TSXV:RYU

Stock Analysis Report

Executive Summary

RYU Apparel Inc. develops, markets, and distributes athletic apparel, bags, and accessories under the RYU brand for men and women.


Snowflake Analysis

Overvalued with worrying balance sheet.


Similar Companies

Share Price & News

How has RYU Apparel's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: RYU's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-20.0%

RYU

-4.8%

CA Luxury

-1.5%

CA Market


1 Year Return

-73.3%

RYU

-27.6%

CA Luxury

2.5%

CA Market

Return vs Industry: RYU underperformed the Canadian Luxury industry which returned -27.6% over the past year.

Return vs Market: RYU underperformed the Canadian Market which returned 2.5% over the past year.


Shareholder returns

RYUIndustryMarket
7 Day-20.0%-4.8%-1.5%
30 Day-47.4%-9.5%-0.7%
90 Day-33.3%-8.2%1.8%
1 Year-73.3%-73.3%-27.1%-27.6%5.7%2.5%
3 Year-84.0%-84.0%16.9%13.0%16.8%6.2%
5 Year-94.9%-94.9%39.1%29.8%32.0%12.8%

Price Volatility Vs. Market

How volatile is RYU Apparel's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is RYU Apparel undervalued compared to its fair value and its price relative to the market?

3.63x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate RYU's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate RYU's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: RYU is unprofitable, so we can't compare its PE Ratio to the Luxury industry average.

PE vs Market: RYU is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate RYU's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: RYU is good value based on its PB Ratio (3.6x) compared to the CA Luxury industry average (3.6x).


Next Steps

Future Growth

How is RYU Apparel forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.8%

Forecasted Consumer Durables industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as RYU Apparel has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has RYU Apparel performed over the past 5 years?

-29.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RYU is currently unprofitable.

Growing Profit Margin: RYU is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RYU is unprofitable, and losses have increased over the past 5 years at a rate of -29.9% per year.

Accelerating Growth: Unable to compare RYU's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: RYU is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (4.2%).


Return on Equity

High ROE: RYU has a negative Return on Equity (-552.03%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is RYU Apparel's financial position?


Financial Position Analysis

Short Term Liabilities: RYU's short term assets (CA$5.0M) do not cover its short term liabilities (CA$6.1M).

Long Term Liabilities: RYU's short term assets (CA$5.0M) do not cover its long term liabilities (CA$8.8M).


Debt to Equity History and Analysis

Debt Level: RYU's debt to equity ratio (28.2%) is considered satisfactory.

Reducing Debt: RYU's debt to equity ratio has increased from 27.4% to 28.2% over the past 5 years.


Balance Sheet

Inventory Level: RYU has a high level of physical assets or inventory.

Debt Coverage by Assets: RYU's debt is covered by short term assets (assets are 5.5x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: RYU has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: RYU has less than a year of cash runway if free cash flow continues to reduce at historical rates of -25.6% each year


Next Steps

Dividend

What is RYU Apparel's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.6%industryaverage1.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate RYU's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate RYU's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RYU's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RYU's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RYU's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.0yrs

Average management tenure


CEO

Marcello Leone (52yo)

5.2yrs

Tenure

CA$1,016,885

Compensation

Mr. Marcello Leone serves as President and Chief Executive Officer at RYU Apparel Inc. Mr. Leone has been Chairman of the Board of RYU Apparel Inc. since December 4, 2014. He is the Owner of Trace Blackwat ...


CEO Compensation Analysis

Compensation vs Market: Marcello's total compensation ($USD766.14K) is above average for companies of similar size in the Canadian market ($USD154.48K).

Compensation vs Earnings: Marcello's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Marcello Leone
Chairman of the Board5.2yrsCA$1.02m2.32% CA$291.7k
Brett Pawson
CFO, Senior VP of Retail and Operations & Corporate Secretary0.8yrsCA$263.66kno data
Alex Briglio
Vice President of Sales & Marketing0yrsno datano data
Ryan Lindholm
Senior Vice President of Marketing & Innovation1yrsno datano data

1.0yrs

Average Tenure

Experienced Management: RYU's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Marcello Leone
Chairman of the Board5.2yrsCA$1.02m2.32% CA$291.7k
Norman Campbell
Member of Advisory Board2.9yrsno datano data
Camilo Lyon
Director0.5yrsno datano data
William Marcus
Independent Director7.2yrsCA$37.38k0.086% CA$10.8k
Martino Ciambrelli
Independent Director5.2yrsCA$54.00kno data
Tony Longo
Director0.5yrsno data0.17% CA$22.0k

4.0yrs

Average Tenure

57.5yo

Average Age

Experienced Board: RYU's board of directors are considered experienced (4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 39.6%.


Top Shareholders

Company Information

RYU Apparel Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: RYU Apparel Inc.
  • Ticker: RYU
  • Exchange: TSXV
  • Founded: 2008
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: CA$12.597m
  • Shares outstanding: 629.87m
  • Website: https://ryu.com

Number of Employees


Location

  • RYU Apparel Inc.
  • 1672 West 2nd Avenue
  • Vancouver
  • British Columbia
  • V6J 1H4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RYPP.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 2011
RYUTSXV (TSX Venture Exchange)YesCommon StockCACADJan 2011
RYADB (Deutsche Boerse AG)YesCommon StockDEEURJan 2011

Biography

RYU Apparel Inc. develops, markets, and distributes athletic apparel, bags, and accessories under the RYU brand for men and women. It offers tops, bottoms, and outwear apparel; backpacks, duffle bags, and tote bags; and accessories for fitness, training, and performance and lifestyle of athletically minded individuals. The company sells its products through its retail stores and ryu.com e-commerce site, as well as through wholesale accounts. It operates six stores in Canada and three stores in the United States. RYU Apparel Inc. was founded in 2008 and is headquartered in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 01:28
End of Day Share Price2020/02/24 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.