LANDS' END INC (LE)
US51509F1057 - Common Stock
LE gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 123 industry peers in the Specialty Retail industry. While LE seems to be doing ok healthwise, there are quite some concerns on its profitability. LE has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year LE has reported negative net income.
LE had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: LE reported negative net income in multiple years.
LE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of LE (-16.54%) is worse than 77.69% of its industry peers.
LE's Return On Equity of -58.59% is on the low side compared to the rest of the industry. LE is outperformed by 71.90% of its industry peers.
LE has a Return On Invested Capital (3.00%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for LE is significantly below the industry average of 12.32%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -16.54% | ||
| ROE | -58.59% | ||
| ROIC | 3% |
ROA(3y)-4.68%
ROA(5y)-2.25%
ROE(3y)-16.39%
ROE(5y)-8.14%
ROIC(3y)5.12%
ROIC(5y)4.97%
1.3 Margins
LE has a Operating Margin (1.45%) which is comparable to the rest of the industry.
LE's Operating Margin has declined in the last couple of years.
LE has a Gross Margin of 44.30%. This is in the better half of the industry: LE outperforms 70.25% of its industry peers.
LE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.45% | ||
| PM (TTM) | N/A | ||
| GM | 44.3% |
OM growth 3Y-16.1%
OM growth 5Y-7.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.03%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LE is destroying value.
Compared to 1 year ago, LE has less shares outstanding
Compared to 5 years ago, LE has less shares outstanding
The debt/assets ratio for LE has been reduced compared to a year ago.
2.2 Solvency
LE has an Altman-Z score of 2.45. This is not the best score and indicates that LE is in the grey zone with still only limited risk for bankruptcy at the moment.
LE's Altman-Z score of 2.45 is in line compared to the rest of the industry. LE outperforms 55.37% of its industry peers.
The Debt to FCF ratio of LE is 4.60, which is a neutral value as it means it would take LE, 4.60 years of fcf income to pay off all of its debts.
LE's Debt to FCF ratio of 4.60 is in line compared to the rest of the industry. LE outperforms 59.50% of its industry peers.
A Debt/Equity ratio of 1.10 is on the high side and indicates that LE has dependencies on debt financing.
With a Debt to Equity ratio value of 1.10, LE perfoms like the industry average, outperforming 40.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 4.6 | ||
| Altman-Z | 2.45 |
ROIC/WACC0.24
WACC12.42%
2.3 Liquidity
A Current Ratio of 1.64 indicates that LE should not have too much problems paying its short term obligations.
LE has a better Current ratio (1.64) than 67.77% of its industry peers.
LE has a Quick Ratio of 1.64. This is a bad value and indicates that LE is not financially healthy enough and could expect problems in meeting its short term obligations.
LE's Quick ratio of 0.41 is on the low side compared to the rest of the industry. LE is outperformed by 60.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
LE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -242.11%.
Looking at the last year, LE shows a decrease in Revenue. The Revenue has decreased by -5.96% in the last year.
LE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.29% yearly.
EPS 1Y (TTM)-242.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%32%
Revenue 1Y (TTM)-5.96%
Revenue growth 3Y1.04%
Revenue growth 5Y0.29%
Sales Q2Q%-1.91%
3.2 Future
The Earnings Per Share is expected to grow by 72.92% on average over the next years. This is a very strong growth
LE is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.04% yearly.
EPS Next Y160.97%
EPS Next 2Y72.92%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-3.99%
Revenue Next 2Y-1.04%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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
The Price/Earnings Ratio is negative for LE. In the last year negative earnings were reported.
LE is valuated quite expensively with a Price/Forward Earnings ratio of 28.00.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LE is on the same level as its industry peers.
LE is valuated rather expensively when we compare the Price/Forward Earnings ratio to 23.28, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 28 |
4.2 Price Multiples
LE's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, LE is valued cheaply inside the industry as 85.95% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.77 | ||
| EV/EBITDA | 12.7 |
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.
LE's earnings are expected to grow with 72.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y72.92%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for LE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
LANDS' END INC
NASDAQ:LE (11/4/2024, 8:20:26 PM)
After market: 15.89 -0.19 (-1.18%)16.08
-0.01 (-0.06%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap501.54M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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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 | N/A | ||
| Fwd PE | 28 | ||
| 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)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -16.54% | ||
| ROE | -58.59% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 1.45% | ||
| PM (TTM) | N/A | ||
| GM | 44.3% | ||
| 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 Turnover1.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.64 | ||
| Quick Ratio | 0.41 | ||
| 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)-242.11%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y160.97%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.96%
Revenue growth 3Y1.04%
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