LSE:JD.

Stock Analysis Report

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Executive Summary

JD Sports Fashion plc engages in the retail of branded sports fashionwear, outdoor clothing, footwear, accessories and equipment for kids, women, and men. More Details


Snowflake Analysis

High growth potential with excellent balance sheet.


Similar Companies

Share Price & News

How has JD Sports Fashion's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

2.6%

JD.

3.0%

GB Specialty Retail

-3.1%

GB Market


1 Year Return

9.0%

JD.

5.2%

GB Specialty Retail

-17.0%

GB Market

Return vs Industry: JD. exceeded the UK Specialty Retail industry which returned 5.2% over the past year.

Return vs Market: JD. exceeded the UK Market which returned -17% over the past year.


Shareholder returns

JD.IndustryMarket
7 Day2.6%3.0%-3.1%
30 Day10.6%4.0%-3.3%
90 Day29.7%20.7%-4.0%
1 Year9.1%9.0%6.4%5.2%-13.7%-17.0%
3 Year115.9%114.3%5.8%-2.6%-8.3%-19.3%
5 Year319.2%312.0%-4.2%-17.4%18.5%-7.7%

Price Volatility Vs. Market

How volatile is JD Sports Fashion's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is JD Sports Fashion undervalued compared to its fair value and its price relative to the market?

41.22x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: JD. (£8.03) is trading above our estimate of fair value (£2.72)

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


Price To Earnings Ratio

PE vs Industry: JD. is poor value based on its PE Ratio (41.2x) compared to the GB Specialty Retail industry average (20.8x).

PE vs Market: JD. is poor value based on its PE Ratio (41.2x) compared to the UK market (17.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: JD. is overvalued based on its PB Ratio (6.1x) compared to the GB Specialty Retail industry average (1x).


Next Steps

Future Growth

How is JD Sports Fashion forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

38.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JD.'s forecast earnings growth (38.2% per year) is above the savings rate (1.2%).

Earnings vs Market: JD.'s earnings (38.2% per year) are forecast to grow faster than the UK market (23.9% per year).

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

Revenue vs Market: JD.'s revenue (10.5% per year) is forecast to grow faster than the UK market (6.3% per year).

High Growth Revenue: JD.'s revenue (10.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JD.'s Return on Equity is forecast to be high in 3 years time (20.2%)


Next Steps

Past Performance

How has JD Sports Fashion performed over the past 5 years?

17.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JD. has a large one-off loss of £89.4M impacting its August 1 2020 financial results.

Growing Profit Margin: JD.'s current net profit margins (3.2%) are lower than last year (4.6%).


Past Earnings Growth Analysis

Earnings Trend: JD.'s earnings have grown by 17% per year over the past 5 years.

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

Earnings vs Industry: JD. had negative earnings growth (-26.6%) over the past year, making it difficult to compare to the Specialty Retail industry average (-21.3%).


Return on Equity

High ROE: JD.'s Return on Equity (13.4%) is considered low.


Next Steps

Financial Health

How is JD Sports Fashion's financial position?


Financial Position Analysis

Short Term Liabilities: JD.'s short term assets (£2.0B) exceed its short term liabilities (£1.7B).

Long Term Liabilities: JD.'s short term assets (£2.0B) exceed its long term liabilities (£1.7B).


Debt to Equity History and Analysis

Debt Level: JD.'s debt to equity ratio (23.4%) is considered satisfactory.

Reducing Debt: JD.'s debt to equity ratio has increased from 17.7% to 23.4% over the past 5 years.

Debt Coverage: JD.'s debt is well covered by operating cash flow (350.5%).

Interest Coverage: JD.'s interest payments on its debt are well covered by EBIT (6x coverage).


Balance Sheet


Next Steps

Dividend

What is JD Sports Fashion current dividend yield, its reliability and sustainability?

0.20%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: JD. is not paying a notable dividend for the UK market.


Future Payout to Shareholders

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


Next Steps

Management

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

5.0yrs

Average board tenure


CEO

JD Sports Fashion has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Peter Cowgill
Executive Chairman16.5yrsUK£5.59m0.67%
£ 52.0m
Neil Greenhalgh
CFO & Director1.83yrsUK£836.00k0.00021%
£ 16.4k
Andrew Leslie
Independent Non Executive Director10.33yrsUK£63.00kno data
Andrew Rubin
Independent Non-Executive Director4.58yrsno datano data
Martin Davies
Senior Independent Non-Executive Directorno dataUK£71.00kno data
Heather Jackson
Independent Non-Executive Director5.33yrsUK£56.00kno data
Kath Smith
Independent Non-Executive Director1.33yrsUK£40.00kno data

5.0yrs

Average Tenure

60yo

Average Age

Experienced Board: JD.'s board of directors are considered experienced (5 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

JD Sports Fashion plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: JD Sports Fashion plc
  • Ticker: JD.
  • Exchange: LSE
  • Founded: 1981
  • Industry: Specialty Stores
  • Sector: Retail
  • Market Cap: UK£7.811b
  • Shares outstanding: 973.23m
  • Website: https://www.jdplc.com

Number of Employees


Location

  • JD Sports Fashion plc
  • Edinburgh House
  • Hollinsbrook Way
  • Bury
  • Greater Manchester
  • BL9 8RR
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JD.LSE (London Stock Exchange)YesOrdinary SharesGBGBPOct 1996
JDLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPOct 1996
9JD2DB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1996
JDDS.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 1996
JDSP.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDApr 2016

Biography

JD Sports Fashion plc engages in the retail of branded sports fashionwear, outdoor clothing, footwear, accessories and equipment for kids, women, and men. It operates through Sports Fashion and Outdoor seg ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/27 03:59
End of Day Share Price2020/09/25 00:00
Earnings2020/08/01
Annual Earnings2020/02/01


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.