VIPSHOP HOLDINGS LTD - ADR (VIPS)
US92763W1036 - ADR
VIPS gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 33 industry peers in the Broadline Retail industry. VIPS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. VIPS may be a bit undervalued, certainly considering the very reasonable score on growth This makes VIPS very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
In the past year VIPS was profitable.
In the past year VIPS had a positive cash flow from operations.
VIPS had positive earnings in each of the past 5 years.
In the past 5 years VIPS always reported a positive cash flow from operatings.
1.2 Ratios
VIPS has a better Return On Assets (11.22%) than 84.85% of its industry peers.
With a decent Return On Equity value of 21.96%, VIPS is doing good in the industry, outperforming 75.76% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 16.84%, VIPS belongs to the top of the industry, outperforming 87.88% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for VIPS is above the industry average of 11.25%.
The 3 year average ROIC (13.88%) for VIPS is below the current ROIC(16.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.22% | ||
| ROE | 21.96% | ||
| ROIC | 16.84% |
ROA(3y)9.45%
ROA(5y)9.33%
ROE(3y)18.51%
ROE(5y)18.93%
ROIC(3y)13.88%
ROIC(5y)14.26%
1.3 Margins
VIPS has a Profit Margin of 7.19%. This is in the better half of the industry: VIPS outperforms 78.79% of its industry peers.
VIPS's Profit Margin has improved in the last couple of years.
VIPS has a better Operating Margin (8.07%) than 72.73% of its industry peers.
In the last couple of years the Operating Margin of VIPS has grown nicely.
VIPS has a Gross Margin of 22.79%. This is amonst the worse of the industry: VIPS underperforms 84.85% of its industry peers.
In the last couple of years the Gross Margin of VIPS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.07% | ||
| PM (TTM) | 7.19% | ||
| GM | 22.79% |
OM growth 3Y12.56%
OM growth 5Y23.43%
PM growth 3Y7.44%
PM growth 5Y23.35%
GM growth 3Y2.93%
GM growth 5Y2.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so VIPS is creating value.
VIPS has less shares outstanding than it did 1 year ago.
VIPS has less shares outstanding than it did 5 years ago.
VIPS has a better debt/assets ratio than last year.
2.2 Solvency
VIPS has an Altman-Z score of 3.94. This indicates that VIPS is financially healthy and has little risk of bankruptcy at the moment.
VIPS has a Altman-Z score of 3.94. This is in the better half of the industry: VIPS outperforms 69.70% of its industry peers.
The Debt to FCF ratio of VIPS is 0.16, which is an excellent value as it means it would take VIPS, only 0.16 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of VIPS (0.16) is better than 87.88% of its industry peers.
A Debt/Equity ratio of 0.04 indicates that VIPS is not too dependend on debt financing.
The Debt to Equity ratio of VIPS (0.04) is better than 75.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.16 | ||
| Altman-Z | 3.94 |
ROIC/WACC1.94
WACC8.7%
2.3 Liquidity
VIPS has a Current Ratio of 1.23. This is a normal value and indicates that VIPS is financially healthy and should not expect problems in meeting its short term obligations.
VIPS's Current ratio of 1.23 is on the low side compared to the rest of the industry. VIPS is outperformed by 72.73% of its industry peers.
A Quick Ratio of 1.04 indicates that VIPS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.04, VIPS perfoms like the industry average, outperforming 51.52% of the companies in the same industry.
The current and quick ratio evaluation for VIPS is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
VIPS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 57.67%, which is quite impressive.
Measured over the past years, VIPS shows a very strong growth in Earnings Per Share. The EPS has been growing by 33.68% on average per year.
VIPS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.41%.
The Revenue has been growing slightly by 5.95% on average over the past years.
EPS 1Y (TTM)57.67%
EPS 3Y23.17%
EPS 5Y33.68%
EPS growth Q2Q58.63%
Revenue 1Y (TTM)9.41%
Revenue growth 3Y3.48%
Revenue growth 5Y5.95%
Revenue growth Q2Q9.18%
3.2 Future
Based on estimates for the next years, VIPS will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.85% on average per year.
Based on estimates for the next years, VIPS will show a small growth in Revenue. The Revenue will grow by 5.35% on average per year.
EPS Next Y8.69%
EPS Next 2Y6.51%
EPS Next 3Y6.91%
EPS Next 5Y8.85%
Revenue Next Year6.45%
Revenue Next 2Y5.49%
Revenue Next 3Y5.05%
Revenue Next 5Y5.35%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
VIPS is valuated cheaply with a Price/Earnings ratio of 7.37.
Compared to the rest of the industry, the Price/Earnings ratio of VIPS indicates a rather cheap valuation: VIPS is cheaper than 93.94% of the companies listed in the same industry.
VIPS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.15.
The Price/Forward Earnings ratio is 6.79, which indicates a rather cheap valuation of VIPS.
Based on the Price/Forward Earnings ratio, VIPS is valued cheaply inside the industry as 93.94% of the companies are valued more expensively.
VIPS is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.20, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.37 | ||
| Fwd PE | 6.79 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VIPS is valued cheaper than 93.94% of the companies in the same industry.
VIPS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. VIPS is cheaper than 87.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.38 | ||
| EV/EBITDA | 3.56 |
4.3 Compensation for Growth
VIPS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of VIPS may justify a higher PE ratio.
PEG (NY)0.85
PEG (5Y)0.22
EPS Next 2Y6.51%
EPS Next 3Y6.91%
5. Dividend
5.1 Amount
VIPS has a Yearly Dividend Yield of 2.39%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.16, VIPS pays a better dividend. On top of this VIPS pays more dividend than 84.85% of the companies listed in the same industry.
VIPS's Dividend Yield is comparable with the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
5.2 History
VIPS does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y6.51%
EPS Next 3Y6.91%
VIPSHOP HOLDINGS LTD - ADR
NYSE:VIPS (5/17/2024, 7:04:00 PM)
After market: 17.32 0 (0%)17.32
+0.16 (+0.93%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap9.39B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.37 | ||
| Fwd PE | 6.79 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.85
PEG (5Y)0.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.22% | ||
| ROE | 21.96% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 8.07% | ||
| PM (TTM) | 7.19% | ||
| GM | 22.79% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)57.67%
EPS 3Y23.17%
EPS 5Y
EPS growth Q2Q
EPS Next Y8.69%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.41%
Revenue growth 3Y3.48%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y