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IDG

Indigo Books & Music TSX:IDG Stock Report

Last Price

CA$3.45

Market Cap

CA$94.3m

7D

-4.7%

1Y

-3.4%

Updated

23 May, 2022

Data

Company Financials +
IDG fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance0/6
Financial Health6/6
Dividends0/6

IDG Stock Overview

Indigo Books & Music Inc., together with its subsidiaries, operates as a book and lifestyle retailer in Canada and the United States.

Indigo Books & Music Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Indigo Books & Music
Historical stock prices
Current Share PriceCA$3.45
52 Week HighCA$5.10
52 Week LowCA$3.14
Beta1.33
1 Month Change-5.22%
3 Month Change-13.75%
1 Year Change-3.36%
3 Year Change-62.50%
5 Year Change-78.29%
Change since IPO-76.53%

Recent News & Updates

May 10
Is It Too Late To Consider Buying Indigo Books & Music Inc. (TSE:IDG)?

Is It Too Late To Consider Buying Indigo Books & Music Inc. (TSE:IDG)?

While Indigo Books & Music Inc. ( TSE:IDG ) might not be the most widely known stock at the moment, it saw a decent...

Shareholder Returns

IDGCA Specialty RetailCA Market
7D-4.7%-1.1%0.2%
1Y-3.4%-5.0%4.8%

Return vs Industry: IDG exceeded the Canadian Specialty Retail industry which returned -5% over the past year.

Return vs Market: IDG underperformed the Canadian Market which returned 4.8% over the past year.

Price Volatility

Is IDG's price volatile compared to industry and market?
IDG volatility
IDG Average Weekly Movement5.5%
Specialty Retail Industry Average Movement6.3%
Market Average Movement9.8%
10% most volatile stocks in CA Market17.0%
10% least volatile stocks in CA Market4.3%

Stable Share Price: IDG is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: IDG's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19405,000Heather Reismanhttps://www.chapters.indigo.ca

Indigo Books & Music Inc., together with its subsidiaries, operates as a book and lifestyle retailer in Canada and the United States. It also offers books, toys, gifts, baby, kids, wellness, lifestyle, living, fashion, paper, home, and electronics products. The company provides its products under the OUI STUDIO, OUI Design Auria, LOVE & LORE, nóta, Wonder Co., Mini Maison, and The Littlest brands.

Indigo Books & Music Fundamentals Summary

How do Indigo Books & Music's earnings and revenue compare to its market cap?
IDG fundamental statistics
Market CapCA$94.33m
Earnings (TTM)-CA$12.75m
Revenue (TTM)CA$1.04b

0.1x

P/S Ratio

-7.4x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IDG income statement (TTM)
RevenueCA$1.04b
Cost of RevenueCA$610.01m
Gross ProfitCA$430.50m
Other ExpensesCA$443.25m
Earnings-CA$12.75m

Last Reported Earnings

Jan 01, 2022

Next Earnings Date

Jun 02, 2022

Earnings per share (EPS)-0.47
Gross Margin41.37%
Net Profit Margin-1.23%
Debt/Equity Ratio0%

How did IDG perform over the long term?

See historical performance and comparison

Valuation

Is Indigo Books & Music undervalued compared to its fair value and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


42.4%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: IDG (CA$3.45) is trading below our estimate of fair value (CA$5.99)

Significantly Below Fair Value: IDG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: IDG is unprofitable, so we can't compare its PE Ratio to the Canadian Specialty Retail industry average.

PE vs Market: IDG 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 IDG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: IDG is overvalued based on its PB Ratio (1.8x) compared to the CA Specialty Retail industry average (1.4x).


Future Growth

How is Indigo Books & Music forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


6.7%

Forecasted annual revenue growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if IDG's forecast earnings growth is above the savings rate (1.6%).

Earnings vs Market: Insufficient data to determine if IDG's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: IDG's revenue (6.7% per year) is forecast to grow faster than the Canadian market (6.4% per year).

High Growth Revenue: IDG's revenue (6.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if IDG's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Indigo Books & Music performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-49.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: IDG is currently unprofitable.

Growing Profit Margin: IDG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: IDG is unprofitable, and losses have increased over the past 5 years at a rate of 49.6% per year.

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

Earnings vs Industry: IDG is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (66.1%).


Return on Equity

High ROE: IDG has a negative Return on Equity (-24.52%), as it is currently unprofitable.


Financial Health

How is Indigo Books & Music's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: IDG's short term assets (CA$493.1M) exceed its short term liabilities (CA$409.7M).

Long Term Liabilities: IDG's short term assets (CA$493.1M) exceed its long term liabilities (CA$454.8M).


Debt to Equity History and Analysis

Debt Level: IDG is debt free.

Reducing Debt: IDG has not had any debt for past 5 years.


Balance Sheet


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: Whilst unprofitable IDG has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: IDG is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 27.8% per year.


Dividend

What is Indigo Books & Music current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: IDG is not paying a notable dividend for the Canadian market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as IDG has not reported any payouts.


Discover strong dividend paying companies

Management

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

1.3yrs

Average management tenure


CEO

Heather Reisman (71 yo)

26.33yrs

Tenure

Ms. Heather M. Reisman is the Founder of Indigo Books & Music Inc. (books and music) and Chief Executive Officer since 1996. Ms. Reisman serves as a Secretary of Mount Sinai Hospital. She is the Owner of C...


CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Heather's total compensation is reasonable compared to companies of similar size in the Canadian market.

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


Leadership Team

Experienced Management: IDG's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: IDG's board of directors are seasoned and experienced ( 14.3 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Indigo Books & Music Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Indigo Books & Music Inc.
  • Ticker: IDG
  • Exchange: TSX
  • Founded: 1940
  • Industry: Specialty Stores
  • Sector: Retail
  • Implied Market Cap: CA$94.329m
  • Shares outstanding: 27.34m
  • Website: https://www.chapters.indigo.ca

Number of Employees


Location

  • Indigo Books & Music Inc.
  • 620 King Street West
  • Suite 400
  • Toronto
  • Ontario
  • M5V 1M6
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/23 00:00
End of Day Share Price2022/05/20 00:00
Earnings2022/01/01
Annual Earnings2021/04/03


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.