G-III APPAREL GROUP LTD (GIII) Stock Fundamental Analysis
USA - NASDAQ:GIII - US36237H1014 - Common Stock
26.56 USD
-0.61 (-2.25%)
26.56 USD
0 (0%)
GIII gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 49 industry peers in the Textiles, Apparel & Luxury Goods industry. While GIII has a great health rating, its profitability is only average at the moment. GIII is valued quite cheap, but it does not seem to be growing. These ratings could make GIII a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year GIII was profitable.
In the past year GIII had a positive cash flow from operations.
GIII had positive earnings in 4 of the past 5 years.
GIII had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
GIII has a Return On Assets of 6.77%. This is in the better half of the industry: GIII outperforms 77.55% of its industry peers.
Looking at the Return On Equity, with a value of 10.67%, GIII is in line with its industry, outperforming 55.10% of the companies in the same industry.
GIII has a better Return On Invested Capital (9.69%) than 67.35% of its industry peers.
GIII had an Average Return On Invested Capital over the past 3 years of 9.69%. This is below the industry average of 12.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.77% | ||
| ROE | 10.67% | ||
| ROIC | 9.69% |
ROA(3y)3.15%
ROA(5y)3.55%
ROE(3y)4.43%
ROE(5y)5.65%
ROIC(3y)9.69%
ROIC(5y)8.57%
1.3 Margins
GIII has a Profit Margin of 5.84%. This is in the better half of the industry: GIII outperforms 75.51% of its industry peers.
GIII's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 8.68%, GIII is in the better half of the industry, outperforming 69.39% of the companies in the same industry.
GIII's Operating Margin has improved in the last couple of years.
GIII has a Gross Margin of 40.37%. This is in the lower half of the industry: GIII underperforms 69.39% of its industry peers.
GIII's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.68% | ||
| PM (TTM) | 5.84% | ||
| GM | 40.37% |
OM growth 3Y-5.71%
OM growth 5Y3.91%
PM growth 3Y-5.67%
PM growth 5Y5.99%
GM growth 3Y4.55%
GM growth 5Y2.91%
2. Health
2.1 Basic Checks
GIII has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, GIII has less shares outstanding
GIII has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, GIII has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.29 indicates that GIII is not in any danger for bankruptcy at the moment.
GIII has a Altman-Z score of 3.29. This is in the better half of the industry: GIII outperforms 63.27% of its industry peers.
GIII has a debt to FCF ratio of 0.04. This is a very positive value and a sign of high solvency as it would only need 0.04 years to pay back of all of its debts.
GIII has a Debt to FCF ratio of 0.04. This is amongst the best in the industry. GIII outperforms 89.80% of its industry peers.
GIII has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of GIII (0.00) is better than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.04 | ||
| Altman-Z | 3.29 |
ROIC/WACC0.89
WACC10.85%
2.3 Liquidity
A Current Ratio of 2.21 indicates that GIII has no problem at all paying its short term obligations.
GIII's Current ratio of 2.21 is fine compared to the rest of the industry. GIII outperforms 65.31% of its industry peers.
A Quick Ratio of 1.26 indicates that GIII should not have too much problems paying its short term obligations.
GIII's Quick ratio of 1.26 is in line compared to the rest of the industry. GIII outperforms 59.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.87% over the past year.
GIII shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.92% yearly.
Looking at the last year, GIII shows a small growth in Revenue. The Revenue has grown by 1.19% in the last year.
GIII shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.13% yearly.
EPS 1Y (TTM)2.87%
EPS 3Y3.49%
EPS 5Y6.92%
EPS Q2Q%-51.92%
Revenue 1Y (TTM)1.19%
Revenue growth 3Y4.76%
Revenue growth 5Y0.13%
Sales Q2Q%-4.88%
3.2 Future
The Earnings Per Share is expected to decrease by -9.70% on average over the next years.
The Revenue is expected to decrease by -1.04% on average over the next years.
EPS Next Y-33.12%
EPS Next 2Y-16.81%
EPS Next 3Y-9.7%
EPS Next 5YN/A
Revenue Next Year-0.65%
Revenue Next 2Y-1.4%
Revenue Next 3Y-3.16%
Revenue Next 5Y-1.04%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
GIII is valuated cheaply with a Price/Earnings ratio of 6.18.
Based on the Price/Earnings ratio, GIII is valued cheaply inside the industry as 93.88% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.30, GIII is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.53, the valuation of GIII can be described as reasonable.
Based on the Price/Forward Earnings ratio, GIII is valued cheaper than 95.92% of the companies in the same industry.
GIII's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.18 | ||
| Fwd PE | 8.53 |
4.2 Price Multiples
GIII's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GIII is cheaper than 97.96% of the companies in the same industry.
GIII's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GIII is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.25 | ||
| EV/EBITDA | 2.99 |
4.3 Compensation for Growth
The decent profitability rating of GIII may justify a higher PE ratio.
A cheap valuation may be justified as GIII's earnings are expected to decrease with -9.70% in the coming years.
PEG (NY)N/A
PEG (5Y)0.89
EPS Next 2Y-16.81%
EPS Next 3Y-9.7%
5. Dividend
5.1 Amount
No dividends for GIII!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
26.56
-0.61 (-2.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners102.41%
Inst Owner Change-2.37%
Ins Owners14.22%
Ins Owner Change8.12%
Market Cap1.12B
Analysts48.89
Price Target28.05 (5.61%)
Short Float %17.33%
Short Ratio9.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)108.81%
Min EPS beat(2)49.02%
Max EPS beat(2)168.6%
EPS beat(4)4
Avg EPS beat(4)64.57%
Min EPS beat(4)12%
Max EPS beat(4)168.6%
EPS beat(8)8
Avg EPS beat(8)114.27%
EPS beat(12)10
Avg EPS beat(12)339.59%
EPS beat(16)13
Avg EPS beat(16)259.35%
Revenue beat(2)1
Avg Revenue beat(2)1.91%
Min Revenue beat(2)-1.41%
Max Revenue beat(2)5.24%
Revenue beat(4)2
Avg Revenue beat(4)0.69%
Min Revenue beat(4)-2.97%
Max Revenue beat(4)5.24%
Revenue beat(8)2
Avg Revenue beat(8)-2.37%
Revenue beat(12)5
Avg Revenue beat(12)0.38%
Revenue beat(16)7
Avg Revenue beat(16)0.93%
PT rev (1m)0%
PT rev (3m)-15.83%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-80.01%
EPS NY rev (1m)0%
EPS NY rev (3m)-23.92%
Revenue NQ rev (1m)0.33%
Revenue NQ rev (3m)-8.07%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.18 | ||
| Fwd PE | 8.53 | ||
| P/S | 0.37 | ||
| P/FCF | 3.25 | ||
| P/OCF | 2.95 | ||
| P/B | 0.67 | ||
| P/tB | 1.1 | ||
| EV/EBITDA | 2.99 |
EPS(TTM)4.3
EY16.19%
EPS(NY)3.11
Fwd EY11.73%
FCF(TTM)8.17
FCFY30.76%
OCF(TTM)9.02
OCFY33.94%
SpS72.11
BVpS39.45
TBVpS24.1
PEG (NY)N/A
PEG (5Y)0.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.77% | ||
| ROE | 10.67% | ||
| ROCE | 13.43% | ||
| ROIC | 9.69% | ||
| ROICexc | 11.39% | ||
| ROICexgc | 18.58% | ||
| OM | 8.68% | ||
| PM (TTM) | 5.84% | ||
| GM | 40.37% | ||
| FCFM | 11.33% |
ROA(3y)3.15%
ROA(5y)3.55%
ROE(3y)4.43%
ROE(5y)5.65%
ROIC(3y)9.69%
ROIC(5y)8.57%
ROICexc(3y)11.32%
ROICexc(5y)10.23%
ROICexgc(3y)17.88%
ROICexgc(5y)16.73%
ROCE(3y)13.44%
ROCE(5y)11.88%
ROICexcg growth 3Y-5.29%
ROICexcg growth 5Y1.41%
ROICexc growth 3Y-1.7%
ROICexc growth 5Y3.6%
OM growth 3Y-5.71%
OM growth 5Y3.91%
PM growth 3Y-5.67%
PM growth 5Y5.99%
GM growth 3Y4.55%
GM growth 5Y2.91%
F-Score6
Asset Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.04 | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 134.82% | ||
| Cap/Sales | 1.17% | ||
| Interest Coverage | 12.52 | ||
| Cash Conversion | 130.9% | ||
| Profit Quality | 194.12% | ||
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 3.29 |
F-Score6
WACC10.85%
ROIC/WACC0.89
Cap/Depr(3y)106.1%
Cap/Depr(5y)94.77%
Cap/Sales(3y)0.92%
Cap/Sales(5y)0.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.87%
EPS 3Y3.49%
EPS 5Y6.92%
EPS Q2Q%-51.92%
EPS Next Y-33.12%
EPS Next 2Y-16.81%
EPS Next 3Y-9.7%
EPS Next 5YN/A
Revenue 1Y (TTM)1.19%
Revenue growth 3Y4.76%
Revenue growth 5Y0.13%
Sales Q2Q%-4.88%
Revenue Next Year-0.65%
Revenue Next 2Y-1.4%
Revenue Next 3Y-3.16%
Revenue Next 5Y-1.04%
EBIT growth 1Y-9.13%
EBIT growth 3Y-1.22%
EBIT growth 5Y4.04%
EBIT Next Year-21.91%
EBIT Next 3Y-7.78%
EBIT Next 5YN/A
FCF growth 1Y82.65%
FCF growth 3Y21.23%
FCF growth 5Y9.96%
OCF growth 1Y79.27%
OCF growth 3Y19.42%
OCF growth 5Y8.65%