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Lands' End Shares Drop 1.7% to $14.96

2019 2020 2021 2022 2023 2024
Revenue (M) $1,450 $1,427 $1,637 $1,555 $1,473 $926
Gross Margins 43% 42% 42% 38% 42% 71%
Net Margins 1% 1% 2% -1% -9% 1%
Net Income (M) $19 $11 $33 -$13 -$131 $6
Net Interest Expense (M) $26 $28 $34 $40 $48 $40
Depreciation & Amort. (M) $31 $37 $39 $39 $38 $34
Diluted Shares (M) 33 34 33 32 31 31
Earnings Per Share $0.6 $0.33 $0.99 -$0.38 -$4.09 $0.2
EPS Growth n/a -45.0% 200.0% -138.38% -976.32% 104.89%
Avg. Price $13.91 $11.91 $28.55 $15.34 $9.56 $14.99
P/E Ratio 23.18 36.09 28.27 -40.37 -2.34 74.95
Free Cash Flow (M) -$12 $61 $45 -$68 $96 $15
CAPEX (M) $39 $30 $25 $32 $35 $38
EV / EBITDA 11.03 8.02 9.8 11.01 -13.31 8.05
Total Debt (M) $397 $278 $248 $237 $249 $238
Net Debt / EBITDA 5.15 3.06 1.84 3.16 -5.6 2.59
Current Ratio 1.89 1.75 1.92 1.86 1.74 1.86

Lands' End Inc. is a company in the Apparel Retail industry, and there are some important factors to consider when evaluating its investment potential.

The PEG ratio, which compares the price-to-earnings ratio to the company's growth rate, is 6.14 for Lands' End. This high PEG ratio could indicate that the market is overvaluing the company's growth potential. The company's earnings per share have declined at an annualized rate of -16.7% over the last 6 years, and its revenues are also declining at an annualized rate of -8.4%.

On the positive side, Lands' End has wider gross margins at 71% compared to the industry average of 41.67%, which suggests it may have a competitive advantage. Additionally, the company's operating margins, although lower than the industry average, are growing at an average yearly rate of 14.9%. This shows potential for improvement in the company's profitability.

Looking at valuation metrics, Lands' End has a higher P/E ratio of 40.4 compared to the Consumer Discretionary sector average of 20.93. However, its forward P/E ratio of 15.6 based on expected earnings of $0.96 per share is lower, indicating potential future earnings growth. The company's Price to Book Ratio of 1.98 is also lower than the sector average of 2.93, which could suggest that the stock is undervalued based on its book value.

Lands' End has a current ratio of 1.86, indicating that its current assets exceed its current liabilities, providing some liquidity and financial stability. However, the company has a significant amount of leverage, with a Net Debt / EBITDA ratio of 2.59, indicating high debt levels relative to its earnings.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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