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DOCS

Dr. Martens LSE:DOCS Stock Report

Last Price

UK£2.34

Market Cap

UK£2.3b

7D

-10.8%

1Y

-48.1%

Updated

01 Jul, 2022

Data

Company Financials +
DOCS fundamental analysis
Snowflake Score
Valuation5/6
Future Growth4/6
Past Performance6/6
Financial Health6/6
Dividends3/6

DOCS Stock Overview

Dr. Martens plc designs, develops, procures, markets, sells, and distributes footwear in Europe, the Middle East, Africa, the Americas, and the Asia-Pacific.

Dr. Martens Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Dr. Martens
Historical stock prices
Current Share PriceUK£2.34
52 Week HighUK£4.77
52 Week LowUK£1.75
Beta0
1 Month Change-9.43%
3 Month Change-1.60%
1 Year Change-48.14%
3 Year Changen/a
5 Year Changen/a
Change since IPO-47.91%

Recent News & Updates

Jun 16
Why Investors Shouldn't Be Surprised By Dr. Martens plc's (LON:DOCS) 26% Share Price Surge

Why Investors Shouldn't Be Surprised By Dr. Martens plc's (LON:DOCS) 26% Share Price Surge

Dr. Martens plc ( LON:DOCS ) shareholders would be excited to see that the share price has had a great month, posting a...

Shareholder Returns

DOCSGB LuxuryGB Market
7D-10.8%-5.7%-1.1%
1Y-48.1%-30.0%-9.7%

Return vs Industry: DOCS underperformed the UK Luxury industry which returned -29.9% over the past year.

Return vs Market: DOCS underperformed the UK Market which returned -9.5% over the past year.

Price Volatility

Is DOCS's price volatile compared to industry and market?
DOCS volatility
DOCS Average Weekly Movement9.9%
Luxury Industry Average Movement8.3%
Market Average Movement5.4%
10% most volatile stocks in GB Market10.6%
10% least volatile stocks in GB Market2.8%

Stable Share Price: DOCS is more volatile than 75% of UK stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: DOCS's weekly volatility (10%) has been stable over the past year, but is still higher than 75% of UK stocks.

About the Company

FoundedEmployeesCEOWebsite
19452,229Kenny Wilsonhttps://www.drmartensplc.com

Dr. Martens plc designs, develops, procures, markets, sells, and distributes footwear in Europe, the Middle East, Africa, the Americas, and the Asia-Pacific. Its product segments include originals, fusion, kids, and casual, as well as accessories. The company offers its products under the Dr. Martens brand name.

Dr. Martens Fundamentals Summary

How do Dr. Martens's earnings and revenue compare to its market cap?
DOCS fundamental statistics
Market CapUK£2.34b
Earnings (TTM)UK£181.20m
Revenue (TTM)UK£908.30m

12.9x

P/E Ratio

2.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
DOCS income statement (TTM)
RevenueUK£908.30m
Cost of RevenueUK£329.50m
Gross ProfitUK£578.80m
Other ExpensesUK£397.60m
EarningsUK£181.20m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Nov 24, 2022

Earnings per share (EPS)0.18
Gross Margin63.72%
Net Profit Margin19.95%
Debt/Equity Ratio85.6%

How did DOCS perform over the long term?

See historical performance and comparison

Dividends

2.3%

Current Dividend Yield

30%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • 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 DOCS?

Other financial metrics that can be useful for relative valuation.

DOCS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.8x
Enterprise Value/EBITDA10.6x
PEG Ratio1.1x

Price to Earnings Ratio vs Peers

How does DOCS's PE Ratio compare to its peers?

DOCS PE Ratio vs Peers
The above table shows the PE ratio for DOCS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average13.5x
GAW Games Workshop Group
18.8x10.3%UK£2.2b
BWY Bellway
6.5x8.9%UK£2.7b
BRBY Burberry Group
16.4x7.3%UK£6.5b
COA Coats Group
12.2x14.9%UK£903.7m
DOCS Dr. Martens
12.9x12.1%UK£2.3b

Price-To-Earnings vs Peers: DOCS is good value based on its Price-To-Earnings Ratio (12.9x) compared to the peer average (13.5x).


Price to Earnings Ratio vs Industry

How does DOCS's PE Ratio compare vs other companies in the European Luxury Industry?

Price-To-Earnings vs Industry: DOCS is good value based on its Price-To-Earnings Ratio (12.9x) compared to the UK Luxury industry average (14.8x)


Price to Earnings Ratio vs Fair Ratio

What is DOCS'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.

DOCS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12.9x
Fair PE Ratio18.1x

Price-To-Earnings vs Fair Ratio: DOCS is good value based on its Price-To-Earnings Ratio (12.9x) compared to the estimated Fair Price-To-Earnings Ratio (18.1x).


Share Price vs Fair Value

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

Below Fair Value: DOCS (£2.34) is trading below our estimate of fair value (£4.19)

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


Price to Earnings Growth Ratio

PEG Ratio: DOCS is poor value based on its PEG Ratio (1.1x)


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Future Growth

How is Dr. Martens 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


12.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DOCS's forecast earnings growth (12.1% per year) is above the savings rate (0.9%).

Earnings vs Market: DOCS's earnings (12.1% per year) are forecast to grow faster than the UK market (10.9% per year).

High Growth Earnings: DOCS's earnings are forecast to grow, but not significantly.

Revenue vs Market: DOCS's revenue (13.1% per year) is forecast to grow faster than the UK market (4.1% per year).

High Growth Revenue: DOCS's revenue (13.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DOCS's Return on Equity is forecast to be high in 3 years time (34.7%)


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Past Performance

How has Dr. Martens performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


41.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: DOCS has high quality earnings.

Growing Profit Margin: DOCS's current net profit margins (19.9%) are higher than last year (4.5%).


Past Earnings Growth Analysis

Earnings Trend: DOCS has become profitable over the past 5 years, growing earnings by 41.6% per year.

Accelerating Growth: DOCS's earnings growth over the past year (422.2%) exceeds its 5-year average (41.6% per year).

Earnings vs Industry: DOCS earnings growth over the past year (422.2%) exceeded the Luxury industry 62.3%.


Return on Equity

High ROE: DOCS's Return on Equity (55.2%) is considered outstanding.


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Financial Health

How is Dr. Martens's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: DOCS's short term assets (£443.6M) exceed its short term liabilities (£155.0M).

Long Term Liabilities: DOCS's short term assets (£443.6M) exceed its long term liabilities (£375.9M).


Debt to Equity History and Analysis

Debt Level: DOCS's net debt to equity ratio (16.1%) is considered satisfactory.

Reducing Debt: DOCS had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: DOCS's debt is well covered by operating cash flow (65.6%).

Interest Coverage: DOCS's interest payments on its debt are well covered by EBIT (15.1x coverage).


Balance Sheet


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Dividend

What is Dr. Martens's current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


2.35%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: DOCS's dividend (2.35%) is higher than the bottom 25% of dividend payers in the UK market (1.91%).

High Dividend: DOCS's dividend (2.35%) is low compared to the top 25% of dividend payers in the UK market (5.28%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether DOCS's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if DOCS's dividend payments are increasing as they only just started paying a dividend.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (30.4%), DOCS's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (34.5%), DOCS's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

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

2.5yrs

Average management tenure


CEO

Kenny Wilson (55 yo)

3.92yrs

Tenure

UK£750,000

Compensation

Mr. Kenneth Wilson, also known as Kenny, is Chief Executive Officer at Dr. Martens Limited and Dr. Martens plc since July 2018 and serves as its Director since January 5, 2021. He joined Dr. Martens Limite...


CEO Compensation Analysis

Compensation vs Market: Kenny's total compensation ($USD902.26K) is below average for companies of similar size in the UK market ($USD3.01M).

Compensation vs Earnings: Kenny's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: DOCS's management team is considered experienced (2.5 years average tenure).


Board Members

Experienced Board: DOCS's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Dr. Martens plc's employee growth, exchange listings and data sources


Key Information

  • Name: Dr. Martens plc
  • Ticker: DOCS
  • Exchange: LSE
  • Founded: 1945
  • Industry: Footwear
  • Sector: Consumer Durables
  • Implied Market Cap: UK£2.345b
  • Shares outstanding: 1.00b
  • Website: https://www.drmartensplc.com

Number of Employees


Location

  • Dr. Martens plc
  • 28 Jamestown Road
  • Camden
  • London
  • Greater London
  • NW1 7BY
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/01 00:00
End of Day Share Price2022/07/01 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


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.