GENESCO INC (GCO) Stock Fundamental Analysis
NYSE:GCO - New York Stock Exchange, Inc. - US3715321028 - Common Stock - Currency: USD
Overall GCO gets a fundamental rating of 5 out of 10. We evaluated GCO against 121 industry peers in the Specialty Retail industry. While GCO seems to be doing ok healthwise, there are quite some concerns on its profitability. A decent growth rate in combination with a cheap valuation! Better keep an eye on GCO.
1. Profitability
1.1 Basic Checks
In the past year GCO was profitable.
In the past year GCO had a positive cash flow from operations.
In multiple years GCO reported negative net income over the last 5 years.
Of the past 5 years GCO 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GCO (-1.41%) is worse than 60.33% of its industry peers.
The Return On Equity of GCO (-3.45%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 1.42%, GCO is in line with its industry, outperforming 43.80% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GCO is significantly below the industry average of 14.13%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.41% | ||
| ROE | -3.45% | ||
| ROIC | 1.42% |
ROA(3y)0.75%
ROA(5y)1.21%
ROE(3y)1.82%
ROE(5y)2.91%
ROIC(3y)3.2%
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 0.74%, GCO is doing worse than 60.33% of the companies in the same industry.
GCO's Operating Margin has declined in the last couple of years.
The Gross Margin of GCO (47.17%) is better than 73.55% of its industry peers.
GCO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.74% | ||
| PM (TTM) | N/A | ||
| GM | 47.17% |
OM growth 3Y-51.59%
OM growth 5Y-30.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.1%
GM growth 5Y-0.51%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GCO is destroying value.
The number of shares outstanding for GCO has been reduced compared to 1 year ago.
The number of shares outstanding for GCO has been reduced compared to 5 years ago.
GCO 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
GCO has an Altman-Z score of 2.43. This is not the best score and indicates that GCO is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.43, GCO is in line with its industry, outperforming 57.85% of the companies in the same industry.
GCO 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 | 2.43 |
ROIC/WACC0.14
WACC10.32%
2.3 Liquidity
GCO has a Current Ratio of 1.60. This is a normal value and indicates that GCO is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of GCO (1.60) is better than 66.12% of its industry peers.
GCO has a Quick Ratio of 1.60. This is a bad value and indicates that GCO is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.48, GCO perfoms like the industry average, outperforming 45.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.48 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.56% over the past year.
The earnings per share for GCO have been decreasing by -28.12% on average. This is quite bad
The Revenue has been growing slightly by 0.02% in the past year.
Measured over the past years, GCO shows a small growth in Revenue. The Revenue has been growing by 1.14% on average per year.
EPS 1Y (TTM)30.56%
EPS 3Y-50.35%
EPS 5Y-28.12%
EPS Q2Q%25.87%
Revenue 1Y (TTM)0.02%
Revenue growth 3Y-1.35%
Revenue growth 5Y1.14%
Sales Q2Q%0.95%
3.2 Future
GCO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 40.84% yearly.
Based on estimates for the next years, GCO will show a small growth in Revenue. The Revenue will grow by 1.50% on average per year.
EPS Next Y63.86%
EPS Next 2Y47.32%
EPS Next 3Y40.84%
EPS Next 5YN/A
Revenue Next Year-1.01%
Revenue Next 2Y0.29%
Revenue Next 3Y1.5%
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.
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
A Price/Earnings ratio of 20.40 indicates a rather expensive valuation of GCO.
Based on the Price/Earnings ratio, GCO is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.63, GCO is valued a bit cheaper.
With a Price/Forward Earnings ratio of 12.45, GCO is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GCO indicates a somewhat cheap valuation: GCO is cheaper than 71.90% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of GCO to the average of the S&P500 Index (20.85), we can say GCO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.4 | ||
| Fwd PE | 12.45 |
4.2 Price Multiples
GCO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GCO is cheaper than 94.21% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GCO indicates a rather cheap valuation: GCO is cheaper than 92.56% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.53 | ||
| EV/EBITDA | 2.54 |
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.
A more expensive valuation may be justified as GCO's earnings are expected to grow with 40.84% in the coming years.
PEG (NY)0.32
PEG (5Y)N/A
EPS Next 2Y47.32%
EPS Next 3Y40.84%
5. Dividend
5.1 Amount
GCO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.18
+0.11 (+0.58%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners94.14%
Inst Owner Change1.37%
Ins Owners7.19%
Ins Owner Change5.85%
Market Cap211.75M
Analysts46.67
Price Target27.54 (43.59%)
Short Float %6.09%
Short Ratio2.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)30.45%
Min EPS beat(2)-2.34%
Max EPS beat(2)63.23%
EPS beat(4)3
Avg EPS beat(4)27.26%
Min EPS beat(4)-2.34%
Max EPS beat(4)63.23%
EPS beat(8)4
Avg EPS beat(8)6.19%
EPS beat(12)8
Avg EPS beat(12)62.09%
EPS beat(16)12
Avg EPS beat(16)279.48%
Revenue beat(2)1
Avg Revenue beat(2)-2.13%
Min Revenue beat(2)-5.9%
Max Revenue beat(2)1.64%
Revenue beat(4)3
Avg Revenue beat(4)-0.27%
Min Revenue beat(4)-5.9%
Max Revenue beat(4)1.66%
Revenue beat(8)6
Avg Revenue beat(8)0.54%
Revenue beat(12)7
Avg Revenue beat(12)0.11%
Revenue beat(16)10
Avg Revenue beat(16)1.74%
PT rev (1m)-32.5%
PT rev (3m)-32.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-56.06%
EPS NY rev (1m)-34.97%
EPS NY rev (3m)-30.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.4%
Revenue NY rev (1m)-2.68%
Revenue NY rev (3m)-0.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.4 | ||
| Fwd PE | 12.45 | ||
| P/S | 0.09 | ||
| P/FCF | 4.53 | ||
| P/OCF | 2.41 | ||
| P/B | 0.39 | ||
| P/tB | 0.41 | ||
| EV/EBITDA | 2.54 |
EPS(TTM)0.94
EY4.9%
EPS(NY)1.54
Fwd EY8.03%
FCF(TTM)4.23
FCFY22.08%
OCF(TTM)7.96
OCFY41.51%
SpS210.6
BVpS49.54
TBVpS46.38
PEG (NY)0.32
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.41% | ||
| ROE | -3.45% | ||
| ROCE | 1.8% | ||
| ROIC | 1.42% | ||
| ROICexc | 1.47% | ||
| ROICexgc | 1.53% | ||
| OM | 0.74% | ||
| PM (TTM) | N/A | ||
| GM | 47.17% | ||
| FCFM | 2.01% |
ROA(3y)0.75%
ROA(5y)1.21%
ROE(3y)1.82%
ROE(5y)2.91%
ROIC(3y)3.2%
ROIC(5y)N/A
ROICexc(3y)3.34%
ROICexc(5y)N/A
ROICexgc(3y)3.53%
ROICexgc(5y)N/A
ROCE(3y)4.05%
ROCE(5y)N/A
ROICexcg growth 3Y-55.02%
ROICexcg growth 5Y-26.41%
ROICexc growth 3Y-54.26%
ROICexc growth 5Y-24.94%
OM growth 3Y-51.59%
OM growth 5Y-30.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.1%
GM growth 5Y-0.51%
F-Score5
Asset Turnover1.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 78.4% | ||
| Cap/Sales | 1.77% | ||
| Interest Coverage | 3.83 | ||
| Cash Conversion | 126.23% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.48 | ||
| Altman-Z | 2.43 |
F-Score5
WACC10.32%
ROIC/WACC0.14
Cap/Depr(3y)113.44%
Cap/Depr(5y)103.5%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)30.56%
EPS 3Y-50.35%
EPS 5Y-28.12%
EPS Q2Q%25.87%
EPS Next Y63.86%
EPS Next 2Y47.32%
EPS Next 3Y40.84%
EPS Next 5YN/A
Revenue 1Y (TTM)0.02%
Revenue growth 3Y-1.35%
Revenue growth 5Y1.14%
Sales Q2Q%0.95%
Revenue Next Year-1.01%
Revenue Next 2Y0.29%
Revenue Next 3Y1.5%
Revenue Next 5YN/A
EBIT growth 1Y1.73%
EBIT growth 3Y-52.25%
EBIT growth 5Y-29.24%
EBIT Next Year326.46%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y35.55%
FCF growth 3Y-36.89%
FCF growth 5Y-11.76%
OCF growth 1Y-7.29%
OCF growth 3Y-28.45%
OCF growth 5Y-5.59%