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GENESCO INC (GCO) Stock Fundamental Analysis

NYSE:GCO - New York Stock Exchange, Inc. - US3715321028 - Common Stock

43.12  +1.12 (+2.67%)

After market: 43.12 0 (0%)

Fundamental Rating

4

Overall GCO gets a fundamental rating of 4 out of 10. We evaluated GCO against 119 industry peers in the Specialty Retail industry. The financial health of GCO is average, but there are quite some concerns on its profitability. GCO is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

In the past year GCO was profitable.
GCO had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: GCO reported negative net income in multiple years.
Of the past 5 years GCO 4 years had a positive operating cash flow.
GCO Yearly Net Income VS EBIT VS OCF VS FCFGCO 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 100M -100M 200M -200M

1.2 Ratios

The Return On Assets of GCO (-1.82%) is comparable to the rest of the industry.
GCO has a Return On Equity (-5.05%) which is comparable to the rest of the industry.
GCO's Return On Invested Capital of 0.62% is on the low side compared to the rest of the industry. GCO is outperformed by 62.07% of its industry peers.
GCO had an Average Return On Invested Capital over the past 3 years of 6.50%. This is significantly below the industry average of 12.38%.
The last Return On Invested Capital (0.62%) for GCO is well below the 3 year average (6.50%), which needs to be investigated, but indicates that GCO had better years and this may not be a problem.
Industry RankSector Rank
ROA -1.82%
ROE -5.05%
ROIC 0.62%
ROA(3y)3.68%
ROA(5y)2.23%
ROE(3y)9.32%
ROE(5y)5.59%
ROIC(3y)6.5%
ROIC(5y)N/A
GCO Yearly ROA, ROE, ROICGCO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10

1.3 Margins

GCO has a worse Operating Margin (0.34%) than 62.93% of its industry peers.
GCO's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 46.99%, GCO is in the better half of the industry, outperforming 74.14% of the companies in the same industry.
GCO's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 0.34%
PM (TTM) N/A
GM 46.99%
OM growth 3YN/A
OM growth 5Y-28.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.63%
GM growth 5Y-0.24%
GCO Yearly Profit, Operating, Gross MarginsGCO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 20 30 40

5

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GCO is destroying value.
The number of shares outstanding for GCO has been reduced compared to 1 year ago.
Compared to 5 years ago, GCO has less shares outstanding
The debt/assets ratio for GCO has been reduced compared to a year ago.
GCO Yearly Shares OutstandingGCO Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M 20M
GCO Yearly Total Debt VS Total AssetsGCO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B

2.2 Solvency

An Altman-Z score of 2.37 indicates that GCO is not a great score, but indicates only limited risk for bankruptcy at the moment.
GCO has a Altman-Z score (2.37) which is comparable to the rest of the industry.
GCO has a debt to FCF ratio of 1.95. This is a very positive value and a sign of high solvency as it would only need 1.95 years to pay back of all of its debts.
GCO's Debt to FCF ratio of 1.95 is fine compared to the rest of the industry. GCO outperforms 76.72% of its industry peers.
GCO has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of GCO (0.19) is better than 62.93% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.19
Debt/FCF 1.95
Altman-Z 2.37
ROIC/WACC0.06
WACC10.96%
GCO Yearly LT Debt VS Equity VS FCFGCO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M 800M

2.3 Liquidity

A Current Ratio of 1.56 indicates that GCO should not have too much problems paying its short term obligations.
GCO has a better Current ratio (1.56) than 63.79% of its industry peers.
A Quick Ratio of 0.32 indicates that GCO may have some problems paying its short term obligations.
GCO has a worse Quick ratio (0.32) than 70.69% of its industry peers.
Industry RankSector Rank
Current Ratio 1.56
Quick Ratio 0.32
GCO Yearly Current Assets VS Current LiabilitesGCO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

4

3. Growth

3.1 Past

GCO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -77.31%.
The earnings per share for GCO have been decreasing by -25.37% on average. This is quite bad
GCO shows a small growth in Revenue. In the last year, the Revenue has grown by 0.32%.
The Revenue has been growing slightly by 1.21% on average over the past years.
EPS 1Y (TTM)-77.31%
EPS 3YN/A
EPS 5Y-25.37%
EPS Q2Q%7.02%
Revenue 1Y (TTM)0.32%
Revenue growth 3Y9.17%
Revenue growth 5Y1.21%
Sales Q2Q%2.94%

3.2 Future

Based on estimates for the next years, GCO will show a very strong growth in Earnings Per Share. The EPS will grow by 43.58% on average per year.
The Revenue is expected to grow by 2.28% on average over the next years.
EPS Next Y13.63%
EPS Next 2Y75.14%
EPS Next 3Y43.58%
EPS Next 5YN/A
Revenue Next Year1.04%
Revenue Next 2Y1.39%
Revenue Next 3Y2.28%
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
GCO Yearly Revenue VS EstimatesGCO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1B 2B 3B
GCO Yearly EPS VS EstimatesGCO Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 2 -2 4 6

4

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 159.70 indicates a quite expensive valuation of GCO.
Compared to the rest of the industry, the Price/Earnings ratio of GCO is on the same level as its industry peers.
GCO's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.19.
A Price/Forward Earnings ratio of 19.52 indicates a rather expensive valuation of GCO.
64.66% of the companies in the same industry are more expensive than GCO, based on the Price/Forward Earnings ratio.
GCO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.37.
Industry RankSector Rank
PE 159.7
Fwd PE 19.52
GCO Price Earnings VS Forward Price EarningsGCO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 100 200 300

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, GCO is valued a bit cheaper than the industry average as 68.97% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GCO indicates a rather cheap valuation: GCO is cheaper than 88.79% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 9.43
EV/EBITDA 8.77
GCO Per share dataGCO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 50 100 150 200

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
GCO's earnings are expected to grow with 43.58% in the coming years. This may justify a more expensive valuation.
PEG (NY)11.72
PEG (5Y)N/A
EPS Next 2Y75.14%
EPS Next 3Y43.58%

0

5. Dividend

5.1 Amount

GCO does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

GENESCO INC

NYSE:GCO (1/22/2025, 8:26:46 PM)

After market: 43.12 0 (0%)

43.12

+1.12 (+2.67%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)12-06 2024-12-06/bmo
Earnings (Next)N/A N/A
Inst Owners94.04%
Inst Owner Change-0.2%
Ins Owners6.81%
Ins Owner Change2.16%
Market Cap483.38M
Analysts46.67
Price Target40.8 (-5.38%)
Short Float %4.41%
Short Ratio2.54
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)100.41%
Min EPS beat(2)26.3%
Max EPS beat(2)174.53%
EPS beat(4)3
Avg EPS beat(4)51.78%
Min EPS beat(4)-15.55%
Max EPS beat(4)174.53%
EPS beat(8)5
Avg EPS beat(8)20.43%
EPS beat(12)9
Avg EPS beat(12)74.11%
EPS beat(16)13
Avg EPS beat(16)289.06%
Revenue beat(2)2
Avg Revenue beat(2)2.35%
Min Revenue beat(2)1.5%
Max Revenue beat(2)3.2%
Revenue beat(4)4
Avg Revenue beat(4)2.51%
Min Revenue beat(4)1.5%
Max Revenue beat(4)3.68%
Revenue beat(8)6
Avg Revenue beat(8)1.3%
Revenue beat(12)7
Avg Revenue beat(12)0.67%
Revenue beat(16)11
Avg Revenue beat(16)2.34%
PT rev (1m)48.15%
PT rev (3m)48.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)8.12%
EPS NY rev (1m)0%
EPS NY rev (3m)0.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.52%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.26%
Valuation
Industry RankSector Rank
PE 159.7
Fwd PE 19.52
P/S 0.21
P/FCF 9.43
P/OCF 5.42
P/B 0.94
P/tB 1.01
EV/EBITDA 8.77
EPS(TTM)0.27
EY0.63%
EPS(NY)2.21
Fwd EY5.12%
FCF(TTM)4.57
FCFY10.61%
OCF(TTM)7.96
OCFY18.46%
SpS206.79
BVpS46.11
TBVpS42.86
PEG (NY)11.72
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -1.82%
ROE -5.05%
ROCE 0.77%
ROIC 0.62%
ROICexc 0.64%
ROICexgc 0.66%
OM 0.34%
PM (TTM) N/A
GM 46.99%
FCFM 2.21%
ROA(3y)3.68%
ROA(5y)2.23%
ROE(3y)9.32%
ROE(5y)5.59%
ROIC(3y)6.5%
ROIC(5y)N/A
ROICexc(3y)8.1%
ROICexc(5y)N/A
ROICexgc(3y)8.76%
ROICexgc(5y)N/A
ROCE(3y)8.1%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-33.11%
ROICexc growth 3YN/A
ROICexc growth 5Y-31.11%
OM growth 3YN/A
OM growth 5Y-28.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.63%
GM growth 5Y-0.24%
F-Score5
Asset Turnover1.61
Health
Industry RankSector Rank
Debt/Equity 0.19
Debt/FCF 1.95
Debt/EBITDA 1.63
Cap/Depr 71.02%
Cap/Sales 1.64%
Interest Coverage 1.54
Cash Conversion 145.64%
Profit Quality N/A
Current Ratio 1.56
Quick Ratio 0.32
Altman-Z 2.37
F-Score5
WACC10.96%
ROIC/WACC0.06
Cap/Depr(3y)129.09%
Cap/Depr(5y)99.84%
Cap/Sales(3y)2.44%
Cap/Sales(5y)2.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-77.31%
EPS 3YN/A
EPS 5Y-25.37%
EPS Q2Q%7.02%
EPS Next Y13.63%
EPS Next 2Y75.14%
EPS Next 3Y43.58%
EPS Next 5YN/A
Revenue 1Y (TTM)0.32%
Revenue growth 3Y9.17%
Revenue growth 5Y1.21%
Sales Q2Q%2.94%
Revenue Next Year1.04%
Revenue Next 2Y1.39%
Revenue Next 3Y2.28%
Revenue Next 5YN/A
EBIT growth 1Y-72.24%
EBIT growth 3YN/A
EBIT growth 5Y-27.15%
EBIT Next Year416.62%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y123.8%
FCF growth 3Y-36.32%
FCF growth 5Y-28.07%
OCF growth 1Y157.12%
OCF growth 3Y-15.6%
OCF growth 5Y-16.75%