NYSE:CULP

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Executive Summary

Culp, Inc. manufactures, sources, markets, and sells mattress fabrics, sewn covers, and cut and sewn kits for use in mattresses, foundations, and other bedding products in North America, the Far East, Asia, and internationally. More Details


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-3.5%

CULP

-0.5%

US Luxury

-1.3%

US Market


1 Year Return

-16.5%

CULP

18.6%

US Luxury

18.5%

US Market

Return vs Industry: CULP underperformed the US Luxury industry which returned 18.6% over the past year.

Return vs Market: CULP underperformed the US Market which returned 18.5% over the past year.


Shareholder returns

CULPIndustryMarket
7 Day-3.5%-0.5%-1.3%
30 Day4.2%12.0%5.3%
90 Day26.0%23.2%7.5%
1 Year-13.1%-16.5%20.0%18.6%21.3%18.5%
3 Year-56.7%-59.9%78.3%70.0%42.4%32.9%
5 Year-54.0%-58.8%61.5%50.9%84.2%63.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

7.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CULP ($12.48) is trading below our estimate of fair value ($13.74)

Significantly Below Fair Value: CULP is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CULP is unprofitable, so we can't compare its PE Ratio to the US Luxury industry average.

PE vs Market: CULP is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CULP's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CULP is good value based on its PB Ratio (1.2x) compared to the US Luxury industry average (1.6x).


Next Steps

Future Growth

How is Culp forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

46.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CULP is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: CULP is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CULP's is expected to become profitable in the next 3 years.

Revenue vs Market: CULP's revenue (3.9% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: CULP's revenue (3.9% 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 CULP's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Culp performed over the past 5 years?

-31.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CULP is currently unprofitable.

Growing Profit Margin: CULP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CULP is unprofitable, and losses have increased over the past 5 years at a rate of 31% per year.

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

Earnings vs Industry: CULP is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (-47.1%).


Return on Equity

High ROE: CULP has a negative Return on Equity (-12.45%), as it is currently unprofitable.


Next Steps

Financial Health

How is Culp's financial position?


Financial Position Analysis

Short Term Liabilities: CULP's short term assets ($120.7M) exceed its short term liabilities ($37.6M).

Long Term Liabilities: CULP's short term assets ($120.7M) exceed its long term liabilities ($21.1M).


Debt to Equity History and Analysis

Debt Level: CULP is debt free.

Reducing Debt: CULP has no debt compared to 5 years ago when its debt to equity ratio was 1.8%.

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

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


Balance Sheet


Next Steps

Dividend

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

3.31%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CULP's dividend (3.37%) is higher than the bottom 25% of dividend payers in the US market (1.64%).

High Dividend: CULP's dividend (3.37%) is low compared to the top 25% of dividend payers in the US market (4.68%).


Stability and Growth of Payments

Stable Dividend: CULP has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: CULP's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: CULP is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

  • Explore strong dividend paying companies in the Consumer Durables industry.

Management

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

6.2yrs

Average management tenure


CEO

Robert Culp (49 yo)

0.75

Tenure

US$754,914

Compensation

Mr. Robert G. Culp, IV, has been the Chief Executive Officer and President of Culp, Inc. since January 1, 2020 and its President since March 06, 2019. Mr. Culp served as Chief Operating Officer of Culp, I ...


CEO Compensation Analysis

Compensation vs Market: Robert's total compensation ($USD754.91K) is below average for companies of similar size in the US market ($USD1.27M).

Compensation vs Earnings: Robert's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Franklin Saxon
Executive Chairman1.5yrsUS$1.29m0.90%
$ 1.4m
Robert Culp
President0.75yrUS$754.91k2.04%
$ 3.2m
Kenneth Bowling
Executive VP13.42yrsUS$503.95k0.20%
$ 306.9k
Boyd Chumbley
President of Culp Upholstery Fabrics Division6.17yrsUS$729.53k0.37%
$ 575.0k
Cassandra Brown
President of Home Fashions Division0.75yrUS$349.58k0.079%
$ 123.4k
Ashley Durbin
VP, General Counsel & Corporate Secretary1.75yrsno data0.041%
$ 63.2k
Teresa Huffman
Vice President of Human Resources12.67yrsno datano data
Paul Saunders
Chief Executive Officer of eLuxuryno datano datano data
Thomas Gallagher
Corporate Controller13.33yrsUS$213.33kno data

6.2yrs

Average Tenure

54yo

Average Age

Experienced Management: CULP's management team is seasoned and experienced (6.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Franklin Saxon
Executive Chairman1.5yrsUS$1.29m0.90%
$ 1.4m
Robert Culp
President0.75yrUS$754.91k2.04%
$ 3.2m
Fred Jackson
Independent Director4.75yrsUS$95.93k0.26%
$ 410.2k
Kenneth McAllister
Lead Independent Director14.08yrsUS$105.93k0.32%
$ 495.9k
Sharon Decker
Independent Director1.58yrsUS$96.25k0.063%
$ 98.4k
Kenneth Larson
Independent Director16.08yrsUS$95.93k0.16%
$ 255.0k
Perry Davis
Independent Director1.25yrsUS$96.25k0.057%
$ 89.3k

1.6yrs

Average Tenure

68yo

Average Age

Experienced Board: CULP's board of directors are not considered experienced ( 1.6 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

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


Key Information

  • Name: Culp, Inc.
  • Ticker: CULP
  • Exchange: NYSE
  • Founded: 1972
  • Industry: Textiles
  • Sector: Consumer Durables
  • Market Cap: US$156.059m
  • Shares outstanding: 12.30m
  • Website: https://www.culp.com

Number of Employees


Location

  • Culp, Inc.
  • 1823 Eastchester Drive
  • High Point
  • North Carolina
  • 27265
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CULPNYSE (New York Stock Exchange)YesCommon SharesUSUSDAug 1983
CUZDB (Deutsche Boerse AG)YesCommon SharesDEEURAug 1983

Biography

Culp, Inc. manufactures, sources, markets, and sells mattress fabrics, sewn covers, and cut and sewn kits for use in mattresses, foundations, and other bedding products in North America, the Far East, Asia ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/22 01:16
End of Day Share Price2020/10/21 00:00
Earnings2020/08/02
Annual Earnings2020/05/03


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.