Designer Brands Inc.

DB:D9W Stock Report

Market Cap: €265.0m

Designer Brands Valuation

Is D9W undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of D9W when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: D9W (€4.76) is trading above our estimate of fair value (€3.21)

Significantly Below Fair Value: D9W is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for D9W?

Key metric: As D9W is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for D9W. This is calculated by dividing D9W's market cap by their current revenue.
What is D9W's PS Ratio?
PS Ratio0.09x
SalesUS$3.06b
Market CapUS$279.72m

Price to Sales Ratio vs Peers

How does D9W's PS Ratio compare to its peers?

The above table shows the PS ratio for D9W vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average0.3x
YOU About You Holding
0.3x7.7%€597.0m
GFG Global Fashion Group
0.07x-0.5%€51.9m
FSNT Platform Group
0.2x5.5%€153.4m
ZAL Zalando
0.7x5.8%€7.4b
D9W Designer Brands
0.09x2.4%€279.7m

Price-To-Sales vs Peers: D9W is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (0.3x).

Price to Sales Ratio vs Industry

How does D9W's PS Ratio compare vs other companies in the DE Specialty Retail Industry?

5 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.0.4x5.8%
D9W Designer Brands
 0.09x2.4%US$279.72m
CEC Ceconomy
0.07x1.1%US$1.62b
GFG Global Fashion Group
0.07x-0.5%US$54.73m
D9W 0.1xIndustry Avg. 0.4xNo. of Companies4PS00.40.81.21.62+
5 CompaniesEstimated GrowthMarket Cap
Industry Avg.0.4x39.8%
D9W Designer Brands
 0.09x127.8%US$279.72m
No more companies

Price-To-Sales vs Industry: D9W is good value based on its Price-To-Sales Ratio (0.1x) compared to the European Specialty Retail industry average (0.4x).

Price to Sales Ratio vs Fair Ratio

What is D9W's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

D9W PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.09x
Fair PS Ratio0.2x

Price-To-Sales vs Fair Ratio: D9W is good value based on its Price-To-Sales Ratio (0.1x) compared to the estimated Fair Price-To-Sales Ratio (0.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst D9W forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€4.76
€5.49
+15.3%
4.3%€5.73€5.25n/a2
Nov ’25€4.64
€5.20
+12.0%
4.3%€5.42€4.97n/a2
Oct ’25€6.10
€5.20
-14.8%
4.3%€5.42€4.97n/a2
Sep ’25€5.95
€8.49
+42.8%
5.3%€8.94€8.05n/a2
Mar ’25€9.80
€8.72
-11.0%
5.3%€9.18€8.26n/a2
Feb ’25€8.25
€8.72
+5.7%
5.3%€9.18€8.26n/a2
Jan ’25€8.30
€8.19
-1.3%
9.1%€9.10€7.28n/a3
Dec ’24€11.30
€11.84
+4.8%
9.8%€13.09€10.28n/a3
Nov ’24€8.65
€11.84
+36.9%
9.8%€13.09€10.28€4.643
Oct ’24€11.90
€11.84
-0.5%
9.8%€13.09€10.28€6.103
Sep ’24€10.30
€8.53
-17.2%
13.4%€10.06€7.31€5.953
Aug ’24€8.85
€8.53
-3.6%
13.4%€10.06€7.31€7.203
Jul ’24€9.15
€8.53
-6.8%
13.4%€10.06€7.31€6.153
Jun ’24€5.85
€9.92
+69.6%
17.7%€11.16€7.44€9.153
May ’24€7.40
€11.69
+57.9%
19.7%€14.76€9.23€8.603
Apr ’24€8.00
€11.69
+46.1%
19.7%€14.76€9.23€10.003
Mar ’24€9.00
€12.99
+44.3%
15.0%€15.20€10.45€9.803
Feb ’24€9.35
€12.99
+38.9%
15.0%€15.20€10.45€8.253
Jan ’24€9.15
€13.70
+49.7%
6.4%€14.94€13.07€8.303
Dec ’23€14.60
€15.83
+8.4%
5.7%€17.10€15.20€11.303
Nov ’23€15.40
€19.95
+29.5%
7.5%€22.22€18.18€8.654

Analyst Forecast: Target price is less than 20% higher than the current share price.

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