.64) is better than 77.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.64 |
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.
SHOO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.34%.
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)10.34%
Revenue growth 3Y6.95%
Revenue growth 5Y5.02%
Sales Q2Q%0.15%
3.2 Future
The Earnings Per Share is expected to grow by 3.56% on average over the next years.
The Revenue is expected to grow by 4.96% on average over the next years.
EPS Next Y-50.12%
EPS Next 2Y-15.65%
EPS Next 3Y-9.43%
EPS Next 5Y3.56%
Revenue Next Year12.43%
Revenue Next 2Y10.29%
Revenue Next 3Y6.17%
Revenue Next 5Y4.96%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.75, the valuation of SHOO can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of SHOO indicates a somewhat cheap valuation: SHOO is cheaper than 79.17% of the companies listed in the same industry.
SHOO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.31.
With a Price/Forward Earnings ratio of 12.07, SHOO is valued correctly.
Based on the Price/Forward Earnings ratio, SHOO is valued a bit cheaper than the industry average as 68.75% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.13. SHOO is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.75 | ||
| Fwd PE | 12.07 |
4.2 Price Multiples
SHOO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. SHOO is cheaper than 81.25% of the companies in the same industry.
SHOO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SHOO is cheaper than 77.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.25 | ||
| EV/EBITDA | 5.99 |
4.3 Compensation for Growth
The decent profitability rating of SHOO may justify a higher PE ratio.
SHOO's earnings are expected to decrease with -9.43% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.33
EPS Next 2Y-15.65%
EPS Next 3Y-9.43%
5. Dividend
5.1 Amount
SHOO has a Yearly Dividend Yield of 3.48%.
SHOO's Dividend Yield is rather good when compared to the industry average which is at 3.72. SHOO pays more dividend than 87.50% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, SHOO pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.48% |
5.2 History
The dividend of SHOO is nicely growing with an annual growth rate of 7.91%!
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
36.66% of the earnings are spent on dividend by SHOO. This is a low number and sustainable payout ratio.
The dividend of SHOO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP36.66%
EPS Next 2Y-15.65%
EPS Next 3Y-9.43%
23.02
-1.12 (-4.64%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners105.44%
Inst Owner Change5.16%
Ins Owners2.28%
Ins Owner Change2.28%
Market Cap1.67B
Analysts72.5
Price Target29.01 (26.02%)
Short Float %6.15%
Short Ratio2.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.48% |
Yearly Dividend0.84
Dividend Growth(5Y)7.91%
DP36.66%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.95%
Min EPS beat(2)1.99%
Max EPS beat(2)29.91%
EPS beat(4)4
Avg EPS beat(4)9.44%
Min EPS beat(4)0.19%
Max EPS beat(4)29.91%
EPS beat(8)8
Avg EPS beat(8)7.12%
EPS beat(12)10
Avg EPS beat(12)4.4%
EPS beat(16)14
Avg EPS beat(16)12.26%
Revenue beat(2)1
Avg Revenue beat(2)0.51%
Min Revenue beat(2)-3.06%
Max Revenue beat(2)4.08%
Revenue beat(4)2
Avg Revenue beat(4)0.25%
Min Revenue beat(4)-3.06%
Max Revenue beat(4)4.08%
Revenue beat(8)3
Avg Revenue beat(8)-0.41%
Revenue beat(12)7
Avg Revenue beat(12)0.72%
Revenue beat(16)10
Avg Revenue beat(16)2.32%
PT rev (1m)-10.18%
PT rev (3m)-28.89%
EPS NQ rev (1m)-56.63%
EPS NQ rev (3m)-60.31%
EPS NY rev (1m)-41.4%
EPS NY rev (3m)-50.37%
Revenue NQ rev (1m)-4.8%
Revenue NQ rev (3m)0.78%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)-2.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.75 | ||
| Fwd PE | 12.07 | ||
| P/S | 0.73 | ||
| P/FCF | 10.25 | ||
| P/OCF | 8.58 | ||
| P/B | 1.91 | ||
| P/tB | 2.91 | ||
| EV/EBITDA | 5.99 |
EPS(TTM)2.63
EY11.42%
EPS(NY)1.91
Fwd EY8.28%
FCF(TTM)2.25
FCFY9.76%
OCF(TTM)2.68
OCFY11.66%
SpS31.45
BVpS12.05
TBVpS7.92
PEG (NY)N/A
PEG (5Y)1.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.62% | ||
| ROE | 18.95% | ||
| ROCE | 23.92% | ||
| ROIC | 18.56% | ||
| ROICexc | 21.65% | ||
| ROICexgc | 32.74% | ||
| OM | 10.82% | ||
| PM (TTM) | 7.26% | ||
| GM | 41.08% | ||
| FCFM | 7.14% |
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 Turnover1.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 154.03% | ||
| Cap/Sales | 1.39% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.84% | ||
| Profit Quality | 98.38% | ||
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 6.27 |
F-Score6
WACC9.05%
ROIC/WACC2.05
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-50.12%
EPS Next 2Y-15.65%
EPS Next 3Y-9.43%
EPS Next 5Y3.56%
Revenue 1Y (TTM)10.34%
Revenue growth 3Y6.95%
Revenue growth 5Y5.02%
Sales Q2Q%0.15%
Revenue Next Year12.43%
Revenue Next 2Y10.29%
Revenue Next 3Y6.17%
Revenue Next 5Y4.96%
EBIT growth 1Y6.66%
EBIT growth 3Y0.11%
EBIT growth 5Y6.56%
EBIT Next Year-29.13%
EBIT Next 3Y-0.98%
EBIT Next 5Y7.23%
FCF growth 1Y-36.6%
FCF growth 3Y4.04%
FCF growth 5Y-4.39%
OCF growth 1Y-28.84%
OCF growth 3Y7.49%
OCF growth 5Y-3.26%