ETHAN ALLEN INTERIORS INC (ETD)
US2976021046 - Common Stock
Overall ETD gets a fundamental rating of 6 out of 10. We evaluated ETD against 67 industry peers in the Household Durables industry. ETD scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ETD is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
ETD had positive earnings in the past year.
In the past year ETD had a positive cash flow from operations.
In the past 5 years ETD has always been profitable.
ETD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ETD has a Return On Assets of 8.62%. This is in the better half of the industry: ETD outperforms 64.62% of its industry peers.
With a Return On Equity value of 13.40%, ETD perfoms like the industry average, outperforming 56.92% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 9.79%, ETD is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
ETD had an Average Return On Invested Capital over the past 3 years of 15.63%. This is above the industry average of 12.05%.
The 3 year average ROIC (15.63%) for ETD is well above the current ROIC(9.79%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.62% | ||
| ROE | 13.4% | ||
| ROIC | 9.79% |
ROA(3y)12.37%
ROA(5y)9.46%
ROE(3y)20.34%
ROE(5y)16.16%
ROIC(3y)15.63%
ROIC(5y)12.52%
1.3 Margins
ETD has a better Profit Margin (9.99%) than 76.92% of its industry peers.
In the last couple of years the Profit Margin of ETD has grown nicely.
ETD's Operating Margin of 11.92% is fine compared to the rest of the industry. ETD outperforms 69.23% of its industry peers.
In the last couple of years the Operating Margin of ETD has grown nicely.
The Gross Margin of ETD (60.75%) is better than 100.00% of its industry peers.
In the last couple of years the Gross Margin of ETD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.92% | ||
| PM (TTM) | 9.99% | ||
| GM | 60.75% |
OM growth 3Y0.94%
OM growth 5Y10.63%
PM growth 3Y4.08%
PM growth 5Y23.47%
GM growth 3Y1.91%
GM growth 5Y1.99%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ETD is creating some value.
ETD has more shares outstanding than it did 1 year ago.
ETD has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ETD is higher compared to a year ago.
2.2 Solvency
ETD has an Altman-Z score of 4.74. This indicates that ETD is financially healthy and has little risk of bankruptcy at the moment.
ETD's Altman-Z score of 4.74 is fine compared to the rest of the industry. ETD outperforms 66.15% of its industry peers.
ETD 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 | 4.74 |
ROIC/WACC1.11
WACC8.83%
2.3 Liquidity
A Current Ratio of 1.99 indicates that ETD should not have too much problems paying its short term obligations.
ETD's Current ratio of 1.99 is on the low side compared to the rest of the industry. ETD is outperformed by 60.00% of its industry peers.
A Quick Ratio of 1.08 indicates that ETD should not have too much problems paying its short term obligations.
ETD has a Quick ratio (1.08) which is comparable to the rest of the industry.
ETD does not score too well on the current and quick ratio evaluation. However, as it has 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 | 1.99 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
ETD shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -31.55%.
Measured over the past years, ETD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.71% on average per year.
Looking at the last year, ETD shows a very negative growth in Revenue. The Revenue has decreased by -14.05% in the last year.
Measured over the past years, ETD shows a decrease in Revenue. The Revenue has been decreasing by -2.85% on average per year.
EPS 1Y (TTM)-31.55%
EPS 3Y1.52%
EPS 5Y9.71%
EPS Q2Q%-7.94%
Revenue 1Y (TTM)-14.05%
Revenue growth 3Y-1.93%
Revenue growth 5Y-2.85%
Sales Q2Q%-5.83%
3.2 Future
ETD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.41% yearly.
The Revenue is expected to grow by 0.29% on average over the next years.
EPS Next Y-6.74%
EPS Next 2Y1.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.83%
Revenue Next 2Y0.29%
Revenue Next 3YN/A
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 12.69, ETD is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of ETD indicates a somewhat cheap valuation: ETD is cheaper than 61.54% of the companies listed in the same industry.
ETD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.61.
ETD is valuated correctly with a Price/Forward Earnings ratio of 12.09.
ETD's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ETD is cheaper than 61.54% of the companies in the same industry.
ETD is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 12.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ETD is valued cheaply inside the industry as 95.38% of the companies are valued more expensively.
84.62% of the companies in the same industry are more expensive than ETD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.35 | ||
| EV/EBITDA | 6.3 |
4.3 Compensation for Growth
ETD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.31
EPS Next 2Y1.41%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ETD has a Yearly Dividend Yield of 5.07%, which is a nice return.
ETD's Dividend Yield is rather good when compared to the industry average which is at 2.74. ETD pays more dividend than 93.85% of the companies in the same industry.
ETD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.16.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.07% |
5.2 History
The dividend of ETD has a limited annual growth rate of 2.28%.
ETD has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of ETD decreased in the last 3 years.
Dividend Growth(5Y)2.28%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
76.30% of the earnings are spent on dividend by ETD. This is not a sustainable payout ratio.
The dividend of ETD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP76.3%
EPS Next 2Y1.41%
EPS Next 3YN/A
ETHAN ALLEN INTERIORS INC
NYSE:ETD (12/3/2024, 8:04:01 PM)
After market: 30.83 0 (0%)30.83
-0.28 (-0.9%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap784.01M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.07% |
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)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 | 12.69 | ||
| Fwd PE | 12.09 | ||
| 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)N/A
PEG (5Y)1.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.62% | ||
| ROE | 13.4% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 11.92% | ||
| PM (TTM) | 9.99% | ||
| GM | 60.75% | ||
| 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 Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.08 | ||
| 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)
High Growth Momentum
Growth
EPS 1Y (TTM)-31.55%
EPS 3Y1.52%
EPS 5Y
EPS Q2Q%
EPS Next Y-6.74%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-14.05%
Revenue growth 3Y-1.93%
Revenue growth 5Y
Sales 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