STEVEN MADDEN LTD (SHOO) Stock Fundamental Analysis
NASDAQ:SHOO - Nasdaq - US5562691080 - Common Stock - Currency: USD
Overall SHOO gets a fundamental rating of 7 out of 10. We evaluated SHOO against 50 industry peers in the Textiles, Apparel & Luxury Goods industry. Both the health and profitability get an excellent rating, making SHOO a very profitable company, without any liquidiy or solvency issues. SHOO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SHOO was profitable.
In the past year SHOO had a positive cash flow from operations.
SHOO had positive earnings in 4 of the past 5 years.
SHOO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SHOO has a Return On Assets of 11.62%. This is amongst the best in the industry. SHOO outperforms 86.00% of its industry peers.
SHOO's Return On Equity of 18.95% is fine compared to the rest of the industry. SHOO outperforms 76.00% of its industry peers.
The Return On Invested Capital of SHOO (18.56%) is better than 90.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SHOO is significantly above the industry average of 11.17%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.62% | ||
| ROE | 18.95% | ||
| ROIC | 18.56% |
ROA(3y)13.97%
ROA(5y)10.87%
ROE(3y)22.22%
ROE(5y)17.55%
ROIC(3y)20.07%
ROIC(5y)17.19%
1.3 Margins
SHOO's Profit Margin of 7.26% is fine compared to the rest of the industry. SHOO outperforms 78.00% of its industry peers.
SHOO's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 10.82%, SHOO is in the better half of the industry, outperforming 74.00% of the companies in the same industry.
SHOO's Operating Margin has been stable in the last couple of years.
SHOO's Gross Margin of 41.08% is on the low side compared to the rest of the industry. SHOO is outperformed by 68.00% of its industry peers.
In the last couple of years the Gross Margin of SHOO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.82% | ||
| PM (TTM) | 7.26% | ||
| GM | 41.08% |
OM growth 3Y-6.39%
OM growth 5Y1.47%
PM growth 3Y-10.12%
PM growth 5Y-1.26%
GM growth 3Y-0.07%
GM growth 5Y1.35%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so SHOO is creating value.
SHOO has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SHOO has less shares outstanding
SHOO 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
An Altman-Z score of 6.43 indicates that SHOO is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 6.43, SHOO belongs to the best of the industry, outperforming 94.00% of the companies in the same industry.
There is no outstanding debt for SHOO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.43 |
ROIC/WACC2.04
WACC9.11%
2.3 Liquidity
SHOO has a Current Ratio of 2.25. This indicates that SHOO is financially healthy and has no problem in meeting its short term obligations.
SHOO has a Current ratio of 2.25. This is comparable to the rest of the industry: SHOO outperforms 60.00% of its industry peers.
SHOO has a Quick Ratio of 1.64. This is a normal value and indicates that SHOO is financially healthy and should not expect problems in meeting its short term obligations.
SHOO has a Quick ratio of 1.64. This is in the better half of the industry: SHOO outperforms 78.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
SHOO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.77%.
SHOO shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.57% yearly.
The Revenue has grown by 10.34% in the past year. This is quite good.
The Revenue has been growing slightly by 5.02% on average over the past years.
EPS 1Y (TTM)0.77%
EPS 3Y3.18%
EPS 5Y6.57%
EPS Q2Q%-7.69%
Revenue 1Y (TTM)10.34%
Revenue growth 3Y6.95%
Revenue growth 5Y5.02%
Sales Q2Q%0.15%
3.2 Future
The Earnings Per Share is expected to grow by 3.56% on average over the next years.
SHOO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.96% yearly.
EPS Next Y-47.34%
EPS Next 2Y-13.99%
EPS Next 3Y-5.49%
EPS Next 5Y3.56%
Revenue Next Year11.95%
Revenue Next 2Y10.07%
Revenue Next 3Y6.17%
Revenue Next 5Y4.96%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.06, the valuation of SHOO can be described as very reasonable.
SHOO's Price/Earnings ratio is rather cheap when compared to the industry. SHOO is cheaper than 84.00% of the companies in the same industry.
SHOO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.50.
Based on the Price/Forward Earnings ratio of 13.35, the valuation of SHOO can be described as correct.
SHOO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SHOO is cheaper than 72.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.44. SHOO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.06 | ||
| Fwd PE | 13.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SHOO is valued a bit cheaper than 78.00% of the companies in the same industry.
78.00% of the companies in the same industry are more expensive than SHOO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.78 | ||
| EV/EBITDA | 6.53 |
4.3 Compensation for Growth
SHOO has a very decent profitability rating, which may justify a higher PE ratio.
SHOO's earnings are expected to decrease with -5.49% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.53
EPS Next 2Y-13.99%
EPS Next 3Y-5.49%
5. Dividend
5.1 Amount
SHOO has a Yearly Dividend Yield of 3.23%.
SHOO's Dividend Yield is rather good when compared to the industry average which is at 3.54. SHOO pays more dividend than 88.00% of the companies in the same industry.
SHOO's Dividend Yield is a higher than the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.23% |
5.2 History
On average, the dividend of SHOO grows each year by 7.91%, which is quite nice.
SHOO has been paying a dividend for over 5 years, so it has already some track record.
SHOO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.91%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
36.66% of the earnings are spent on dividend by SHOO. This is a low number and sustainable payout ratio.
SHOO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP36.66%
EPS Next 2Y-13.99%
EPS Next 3Y-5.49%
26.47
+0.34 (+1.3%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners105.44%
Inst Owner Change-0.01%
Ins Owners2.28%
Ins Owner Change2.39%
Market Cap1.92B
Analysts74.67
Price Target28.18 (6.46%)
Short Float %6.46%
Short Ratio2.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.23% |
Yearly Dividend0.84
Dividend Growth(5Y)7.91%
DP36.66%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.95%
Min EPS beat(2)1.99%
Max EPS beat(2)29.91%
EPS beat(4)4
Avg EPS beat(4)9.44%
Min EPS beat(4)0.19%
Max EPS beat(4)29.91%
EPS beat(8)8
Avg EPS beat(8)7.12%
EPS beat(12)10
Avg EPS beat(12)4.4%
EPS beat(16)14
Avg EPS beat(16)12.26%
Revenue beat(2)1
Avg Revenue beat(2)0.51%
Min Revenue beat(2)-3.06%
Max Revenue beat(2)4.08%
Revenue beat(4)2
Avg Revenue beat(4)0.25%
Min Revenue beat(4)-3.06%
Max Revenue beat(4)4.08%
Revenue beat(8)3
Avg Revenue beat(8)-0.41%
Revenue beat(12)7
Avg Revenue beat(12)0.72%
Revenue beat(16)10
Avg Revenue beat(16)2.32%
PT rev (1m)-2.88%
PT rev (3m)-26.22%
EPS NQ rev (1m)-2.41%
EPS NQ rev (3m)-61.18%
EPS NY rev (1m)5.57%
EPS NY rev (3m)-40.96%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)-4.74%
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-6.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.06 | ||
| Fwd PE | 13.35 | ||
| P/S | 0.84 | ||
| P/FCF | 11.78 | ||
| P/OCF | 9.86 | ||
| P/B | 2.2 | ||
| P/tB | 3.34 | ||
| EV/EBITDA | 6.53 |
EPS(TTM)2.63
EY9.94%
EPS(NY)1.98
Fwd EY7.49%
FCF(TTM)2.25
FCFY8.49%
OCF(TTM)2.68
OCFY10.14%
SpS31.45
BVpS12.05
TBVpS7.92
PEG (NY)N/A
PEG (5Y)1.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.62% | ||
| ROE | 18.95% | ||
| ROCE | 23.92% | ||
| ROIC | 18.56% | ||
| ROICexc | 21.65% | ||
| ROICexgc | 32.74% | ||
| OM | 10.82% | ||
| PM (TTM) | 7.26% | ||
| GM | 41.08% | ||
| FCFM | 7.14% |
ROA(3y)13.97%
ROA(5y)10.87%
ROE(3y)22.22%
ROE(5y)17.55%
ROIC(3y)20.07%
ROIC(5y)17.19%
ROICexc(3y)26.91%
ROICexc(5y)23.43%
ROICexgc(3y)44.98%
ROICexgc(5y)39.85%
ROCE(3y)25.87%
ROCE(5y)22.16%
ROICexcg growth 3Y-8.75%
ROICexcg growth 5Y-0.19%
ROICexc growth 3Y-6.05%
ROICexc growth 5Y3.67%
OM growth 3Y-6.39%
OM growth 5Y1.47%
PM growth 3Y-10.12%
PM growth 5Y-1.26%
GM growth 3Y-0.07%
GM growth 5Y1.35%
F-Score6
Asset Turnover1.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 154.03% | ||
| Cap/Sales | 1.39% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.84% | ||
| Profit Quality | 98.38% | ||
| Current Ratio | 2.25 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 6.43 |
F-Score6
WACC9.11%
ROIC/WACC2.04
Cap/Depr(3y)114.81%
Cap/Depr(5y)85.15%
Cap/Sales(3y)0.99%
Cap/Sales(5y)0.78%
Profit Quality(3y)113.13%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.77%
EPS 3Y3.18%
EPS 5Y6.57%
EPS Q2Q%-7.69%
EPS Next Y-47.34%
EPS Next 2Y-13.99%
EPS Next 3Y-5.49%
EPS Next 5Y3.56%
Revenue 1Y (TTM)10.34%
Revenue growth 3Y6.95%
Revenue growth 5Y5.02%
Sales Q2Q%0.15%
Revenue Next Year11.95%
Revenue Next 2Y10.07%
Revenue Next 3Y6.17%
Revenue Next 5Y4.96%
EBIT growth 1Y6.66%
EBIT growth 3Y0.11%
EBIT growth 5Y6.56%
EBIT Next Year-29.13%
EBIT Next 3Y-0.98%
EBIT Next 5Y7.23%
FCF growth 1Y-36.6%
FCF growth 3Y4.04%
FCF growth 5Y-4.39%
OCF growth 1Y-28.84%
OCF growth 3Y7.49%
OCF growth 5Y-3.26%