VF CORP (VFC) Stock Fundamental Analysis
USA - NYSE:VFC - US9182041080 - Common Stock
14.86 USD
-0.62 (-4.01%)
14.91 USD
+0.05 (+0.34%)
Overall VFC gets a fundamental rating of 3 out of 10. We evaluated VFC against 49 industry peers in the Textiles, Apparel & Luxury Goods industry. VFC has a bad profitability rating. Also its financial health evaluation is rather negative. VFC is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
VFC had positive earnings in the past year.
VFC had a positive operating cash flow in the past year.
In multiple years VFC reported negative net income over the last 5 years.
Of the past 5 years VFC 4 years had a positive operating cash flow.
1.2 Ratios
VFC has a worse Return On Assets (-0.47%) than 69.39% of its industry peers.
Looking at the Return On Equity, with a value of -3.66%, VFC is doing worse than 69.39% of the companies in the same industry.
With a Return On Invested Capital value of 5.55%, VFC is not doing good in the industry: 63.27% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for VFC is significantly below the industry average of 12.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.47% | ||
| ROE | -3.66% | ||
| ROIC | 5.55% |
ROA(3y)-3.17%
ROA(5y)0.77%
ROE(3y)-22.37%
ROE(5y)-2.89%
ROIC(3y)6.12%
ROIC(5y)7.24%
1.3 Margins
VFC has a Operating Margin (5.25%) which is in line with its industry peers.
VFC's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 54.05%, VFC is doing good in the industry, outperforming 63.27% of the companies in the same industry.
VFC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.25% | ||
| PM (TTM) | N/A | ||
| GM | 54.05% |
OM growth 3Y-29.38%
OM growth 5Y-16.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.63%
GM growth 5Y-0.71%
2. Health
2.1 Basic Checks
VFC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
VFC has more shares outstanding than it did 1 year ago.
The number of shares outstanding for VFC remains at a similar level compared to 5 years ago.
The debt/assets ratio for VFC has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.42, we must say that VFC is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of VFC (1.42) is worse than 83.67% of its industry peers.
The Debt to FCF ratio of VFC is 26.73, which is on the high side as it means it would take VFC, 26.73 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 26.73, VFC is doing worse than 61.22% of the companies in the same industry.
VFC has a Debt/Equity ratio of 3.06. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.06, VFC is doing worse than 89.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.06 | ||
| Debt/FCF | 26.73 | ||
| Altman-Z | 1.42 |
ROIC/WACC0.62
WACC9.02%
2.3 Liquidity
VFC has a Current Ratio of 1.27. This is a normal value and indicates that VFC is financially healthy and should not expect problems in meeting its short term obligations.
VFC has a Current ratio of 1.27. This is amonst the worse of the industry: VFC underperforms 81.63% of its industry peers.
A Quick Ratio of 0.65 indicates that VFC may have some problems paying its short term obligations.
With a Quick ratio value of 0.65, VFC is not doing good in the industry: 81.63% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 54.55% over the past year.
The earnings per share for VFC have been decreasing by -23.44% on average. This is quite bad
The Revenue has decreased by -6.32% in the past year.
VFC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.95% yearly.
EPS 1Y (TTM)54.55%
EPS 3Y-38.01%
EPS 5Y-23.44%
EPS Q2Q%27.27%
Revenue 1Y (TTM)-6.32%
Revenue growth 3Y-7.07%
Revenue growth 5Y-1.95%
Sales Q2Q%-7.69%
3.2 Future
VFC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.16% yearly.
VFC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.38% yearly.
EPS Next Y-0.76%
EPS Next 2Y18.2%
EPS Next 3Y21.89%
EPS Next 5Y24.16%
Revenue Next Year0.2%
Revenue Next 2Y1.52%
Revenue Next 3Y2.12%
Revenue Next 5Y3.38%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 17.48, the valuation of VFC can be described as rather expensive.
The rest of the industry has a similar Price/Earnings ratio as VFC.
Compared to an average S&P500 Price/Earnings ratio of 27.30, VFC is valued a bit cheaper.
VFC is valuated correctly with a Price/Forward Earnings ratio of 14.00.
Based on the Price/Forward Earnings ratio, VFC is valued a bit cheaper than 65.31% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.73. VFC is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.48 | ||
| Fwd PE | 14 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VFC is on the same level as its industry peers.
VFC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.18 | ||
| EV/EBITDA | 12.33 |
4.3 Compensation for Growth
VFC's earnings are expected to grow with 21.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y18.2%
EPS Next 3Y21.89%
5. Dividend
5.1 Amount
VFC has a Yearly Dividend Yield of 2.33%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.04, VFC pays a better dividend. On top of this VFC pays more dividend than 81.63% of the companies listed in the same industry.
VFC's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.33% |
5.2 History
The dividend of VFC decreases each year by -28.58%.
VFC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-28.58%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
VFC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-297.01%
EPS Next 2Y18.2%
EPS Next 3Y21.89%
14.86
-0.62 (-4.01%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners96.11%
Inst Owner Change-1.39%
Ins Owners0.92%
Ins Owner Change1.9%
Market Cap5.80B
Analysts68.57
Price Target14.45 (-2.76%)
Short Float %9.79%
Short Ratio4.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.33% |
Yearly Dividend0.36
Dividend Growth(5Y)-28.58%
DP-297.01%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.95%
Min EPS beat(2)8.39%
Max EPS beat(2)29.51%
EPS beat(4)4
Avg EPS beat(4)44.51%
Min EPS beat(4)8.39%
Max EPS beat(4)81.17%
EPS beat(8)5
Avg EPS beat(8)-358.14%
EPS beat(12)7
Avg EPS beat(12)-238.6%
EPS beat(16)8
Avg EPS beat(16)-180.68%
Revenue beat(2)1
Avg Revenue beat(2)-0.05%
Min Revenue beat(2)-2.47%
Max Revenue beat(2)2.36%
Revenue beat(4)3
Avg Revenue beat(4)0.75%
Min Revenue beat(4)-2.47%
Max Revenue beat(4)2.36%
Revenue beat(8)5
Avg Revenue beat(8)-0.83%
Revenue beat(12)6
Avg Revenue beat(12)-0.67%
Revenue beat(16)7
Avg Revenue beat(16)-1.21%
PT rev (1m)4.78%
PT rev (3m)2.61%
EPS NQ rev (1m)0.59%
EPS NQ rev (3m)-20.12%
EPS NY rev (1m)-11.15%
EPS NY rev (3m)-24.11%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)0.55%
Revenue NY rev (1m)0.56%
Revenue NY rev (3m)0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.48 | ||
| Fwd PE | 14 | ||
| P/S | 0.61 | ||
| P/FCF | 34.18 | ||
| P/OCF | 19.35 | ||
| P/B | 4.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.33 |
EPS(TTM)0.85
EY5.72%
EPS(NY)1.06
Fwd EY7.14%
FCF(TTM)0.43
FCFY2.93%
OCF(TTM)0.77
OCFY5.17%
SpS24.31
BVpS3.31
TBVpS-2.69
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.47% | ||
| ROE | -3.66% | ||
| ROCE | 7.43% | ||
| ROIC | 5.55% | ||
| ROICexc | 6.1% | ||
| ROICexgc | 9.57% | ||
| OM | 5.25% | ||
| PM (TTM) | N/A | ||
| GM | 54.05% | ||
| FCFM | 1.79% |
ROA(3y)-3.17%
ROA(5y)0.77%
ROE(3y)-22.37%
ROE(5y)-2.89%
ROIC(3y)6.12%
ROIC(5y)7.24%
ROICexc(3y)6.61%
ROICexc(5y)8.04%
ROICexgc(3y)13.43%
ROICexgc(5y)18.64%
ROCE(3y)7.82%
ROCE(5y)9.32%
ROICexcg growth 3Y-36.33%
ROICexcg growth 5Y-14.02%
ROICexc growth 3Y-25.7%
ROICexc growth 5Y-14.25%
OM growth 3Y-29.38%
OM growth 5Y-16.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.63%
GM growth 5Y-0.71%
F-Score7
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.06 | ||
| Debt/FCF | 26.73 | ||
| Debt/EBITDA | 5.24 | ||
| Cap/Depr | 50.79% | ||
| Cap/Sales | 1.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 39.73% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 1.42 |
F-Score7
WACC9.02%
ROIC/WACC0.62
Cap/Depr(3y)71.41%
Cap/Depr(5y)87.82%
Cap/Sales(3y)1.94%
Cap/Sales(5y)2.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)54.55%
EPS 3Y-38.01%
EPS 5Y-23.44%
EPS Q2Q%27.27%
EPS Next Y-0.76%
EPS Next 2Y18.2%
EPS Next 3Y21.89%
EPS Next 5Y24.16%
Revenue 1Y (TTM)-6.32%
Revenue growth 3Y-7.07%
Revenue growth 5Y-1.95%
Sales Q2Q%-7.69%
Revenue Next Year0.2%
Revenue Next 2Y1.52%
Revenue Next 3Y2.12%
Revenue Next 5Y3.38%
EBIT growth 1Y3.17%
EBIT growth 3Y-34.37%
EBIT growth 5Y-18.29%
EBIT Next Year63.81%
EBIT Next 3Y25.02%
EBIT Next 5Y19.19%
FCF growth 1Y142.44%
FCF growth 3Y-14.14%
FCF growth 5Y-8.9%
OCF growth 1Y324.01%
OCF growth 3Y-18.65%
OCF growth 5Y-11.86%