Bedrijfsoverzicht
Weyco Group, Inc. is a specialized distributor and manufacturer focused on the design, marketing, and distribution of footwear for men, women, and children across the United States, Canada, Australia, Asia, and South Africa. The organization operates within the Consumer Cyclical sector, specifically targeting the Footwear & Accessories industry, which positions it as a player sensitive to discretionary consumer spending trends. This enterprise manages a workforce of 408 employees and holds a market capitalization of $330.08 million, reflecting its status as a mid-cap entity in the retail supply chain. With annual revenue totaling $276.17 million, the company's valuation metrics suggest a modest scale relative to large-cap industrial peers, yet the entity maintains a significant operational footprint across multiple international markets. The market capitalization indicates that the broader market values the company at a premium above its tangible book value, while the revenue figure demonstrates its ability to sustain consistent top-line operations despite fluctuations in the global footwear market.
Financiële gezondheid
The company reported a Trailing Twelve Months (TTM) revenue of $276.17 million, with a corresponding net income of $23.08 million and an EBITDA of $31.96 million. The substantial gap between the $276.17 million in revenue and the $23.08 million in net income highlights a cost structure where operating expenses, including cost of goods sold and administrative costs, absorb a significant portion of gross sales before reaching the bottom line. Free cash flow stands at $51.61 million, a figure that exceeds net income, indicating strong cash generation capabilities and providing the company with substantial financial flexibility to manage capital expenditures or service debt obligations without immediate dilution. The gross margin is recorded at 43.2%, suggesting efficient production or purchasing leverage in the footwear supply chain, while the operating margin of 13.2% reflects effective cost control before interest and taxes. Furthermore, the profit margin of 8.4% demonstrates the final efficiency of converting revenue into actual shareholder profit after all expenses are accounted for. Liquidity is supported by cash reserves of $97.43 million against total debt of $10.79 million, resulting in a conservative balance sheet posture with a debt-to-equity ratio of 4.50. The current ratio of 4.22 further confirms robust short-term liquidity, indicating that the company holds more than four times the current assets necessary to cover its current liabilities. Finally, the Return on Equity of 9.5% and Return on Assets of 5.6% reveal that management is generating modest but positive returns on the capital invested, with ROE being higher than ROA due to the capital structure involving debt.
Waarderingsbeoordeling
The trailing twelve-month P/E ratio is 14.37, whereas the forward P/E ratio is 23.88, implying that the market expects earnings growth to accelerate significantly in the coming year relative to current performance levels. The price-to-book ratio stands at 1.36, indicating that the market values the company's equity at a 36% premium over its net asset book value. Additional valuation metrics include a price-to-sales ratio of 1.20 and an EV/EBITDA of 7.49, which collectively suggest that the stock is trading at a reasonable multiple relative to its sales and earnings power compared to historical averages. The stock has experienced a trading range between a 52-week low of $27.25 and a 52-week high of $35.18, with the current price position reflecting the market's assessment of risk and future earnings potential within this specific band. The beta value of 0.86 indicates that the stock exhibits lower volatility than the broader market, suggesting it may act as a defensive component within a diversified portfolio during periods of heightened market uncertainty.
Growth & Income
Recent performance data shows a revenue growth rate of -4.6% year-over-year, while earnings growth has declined at a rate of -12.0% year-over-year. The divergence between these two figures reveals that earnings are shrinking at a faster pace than revenue, which often points to declining profitability margins or increasing cost pressures that are not yet fully reflected in the top line. The company offers a dividend yield of 3.1% and maintains a payout ratio of 44.4%, indicating that a significant portion of earnings is returned to shareholders rather than being retained for internal expansion. Given the current payout ratio and the negative earnings growth trend, the sustainability of this dividend will depend on the company's ability to stabilize or reverse its earnings decline to ensure the payout remains covered by operating profits. The overall growth and income profile presents a mixed picture characterized by a lack of top-line expansion and earnings contraction, partially offset by a consistent commitment to dividend distribution which appeals to income-focused investors seeking yield stability.