BME:ADZ

Stock Analysis Report

Executive Summary

Adolfo Domínguez, S.A. engages in the design, manufacture, acquisition, sale, wholesale marketing, import, and export of ready-made clothing, footwear, handbags and accessories, household linens, furniture products, and decorative objects.

Snowflake

Fundamentals

Excellent balance sheet with poor track record.

Share Price & News

How has Adolfo Domínguez's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.4%

ADZ

-1.3%

ES Luxury

0.2%

ES Market


1 Year Return

-2.0%

ADZ

26.8%

ES Luxury

7.1%

ES Market

Return vs Industry: ADZ underperformed the Spanish Luxury industry which returned 26.8% over the past year.

Return vs Market: ADZ underperformed the Spanish Market which returned 7.1% over the past year.


Shareholder returns

ADZIndustryMarket
7 Day1.4%-1.3%0.2%
30 Day-0.3%0.5%1.4%
90 Day-6.1%-4.0%-0.5%
1 Year-2.0%-2.0%29.3%26.8%10.7%7.1%
3 Year121.4%121.4%82.2%71.1%13.4%3.0%
5 Year68.4%68.4%137.5%107.4%8.9%-11.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Adolfo Domínguez undervalued compared to its fair value and its price relative to the market?

392.22x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ADZ's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ADZ's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: ADZ is poor value based on its PE Ratio (392.2x) compared to the Luxury industry average (17.2x).

PE vs Market: ADZ is poor value based on its PE Ratio (392.2x) compared to the Spanish market (16.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ADZ is overvalued based on its PB Ratio (1.3x) compared to the XE Luxury industry average (1.2x).


Next Steps

Future Growth

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

10.2%

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 Adolfo Domínguez 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 Adolfo Domínguez performed over the past 5 years?

9.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ADZ has become profitable over the past 5 years, growing earnings by 9% per year.

Accelerating Growth: ADZ has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: ADZ has become profitable in the last year, making it difficult to compare its past year earnings growth to the Luxury industry (-2.3%).


Return on Equity

High ROE: ADZ's Return on Equity (0.5%) is considered low.


Return on Assets

ROA vs Industry: ADZ's Return on Assets is below or equal to the Luxury industry average last year.


Return on Capital Employed

ROCE Improving: ADZ is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Adolfo Domínguez's financial position?


Financial Position Analysis

Short Term Liabilities: ADZ's short term assets (€41.4M) exceeds its short term liabilities (€23.2M)

Long Term Liabilities: ADZ's short term assets (41.4M) exceeds its long term liabilities (27.8M)


Debt to Equity History and Analysis

Debt Level: ADZ's debt to equity ratio (0.01%) is considered satisfactory

Reducing Debt: ADZ's debt to equity ratio has reduced from 29.8% to 0.01% over the past 5 years.

Debt Coverage: ADZ's debt is well covered by operating cash flow (10224.3%).

Interest Coverage: Insufficient data to determine if ADZ's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: ADZ's debt is covered by short term assets (assets are 13815x debt).


Next Steps

Dividend

What is Adolfo Domínguez's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%2.3%markettop25%5.6%industryaverage1.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


Current Payout to Shareholders

Dividend Coverage: ADZ is not paying a notable dividend for the Spanish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ADZ's dividend in 3 years as they are not forecast to pay a notable one for the Spanish market.


Next Steps

Management

What is the CEO of Adolfo Domínguez's salary, the management and board of directors tenure and is there insider trading?

2.9yrs

Average board tenure


CEO

Adolfo Dominguez Fernandez 0

0yrs

Tenure

€211,631

Compensation

Mr. Adolfo Dominguez Fernandez serves as the Chief Executive Officer, Managing Director and Chairman of Adolfo Dominguez Sa and has been its Executive Director since March 12, 1992. 


CEO Compensation Analysis

Compensation vs. Market: Adolfo's total compensation ($USD0.00) is too low to compare against companies of similar size in the Spanish market ($USD0.00).

Compensation vs Earnings: Insufficient data to compare Adolfo's compensation with company performance.


Board Age and Tenure

2.9yrs

Average Tenure

Experienced Board: ADZ's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Adolfo Dominguez Fernandez

    Chairman

    • Tenure: 0yrs
    • Compensation: €211.63k
  • Marta Ríos Estrella

    Corporate Secretary

    • Tenure: 0yrs
  • ADRIANA DOMÍNGUEZ GONZÁLEZ

    General Director & Executive Director

    • Tenure: 2.9yrs
    • Compensation: €14.44k

Board Members

  • Adolfo Dominguez Fernandez

    Chairman

    • Tenure: 0yrs
    • Compensation: €211.63k
  • Agnès Noguera Borel (55yo)

    Director

    • Tenure: 14.4yrs
    • Compensation: €38.70k
  • Luis Caramés Vieitez

    Vice President

    • Tenure: 3.2yrs
    • Compensation: €40.95k
  • ADRIANA DOMÍNGUEZ GONZÁLEZ

    General Director & Executive Director

    • Tenure: 2.9yrs
    • Compensation: €14.44k
  • JOSÉ LUIS TEMES MONTES

    Independent Director

    • Tenure: 2.9yrs
    • Compensation: €38.70k
  • JOSÉ MANUEL RUBÍN CARBALLO

    Director

    • Tenure: 2.9yrs
    • Compensation: €34.65k
  • María Teresa Aranzábal Harreguy

    Independent Director

    • Tenure: 1.8yrs
    • Compensation: €34.65k
  • Valeria Domínguez González

    Director

    • Tenure: 1.2yrs
    • Compensation: €16.20k

Company Information

Adolfo Domínguez, S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Adolfo Domínguez, S.A.
  • Ticker: ADZ
  • Exchange: BME
  • Founded: 1973
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: €64.898m
  • Shares outstanding: 9.22m
  • Website: https://www.adolfodominguez.com

Number of Employees


Location

  • Adolfo Domínguez, S.A.
  • Plot 8, Industrial Area
  • Street 4
  • Ourense
  • Galicia
  • 32901
  • Spain

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ADZBME (Bolsas y Mercados Espanoles)YesBearer SharesESEURMar 1997

Biography

Adolfo Domínguez, S.A. engages in the design, manufacture, acquisition, sale, wholesale marketing, import, and export of ready-made clothing, footwear, handbags and accessories, household linens, furniture ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 20:39
End of Day Share Price2019/10/23 00:00
Earnings2019/05/31
Annual Earnings2019/02/28


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.