SMCP (ENXTPA:SMCP) - Share price, News & Analysis

SMCP fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	4/6
Past Performance	1/6
Financial Health	5/6
Dividends	0/6

SMCP Stock Overview

SMCP S.A. operates as a ready-to-wear and accessories retail company in France and internationally.

Rewards

Trading at 34.3% below our estimate of its fair value

Earnings are forecast to grow 29.96% per year

Became profitable this year

Risk Analysis

Large one-off items impacting financial results

SMCP Competitors

LVMH Moët Hennessy - Louis Vuitton Société Européenne

ENXTPA:MC

€280.3b

Industria de Diseño Textil

BME:ITX

€63.6b

Kering

ENXTPA:KER

€55.6b

H & M Hennes & Mauritz

OM:HM B

kr207.7b

Price History & Performance

Summary of all time highs, changes and price drops for SMCP
Historical stock prices
Current Share Price	€6.22
52 Week High	€8.84
52 Week Low	€4.74
Beta	2.01
1 Month Change	-7.24%
3 Month Change	-8.40%
1 Year Change	-14.75%
3 Year Change	-55.35%
5 Year Change	n/a
Change since IPO	-70.41%

Recent News & Updates

May 11

Here's What's Concerning About SMCP's (EPA:SMCP) Returns On Capital

There are a few key trends to look for if we want to identify the next multi-bagger. Amongst other things, we'll want...

Dec 15

SMCP's (EPA:SMCP) Returns On Capital Not Reflecting Well On The Business

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Amongst other things...

Shareholder Returns

	SMCP	FR Specialty Retail	FR Market
7D	0.3%	-2.2%	-1.3%
1Y	-14.7%	-15.4%	-5.4%

Return vs Industry: SMCP matched the French Specialty Retail industry which returned -15.4% over the past year.

Return vs Market: SMCP underperformed the French Market which returned -5.4% over the past year.

Price Volatility

Is SMCP's price volatile compared to industry and market?
SMCP volatility
SMCP Average Weekly Movement	7.6%
Specialty Retail Industry Average Movement	5.8%
Market Average Movement	6.1%
10% most volatile stocks in FR Market	10.5%
10% least volatile stocks in FR Market	3.6%

Stable Share Price: SMCP is not significantly more volatile than the rest of French stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: SMCP's weekly volatility (8%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1984	5,378	Isabelle Guichot	https://www.smcp.com

SMCP S.A. operates as a ready-to-wear and accessories retail company in France and internationally. It designs, markets, and sells women’s wear, men’s wear, and accessories. The company sells its products through a network of points of sale and websites under four brands, including Sandro, Maje, Claudie Pierlot, and De Fursac.

SMCP Fundamentals Summary

How do SMCP's earnings and revenue compare to its market cap?
SMCP fundamental statistics
Market Cap	€477.38m
Earnings (TTM)	€23.60m
Revenue (TTM)	€1.04b

19.9x

P/E Ratio

0.5x

P/S Ratio

Is SMCP overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
SMCP income statement (TTM)
Revenue	€1.04b
Cost of Revenue	€380.20m
Gross Profit	€658.40m
Other Expenses	€634.80m
Earnings	€23.60m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.31
Gross Margin	63.39%
Net Profit Margin	2.27%
Debt/Equity Ratio	40.0%

How did SMCP perform over the long term?

See historical performance and comparison

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

34.3%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: SMCP (€6.22) is trading below our estimate of fair value (€9.46)

Significantly Below Fair Value: SMCP is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: SMCP is poor value based on its PE Ratio (19.9x) compared to the French Specialty Retail industry average (9.9x).

PE vs Market: SMCP is poor value based on its PE Ratio (19.9x) compared to the French market (16.3x).

Price to Earnings Growth Ratio

PEG Ratio: SMCP is good value based on its PEG Ratio (0.7x)

Price to Book Ratio

PB vs Industry: SMCP is good value based on its PB Ratio (0.4x) compared to the FR Specialty Retail industry average (0.8x).

Future Growth

How is SMCP forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

30.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: SMCP's forecast earnings growth (30% per year) is above the savings rate (0.3%).

Earnings vs Market: SMCP's earnings (30% per year) are forecast to grow faster than the French market (12% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SMCP's revenue (7.7% per year) is forecast to grow faster than the French market (5.8% per year).

High Growth Revenue: SMCP's revenue (7.7% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: SMCP's Return on Equity is forecast to be low in 3 years time (5.1%).

Past Performance

How has SMCP performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-43.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SMCP has a large one-off loss of €26.2M impacting its December 31 2021 financial results.

Growing Profit Margin: SMCP became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: SMCP's earnings have declined by 43.8% per year over the past 5 years.

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

Earnings vs Industry: SMCP has become profitable in the last year, making it difficult to compare its past year earnings growth to the Specialty Retail industry (81.8%).

Return on Equity

High ROE: SMCP's Return on Equity (2.1%) is considered low.

Financial Health

How is SMCP's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: SMCP's short term assets (€485.2M) exceed its short term liabilities (€448.4M).

Long Term Liabilities: SMCP's short term assets (€485.2M) do not cover its long term liabilities (€842.4M).

Debt to Equity History and Analysis

Debt Level: SMCP's net debt to equity ratio (28.3%) is considered satisfactory.

Reducing Debt: SMCP's debt to equity ratio has reduced from 143% to 40% over the past 5 years.

Debt Coverage: SMCP's debt is well covered by operating cash flow (55.7%).

Interest Coverage: SMCP's interest payments on its debt are well covered by EBIT (3.4x coverage).

Balance Sheet

Dividend

What is SMCP current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend 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 SMCP's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SMCP'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 SMCP's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SMCP'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 SMCP has not reported any payouts.

Discover strong dividend paying companies

Management

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

2.6yrs

Average management tenure

CEO

Isabelle Guichot (56 yo)

0.75

Tenure

€1,789,740

Compensation

Ms. Isabelle Guichot has been the Chairman of Balenciaga SA since 2007. Ms. Guichot was Chief Executive of Maje at SMCP S.A.S since September 2017 until August 2, 2021. She is Group Chief Executive Officer...

CEO Compensation Analysis

Compensation vs Market: Isabelle's total compensation ($USD1.91M) is above average for companies of similar size in the French market ($USD456.58K).

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

Leadership Team

Experienced Management: SMCP's management team is considered experienced (2.6 years average tenure).

Board Members

Experienced Board: SMCP's board of directors are considered experienced (3.2 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/23 00:00
End of Day Share Price	2022/05/23 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31