NasdaqCM:CTRC

Stock Analysis Report

Executive Summary

Centric Brands Inc. designs, produces, merchandises, manages, markets, and distributes kid's wear, and women's and men's accessories and apparel in North America and international markets.


Snowflake Analysis

Weak fundamentals or lack of information.


Similar Companies

Share Price & News

How has Centric Brands's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.9%

CTRC

-6.5%

US Luxury

-4.2%

US Market


1 Year Return

-46.0%

CTRC

4.0%

US Luxury

14.0%

US Market

Return vs Industry: CTRC underperformed the US Luxury industry which returned 8.8% over the past year.

Return vs Market: CTRC underperformed the US Market which returned 17.8% over the past year.


Shareholder returns

CTRCIndustryMarket
7 Day1.9%-6.5%-4.2%
30 Day8.6%-6.3%-1.8%
90 Day-26.2%-1.3%2.6%
1 Year-46.0%-46.0%6.1%4.0%16.3%14.0%
3 Year-4.9%-4.9%57.8%50.7%43.2%34.0%
5 Yearn/a40.3%30.9%65.9%47.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


In this section, we usually try to help investors determine whether Centric Brands is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Centric Brands has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

Future Growth

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

12.3%

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 Centric Brands 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 Centric Brands performed over the past 5 years?

-86.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CTRC is currently unprofitable.

Growing Profit Margin: CTRC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CTRC is unprofitable, and losses have increased over the past 5 years at a rate of -86.1% per year.

Accelerating Growth: Unable to compare CTRC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CTRC is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (3.5%).


Return on Equity

High ROE: CTRC's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Centric Brands's financial position?


Financial Position Analysis

Short Term Liabilities: CTRC has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: CTRC has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: CTRC has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: CTRC's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

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

Debt Coverage by Assets: CTRC has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: CTRC has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: CTRC has less than a year of cash runway if free cash flow continues to reduce at historical rates of -86.5% each year


Next Steps

Dividend

What is Centric Brands's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage1.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Jason Rabin (49yo)

1.3yrs

Tenure

US$2,253,713

Compensation

Mr. Jason Andrew Rabin has been Chief Executive Officer and Director of Centric Brands Inc. since October 29, 2018. Mr. Rabin served as the President North America at Global Brands Group Holding Limited f ...


CEO Compensation Analysis

Compensation vs Market: Jason's total compensation ($USD2.25M) is above average for companies of similar size in the US market ($USD521.92K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Jason Rabin
CEO & Director1.3yrsUS$2.25m7.77% $9.8m
Anurup Pruthi
Chief Financial Officer1.3yrsUS$555.50kno data
Andrew Tarshis
Executive VP & General Counsel0.7yrsUS$54.55k0.087% $110.3k
Peter Kim
Founder & Vice Chairman of Hudson Subsidiary0yrsUS$947.92kno data
Laura Ritchey
Chief Operating Officer0yrsno datano data
Roger Czuchra
Chief Information Officer0.8yrsno datano data
Lori Nembirkow
Senior Vice President of Legal & Compliance0yrsno datano data
Pamela Alabaster
Chief Marketing & Communications Officer0yrsno datano data
Tom Nevell
Executive Vice President of Business Development3.3yrsno datano data
Karen Coe
Chief Human Resources Officer1.3yrsno datano data

1.3yrs

Average Tenure

49yo

Average Age

Experienced Management: CTRC's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Jason Rabin
CEO & Director1.3yrsUS$2.25m7.77% $9.8m
Peter Kim
Founder & Vice Chairman of Hudson Subsidiary0yrsUS$947.92kno data
Kent Savage
Independent Director16.6yrsUS$140.00k0.20% $257.4k
Glenn Krevlin
Independent Director1.3yrsno data0.33% $412.5k
William Sweedler
Independent Chairman of the Board4.1yrsno data0.015% $19.4k
Randall Kessler
Independent Director1.3yrsno datano data
Matthew Eby
Independent Director4.1yrsno data0.015% $19.4k
Robert Petrini
Independent Director1.3yrsno datano data
Walter McLallen
Independent Director4.1yrsUS$336.00k0.28% $348.0k

2.7yrs

Average Tenure

50.5yo

Average Age

Experienced Board: CTRC's board of directors are not considered experienced ( 2.7 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 301.4%.


Top Shareholders

Company Information

Centric Brands Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Centric Brands Inc.
  • Ticker: CTRC
  • Exchange: NasdaqCM
  • Founded: 1987
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: US$126.381m
  • Shares outstanding: 59.06m
  • Website: https://www.centricbrands.com

Number of Employees


Location

  • Centric Brands Inc.
  • 350 5th Avenue
  • 6th Floor
  • New York
  • New York
  • 10118
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IVOADB (Deutsche Boerse AG)YesCommon StockDEEURJan 2006
CTRCNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJan 2006

Biography

Centric Brands Inc. designs, produces, merchandises, manages, markets, and distributes kid's wear, and women's and men's accessories and apparel in North America and international markets. The company also licenses approximately 100 brands across its core product categories, including kid's, women's, and men's accessories and apparel. Its owned brands include Hudson, a designer and marketer of women’s and men’s branded denim and apparel; Robert Graham, an eclectic apparel and accessories brand; and SWIMS, a Scandinavian lifestyle brand for a range of footwear, apparel, and accessories. The company sells its products through its owned retail stores, e-commerce Websites, retail partners’ Websites, and partner shop-in-shops, as well as to department, specialty, and mass merchant retail stores. It operates retail stores for its Robert Graham and SWIMS brands. As of May 15, 2019, the company operated 31 Robert Graham brand stores, which consisted of 19 full price stores and 12 outlet stores; and 3 SWIMS brand outlet stores, which consisted of 1 full price store and 2 outlet stores. The company was formerly known as Differential Brands Group Inc. and changed its name to Centric Brands Inc. in October 2018. Centric Brands Inc. was founded in 1987 and is based in New York, New York. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 00:41
End of Day Share Price2020/02/24 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.