Logo image of CATO

CATO CORP-CLASS A (CATO) Stock Fundamental Analysis

NYSE:CATO - New York Stock Exchange, Inc. - US1492051065 - Common Stock - Currency: USD

3.27  -0.08 (-2.39%)

After market: 3.27 0 (0%)

Fundamental Rating

3

CATO gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. CATO scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. CATO has a expensive valuation and it also scores bad on growth.


Dividend Valuation Growth Profitability Health

Quickly go to:

2

1. Profitability

1.1 Basic Checks

CATO had negative earnings in the past year.
CATO had a negative operating cash flow in the past year.
In multiple years CATO reported negative net income over the last 5 years.
Of the past 5 years CATO 4 years had a positive operating cash flow.
CATO Yearly Net Income VS EBIT VS OCF VS FCFCATO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M -50M 100M

1.2 Ratios

The Return On Assets of CATO (-3.84%) is worse than 65.81% of its industry peers.
CATO has a Return On Equity (-9.20%) which is in line with its industry peers.
Industry RankSector Rank
ROA -3.84%
ROE -9.2%
ROIC N/A
ROA(3y)0.29%
ROA(5y)-0.35%
ROE(3y)0.67%
ROE(5y)-1.1%
ROIC(3y)N/A
ROIC(5y)N/A
CATO Yearly ROA, ROE, ROICCATO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10

1.3 Margins

CATO has a Gross Margin of 34.13%. This is comparable to the rest of the industry: CATO outperforms 43.59% of its industry peers.
CATO's Gross Margin has been stable in the last couple of years.
CATO does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 34.13%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y11.74%
GM growth 5Y-1.44%
CATO Yearly Profit, Operating, Gross MarginsCATO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 30 40

More info and screens

6

2. Health

2.1 Basic Checks

CATO does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, CATO has more shares outstanding
CATO has less shares outstanding than it did 5 years ago.
CATO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
CATO Yearly Shares OutstandingCATO Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M 20M 25M
CATO Yearly Total Debt VS Total AssetsCATO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M

2.2 Solvency

CATO has an Altman-Z score of 2.32. This is not the best score and indicates that CATO is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of CATO (2.32) is comparable to the rest of the industry.
CATO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Altman-Z 2.32
ROIC/WACCN/A
WACC10.27%
CATO Yearly LT Debt VS Equity VS FCFCATO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M 200M 300M 400M

2.3 Liquidity

CATO has a Current Ratio of 1.36. This is a normal value and indicates that CATO is financially healthy and should not expect problems in meeting its short term obligations.
CATO has a Current ratio (1.36) which is comparable to the rest of the industry.
A Quick Ratio of 0.73 indicates that CATO may have some problems paying its short term obligations.
CATO has a better Quick ratio (0.73) than 64.10% of its industry peers.
Industry RankSector Rank
Current Ratio 1.36
Quick Ratio 0.73
CATO Yearly Current Assets VS Current LiabilitesCATO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M 400M

More info and screens

0

3. Growth

3.1 Past

The earnings per share for CATO have decreased strongly by -1833.91% in the last year.
The Revenue has decreased by -6.68% in the past year.
Measured over the past years, CATO shows a decrease in Revenue. The Revenue has been decreasing by -3.12% on average per year.
EPS 1Y (TTM)-1833.91%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-168.17%
Revenue 1Y (TTM)-6.68%
Revenue growth 3Y7.18%
Revenue growth 5Y-3.12%
Sales Q2Q%-7.64%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
CATO Yearly Revenue VS EstimatesCATO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B
CATO Yearly EPS VS EstimatesCATO Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0.5 1 1.5 2

More info and screens

0

4. Valuation

4.1 Price/Earnings Ratio

CATO reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Industry RankSector Rank
PE N/A
Fwd PE N/A
CATO Price Earnings VS Forward Price EarningsCATO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 0 0 0 0 0 0 0 0 0 0

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
CATO Per share dataCATO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30 40

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A

More info and screens

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 20.30%, CATO is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.32, CATO pays a better dividend. On top of this CATO pays more dividend than 99.15% of the companies listed in the same industry.
CATO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
Industry RankSector Rank
Dividend Yield 20.3%

5.2 History

The dividend of CATO decreases each year by -12.43%.
CATO has been paying a dividend for at least 10 years, so it has a reliable track record.
CATO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-12.43%
Div Incr Years0
Div Non Decr Years3
CATO Yearly Dividends per shareCATO Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0.2 0.4 0.6 0.8 1

5.3 Sustainability

CATO has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-86.02%
EPS Next 2YN/A
EPS Next 3YN/A
CATO Yearly Income VS Free CF VS DividendCATO Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20M -20M 40M -40M 60M 80M

More info and screens

CATO CORP-CLASS A

NYSE:CATO (2/21/2025, 8:05:17 PM)

After market: 3.27 0 (0%)

3.27

-0.08 (-2.39%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)11-14 2024-11-14
Earnings (Next)03-20 2025-03-20
Inst Owners38.99%
Inst Owner Change-92.73%
Ins Owners16.07%
Ins Owner Change0%
Market Cap67.17M
Analysts43.33
Price TargetN/A
Short Float %2.55%
Short Ratio3.07
Dividend
Industry RankSector Rank
Dividend Yield 20.3%
Yearly Dividend0.68
Dividend Growth(5Y)-12.43%
DP-86.02%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 0.08
P/FCF N/A
P/OCF N/A
P/B 0.38
P/tB 0.38
EV/EBITDA N/A
EPS(TTM)-0.84
EYN/A
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)-1.62
FCFYN/A
OCF(TTM)-1.19
OCFYN/A
SpS41.08
BVpS8.62
TBVpS8.62
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -3.84%
ROE -9.2%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 34.13%
FCFM N/A
ROA(3y)0.29%
ROA(5y)-0.35%
ROE(3y)0.67%
ROE(5y)-1.1%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y11.74%
GM growth 5Y-1.44%
F-Score3
Asset Turnover1.99
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr 91.3%
Cap/Sales 1.04%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.36
Quick Ratio 0.73
Altman-Z 2.32
F-Score3
WACC10.27%
ROIC/WACCN/A
Cap/Depr(3y)111.86%
Cap/Depr(5y)96.87%
Cap/Sales(3y)1.62%
Cap/Sales(5y)1.66%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1833.91%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-168.17%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-6.68%
Revenue growth 3Y7.18%
Revenue growth 5Y-3.12%
Sales Q2Q%-7.64%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-321.08%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-95.22%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-7449.07%
OCF growth 3YN/A
OCF growth 5Y-62%