Snowflake Score | |
---|---|
Valuation | 4/6 |
Future Growth | 0/6 |
Past Performance | 2/6 |
Financial Health | 5/6 |
Dividends | 0/6 |
ROOT Stock Overview
Roots Corporation, together with its subsidiaries, designs, markets, and sells apparel, leather goods, footwear, and accessories under the Roots brand in Canada and internationally.
Roots Competitors
Price History & Performance
Historical stock prices | |
---|---|
Current Share Price | CA$3.19 |
52 Week High | CA$4.39 |
52 Week Low | CA$2.65 |
Beta | 3.48 |
1 Month Change | -4.78% |
3 Month Change | -1.85% |
1 Year Change | -18.41% |
3 Year Change | -8.60% |
5 Year Change | n/a |
Change since IPO | -68.10% |
Recent News & Updates
Shareholder Returns
ROOT | CA Specialty Retail | CA Market | |
---|---|---|---|
7D | 1.3% | 5.0% | 0.3% |
1Y | -18.4% | -20.1% | -4.0% |
Return vs Industry: ROOT exceeded the Canadian Specialty Retail industry which returned -20% over the past year.
Return vs Market: ROOT underperformed the Canadian Market which returned -4.1% over the past year.
Price Volatility
ROOT volatility | |
---|---|
ROOT Average Weekly Movement | 5.4% |
Specialty Retail Industry Average Movement | 6.5% |
Market Average Movement | 10.0% |
10% most volatile stocks in CA Market | 17.3% |
10% least volatile stocks in CA Market | 4.4% |
Stable Share Price: ROOT is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: ROOT's weekly volatility (5%) has been stable over the past year.
About the Company
Founded | Employees | CEO | Website |
---|---|---|---|
1973 | n/a | Meghan Roach | https://www.roots.com |
Roots Corporation, together with its subsidiaries, designs, markets, and sells apparel, leather goods, footwear, and accessories under the Roots brand in Canada and internationally. The company operates through two segments, Direct-To-Consumer, and Partners and Other. The Direct-to-Consumer segment sells products through the company’s corporate retail stores and e-commerce.
Roots Fundamentals Summary
ROOT fundamental statistics | |
---|---|
Market Cap | CA$133.01m |
Earnings (TTM) | CA$22.44m |
Revenue (TTM) | CA$279.56m |
5.9x
P/E Ratio0.5x
P/S RatioIs ROOT overvalued?
See Fair Value and valuation analysisEarnings & Revenue
ROOT income statement (TTM) | |
---|---|
Revenue | CA$279.56m |
Cost of Revenue | CA$113.88m |
Gross Profit | CA$165.69m |
Other Expenses | CA$143.25m |
Earnings | CA$22.44m |
Last Reported Earnings
Apr 30, 2022
Next Earnings Date
n/a
Earnings per share (EPS) | 0.54 |
Gross Margin | 59.27% |
Net Profit Margin | 8.03% |
Debt/Equity Ratio | 33.0% |
How did ROOT perform over the long term?
See historical performance and comparisonValuation
Is ROOT undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
4/6Valuation Score 4/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for ROOT?
Other financial metrics that can be useful for relative valuation.
What is ROOT's n/a Ratio? | |
---|---|
n/a Ratio | 0x |
n/a | n/a |
Market Cap | CA$133.01m |
Key Statistics | |
---|---|
Enterprise Value/Revenue | 0.9x |
Enterprise Value/EBITDA | 6x |
PEG Ratio | n/a |
Price to Earnings Ratio vs Peers
How does ROOT's PE Ratio compare to its peers?
ROOT PE Ratio vs Peers |
---|
Company | PE | Estimated Growth | Market Cap |
---|---|---|---|
Peer Average | 17.9x |
Price-To-Earnings vs Peers: ROOT is good value based on its Price-To-Earnings Ratio (5.9x) compared to the peer average (17.9x).
Price to Earnings Ratio vs Industry
How does ROOT's PE Ratio compare vs other companies in the Specialty Retail Industry?
Price-To-Earnings vs Industry: ROOT is good value based on its Price-To-Earnings Ratio (5.9x) compared to the Canadian Specialty Retail industry average (7.9x)
Price to Earnings Ratio vs Fair Ratio
What is ROOT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
Fair Ratio | |
---|---|
Current PE Ratio | 5.9x |
Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ROOT's Price-To-Earnings Fair Ratio for valuation analysis.
Share Price vs Fair Value
What is the Fair Price of ROOT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: ROOT (CA$3.19) is trading below our estimate of fair value (CA$8.41)
Significantly Below Fair Value: ROOT is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate ROOT's PEG Ratio to determine if it is good value.
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Future Growth
How is Roots forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Future Growth Score
0/6Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
3.0%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if ROOT's forecast earnings growth is above the savings rate (1.6%).
Earnings vs Market: Insufficient data to determine if ROOT's earnings are forecast to grow faster than the Canadian market
High Growth Earnings: Insufficient data to determine if ROOT's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: ROOT's revenue (3% per year) is forecast to grow slower than the Canadian market (7.3% per year).
High Growth Revenue: ROOT's revenue (3% 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 ROOT's Return on Equity is forecast to be high in 3 years time
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Past Performance
How has Roots performed over the past 5 years?
Past Performance Score
2/6Past Performance Score 2/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-10.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ROOT has a large one-off gain of CA$5.5M impacting its April 30 2022 financial results.
Growing Profit Margin: ROOT's current net profit margins (8%) are higher than last year (6.4%).
Past Earnings Growth Analysis
Earnings Trend: ROOT's earnings have declined by 10.5% per year over the past 5 years.
Accelerating Growth: ROOT's earnings growth over the past year (41.2%) exceeds its 5-year average (-10.5% per year).
Earnings vs Industry: ROOT earnings growth over the past year (41.2%) underperformed the Specialty Retail industry 47.3%.
Return on Equity
High ROE: ROOT's Return on Equity (12.4%) is considered low.
Discover strong past performing companies
Financial Health
How is Roots's financial position?
Financial Health Score
5/6Financial Health Score 5/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: ROOT's short term assets (CA$67.0M) exceed its short term liabilities (CA$52.8M).
Long Term Liabilities: ROOT's short term assets (CA$67.0M) do not cover its long term liabilities (CA$136.7M).
Debt to Equity History and Analysis
Debt Level: ROOT's net debt to equity ratio (21.7%) is considered satisfactory.
Reducing Debt: ROOT's debt to equity ratio has reduced from 52.1% to 33% over the past 5 years.
Debt Coverage: ROOT's debt is well covered by operating cash flow (100%).
Interest Coverage: ROOT's interest payments on its debt are well covered by EBIT (4x coverage).
Balance Sheet
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Dividend
What is Roots's current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend 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 ROOT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ROOT'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 ROOT's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ROOT's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as ROOT has not reported any payouts.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
2.4yrs
Average management tenure
CEO
Meghan Roach
2.42yrs
Tenure
CA$1,466,959
Compensation
Ms. Meghan Roach serves as Chief Executive Officer, President and Director of Roots Corporation since May 26, 2020. She had been Interim Chief Executive Officer of Roots Corporation since January 03, 2020...
CEO Compensation Analysis
Compensation vs Market: Meghan's total compensation ($USD1.14M) is above average for companies of similar size in the Canadian market ($USD175.79K).
Compensation vs Earnings: Insufficient data to compare Meghan's compensation with company performance.
Leadership Team
Experienced Management: ROOT's management team is considered experienced (2.4 years average tenure).
Board Members
Experienced Board: ROOT's board of directors are considered experienced (4.7 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.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Roots Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Roots Corporation
- Ticker: ROOT
- Exchange: TSX
- Founded: 1973
- Industry: Apparel Retail
- Sector: Retail
- Implied Market Cap: CA$133.008m
- Shares outstanding: 41.70m
- Website: https://www.roots.com
Number of Employees
Location
- Roots Corporation
- 1400 Castlefield Avenue
- Toronto
- Ontario
- M6B 4C4
- Canada
Listings
Company Analysis and Financial Data Status
Data | Last Updated (UTC time) |
---|---|
Company Analysis | 2022/06/26 00:00 |
End of Day Share Price | 2022/06/24 00:00 |
Earnings | 2022/04/30 |
Annual Earnings | 2022/01/29 |
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.