ARITZIA INC-SUBORDINATE VOTI (ATZ.CA) Stock Fundamental Analysis
TSX:ATZ - Toronto Stock Exchange - CA04045U1021 - Common Stock - Currency: CAD
ATZ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 15 industry peers in the Specialty Retail industry. ATZ scores excellent on profitability, but there are some minor concerns on its financial health. ATZ is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
In the past year ATZ was profitable.
ATZ had a positive operating cash flow in the past year.
Each year in the past 5 years ATZ has been profitable.
In the past 5 years ATZ always reported a positive cash flow from operatings.
1.2 Ratios
ATZ has a better Return On Assets (5.55%) than 66.67% of its industry peers.
The Return On Equity of ATZ (13.83%) is better than 93.33% of its industry peers.
ATZ has a better Return On Invested Capital (8.81%) than 93.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ATZ is significantly above the industry average of 6.25%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.55% | ||
| ROE | 13.83% | ||
| ROIC | 8.81% |
ROA(3y)8.43%
ROA(5y)7.14%
ROE(3y)22.22%
ROE(5y)19.86%
ROIC(3y)12.29%
ROIC(5y)10.59%
1.3 Margins
The Profit Margin of ATZ (5.24%) is better than 66.67% of its industry peers.
In the last couple of years the Profit Margin of ATZ has declined.
The Operating Margin of ATZ (9.00%) is better than 73.33% of its industry peers.
ATZ's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 42.05%, ATZ is doing good in the industry, outperforming 66.67% of the companies in the same industry.
ATZ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9% | ||
| PM (TTM) | 5.24% | ||
| GM | 42.05% |
OM growth 3Y4.45%
OM growth 5Y-12.55%
PM growth 3Y14.68%
PM growth 5Y-17.8%
GM growth 3Y1.88%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
ATZ has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
ATZ has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ATZ has less shares outstanding
The debt/assets ratio for ATZ has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.55 indicates that ATZ is not in any danger for bankruptcy at the moment.
ATZ's Altman-Z score of 4.55 is amongst the best of the industry. ATZ outperforms 86.67% of its industry peers.
ATZ has a debt to FCF ratio of 5.89. This is a neutral value as ATZ would need 5.89 years to pay back of all of its debts.
ATZ's Debt to FCF ratio of 5.89 is in line compared to the rest of the industry. ATZ outperforms 53.33% of its industry peers.
ATZ has a Debt/Equity ratio of 0.84. This is a neutral value indicating ATZ is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.84, ATZ is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 5.89 | ||
| Altman-Z | 4.55 |
ROIC/WACC1.01
WACC8.71%
2.3 Liquidity
A Current Ratio of 1.29 indicates that ATZ should not have too much problems paying its short term obligations.
ATZ has a Current ratio (1.29) which is in line with its industry peers.
ATZ has a Quick Ratio of 1.29. This is a bad value and indicates that ATZ is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ATZ (0.49) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
ATZ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 48.00%, which is quite impressive.
Measured over the past 5 years, ATZ shows a small growth in Earnings Per Share. The EPS has been growing by 3.02% on average per year.
ATZ shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.36%.
Measured over the past years, ATZ shows a very strong growth in Revenue. The Revenue has been growing by 21.68% on average per year.
EPS 1Y (TTM)48%
EPS 3Y59.88%
EPS 5Y3.02%
EPS Q2Q%51.06%
Revenue 1Y (TTM)10.36%
Revenue growth 3Y39.6%
Revenue growth 5Y21.68%
Sales Q2Q%11.5%
3.2 Future
Based on estimates for the next years, ATZ will show a very strong growth in Earnings Per Share. The EPS will grow by 55.18% on average per year.
ATZ is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.90% yearly.
EPS Next Y98.67%
EPS Next 2Y69.66%
EPS Next 3Y55.18%
EPS Next 5YN/A
Revenue Next Year15.1%
Revenue Next 2Y16.84%
Revenue Next 3Y14.9%
Revenue Next 5YN/A
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.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
ATZ is valuated quite expensively with a Price/Earnings ratio of 39.32.
The rest of the industry has a similar Price/Earnings ratio as ATZ.
ATZ's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 29.35.
The Price/Forward Earnings ratio is 21.51, which indicates a rather expensive current valuation of ATZ.
ATZ's Price/Forward Earnings ratio is in line with the industry average.
ATZ is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.32 | ||
| Fwd PE | 21.51 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ATZ.
ATZ's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.72 | ||
| EV/EBITDA | 17.79 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of ATZ may justify a higher PE ratio.
ATZ's earnings are expected to grow with 55.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.4
PEG (5Y)13.01
EPS Next 2Y69.66%
EPS Next 3Y55.18%
5. Dividend
5.1 Amount
No dividends for ATZ!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:ATZ (3/7/2025, 7:00:00 PM)
58.2
-4.55 (-7.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners50.75%
Inst Owner ChangeN/A
Ins Owners0.62%
Ins Owner ChangeN/A
Market Cap6.65B
Analysts81.54
Price Target77.21 (32.66%)
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)25.85%
Min EPS beat(2)13.09%
Max EPS beat(2)38.61%
EPS beat(4)4
Avg EPS beat(4)22.36%
Min EPS beat(4)4.71%
Max EPS beat(4)38.61%
EPS beat(8)8
Avg EPS beat(8)38.19%
EPS beat(12)12
Avg EPS beat(12)33.1%
EPS beat(16)16
Avg EPS beat(16)46.14%
Revenue beat(2)2
Avg Revenue beat(2)3.76%
Min Revenue beat(2)2.97%
Max Revenue beat(2)4.54%
Revenue beat(4)3
Avg Revenue beat(4)1.91%
Min Revenue beat(4)-1.38%
Max Revenue beat(4)4.54%
Revenue beat(8)6
Avg Revenue beat(8)2.52%
Revenue beat(12)10
Avg Revenue beat(12)4.86%
Revenue beat(16)14
Avg Revenue beat(16)6.6%
PT rev (1m)4.78%
PT rev (3m)30.66%
EPS NQ rev (1m)0%
EPS NQ rev (3m)7.28%
EPS NY rev (1m)0.19%
EPS NY rev (3m)7.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)8.5%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)4.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.32 | ||
| Fwd PE | 21.51 | ||
| P/S | 2.63 | ||
| P/FCF | 43.72 | ||
| P/OCF | 16.75 | ||
| P/B | 6.95 | ||
| P/tB | 9.94 | ||
| EV/EBITDA | 17.79 |
EPS(TTM)1.48
EY2.54%
EPS(NY)2.71
Fwd EY4.65%
FCF(TTM)1.33
FCFY2.29%
OCF(TTM)3.47
OCFY5.97%
SpS22.11
BVpS8.38
TBVpS5.85
PEG (NY)0.4
PEG (5Y)13.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.55% | ||
| ROE | 13.83% | ||
| ROCE | 12.6% | ||
| ROIC | 8.81% | ||
| ROICexc | 9.95% | ||
| ROICexgc | 12.14% | ||
| OM | 9% | ||
| PM (TTM) | 5.24% | ||
| GM | 42.05% | ||
| FCFM | 6.02% |
ROA(3y)8.43%
ROA(5y)7.14%
ROE(3y)22.22%
ROE(5y)19.86%
ROIC(3y)12.29%
ROIC(5y)10.59%
ROICexc(3y)14.66%
ROICexc(5y)12.54%
ROICexgc(3y)20.82%
ROICexgc(5y)17.72%
ROCE(3y)17.57%
ROCE(5y)15.14%
ROICexcg growth 3Y14.37%
ROICexcg growth 5Y-22.69%
ROICexc growth 3Y18.61%
ROICexc growth 5Y-15.41%
OM growth 3Y4.45%
OM growth 5Y-12.55%
PM growth 3Y14.68%
PM growth 5Y-17.8%
GM growth 3Y1.88%
GM growth 5Y-0.35%
F-Score6
Asset Turnover1.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 5.89 | ||
| Debt/EBITDA | 1.96 | ||
| Cap/Depr | 132.28% | ||
| Cap/Sales | 9.7% | ||
| Interest Coverage | 4.36 | ||
| Cash Conversion | 96.27% | ||
| Profit Quality | 114.87% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 4.55 |
F-Score6
WACC8.71%
ROIC/WACC1.01
Cap/Depr(3y)86.14%
Cap/Depr(5y)71.58%
Cap/Sales(3y)5.93%
Cap/Sales(5y)5.72%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)48%
EPS 3Y59.88%
EPS 5Y3.02%
EPS Q2Q%51.06%
EPS Next Y98.67%
EPS Next 2Y69.66%
EPS Next 3Y55.18%
EPS Next 5YN/A
Revenue 1Y (TTM)10.36%
Revenue growth 3Y39.6%
Revenue growth 5Y21.68%
Sales Q2Q%11.5%
Revenue Next Year15.1%
Revenue Next 2Y16.84%
Revenue Next 3Y14.9%
Revenue Next 5YN/A
EBIT growth 1Y28.28%
EBIT growth 3Y45.81%
EBIT growth 5Y6.41%
EBIT Next Year87.49%
EBIT Next 3Y57.25%
EBIT Next 5YN/A
FCF growth 1Y483.72%
FCF growth 3Y29.9%
FCF growth 5Y39.73%
OCF growth 1Y506.23%
OCF growth 3Y38.9%
OCF growth 5Y30.12%