HAVERTY FURNITURE (HVT) Stock Fundamental Analysis
NYSE:HVT - New York Stock Exchange, Inc. - US4195961010 - Common Stock - Currency: USD
Overall HVT gets a fundamental rating of 6 out of 10. We evaluated HVT against 120 industry peers in the Specialty Retail industry. HVT has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. HVT has a bad growth rate and is valued cheaply. These ratings would make HVT suitable for value investing!
1. Profitability
1.1 Basic Checks
HVT had positive earnings in the past year.
HVT had a positive operating cash flow in the past year.
HVT had positive earnings in each of the past 5 years.
HVT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
HVT has a Return On Assets of 4.06%. This is in the better half of the industry: HVT outperforms 65.81% of its industry peers.
HVT has a Return On Equity of 8.69%. This is in the better half of the industry: HVT outperforms 64.96% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.18%, HVT is in line with its industry, outperforming 53.85% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for HVT is above the industry average of 12.30%.
The last Return On Invested Capital (4.18%) for HVT is well below the 3 year average (15.66%), which needs to be investigated, but indicates that HVT had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 8.69% | ||
| ROIC | 4.18% |
ROA(3y)11.87%
ROA(5y)9.64%
ROE(3y)28.21%
ROE(5y)23.28%
ROIC(3y)15.66%
ROIC(5y)12.81%
1.3 Margins
With a decent Profit Margin value of 3.57%, HVT is doing good in the industry, outperforming 71.79% of the companies in the same industry.
In the last couple of years the Profit Margin of HVT has grown nicely.
HVT has a Operating Margin (3.82%) which is comparable to the rest of the industry.
HVT's Operating Margin has improved in the last couple of years.
HVT's Gross Margin of 60.90% is amongst the best of the industry. HVT outperforms 90.60% of its industry peers.
HVT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.82% | ||
| PM (TTM) | 3.57% | ||
| GM | 60.9% |
OM growth 3Y-8.68%
OM growth 5Y8.8%
PM growth 3Y-6.13%
PM growth 5Y12.01%
GM growth 3Y2.71%
GM growth 5Y2.13%
2. Health
2.1 Basic Checks
HVT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for HVT has been reduced compared to 1 year ago.
HVT has less shares outstanding than it did 5 years ago.
HVT 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
HVT has an Altman-Z score of 2.97. This is not the best score and indicates that HVT is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.97, HVT is doing good in the industry, outperforming 66.67% of the companies in the same industry.
HVT 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 | 2.97 |
ROIC/WACC0.41
WACC10.27%
2.3 Liquidity
HVT has a Current Ratio of 1.82. This is a normal value and indicates that HVT is financially healthy and should not expect problems in meeting its short term obligations.
HVT has a better Current ratio (1.82) than 80.34% of its industry peers.
HVT has a Quick Ratio of 1.17. This is a normal value and indicates that HVT is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.17, HVT is in the better half of the industry, outperforming 78.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
The earnings per share for HVT have decreased strongly by -59.02% in the last year.
The Earnings Per Share has been growing by 18.80% on average over the past years. This is quite good.
Looking at the last year, HVT shows a very negative growth in Revenue. The Revenue has decreased by -19.60% in the last year.
The Revenue has been growing slightly by 1.06% on average over the past years.
EPS 1Y (TTM)-59.02%
EPS 3Y20.72%
EPS 5Y18.8%
EPS Q2Q%-72.55%
Revenue 1Y (TTM)-19.6%
Revenue growth 3Y4.83%
Revenue growth 5Y1.06%
Sales Q2Q%-20.17%
3.2 Future
Based on estimates for the next years, HVT will show a decrease in Earnings Per Share. The EPS will decrease by -7.77% on average per year.
The Revenue is expected to decrease by -3.07% on average over the next years.
EPS Next Y-74.25%
EPS Next 2Y-22.08%
EPS Next 3Y-7.77%
EPS Next 5YN/A
Revenue Next Year-18.76%
Revenue Next 2Y-7.68%
Revenue Next 3Y-3.07%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.30, HVT is valued correctly.
78.63% of the companies in the same industry are more expensive than HVT, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of HVT to the average of the S&P500 Index (29.63), we can say HVT is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.36, the valuation of HVT can be described as reasonable.
Based on the Price/Forward Earnings ratio, HVT is valued cheaply inside the industry as 80.34% of the companies are valued more expensively.
HVT's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 10.36 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HVT indicates a rather cheap valuation: HVT is cheaper than 89.74% of the companies listed in the same industry.
81.20% of the companies in the same industry are more expensive than HVT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.05 | ||
| EV/EBITDA | 4.76 |
4.3 Compensation for Growth
The excellent profitability rating of HVT may justify a higher PE ratio.
HVT's earnings are expected to decrease with -7.77% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.71
EPS Next 2Y-22.08%
EPS Next 3Y-7.77%
5. Dividend
5.1 Amount
HVT has a Yearly Dividend Yield of 5.91%, which is a nice return.
Compared to an average industry Dividend Yield of 4.31, HVT pays a better dividend. On top of this HVT pays more dividend than 93.16% of the companies listed in the same industry.
HVT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
5.2 History
The dividend of HVT has a limited annual growth rate of 5.06%.
HVT has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of HVT decreased recently.
Dividend Growth(5Y)5.06%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
HVT pays out 135.40% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of HVT has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP135.4%
EPS Next 2Y-22.08%
EPS Next 3Y-7.77%
21.14
-0.5 (-2.31%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners89.16%
Inst Owner Change-2.91%
Ins Owners10.74%
Ins Owner Change0%
Market Cap346.91M
Analysts80
Price Target35.7 (68.87%)
Short Float %9.34%
Short Ratio10.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
Yearly Dividend2.18
Dividend Growth(5Y)5.06%
DP135.4%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.91%
Min EPS beat(2)-41.43%
Max EPS beat(2)57.25%
EPS beat(4)1
Avg EPS beat(4)-14.08%
Min EPS beat(4)-61.85%
Max EPS beat(4)57.25%
EPS beat(8)3
Avg EPS beat(8)-7.63%
EPS beat(12)7
Avg EPS beat(12)9.25%
EPS beat(16)11
Avg EPS beat(16)23.68%
Revenue beat(2)0
Avg Revenue beat(2)-7.32%
Min Revenue beat(2)-10.52%
Max Revenue beat(2)-4.12%
Revenue beat(4)0
Avg Revenue beat(4)-8.08%
Min Revenue beat(4)-10.52%
Max Revenue beat(4)-4.12%
Revenue beat(8)1
Avg Revenue beat(8)-5.74%
Revenue beat(12)5
Avg Revenue beat(12)-2.2%
Revenue beat(16)8
Avg Revenue beat(16)0.31%
PT rev (1m)0%
PT rev (3m)-3.67%
EPS NQ rev (1m)-21.05%
EPS NQ rev (3m)-33.33%
EPS NY rev (1m)-4.1%
EPS NY rev (3m)-7.88%
Revenue NQ rev (1m)-1.23%
Revenue NQ rev (3m)-2.99%
Revenue NY rev (1m)-0.31%
Revenue NY rev (3m)-0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.3 | ||
| Fwd PE | 10.36 | ||
| P/S | 0.46 | ||
| P/FCF | 12.05 | ||
| P/OCF | 5.8 | ||
| P/B | 1.13 | ||
| P/tB | 1.13 | ||
| EV/EBITDA | 4.76 |
EPS(TTM)1.59
EY7.52%
EPS(NY)2.04
Fwd EY9.65%
FCF(TTM)1.75
FCFY8.3%
OCF(TTM)3.64
OCFY17.24%
SpS45.66
BVpS18.76
TBVpS18.76
PEG (NY)N/A
PEG (5Y)0.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 8.69% | ||
| ROCE | 5.49% | ||
| ROIC | 4.18% | ||
| ROICexc | 5.45% | ||
| ROICexgc | 5.45% | ||
| OM | 3.82% | ||
| PM (TTM) | 3.57% | ||
| GM | 60.9% | ||
| FCFM | 3.84% |
ROA(3y)11.87%
ROA(5y)9.64%
ROE(3y)28.21%
ROE(5y)23.28%
ROIC(3y)15.66%
ROIC(5y)12.81%
ROICexc(3y)22.06%
ROICexc(5y)18.62%
ROICexgc(3y)22.06%
ROICexgc(5y)18.62%
ROCE(3y)20.57%
ROCE(5y)16.83%
ROICexcg growth 3Y-15.04%
ROICexcg growth 5Y2.67%
ROICexc growth 3Y-15.04%
ROICexc growth 5Y2.67%
OM growth 3Y-8.68%
OM growth 5Y8.8%
PM growth 3Y-6.13%
PM growth 5Y12.01%
GM growth 3Y2.71%
GM growth 5Y2.13%
F-Score7
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 150.99% | ||
| Cap/Sales | 4.14% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 121.62% | ||
| Profit Quality | 107.59% | ||
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | 2.97 |
F-Score7
WACC10.27%
ROIC/WACC0.41
Cap/Depr(3y)220.92%
Cap/Depr(5y)160.84%
Cap/Sales(3y)4.08%
Cap/Sales(5y)3.16%
Profit Quality(3y)57.69%
Profit Quality(5y)117.54%
High Growth Momentum
Growth
EPS 1Y (TTM)-59.02%
EPS 3Y20.72%
EPS 5Y18.8%
EPS Q2Q%-72.55%
EPS Next Y-74.25%
EPS Next 2Y-22.08%
EPS Next 3Y-7.77%
EPS Next 5YN/A
Revenue 1Y (TTM)-19.6%
Revenue growth 3Y4.83%
Revenue growth 5Y1.06%
Sales Q2Q%-20.17%
Revenue Next Year-18.76%
Revenue Next 2Y-7.68%
Revenue Next 3Y-3.07%
Revenue Next 5YN/A
EBIT growth 1Y-65.12%
EBIT growth 3Y-4.27%
EBIT growth 5Y9.96%
EBIT Next Year-42.06%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y57.33%
FCF growth 3Y-28.24%
FCF growth 5Y-2.05%
OCF growth 1Y28.86%
OCF growth 3Y-9.28%
OCF growth 5Y6.66%