Roots
Roots Corporation, together with its subsidiaries, provides a portfolio of apparel, leather goods, accessories, and footwear products under the Roots brand. The last earnings update was 75 days ago. More info.
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- Roots has significant price volatility in the past 3 months.
ROOT Share Price and Events
7 Day Returns
1 Year Returns
ROOT Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Roots (ROOT) | 2.8% | 18.8% | 9.3% | -62.8% | - | - |
| CA Specialty Retail | -0.1% | -1.1% | -5.5% | -29.4% | 2% | -20.7% |
| CA Market | -0.4% | 3.7% | 2.3% | -1.1% | 20.3% | 4.2% |
1 Year Return vs Industry and Market
- ROOT underperformed the Specialty Retail industry which returned -29.4% over the past year.
- ROOT underperformed the Market in Canada which returned -1.1% over the past year.
ROOT Value
Is Roots undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Roots
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Roots.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 9 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 10% |
| Perpetual Growth Rate | 10-Year CA Government Bond Rate | 1.9% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year CA Govt Bond Rate | 1.9% |
| Equity Risk Premium | S&P Global | 8.1% |
| Specialty Retail Unlevered Beta | Simply Wall St/ S&P Global | 0.65 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.647 (1 + (1- 26.5%) (72.92%)) |
0.994 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.99 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (0.994 * 8.05%) |
9.95% |
Discounted Cash Flow Calculation for TSX:ROOT using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Roots is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.
| 2019 | 2020 | 2021 | 2022 | 2023 | |
| Levered FCF (CAD, Millions) | -7.30 | 18.43 | 21.00 | 24.57 | 28.50 |
| Source | Analyst x3 | Analyst x3 | Analyst x1 | Est @ 17%, capped from 17.15% | Est @ 16%, capped from 17.15% |
|
Present Value Discounted (@ 9.95%) |
-6.64 | 15.24 | 15.80 | 16.81 | 17.74 |
| Present value of next 5 years cash flows | CA$58.95 |
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2023
× (1 + g) ÷ (Discount Rate – g)
= CA$28.50 × (1 + 1.95%) ÷ (9.95% – 1.95%) |
CA$363.04 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)5
= CA$363.04 ÷ (1 + 9.95%)5 |
CA$225.93 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 5 years cash flows +
Terminal Value
= CA$58.95 + CA$225.93 |
CA$284.88 |
| Equity Value per Share (CAD) |
= Total value / Shares Outstanding
= CA$284.88 / 42.12 |
CA$6.76 |
| Calculation | Result | |
|---|---|---|
| Value per share (CAD) | From above. | CA$6.76 |
| Current discount | Discount to share price of
CA$4.37
= -1 x (CA$4.37 - CA$6.76) / CA$6.76 |
35.4% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Roots's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Roots's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Roots's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Roots's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-11-03) in CAD | CA$0.33 |
| TSX:ROOT Share Price ** | TSX (2019-02-15) in CAD | CA$4.37 |
| Canada Specialty Retail Industry PE Ratio | Median Figure of 7 Publicly-Listed Specialty Retail Companies | 13.19x |
| Canada Market PE Ratio | Median Figure of 559 Publicly-Listed Companies | 14.87x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Roots.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = TSX:ROOT Share Price ÷ EPS (both in CAD) = 4.37 ÷ 0.33 |
13.13x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Roots is good value based on earnings compared to the CA Specialty Retail industry average.
- Roots is good value based on earnings compared to the Canada market.
Price based on expected Growth
Does
Roots's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 13.13x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts |
13.1%per year |
| North America Specialty Retail Industry PEG Ratio | Median Figure of 60 Publicly-Listed Specialty Retail Companies | 1.68x |
| Canada Market PEG Ratio | Median Figure of 261 Publicly-Listed Companies | 0.96x |
*Line of best fit is calculated by linear regression .
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to calculate PEG ratio for Roots, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Roots's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-11-03) in CAD | CA$4.66 |
| TSX:ROOT Share Price * | TSX (2019-02-15) in CAD | CA$4.37 |
| Canada Specialty Retail Industry PB Ratio | Median Figure of 11 Publicly-Listed Specialty Retail Companies | 1.37x |
| Canada Market PB Ratio | Median Figure of 2,329 Publicly-Listed Companies | 1.52x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = TSX:ROOT Share Price ÷ Book Value per Share (both in CAD) = 4.37 ÷ 4.66 |
0.94x |
* Primary Listing of Roots.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Roots is good value based on assets compared to the CA Specialty Retail industry average.
Value checks
We assess Roots's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Specialty Retail industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Specialty Retail industry average (and greater than 0)? (1 check) Roots has a total score of 4/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
ROOT Future Performance
How is Roots expected to perform in the next 1 to 3 years based on estimates from 9 analysts?
- No analysts cover Roots, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Roots's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
- Roots's earnings growth is positive but not above the Canada market average.
- Roots's revenue growth is positive but not above the Canada market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| TSX:ROOT Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts | 13.1% |
| TSX:ROOT Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts | 6.4% |
| Canada Specialty Retail Industry Earnings Growth Rate | Market Cap Weighted Average | 14.2% |
| Canada Specialty Retail Industry Revenue Growth Rate | Market Cap Weighted Average | 4.9% |
| Canada Market Earnings Growth Rate | Market Cap Weighted Average | 16.9% |
| Canada Market Revenue Growth Rate | Market Cap Weighted Average | 7.1% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 9 Analyst Estimates (S&P Global) | See Below |
| Date (Data in CAD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-01-31 | 368 | 38 | 2 | |
| 2020-01-31 | 358 | 42 | 9 | |
| 2019-01-31 | 330 | 27 | 9 |
| Date (Data in CAD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-11-03 | 328 | 16 | 14 |
| 2018-08-04 | 331 | 22 | 16 |
| 2018-05-05 | 329 | 26 | 17 |
| 2018-02-03 | 326 | 30 | 18 |
| 2017-10-28 | 307 | 27 | 14 |
| 2017-07-29 | 297 | 29 | 15 |
| 2017-04-29 | 284 | 34 | 11 |
| 2017-01-28 | 282 | 30 | 8 |
| 2016-01-30 | 184 | 36 | -10 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 9 Analyst Estimates (S&P Global) | See Below |
All data from Roots Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in CAD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-01-31 | ||||
| 2020-01-31 | ||||
| 2019-01-31 |
| Date (Data in CAD Millions) | EPS * |
|---|---|
| 2018-11-03 | 0.33 |
| 2018-08-04 | 0.39 |
| 2018-05-05 | 0.41 |
| 2018-02-03 | 0.42 |
| 2017-10-28 | 0.33 |
| 2017-07-29 | 0.08 |
| 2017-04-29 | 3.02 |
| 2017-01-28 | 0.20 |
| 2016-01-30 | -0.05 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Roots's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Roots has a total score of 1/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
ROOT Past Performance
How has Roots performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Insufficient data to establish if Roots's year on year earnings growth rate was positive over the past 5 years.
- Roots's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Roots's 1-year earnings growth is negative, it can't be compared to the CA Specialty Retail industry average.
Earnings and Revenue History
All data from Roots Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in CAD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-11-03 | 328.23 | 13.99 | 153.09 | |
| 2018-08-04 | 330.94 | 16.17 | 148.07 | |
| 2018-05-05 | 328.86 | 17.02 | 144.65 | |
| 2018-02-03 | 326.06 | 17.50 | 140.55 | |
| 2017-10-28 | 307.21 | 13.83 | 132.74 | |
| 2017-07-29 | 296.90 | 14.76 | 127.92 | |
| 2017-04-29 | 284.45 | 10.53 | 123.35 | |
| 2017-01-28 | 281.89 | 8.19 | 121.22 | |
| 2016-01-30 | 184.20 | -10.43 | 63.10 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Roots has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Roots used its assets less efficiently than the CA Specialty Retail industry average last year based on Return on Assets.
- Unable to establish if Roots improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
Past performance checks
We assess Roots's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Specialty Retail industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Roots has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
ROOT Health
How is Roots's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Roots's finances.
The net worth of a company is the difference between its assets and liabilities.
- Roots is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Roots's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Roots Company Filings, last reported 3 months ago.
| Date (Data in CAD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-11-03 | 196.36 | 134.22 | 0.47 |
| 2018-08-04 | 193.40 | 122.62 | 0.38 |
| 2018-05-05 | 195.78 | 99.01 | 2.89 |
| 2018-02-03 | 198.97 | 85.36 | 1.81 |
| 2017-10-28 | 178.32 | 124.29 | 1.03 |
| 2017-07-29 | 171.49 | 122.00 | 0.44 |
| 2017-04-29 | 201.18 | 104.92 | 25.26 |
| 2017-01-28 | 201.18 | 104.92 | 25.26 |
| 2016-01-30 | 192.28 | 108.02 | 8.48 |
- Roots's level of debt (68.4%) compared to net worth is high (greater than 40%).
- Unable to establish if Roots's debt level has increased without past 5-year debt data.
- Debt is not well covered by operating cash flow (12.2%, less than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 5.9x coverage).
Financial health checks
We assess Roots's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Roots has a total score of 2/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
ROOT Dividends
What is Roots's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
CA$2,000 of
Roots
shares you are expected to receive
CA$0
in your first year as a dividend.
Dividend Amount
- Unable to evaluate Roots's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
- Unable to evaluate Roots's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 9 Analyst Estimates (S&P Global) | See Below |
| Canada Specialty Retail Industry Average Dividend Yield | Market Cap Weighted Average of 7 Stocks | 3.4% |
| Canada Market Average Dividend Yield | Market Cap Weighted Average of 329 Stocks | 3.6% |
| Canada Minimum Threshold Dividend Yield | 10th Percentile | 1.1% |
| Canada Bottom 25% Dividend Yield | 25th Percentile | 2.1% |
| Canada Top 25% Dividend Yield | 75th Percentile | 5.9% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in CA$) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-01-31 | ||
| 2020-01-31 | ||
| 2019-01-31 | 0.00 | 1.00 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to perform a dividend volatility check as Roots has not reported any payouts.
- Unable to verify if Roots's dividend has been increasing as the company has not reported any payouts.
Income/ dividend checks
We assess Roots's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Roots afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Roots has a total score of 0/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
ROOT Management
CEO
| COMPENSATION | CA$1,480,477 |
| AGE | 55 |
| TENURE AS CEO | 3 years |
CEO Bio
Mr. James Alan Gabel, also known as Jim, has been President, Chief Executive Officer of Roots Corp. since February 2016 and also serves as its Director since October 2017. Mr. Gabel has been the Chief Executive Officer and President at Roots Canada Ltd. since February 24, 2015. He served as the President of the Performance Group at Wolverine World Wide Inc. from June 2014 to February 4, 2016. He has more than 24 years' experience in the footwear and apparel industry. He served as the President of Reebok North America at Reebok International Ltd. since March 2008. He was responsible for all of the region's brand operations, including marketing, product merchandising, sales, finance, operations and owned retail stores. Prior to joining Reebok, he served as Senior Vice President of adidas America, where he was responsible for all brand operations for adidas and TaylorMade-adidas Golf in Canada and for directing the two largest sales accounts teams within the U.S. Prior to this role, he served as the President of adidas Canada Ltd., where he led the Canadian operation to four years of double digit gains. He joined adidas in 2001 as Vice President of Sales & Marketing, adidas Canada. Mr. Gabel held a number of senior executive roles at adidas Group from 2008 to 2014. Before joining the adidas Group, he held senior level positions at Champion Canada and Mizuno Canada. He serves as a Director of Keg Restaurants Ltd. and the Terry Fox Foundation. Mr. Gabel received a Bachelor of Business Administration degree from Wilfrid Laurier University.
CEO Compensation
- Insufficient data for Jim to compare compensation growth.
- Jim's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure
Average tenure and age of the Roots management team in years:
- The tenure for the Roots management team is about average.
Management Team
Jim Gabel
President
CA$1M
55
3 yrs
Jim Rudyk
Chief Financial Officer
CA$1M
51
3.1 yrs
James Connell
Chief e-Commerce & Customer Experience Officer
CA$710K
43
0.3 yrs
Almira Cuizon
Vice President of Retail Operations
CA$411K
45
2.2 yrs
Kaleb Honsberger
VP & General Counsel
Karen Zuccala
Vice President of Marketing
0.3 yrs
Michelle Lettner
Vice President of Human Resources
Board of Directors Tenure
Average tenure and age of the Roots board of directors in years:
- The average tenure for the Roots board of directors is less than 3 years, this suggests a new board.
Board of Directors
Erol Uzumeri
Chairman of the Board
49
Jim Gabel
President
CA$1M
55
1.3 yrs
Richard Mavrinac
Independent Director
CA$29K
65
1.3 yrs
Dale Lastman
Lead Director
CA$30K
60
1.3 yrs
Eric Zinterhofer
Director
46
3.2 yrs
Joel Teitelbaum
Independent Director
CA$101K
52
1.8 yrs
Gregory David
Director
CA$26K
50
1.3 yrs
Mary Curran
Director
0.7 yrs
Who owns this company?
Recent Insider Trading
- More shares have been bought than sold by Roots insiders in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (CA$) | Value (CA$) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 09. Jan 19 | Buy | Searchlight Capital Partners | Company | 24. Dec 18 | 27. Dec 18 | 59,000 | CA$3.00 | CA$174,265 | ||
| 22. Dec 18 | Buy | Searchlight Capital Partners | Company | 18. Dec 18 | 21. Dec 18 | 150,000 | CA$3.36 | CA$493,062 | ||
| 17. Dec 18 | Buy | Searchlight Capital Partners | Company | 11. Dec 18 | 17. Dec 18 | 300,000 | CA$3.31 | CA$974,544 | ||
| 11. Dec 18 | Buy | James Gabel | Individual | 10. Dec 18 | 10. Dec 18 | 50,000 | CA$3.29 | CA$164,495 | ||
Management checks
We assess Roots's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Roots has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
ROOT News
Simply Wall St News
Are Roots Corporation's (TSE:ROOT) Interest Costs Too High?
While small-cap stocks, such as Roots Corporation (TSE:ROOT) with its market cap of CA$152m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Companies operating in the Specialty Retail industry facing headwinds from current disruption,.
Simply Wall St - – Full articleRoots Corporation (TSE:ROOT) Is Trading At A 32.06% Discount
by taking the expected future cash flows and discounting them to their present value. … discounted cash flows (DCF). … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model
Simply Wall St - – Full articleHere's How P/E Ratios Can Help Us Understand Roots Corporation (TSE:ROOT)
This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … Roots has a price to earnings ratio of 8.98, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleIs Roots Corporation (TSE:ROOT) A Cash Cow?
I’ve analysed below, the health and outlook of Roots’s cash flow, which will help you understand the stock from a cash standpoint. … Roots generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … The two ways to assess whether Roots’s FCF is sufficient, is to compare the FCF yield to the market index yield, as well as determine whether the top-line operating cash flows will continue to grow
Simply Wall St - – Full articleHow Many Roots Corporation (TSE:ROOT) Shares Do Institutions Own?
If you want to know who really controls Roots Corporation (TSE:ROOT), then you'll have to look at the makeup of its share registry. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … Taking a look at the our data on the ownership groups (below), it's seems that.
Simply Wall St - – Full articleHow Did Roots Corporation's (TSE:ROOT) 8.4% ROE Fare Against The Industry?
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Another way to think of that is that for every CA$1 worth of equity in the company, it was able to earn CA$0.084. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleRoots Corporation (TSE:ROOT) Is Trading At A 27.98% Discount
by taking the expected future cash flows and discounting them to their present value. … Discounted Cash Flows (DCF). … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model
Simply Wall St - – Full articleHow Did Roots Corporation's (TSE:ROOT) 8.70% ROE Fare Against The Industry?
and want a simplistic look at the return on Roots Corporation (TSE:ROOT) stock. … With an ROE of 8.70%, Roots Corporation (TSE:ROOT) returned in-line to its own industry which delivered 10.50% over the past year. … But what is more interesting is whether ROOT can sustain or improve on this level of return.
Simply Wall St - – Full articleWill Roots Corporation (TSX:ROOT) Continue To Underperform Its Industry?
View our latest analysis for Roots Breaking down ROE — the mother of all ratios Return on Equity (ROE) is a measure of ROOT’s profit relative to its shareholders’ equity. … Return on Equity = Net Profit ÷ Shareholders Equity ROE is assessed against cost of equity, which is measured using the Capital Asset Pricing Model (CAPM) – but let’s not dive into the details of that today. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity TSX:ROOT Last Perf Oct 27th 17 Basically, profit margin measures how much of revenue trickles down into earnings which illustrates how efficient ROOT is with its cost management.
Simply Wall St - – Full articleROOT Company Info
Map
Description
Roots Corporation, together with its subsidiaries, provides a portfolio of apparel, leather goods, accessories, and footwear products under the Roots brand. The company operates through two segments, Direct-To-Consumer (DTC), and Partners and Other. The DTC segment sells products through the company’s corporate retail stores and e-commerce. The Partners and Other segment engages primarily in the wholesale of Roots branded products to the company’s international operating partner. This segment is also involved in licensing Roots brand to select manufacturing partners, wholesaling Roots branded products to select retail partners, and selling custom Roots branded products to select business clients. It also offers leather products, such as jackets, bags, and accessories; sweats casual apparel; and kids and baby clothing. As of February 3, 2018, the company had 116 corporate retail stores in Canada, 3 corporate retail stores in the United States, 110 partner-operated stores in Taiwan, and 32 partner-operated stores in China, as well as an e-commerce platform that shipped company’s products to approximately 50 countries. Roots Corporation was founded in 1973 and is headquartered in Toronto, Canada.
Details
| Name: | Roots Corporation |
| ROOT | |
| Exchange: | TSX |
| Founded: | 1973 |
| CA$184,065,409 | |
| 42,120,231 | |
| Website: | http://www.roots.com |
| Address: |
Roots Corporation 1400 Castlefield Avenue, Toronto, Ontario, M6B 4C4, Canada |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| TSX | ROOT | Common Shares | The Toronto Stock Exchange | CA | CAD | 25. Oct 2017 | |
| OTCPK | RROT.F | Common Shares | Pink Sheets LLC | US | USD | 25. Oct 2017 | |
| DB | 4RO | Common Shares | Deutsche Boerse AG | DE | EUR | 25. Oct 2017 |
Number of employees
Current staff
Industry
| Apparel Retail | |
| Retail |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/02/18 03:49 |
| End of day share price update: | 2019/02/15 00:00 |
| Last estimates confirmation: | 2019/02/13 |
| Last earnings filing: | 2018/12/05 |
| Last earnings reported: | 2018/11/03 |
| Last annual earnings reported: | 2018/02/03 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
