DB:LOO

Stock Analysis Report

Executive Summary

Look Holdings Incorporated, together with its subsidiaries, plans, produces, imports, and sells men's and women's clothing in Japan, South Korea, Hong Kong, and China.


Snowflake Analysis

Fair value with mediocre balance sheet.

Share Price & News

How has Look Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-8.9%

LOO

-0.06%

DE Luxury

-0.9%

DE Market


1 Year Return

-22.9%

LOO

35.8%

DE Luxury

12.8%

DE Market

Return vs Industry: LOO underperformed the German Luxury industry which returned 35.8% over the past year.

Return vs Market: LOO underperformed the German Market which returned 12.8% over the past year.


Shareholder returns

LOOIndustryMarket
7 Day-8.9%-0.06%-0.9%
30 Day-8.9%-7.6%-0.4%
90 Day-11.4%4.9%2.3%
1 Year-21.0%-22.9%37.9%35.8%16.3%12.8%
3 Year3.5%-3.7%88.9%79.0%15.8%5.7%
5 Year7.9%-4.4%221.6%184.8%19.7%3.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Look Holdings undervalued compared to its fair value and its price relative to the market?

3.95x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: LOO (€8.2) is trading above our estimate of fair value (€2.58)

Significantly Below Fair Value: LOO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: LOO is good value based on its PE Ratio (3.9x) compared to the Luxury industry average (26.7x).

PE vs Market: LOO is good value based on its PE Ratio (3.9x) compared to the German market (21x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: LOO is good value based on its PB Ratio (0.3x) compared to the DE Luxury industry average (1.8x).


Next Steps

Future Growth

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

11.2%

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 Look Holdings 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 Look Holdings performed over the past 5 years?

29.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LOO has a large one-off gain of ¥1.4B impacting its December 31 2019 financial results.

Growing Profit Margin: LOO's current net profit margins (4.4%) are lower than last year (4.9%).


Past Earnings Growth Analysis

Earnings Trend: LOO's earnings have grown significantly by 29.6% per year over the past 5 years.

Accelerating Growth: LOO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: LOO had negative earnings growth (-9.8%) over the past year, making it difficult to compare to the Luxury industry average (-0.9%).


Return on Equity

High ROE: LOO's Return on Equity (8.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Look Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: LOO's short term assets (¥23.2B) exceed its short term liabilities (¥17.7B).

Long Term Liabilities: LOO's short term assets (¥23.2B) exceed its long term liabilities (¥2.3B).


Debt to Equity History and Analysis

Debt Level: LOO's debt to equity ratio (50.6%) is considered high.

Reducing Debt: LOO's debt to equity ratio has increased from 7.7% to 50.6% over the past 5 years.

Debt Coverage: LOO's debt is not well covered by operating cash flow (8.4%).

Interest Coverage: LOO earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: LOO's debt is covered by short term assets (assets are 1.9x debt).


Next Steps

Dividend

What is Look Holdings's current dividend yield, its reliability and sustainability?

2.99%

Current Dividend Yield


Dividend Yield vs Market

company3.0%marketbottom25%1.3%markettop25%3.6%industryaverage1.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: LOO's dividend (2.99%) is higher than the bottom 25% of dividend payers in the German market (1.31%).

High Dividend: LOO's dividend (2.99%) is low compared to the top 25% of dividend payers in the German market (3.63%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, LOO has been paying a dividend for less than 10 years.

Growing Dividend: LOO's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (11.8%), LOO's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

6.9yrs

Average board tenure


CEO

Kazuhiro Tada (54yo)

4.9yrs

Tenure

0

Mr. Kazuhiro Tada has been the President of Look Incorporated since March 2015. Mr. Tada served as a Operating Officer at Look Incorporated and served as its General Manager of Boutique Division since Marc ...


Board Members

NamePositionTenureCompensationOwnership
Kazuhiro Tada
President & Representative Director4.9yrsno data0.42% ¥265.9k
Eiji Takayama
MD & Director10.9yrsno data0.32% ¥203.8k
Seung-Gon Cho
Senior Operating Officer & Chairman of I.D. LOOK LTD.0yrsno datano data
Masaaki Saito
Operating Officer0yrsno data0.083% ¥53.0k
Takehiko Maki
Chairman of the Board4.9yrsno datano data
Toru Sugita
External Statutory Auditor13.9yrsno datano data
Haruo Shibuya
Director0yrsno data0.13% ¥80.3k
Kazuhiko Fukuchi
External Director5.9yrsno datano data
Masatoshi Nagase
Standing Statutory Auditor0yrsno data0.13% ¥82.0k
Kazunori Inoue
External Director0yrsno datano data

6.9yrs

Average Tenure

65yo

Average Age

Experienced Board: LOO's board of directors are considered experienced (6.9 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

Look Holdings Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Look Holdings Incorporated
  • Ticker: LOO
  • Exchange: DB
  • Founded: 1962
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: JP¥7.717b
  • Listing Market Cap: JP¥63.607m
  • Shares outstanding: 7.68m
  • Website: https://www.look-inc.jp

Number of Employees


Location

  • Look Holdings Incorporated
  • 2-7-7, Nakameguro
  • Meguro-ku
  • Tokyo
  • 153-8638
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8029TSE (The Tokyo Stock Exchange)YesCommon SharesJPJPYJan 1992
LOODB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1992

Biography

Look Holdings Incorporated, together with its subsidiaries, plans, produces, imports, and sells men's and women's clothing in Japan, South Korea, Hong Kong, and China. Its products include fashion, home interiors, and design products; denim products; accessories and related items; ballet shoes; and handbags and leather goods. The company offers its products under the alice + Olivia, And Curtain Call, A.P.C., BENSIMON, Debut de Fiore, DENHAM, filage, HARYU, IL BISONTE, IL BISONTE UOMO, KEITH, KORET, LAISSE PASSE, Marimekko, Repetto, SCAPA, GELATERIA MARGHERA, and VERA BRADLEY brands. It also manufactures and sells gelato; and provides logistics and storage services. The company sells its products through its physical and online stores. The company was formerly known as Look Incorporated and changed its name to Look Holdings Incorporated in January 2018. Look Holdings Incorporated was founded in 1962 and is headquartered in Tokyo, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 21:27
End of Day Share Price2020/02/21 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.