BUCKLE INC/THE (BKE) Stock Fundamental Analysis
NYSE:BKE - New York Stock Exchange, Inc. - US1184401065 - Common Stock - Currency: USD
Taking everything into account, BKE scores 7 out of 10 in our fundamental rating. BKE was compared to 120 industry peers in the Specialty Retail industry. BKE scores excellent points on both the profitability and health parts. This is a solid base for a good stock. BKE has a bad growth rate and is valued cheaply. With these ratings, BKE could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year BKE was profitable.
In the past year BKE had a positive cash flow from operations.
Each year in the past 5 years BKE has been profitable.
In the past 5 years BKE always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 20.27%, BKE belongs to the best of the industry, outperforming 98.29% of the companies in the same industry.
BKE has a better Return On Equity (40.51%) than 88.03% of its industry peers.
With an excellent Return On Invested Capital value of 24.06%, BKE belongs to the best of the industry, outperforming 91.45% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BKE is significantly above the industry average of 12.30%.
The 3 year average ROIC (39.84%) for BKE is well above the current ROIC(24.06%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.27% | ||
| ROE | 40.51% | ||
| ROIC | 24.06% |
ROA(3y)29.25%
ROA(5y)23.03%
ROE(3y)67.44%
ROE(5y)52.39%
ROIC(3y)39.84%
ROIC(5y)30.78%
1.3 Margins
With an excellent Profit Margin value of 16.21%, BKE belongs to the best of the industry, outperforming 98.29% of the companies in the same industry.
BKE's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 19.79%, BKE belongs to the best of the industry, outperforming 98.29% of the companies in the same industry.
In the last couple of years the Operating Margin of BKE has grown nicely.
BKE has a Gross Margin of 48.61%. This is in the better half of the industry: BKE outperforms 76.07% of its industry peers.
BKE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.79% | ||
| PM (TTM) | 16.21% | ||
| GM | 48.61% |
OM growth 3Y4.86%
OM growth 5Y9.5%
PM growth 3Y6.5%
PM growth 5Y10.06%
GM growth 3Y3.36%
GM growth 5Y3.49%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BKE is creating value.
The number of shares outstanding for BKE has been increased compared to 1 year ago.
Compared to 5 years ago, BKE has more shares outstanding
BKE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 5.49 indicates that BKE is not in any danger for bankruptcy at the moment.
BKE's Altman-Z score of 5.49 is amongst the best of the industry. BKE outperforms 89.74% of its industry peers.
BKE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 5.49 |
ROIC/WACC2.34
WACC10.27%
2.3 Liquidity
A Current Ratio of 2.37 indicates that BKE has no problem at all paying its short term obligations.
BKE's Current ratio of 2.37 is amongst the best of the industry. BKE outperforms 87.18% of its industry peers.
BKE has a Quick Ratio of 1.67. This is a normal value and indicates that BKE is financially healthy and should not expect problems in meeting its short term obligations.
BKE has a Quick ratio of 1.67. This is amongst the best in the industry. BKE outperforms 88.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.37 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
The earnings per share for BKE have decreased strongly by -13.97% in the last year.
Measured over the past years, BKE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.61% on average per year.
BKE shows a decrease in Revenue. In the last year, the revenue decreased by -4.65%.
The Revenue has been growing slightly by 7.33% on average over the past years.
EPS 1Y (TTM)-13.97%
EPS 3Y18.5%
EPS 5Y17.61%
EPS Q2Q%-15.38%
Revenue 1Y (TTM)-4.65%
Revenue growth 3Y11.85%
Revenue growth 5Y7.33%
Sales Q2Q%-3.24%
3.2 Future
BKE is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.90% yearly.
BKE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.16% yearly.
EPS Next Y-14.23%
EPS Next 2Y-6.59%
EPS Next 3Y-0.9%
EPS Next 5YN/A
Revenue Next Year-4%
Revenue Next 2Y-0.71%
Revenue Next 3Y1.16%
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.45, the valuation of BKE can be described as very reasonable.
Based on the Price/Earnings ratio, BKE is valued cheaply inside the industry as 88.03% of the companies are valued more expensively.
BKE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.63.
Based on the Price/Forward Earnings ratio of 10.70, the valuation of BKE can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BKE indicates a somewhat cheap valuation: BKE is cheaper than 76.92% of the companies listed in the same industry.
BKE is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.45 | ||
| Fwd PE | 10.7 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BKE is valued a bit cheaper than the industry average as 77.78% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, BKE is valued cheaply inside the industry as 82.91% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.07 | ||
| EV/EBITDA | 6.85 |
4.3 Compensation for Growth
BKE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.59
EPS Next 2Y-6.59%
EPS Next 3Y-0.9%
5. Dividend
5.1 Amount
BKE has a Yearly Dividend Yield of 3.29%. Purely for dividend investing, there may be better candidates out there.
BKE's Dividend Yield is rather good when compared to the industry average which is at 4.01. BKE pays more dividend than 88.03% of the companies in the same industry.
BKE's Dividend Yield is a higher than the S&P500 average which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.29% |
5.2 History
The dividend of BKE is nicely growing with an annual growth rate of 14.39%!
BKE has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of BKE decreased recently.
Dividend Growth(5Y)14.39%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
BKE pays out 99.61% of its income as dividend. This is not a sustainable payout ratio.
BKE's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP99.61%
EPS Next 2Y-6.59%
EPS Next 3Y-0.9%
41.17
-1.35 (-3.17%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners61.12%
Inst Owner Change0.37%
Ins Owners8.14%
Ins Owner Change15.57%
Market Cap2.09B
Analysts46.67
Price Target53.04 (28.83%)
Short Float %9.12%
Short Ratio5.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.29% |
Yearly Dividend3.91
Dividend Growth(5Y)14.39%
DP99.61%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.48%
Min EPS beat(2)-2.86%
Max EPS beat(2)-2.1%
EPS beat(4)1
Avg EPS beat(4)-0.83%
Min EPS beat(4)-7.68%
Max EPS beat(4)9.32%
EPS beat(8)4
Avg EPS beat(8)2.79%
EPS beat(12)8
Avg EPS beat(12)6.44%
EPS beat(16)12
Avg EPS beat(16)19.01%
Revenue beat(2)1
Avg Revenue beat(2)0.3%
Min Revenue beat(2)-0.42%
Max Revenue beat(2)1.03%
Revenue beat(4)1
Avg Revenue beat(4)-0.53%
Min Revenue beat(4)-1.43%
Max Revenue beat(4)1.03%
Revenue beat(8)2
Avg Revenue beat(8)-1.04%
Revenue beat(12)5
Avg Revenue beat(12)-0.13%
Revenue beat(16)8
Avg Revenue beat(16)3.07%
PT rev (1m)10.64%
PT rev (3m)67.74%
EPS NQ rev (1m)1.84%
EPS NQ rev (3m)3.36%
EPS NY rev (1m)0.67%
EPS NY rev (3m)3.88%
Revenue NQ rev (1m)0.69%
Revenue NQ rev (3m)3.08%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)2.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.45 | ||
| Fwd PE | 10.7 | ||
| P/S | 1.71 | ||
| P/FCF | 11.07 | ||
| P/OCF | 9.07 | ||
| P/B | 4.28 | ||
| P/tB | 4.28 | ||
| EV/EBITDA | 6.85 |
EPS(TTM)3.94
EY9.57%
EPS(NY)3.85
Fwd EY9.35%
FCF(TTM)3.72
FCFY9.03%
OCF(TTM)4.54
OCFY11.03%
SpS24.05
BVpS9.62
TBVpS9.62
PEG (NY)N/A
PEG (5Y)0.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.27% | ||
| ROE | 40.51% | ||
| ROCE | 31.65% | ||
| ROIC | 24.06% | ||
| ROICexc | 41.94% | ||
| ROICexgc | 41.94% | ||
| OM | 19.79% | ||
| PM (TTM) | 16.21% | ||
| GM | 48.61% | ||
| FCFM | 15.46% |
ROA(3y)29.25%
ROA(5y)23.03%
ROE(3y)67.44%
ROE(5y)52.39%
ROIC(3y)39.84%
ROIC(5y)30.78%
ROICexc(3y)74.76%
ROICexc(5y)57.24%
ROICexgc(3y)74.76%
ROICexgc(5y)57.24%
ROCE(3y)52.41%
ROCE(5y)40.48%
ROICexcg growth 3Y10.63%
ROICexcg growth 5Y5.19%
ROICexc growth 3Y10.63%
ROICexc growth 5Y5.19%
OM growth 3Y4.86%
OM growth 5Y9.5%
PM growth 3Y6.5%
PM growth 5Y10.06%
GM growth 3Y3.36%
GM growth 5Y3.49%
F-Score5
Asset Turnover1.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 184.91% | ||
| Cap/Sales | 3.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.26% | ||
| Profit Quality | 95.43% | ||
| Current Ratio | 2.37 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 5.49 |
F-Score5
WACC10.27%
ROIC/WACC2.34
Cap/Depr(3y)147.31%
Cap/Depr(5y)101.89%
Cap/Sales(3y)2.23%
Cap/Sales(5y)1.67%
Profit Quality(3y)98.99%
Profit Quality(5y)116.81%
High Growth Momentum
Growth
EPS 1Y (TTM)-13.97%
EPS 3Y18.5%
EPS 5Y17.61%
EPS Q2Q%-15.38%
EPS Next Y-14.23%
EPS Next 2Y-6.59%
EPS Next 3Y-0.9%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.65%
Revenue growth 3Y11.85%
Revenue growth 5Y7.33%
Sales Q2Q%-3.24%
Revenue Next Year-4%
Revenue Next 2Y-0.71%
Revenue Next 3Y1.16%
Revenue Next 5YN/A
EBIT growth 1Y-15.05%
EBIT growth 3Y17.29%
EBIT growth 5Y17.52%
EBIT Next Year-4.86%
EBIT Next 3Y3.43%
EBIT Next 5YN/A
FCF growth 1Y-3.92%
FCF growth 3Y-0.35%
FCF growth 5Y17.11%
OCF growth 1Y2.1%
OCF growth 3Y3.84%
OCF growth 5Y18.56%