PVH CORP (PVH) Stock Fundamental Analysis
NYSE:PVH - New York Stock Exchange, Inc. - US6936561009 - Common Stock - Currency: USD
Overall PVH gets a fundamental rating of 5 out of 10. We evaluated PVH against 48 industry peers in the Textiles, Apparel & Luxury Goods industry. PVH has only an average score on both its financial health and profitability. PVH scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, PVH could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year PVH was profitable.
In the past year PVH had a positive cash flow from operations.
PVH had positive earnings in 4 of the past 5 years.
In the past 5 years PVH always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.77%, PVH perfoms like the industry average, outperforming 54.17% of the companies in the same industry.
With a Return On Equity value of 8.71%, PVH perfoms like the industry average, outperforming 54.17% of the companies in the same industry.
The Return On Invested Capital of PVH (6.02%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for PVH is below the industry average of 11.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.77% | ||
| ROE | 8.71% | ||
| ROIC | 6.02% |
ROA(3y)4.36%
ROA(5y)2.44%
ROE(3y)9.53%
ROE(5y)4.52%
ROIC(3y)7.83%
ROIC(5y)6.46%
1.3 Margins
With a Profit Margin value of 4.63%, PVH perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
PVH's Profit Margin has improved in the last couple of years.
The Operating Margin of PVH (6.82%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of PVH has remained more or less at the same level.
The Gross Margin of PVH (58.79%) is better than 70.83% of its industry peers.
PVH's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.82% | ||
| PM (TTM) | 4.63% | ||
| GM | 58.79% |
OM growth 3Y-13.18%
OM growth 5Y0.59%
PM growth 3Y-12.72%
PM growth 5Y10.43%
GM growth 3Y0.72%
GM growth 5Y1.79%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PVH is still creating some value.
The number of shares outstanding for PVH has been reduced compared to 1 year ago.
Compared to 5 years ago, PVH has less shares outstanding
PVH has a better debt/assets ratio than last year.
2.2 Solvency
PVH has an Altman-Z score of 2.14. This is not the best score and indicates that PVH 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 2.14, PVH is doing worse than 75.00% of the companies in the same industry.
The Debt to FCF ratio of PVH is 3.98, which is a good value as it means it would take PVH, 3.98 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 3.98, PVH is doing good in the industry, outperforming 60.42% of the companies in the same industry.
PVH has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
PVH has a Debt to Equity ratio of 0.40. This is comparable to the rest of the industry: PVH outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 3.98 | ||
| Altman-Z | 2.14 |
ROIC/WACC0.79
WACC7.66%
2.3 Liquidity
A Current Ratio of 1.11 indicates that PVH should not have too much problems paying its short term obligations.
PVH has a Current ratio of 1.11. This is amonst the worse of the industry: PVH underperforms 89.58% of its industry peers.
PVH has a Quick Ratio of 1.11. This is a bad value and indicates that PVH is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.53, PVH is doing worse than 93.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.07% over the past year.
The Earnings Per Share has been growing slightly by 4.27% on average over the past years.
The Revenue has decreased by -3.63% in the past year.
Measured over the past years, PVH shows a decrease in Revenue. The Revenue has been decreasing by -2.67% on average per year.
EPS 1Y (TTM)5.07%
EPS 3Y5.03%
EPS 5Y4.27%
EPS Q2Q%-6.12%
Revenue 1Y (TTM)-3.63%
Revenue growth 3Y-1.86%
Revenue growth 5Y-2.67%
Sales Q2Q%1.62%
3.2 Future
Based on estimates for the next years, PVH will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.30% on average per year.
PVH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.93% yearly.
EPS Next Y-6.58%
EPS Next 2Y2.61%
EPS Next 3Y6.15%
EPS Next 5Y10.3%
Revenue Next Year2.37%
Revenue Next 2Y2.19%
Revenue Next 3Y2.49%
Revenue Next 5Y2.93%
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
PVH is valuated cheaply with a Price/Earnings ratio of 6.17.
Based on the Price/Earnings ratio, PVH is valued cheaper than 93.75% of the companies in the same industry.
PVH is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 5.78 indicates a rather cheap valuation of PVH.
97.92% of the companies in the same industry are more expensive than PVH, based on the Price/Forward Earnings ratio.
PVH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.17 | ||
| Fwd PE | 5.78 |
4.2 Price Multiples
81.25% of the companies in the same industry are more expensive than PVH, based on the Enterprise Value to EBITDA ratio.
87.50% of the companies in the same industry are more expensive than PVH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.83 | ||
| EV/EBITDA | 6.13 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.44
EPS Next 2Y2.61%
EPS Next 3Y6.15%
5. Dividend
5.1 Amount
PVH has a yearly dividend return of 0.23%, which is pretty low.
PVH's Dividend Yield is a higher than the industry average which is at 3.86.
With a Dividend Yield of 0.23, PVH pays less dividend than the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
5.2 History
The dividend of PVH has a limited annual growth rate of 0.18%.
PVH has paid a dividend for at least 10 years, which is a reliable track record.
PVH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)0.18%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
PVH pays out 2.06% of its income as dividend. This is a sustainable payout ratio.
The dividend of PVH is growing, but earnings are growing more, so the dividend growth is sustainable.
DP2.06%
EPS Next 2Y2.61%
EPS Next 3Y6.15%
71.59
+2.99 (+4.36%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners113.95%
Inst Owner Change-6.96%
Ins Owners0.79%
Ins Owner Change13.72%
Market Cap3.44B
Analysts75.79
Price Target91.41 (27.69%)
Short Float %14.07%
Short Ratio3.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
Yearly Dividend0.16
Dividend Growth(5Y)0.18%
DP2.06%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.96%
Min EPS beat(2)0.73%
Max EPS beat(2)1.19%
EPS beat(4)4
Avg EPS beat(4)11.97%
Min EPS beat(4)0.73%
Max EPS beat(4)30.12%
EPS beat(8)8
Avg EPS beat(8)10.07%
EPS beat(12)12
Avg EPS beat(12)12.75%
EPS beat(16)16
Avg EPS beat(16)23.88%
Revenue beat(2)2
Avg Revenue beat(2)1.07%
Min Revenue beat(2)0.62%
Max Revenue beat(2)1.51%
Revenue beat(4)3
Avg Revenue beat(4)0.52%
Min Revenue beat(4)-0.66%
Max Revenue beat(4)1.51%
Revenue beat(8)4
Avg Revenue beat(8)0.09%
Revenue beat(12)7
Avg Revenue beat(12)0.15%
Revenue beat(16)10
Avg Revenue beat(16)0.43%
PT rev (1m)-3.21%
PT rev (3m)-23.95%
EPS NQ rev (1m)-18.67%
EPS NQ rev (3m)-20.83%
EPS NY rev (1m)-9.8%
EPS NY rev (3m)-8.53%
Revenue NQ rev (1m)2.59%
Revenue NQ rev (3m)1.96%
Revenue NY rev (1m)1.98%
Revenue NY rev (3m)2.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.17 | ||
| Fwd PE | 5.78 | ||
| P/S | 0.4 | ||
| P/FCF | 5.83 | ||
| P/OCF | 4.67 | ||
| P/B | 0.74 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.13 |
EPS(TTM)11.61
EY16.22%
EPS(NY)12.38
Fwd EY17.3%
FCF(TTM)12.29
FCFY17.16%
OCF(TTM)15.34
OCFY21.43%
SpS180.97
BVpS96.23
TBVpS-7.9
PEG (NY)N/A
PEG (5Y)1.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.77% | ||
| ROE | 8.71% | ||
| ROCE | 7.46% | ||
| ROIC | 6.02% | ||
| ROICexc | 6.17% | ||
| ROICexgc | 16.91% | ||
| OM | 6.82% | ||
| PM (TTM) | 4.63% | ||
| GM | 58.79% | ||
| FCFM | 6.79% |
ROA(3y)4.36%
ROA(5y)2.44%
ROE(3y)9.53%
ROE(5y)4.52%
ROIC(3y)7.83%
ROIC(5y)6.46%
ROICexc(3y)8.49%
ROICexc(5y)7.11%
ROICexgc(3y)27.32%
ROICexgc(5y)23.93%
ROCE(3y)9.59%
ROCE(5y)7.9%
ROICexcg growth 3Y-15.07%
ROICexcg growth 5Y7.78%
ROICexc growth 3Y-11.77%
ROICexc growth 5Y5.22%
OM growth 3Y-13.18%
OM growth 5Y0.59%
PM growth 3Y-12.72%
PM growth 5Y10.43%
GM growth 3Y0.72%
GM growth 5Y1.79%
F-Score5
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 3.98 | ||
| Debt/EBITDA | 2.11 | ||
| Cap/Depr | 52.77% | ||
| Cap/Sales | 1.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.57% | ||
| Profit Quality | 146.56% | ||
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 2.14 |
F-Score5
WACC7.66%
ROIC/WACC0.79
Cap/Depr(3y)78.13%
Cap/Depr(5y)77.89%
Cap/Sales(3y)2.57%
Cap/Sales(5y)2.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.07%
EPS 3Y5.03%
EPS 5Y4.27%
EPS Q2Q%-6.12%
EPS Next Y-6.58%
EPS Next 2Y2.61%
EPS Next 3Y6.15%
EPS Next 5Y10.3%
Revenue 1Y (TTM)-3.63%
Revenue growth 3Y-1.86%
Revenue growth 5Y-2.67%
Sales Q2Q%1.62%
Revenue Next Year2.37%
Revenue Next 2Y2.19%
Revenue Next 3Y2.49%
Revenue Next 5Y2.93%
EBIT growth 1Y-35.86%
EBIT growth 3Y-14.8%
EBIT growth 5Y-2.1%
EBIT Next Year32.09%
EBIT Next 3Y10.36%
EBIT Next 5Y7.43%
FCF growth 1Y2176.06%
FCF growth 3Y-10.17%
FCF growth 5Y-2.92%
OCF growth 1Y175.52%
OCF growth 3Y-11.56%
OCF growth 5Y-6.2%