Skechers USA (SKX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SKX - US8305661055 - Common Stock
63.13 USD
-0.07 (-0.11%)
63.1701 USD
+0.04 (+0.06%)
We assign a fundamental rating of 5 out of 10 to SKX. SKX was compared to 45 industry peers in the Textiles, Apparel & Luxury Goods industry. SKX has an excellent profitability rating, but there are some minor concerns on its financial health. SKX has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SKX had positive earnings in the past year.
SKX had a positive operating cash flow in the past year.
SKX had positive earnings in each of the past 5 years.
SKX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SKX (7.17%) is better than 81.63% of its industry peers.
Looking at the Return On Equity, with a value of 13.94%, SKX is in the better half of the industry, outperforming 67.35% of the companies in the same industry.
The Return On Invested Capital of SKX (9.63%) is better than 65.31% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SKX is in line with the industry average of 11.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.17% | ||
| ROE | 13.94% | ||
| ROIC | 9.63% |
ROA(3y)6.74%
ROA(5y)6.66%
ROE(3y)12.99%
ROE(5y)13.14%
ROIC(3y)10.44%
ROIC(5y)8.75%
1.3 Margins
Looking at the Profit Margin, with a value of 7.07%, SKX belongs to the top of the industry, outperforming 83.67% of the companies in the same industry.
SKX's Profit Margin has been stable in the last couple of years.
With a decent Operating Margin value of 8.89%, SKX is doing good in the industry, outperforming 73.47% of the companies in the same industry.
SKX's Operating Margin has been stable in the last couple of years.
SKX's Gross Margin of 52.67% is in line compared to the rest of the industry. SKX outperforms 59.18% of its industry peers.
In the last couple of years the Gross Margin of SKX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.89% | ||
| PM (TTM) | 7.07% | ||
| GM | 52.67% |
OM growth 3Y2.07%
OM growth 5Y0.3%
PM growth 3Y-15.34%
PM growth 5Y1.43%
GM growth 3Y2.39%
GM growth 5Y2.18%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SKX is still creating some value.
Compared to 1 year ago, SKX has less shares outstanding
SKX has less shares outstanding than it did 5 years ago.
SKX has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.63 indicates that SKX is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.63, SKX is doing good in the industry, outperforming 67.35% of the companies in the same industry.
The Debt to FCF ratio of SKX is 9.25, which is on the high side as it means it would take SKX, 9.25 years of fcf income to pay off all of its debts.
SKX's Debt to FCF ratio of 9.25 is in line compared to the rest of the industry. SKX outperforms 42.86% of its industry peers.
SKX has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.06, SKX belongs to the best of the industry, outperforming 83.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 9.25 | ||
| Altman-Z | 3.63 |
ROIC/WACC0.93
WACC10.4%
2.3 Liquidity
SKX has a Current Ratio of 2.09. This indicates that SKX is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.09, SKX perfoms like the industry average, outperforming 59.18% of the companies in the same industry.
SKX has a Quick Ratio of 1.29. This is a normal value and indicates that SKX is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SKX (1.29) is better than 63.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
SKX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.43%, which is quite good.
Measured over the past years, SKX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.92% on average per year.
Looking at the last year, SKX shows a quite strong growth in Revenue. The Revenue has grown by 12.11% in the last year.
Measured over the past years, SKX shows a quite strong growth in Revenue. The Revenue has been growing by 11.43% on average per year.
EPS 1Y (TTM)17.43%
EPS 3Y16.13%
EPS 5Y12.92%
EPS Q2Q%24.18%
Revenue 1Y (TTM)12.11%
Revenue growth 3Y12.44%
Revenue growth 5Y11.43%
Sales Q2Q%13.09%
3.2 Future
The Earnings Per Share is expected to grow by 9.23% on average over the next years. This is quite good.
Based on estimates for the next years, SKX will show a small growth in Revenue. The Revenue will grow by 7.61% on average per year.
EPS Next Y-9.59%
EPS Next 2Y-4.64%
EPS Next 3Y1.79%
EPS Next 5Y9.23%
Revenue Next Year7.85%
Revenue Next 2Y7.87%
Revenue Next 3Y6.66%
Revenue Next 5Y7.61%
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.
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
A Price/Earnings ratio of 14.41 indicates a correct valuation of SKX.
SKX's Price/Earnings ratio is a bit cheaper when compared to the industry. SKX is cheaper than 73.47% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.77. SKX is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 16.73, the valuation of SKX can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SKX is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.35. SKX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.41 | ||
| Fwd PE | 16.73 |
4.2 Price Multiples
SKX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. SKX is cheaper than 65.31% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SKX indicates a slightly more expensive valuation: SKX is more expensive than 63.27% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 150.22 | ||
| EV/EBITDA | 7.79 |
4.3 Compensation for Growth
SKX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.12
EPS Next 2Y-4.64%
EPS Next 3Y1.79%
5. Dividend
5.1 Amount
No dividends for SKX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
63.13
-0.07 (-0.11%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners98.53%
Inst Owner Change-97.42%
Ins Owners0.67%
Ins Owner Change-170.13%
Market Cap9.49B
Revenue(TTM)9.41B
Net Income(TTM)665.48M
Analysts67.37
Price Target63.34 (0.33%)
Short Float %N/A
Short RatioN/A
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)23.57%
Min EPS beat(2)13.02%
Max EPS beat(2)34.11%
EPS beat(4)3
Avg EPS beat(4)10.4%
Min EPS beat(4)-13.85%
Max EPS beat(4)34.11%
EPS beat(8)6
Avg EPS beat(8)9.07%
EPS beat(12)9
Avg EPS beat(12)18.82%
EPS beat(16)12
Avg EPS beat(16)15.96%
Revenue beat(2)1
Avg Revenue beat(2)0.57%
Min Revenue beat(2)-1.69%
Max Revenue beat(2)2.82%
Revenue beat(4)2
Avg Revenue beat(4)0.13%
Min Revenue beat(4)-1.69%
Max Revenue beat(4)2.82%
Revenue beat(8)3
Avg Revenue beat(8)-1.08%
Revenue beat(12)7
Avg Revenue beat(12)0.85%
Revenue beat(16)10
Avg Revenue beat(16)1.32%
PT rev (1m)-0.12%
PT rev (3m)-0.22%
EPS NQ rev (1m)-7.61%
EPS NQ rev (3m)-4.01%
EPS NY rev (1m)0%
EPS NY rev (3m)4.33%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)0.12%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)1.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.41 | ||
| Fwd PE | 16.73 | ||
| P/S | 1.01 | ||
| P/FCF | 150.22 | ||
| P/OCF | 14.8 | ||
| P/B | 1.99 | ||
| P/tB | 2.03 | ||
| EV/EBITDA | 7.79 |
EPS(TTM)4.38
EY6.94%
EPS(NY)3.77
Fwd EY5.98%
FCF(TTM)0.42
FCFY0.67%
OCF(TTM)4.27
OCFY6.76%
SpS62.63
BVpS31.78
TBVpS31.09
PEG (NY)N/A
PEG (5Y)1.12
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.17% | ||
| ROE | 13.94% | ||
| ROCE | 12.02% | ||
| ROIC | 9.63% | ||
| ROICexc | 12.15% | ||
| ROICexgc | 12.38% | ||
| OM | 8.89% | ||
| PM (TTM) | 7.07% | ||
| GM | 52.67% | ||
| FCFM | 0.67% |
ROA(3y)6.74%
ROA(5y)6.66%
ROE(3y)12.99%
ROE(5y)13.14%
ROIC(3y)10.44%
ROIC(5y)8.75%
ROICexc(3y)12.86%
ROICexc(5y)10.88%
ROICexgc(3y)13.12%
ROICexgc(5y)11.12%
ROCE(3y)12.76%
ROCE(5y)10.69%
ROICexgc growth 3Y7.76%
ROICexgc growth 5Y-0.63%
ROICexc growth 3Y7.89%
ROICexc growth 5Y-1.01%
OM growth 3Y2.07%
OM growth 5Y0.3%
PM growth 3Y-15.34%
PM growth 5Y1.43%
GM growth 3Y2.39%
GM growth 5Y2.18%
F-Score4
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 9.25 | ||
| Debt/EBITDA | 0.25 | ||
| Cap/Depr | 252.38% | ||
| Cap/Sales | 6.14% | ||
| Interest Coverage | 30.18 | ||
| Cash Conversion | 60.14% | ||
| Profit Quality | 9.49% | ||
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z | 3.63 |
F-Score4
WACC10.4%
ROIC/WACC0.93
Cap/Depr(3y)202.85%
Cap/Depr(5y)209.49%
Cap/Sales(3y)4.51%
Cap/Sales(5y)5.03%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.43%
EPS 3Y16.13%
EPS 5Y12.92%
EPS Q2Q%24.18%
EPS Next Y-9.59%
EPS Next 2Y-4.64%
EPS Next 3Y1.79%
EPS Next 5Y9.23%
Revenue 1Y (TTM)12.11%
Revenue growth 3Y12.44%
Revenue growth 5Y11.43%
Sales Q2Q%13.09%
Revenue Next Year7.85%
Revenue Next 2Y7.87%
Revenue Next 3Y6.66%
Revenue Next 5Y7.61%
EBIT growth 1Y-1.38%
EBIT growth 3Y14.77%
EBIT growth 5Y11.77%
EBIT Next Year8.09%
EBIT Next 3Y8.95%
EBIT Next 5Y15.37%
FCF growth 1Y-80.01%
FCF growth 3YN/A
FCF growth 5Y7.27%
OCF growth 1Y-2.7%
OCF growth 3Y47.97%
OCF growth 5Y10.01%
Skechers USA / SKX FAQ
What is the ChartMill fundamental rating of Skechers USA (SKX) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SKX.
What is the valuation status for SKX stock?
ChartMill assigns a valuation rating of 4 / 10 to Skechers USA (SKX). This can be considered as Fairly Valued.
Can you provide the profitability details for Skechers USA?
Skechers USA (SKX) has a profitability rating of 7 / 10.
What are the PE and PB ratios of Skechers USA (SKX) stock?
The Price/Earnings (PE) ratio for Skechers USA (SKX) is 14.41 and the Price/Book (PB) ratio is 1.99.