Jerash Holdings (US) (NasdaqCM:JRSH) - Share price, News & Analysis

JRSH fundamental analysis
Snowflake Score
Valuation	6/6
Future Growth	4/6
Past Performance	4/6
Financial Health	6/6
Dividends	3/6

JRSH Stock Overview

Jerash Holdings (US), Inc., through its subsidiaries, manufactures and exports customized and readymade sport and outerwear.

Rewards

Trading at 84.1% below our estimate of its fair value

Earnings are forecast to grow 26.63% per year

Earnings grew by 220.1% over the past year

Risk Analysis

Unstable dividend track record

Shareholders have been diluted in the past year

Does not have a meaningful market cap ($73M)

Jerash Holdings (US) Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Jerash Holdings (US)
Historical stock prices
Current Share Price	US$5.92
52 Week High	US$9.20
52 Week Low	US$5.30
Beta	0.69
1 Month Change	-2.15%
3 Month Change	-12.43%
1 Year Change	-8.92%
3 Year Change	-15.91%
5 Year Change	n/a
Change since IPO	-31.08%

Recent News & Updates

May 19

Jerash Holdings (US) (NASDAQ:JRSH) Will Pay A Dividend Of US$0.05

The board of Jerash Holdings (US), Inc. ( NASDAQ:JRSH ) has announced that it will pay a dividend on the 3rd of June...

Shareholder Returns

	JRSH	US Luxury	US Market
7D	1.0%	-5.1%	-2.7%
1Y	-8.9%	-23.3%	-12.9%

Return vs Industry: JRSH exceeded the US Luxury industry which returned -23.3% over the past year.

Return vs Market: JRSH exceeded the US Market which returned -12.9% over the past year.

Price Volatility

Is JRSH's price volatile compared to industry and market?
JRSH volatility
JRSH Average Weekly Movement	6.0%
Luxury Industry Average Movement	7.5%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.9%
10% least volatile stocks in US Market	2.9%

Stable Share Price: JRSH is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: JRSH's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2016	4,350	Sam Choi	https://www.jerashholdings.com

Jerash Holdings (US), Inc., through its subsidiaries, manufactures and exports customized and readymade sport and outerwear. The company offers jackets, polo shirts, t-shirts, pants, and shorts made from knitted fabric, as well as personal protective equipment. It serves various brand-name retailers in the United States, Jordan, and internationally.

Jerash Holdings (US) Fundamentals Summary

How do Jerash Holdings (US)'s earnings and revenue compare to its market cap?
JRSH fundamental statistics
Market Cap	US$73.02m
Earnings (TTM)	US$8.73m
Revenue (TTM)	US$136.17m

8.4x

P/E Ratio

0.5x

P/S Ratio

Is JRSH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
JRSH income statement (TTM)
Revenue	US$136.17m
Cost of Revenue	US$108.87m
Gross Profit	US$27.30m
Other Expenses	US$18.57m
Earnings	US$8.73m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.71
Gross Margin	20.05%
Net Profit Margin	6.41%
Debt/Equity Ratio	0%

How did JRSH perform over the long term?

See historical performance and comparison

Dividends

3.4%

Current Dividend Yield

27%

Payout Ratio

Does JRSH pay a reliable dividends?

See JRSH dividend history and benchmarks

When do you need to buy JRSH by to receive an upcoming dividend?
Jerash Holdings (US) dividend dates
Ex Dividend Date	May 26 2022
Dividend Pay Date	Jun 03 2022
Days until Ex dividend	2 days
Days until Dividend pay date	10 days

Does JRSH pay a reliable dividends?

See JRSH dividend history and benchmarks

Valuation

Is Jerash Holdings (US) undervalued compared to its fair value and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

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

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: JRSH ($5.92) is trading below our estimate of fair value ($37.34)

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

Price To Earnings Ratio

PE vs Industry: JRSH is good value based on its PE Ratio (8.4x) compared to the US Luxury industry average (10.7x).

PE vs Market: JRSH is good value based on its PE Ratio (8.4x) compared to the US market (15.2x).

Price to Earnings Growth Ratio

PEG Ratio: JRSH is good value based on its PEG Ratio (0.3x)

Price to Book Ratio

PB vs Industry: JRSH is good value based on its PB Ratio (1x) compared to the US Luxury industry average (1.7x).

Future Growth

How is Jerash Holdings (US) forecast to perform in the next 1 to 3 years based on estimates from 3 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

26.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: JRSH's forecast earnings growth (26.6% per year) is above the savings rate (1.9%).

Earnings vs Market: JRSH's earnings (26.6% per year) are forecast to grow faster than the US market (12.5% per year).

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

Revenue vs Market: JRSH's revenue (13% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: JRSH's revenue (13% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if JRSH's Return on Equity is forecast to be high in 3 years time

Past Performance

How has Jerash Holdings (US) performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

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

-16.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: JRSH has high quality earnings.

Growing Profit Margin: JRSH's current net profit margins (6.4%) are higher than last year (3.4%).

Past Earnings Growth Analysis

Earnings Trend: JRSH's earnings have declined by 16.3% per year over the past 5 years.

Accelerating Growth: JRSH's earnings growth over the past year (220.1%) exceeds its 5-year average (-16.3% per year).

Earnings vs Industry: JRSH earnings growth over the past year (220.1%) exceeded the Luxury industry 96.3%.

Return on Equity

High ROE: JRSH's Return on Equity (12.5%) is considered low.

Financial Health

How is Jerash Holdings (US)'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: JRSH's short term assets ($68.4M) exceed its short term liabilities ($10.7M).

Long Term Liabilities: JRSH's short term assets ($68.4M) exceed its long term liabilities ($1.9M).

Debt to Equity History and Analysis

Debt Level: JRSH is debt free.

Reducing Debt: JRSH had no debt 5 years ago.

Debt Coverage: JRSH has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: JRSH has no debt, therefore coverage of interest payments is not a concern.

Balance Sheet

Dividend

What is Jerash Holdings (US) 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

3.38%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: JRSH's dividend (3.38%) is higher than the bottom 25% of dividend payers in the US market (1.58%).

High Dividend: JRSH's dividend (3.38%) is low compared to the top 25% of dividend payers in the US market (4.11%).

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, JRSH has been paying a dividend for less than 10 years.

Growing Dividend: JRSH has only been paying a dividend for 4 years, and since then payments have not increased.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (26.5%), JRSH's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (36.7%), JRSH'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?

5.0yrs

Average management tenure

CEO

Sam Choi (59 yo)

5yrs

Tenure

US$280,000

Compensation

Mr. Lin Hung Choi, also known as Sam, is Chairman and Chief Executive Officer of Jerash Holdings (US), Inc. since March 2018 and has been its President, Treasurer and Director of Jerash Holdings (US) Inc....

CEO Compensation Analysis

Compensation vs Market: Sam's total compensation ($USD280.00K) is below average for companies of similar size in the US market ($USD770.27K).

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

Leadership Team

Experienced Management: JRSH's management team is seasoned and experienced (5 years average tenure).

Board Members

Experienced Board: JRSH's board of directors are considered experienced (4 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 been diluted in the past year, with total shares outstanding growing by 8.9%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/22 00:00
End of Day Share Price	2022/05/20 00:00
Earnings	2021/12/31
Annual Earnings	2021/03/31