VIPSHOP HOLDINGS LTD - ADR (VIPS) Stock Fundamental Analysis
USA - NYSE:VIPS - US92763W1036 - ADR
20.04 USD
-0.41 (-2%)
20 USD
-0.04 (-0.2%)
Taking everything into account, VIPS scores 5 out of 10 in our fundamental rating. VIPS was compared to 28 industry peers in the Broadline Retail industry. While VIPS has a great profitability rating, there are quite some concerns on its financial health. VIPS has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year VIPS was profitable.
Each year in the past 5 years VIPS has been profitable.
Each year in the past 5 years VIPS had a positive operating cash flow.
1.2 Ratios
VIPS's Return On Assets of 9.41% is amongst the best of the industry. VIPS outperforms 85.71% of its industry peers.
Looking at the Return On Equity, with a value of 17.53%, VIPS is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
VIPS has a Return On Invested Capital of 12.58%. This is in the better half of the industry: VIPS outperforms 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VIPS is above the industry average of 10.41%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.41% | ||
| ROE | 17.53% | ||
| ROIC | 12.58% |
ROA(3y)10.39%
ROA(5y)9.74%
ROE(3y)20.19%
ROE(5y)19.13%
ROIC(3y)15.04%
ROIC(5y)14.09%
1.3 Margins
The Profit Margin of VIPS (6.53%) is better than 71.43% of its industry peers.
In the last couple of years the Profit Margin of VIPS has grown nicely.
The Operating Margin of VIPS (7.70%) is better than 64.29% of its industry peers.
In the last couple of years the Operating Margin of VIPS has grown nicely.
The Gross Margin of VIPS (23.33%) is worse than 89.29% of its industry peers.
In the last couple of years the Gross Margin of VIPS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.7% | ||
| PM (TTM) | 6.53% | ||
| GM | 23.33% |
OM growth 3Y21.06%
OM growth 5Y9.26%
PM growth 3Y21.31%
PM growth 5Y10.57%
GM growth 3Y5.97%
GM growth 5Y1.1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), VIPS is creating value.
The number of shares outstanding for VIPS has been reduced compared to 1 year ago.
VIPS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for VIPS is higher compared to a year ago.
2.2 Solvency
VIPS has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
VIPS has a Debt to Equity ratio of 0.17. This is in the better half of the industry: VIPS outperforms 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC1.69
WACC7.43%
2.3 Liquidity
A Current Ratio of 1.26 indicates that VIPS should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.26, VIPS is doing worse than 67.86% of the companies in the same industry.
VIPS has a Quick Ratio of 1.11. 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 Quick ratio of 1.11 is in line compared to the rest of the industry. VIPS outperforms 42.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
VIPS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.88%.
Measured over the past years, VIPS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.77% on average per year.
The Revenue has decreased by -5.35% in the past year.
VIPS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.12% yearly.
EPS 1Y (TTM)-5.88%
EPS 3Y24.62%
EPS 5Y17.77%
EPS Q2Q%3.84%
Revenue 1Y (TTM)-5.35%
Revenue growth 3Y-2.52%
Revenue growth 5Y3.12%
Sales Q2Q%-3.98%
3.2 Future
The Earnings Per Share is expected to grow by 7.05% on average over the next years.
The Revenue is expected to grow by 0.41% on average over the next years.
EPS Next Y5.31%
EPS Next 2Y5.89%
EPS Next 3Y5.68%
EPS Next 5Y7.05%
Revenue Next Year-0.18%
Revenue Next 2Y0.95%
Revenue Next 3Y1.43%
Revenue Next 5Y0.41%
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
The Price/Earnings ratio is 8.56, which indicates a very decent valuation of VIPS.
VIPS's Price/Earnings ratio is rather cheap when compared to the industry. VIPS is cheaper than 92.86% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.70. VIPS is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.60, which indicates a rather cheap valuation of VIPS.
Based on the Price/Forward Earnings ratio, VIPS is valued cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of VIPS to the average of the S&P500 Index (23.15), we can say VIPS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.56 | ||
| Fwd PE | 7.6 |
4.2 Price Multiples
89.29% of the companies in the same industry are more expensive than VIPS, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.55 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
VIPS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.61
PEG (5Y)0.48
EPS Next 2Y5.89%
EPS Next 3Y5.68%
5. Dividend
5.1 Amount
VIPS has a Yearly Dividend Yield of 2.25%.
Compared to an average industry Dividend Yield of 8.13, VIPS pays a better dividend. On top of this VIPS pays more dividend than 82.14% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, VIPS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.25% |
5.2 History
VIPS is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
24.33% of the earnings are spent on dividend by VIPS. This is a low number and sustainable payout ratio.
DP24.33%
EPS Next 2Y5.89%
EPS Next 3Y5.68%
20.04
-0.41 (-2%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners58.48%
Inst Owner Change0%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap10.32B
Analysts74.07
Price Target18.33 (-8.53%)
Short Float %0.29%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.25% |
Yearly Dividend0.45
Dividend Growth(5Y)N/A
DP24.33%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.22%
Min EPS beat(2)0.14%
Max EPS beat(2)0.3%
EPS beat(4)4
Avg EPS beat(4)2.11%
Min EPS beat(4)0.14%
Max EPS beat(4)6.68%
EPS beat(8)7
Avg EPS beat(8)12.01%
EPS beat(12)11
Avg EPS beat(12)18.2%
EPS beat(16)14
Avg EPS beat(16)19.31%
Revenue beat(2)0
Avg Revenue beat(2)-2.23%
Min Revenue beat(2)-2.52%
Max Revenue beat(2)-1.95%
Revenue beat(4)1
Avg Revenue beat(4)-1.42%
Min Revenue beat(4)-2.7%
Max Revenue beat(4)1.47%
Revenue beat(8)2
Avg Revenue beat(8)-1.03%
Revenue beat(12)3
Avg Revenue beat(12)-0.89%
Revenue beat(16)4
Avg Revenue beat(16)-1.09%
PT rev (1m)2.29%
PT rev (3m)10.6%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.59%
EPS NY rev (1m)1.73%
EPS NY rev (3m)0.99%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)1.25%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.56 | ||
| Fwd PE | 7.6 | ||
| P/S | 0.69 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.86 | ||
| P/tB | 1.91 | ||
| EV/EBITDA | 4.55 |
EPS(TTM)2.34
EY11.68%
EPS(NY)2.64
Fwd EY13.16%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS28.91
BVpS10.78
TBVpS10.48
PEG (NY)1.61
PEG (5Y)0.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.41% | ||
| ROE | 17.53% | ||
| ROCE | 18.29% | ||
| ROIC | 12.58% | ||
| ROICexc | 26.84% | ||
| ROICexgc | 28.11% | ||
| OM | 7.7% | ||
| PM (TTM) | 6.53% | ||
| GM | 23.33% | ||
| FCFM | N/A |
ROA(3y)10.39%
ROA(5y)9.74%
ROE(3y)20.19%
ROE(5y)19.13%
ROIC(3y)15.04%
ROIC(5y)14.09%
ROICexc(3y)38.66%
ROICexc(5y)35.02%
ROICexgc(3y)41.33%
ROICexgc(5y)37.39%
ROCE(3y)20%
ROCE(5y)18.68%
ROICexcg growth 3Y13.02%
ROICexcg growth 5Y9.3%
ROICexc growth 3Y12.92%
ROICexc growth 5Y8.82%
OM growth 3Y21.06%
OM growth 5Y9.26%
PM growth 3Y21.31%
PM growth 5Y10.57%
GM growth 3Y5.97%
GM growth 5Y1.1%
F-ScoreN/A
Asset Turnover1.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.68 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | N/A |
F-ScoreN/A
WACC7.43%
ROIC/WACC1.69
Cap/Depr(3y)258.05%
Cap/Depr(5y)251.53%
Cap/Sales(3y)3.64%
Cap/Sales(5y)3.24%
Profit Quality(3y)100.94%
Profit Quality(5y)106.42%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.88%
EPS 3Y24.62%
EPS 5Y17.77%
EPS Q2Q%3.84%
EPS Next Y5.31%
EPS Next 2Y5.89%
EPS Next 3Y5.68%
EPS Next 5Y7.05%
Revenue 1Y (TTM)-5.35%
Revenue growth 3Y-2.52%
Revenue growth 5Y3.12%
Sales Q2Q%-3.98%
Revenue Next Year-0.18%
Revenue Next 2Y0.95%
Revenue Next 3Y1.43%
Revenue Next 5Y0.41%
EBIT growth 1Y-20%
EBIT growth 3Y18%
EBIT growth 5Y12.67%
EBIT Next Year12.32%
EBIT Next 3Y6.5%
EBIT Next 5Y4.92%
FCF growth 1Y-39.39%
FCF growth 3Y20.69%
FCF growth 5Y-7.02%
OCF growth 1Y-36.67%
OCF growth 3Y10.61%
OCF growth 5Y-5.77%