NasdaqGS:CTRN

Stock Analysis Report

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Executive Summary

Citi Trends, Inc. operates as a value-priced retailer of fashion apparel, accessories, and home goods. More Details


Snowflake Analysis

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-2.1%

CTRN

-0.8%

US Specialty Retail

-1.3%

US Market


1 Year Return

50.4%

CTRN

24.5%

US Specialty Retail

18.5%

US Market

Return vs Industry: CTRN exceeded the US Specialty Retail industry which returned 24.5% over the past year.

Return vs Market: CTRN exceeded the US Market which returned 18.5% over the past year.


Shareholder returns

CTRNIndustryMarket
7 Day-2.1%-0.8%-1.3%
30 Day14.7%7.0%5.3%
90 Day55.4%15.2%7.5%
1 Year51.6%50.4%25.8%24.5%21.3%18.5%
3 Year27.5%22.7%87.3%78.9%42.4%32.9%
5 Year7.7%0.7%70.1%57.0%84.2%63.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CTRN ($27.04) is trading below our estimate of fair value ($161.83)

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


Price To Earnings Ratio

PE vs Industry: CTRN is poor value based on its PE Ratio (40.4x) compared to the US Specialty Retail industry average (21.7x).

PE vs Market: CTRN is poor value based on its PE Ratio (40.4x) compared to the US market (19x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CTRN is good value based on its PB Ratio (1.7x) compared to the US Specialty Retail industry average (1.9x).


Next Steps

Future Growth

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

24.8%

Forecasted Retail 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 Citi Trends 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 Citi Trends performed over the past 5 years?

-6.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CTRN has a large one-off loss of $2.4M impacting its August 1 2020 financial results.

Growing Profit Margin: CTRN's current net profit margins (1%) are lower than last year (2%).


Past Earnings Growth Analysis

Earnings Trend: CTRN's earnings have declined by 6.7% per year over the past 5 years.

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

Earnings vs Industry: CTRN had negative earnings growth (-51.4%) over the past year, making it difficult to compare to the Specialty Retail industry average (2.2%).


Return on Equity

High ROE: CTRN's Return on Equity (4.5%) is considered low.


Next Steps

Financial Health

How is Citi Trends's financial position?


Financial Position Analysis

Short Term Liabilities: CTRN's short term assets ($259.2M) exceed its short term liabilities ($154.1M).

Long Term Liabilities: CTRN's short term assets ($259.2M) exceed its long term liabilities ($183.2M).


Debt to Equity History and Analysis

Debt Level: CTRN's debt to equity ratio (25.5%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if CTRN's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: CTRN's debt is well covered by operating cash flow (187.3%).

Interest Coverage: CTRN earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Citi Trends's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: CTRN is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CTRN'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?

1.0yrs

Average management tenure


CEO

David Makuen (52 yo)

0.58

Tenure

Mr. David N. Makuen has been Chief Executive Officer and Director of Citi Trends, Inc. since March 9, 2020. He had been Executive Vice President of Marketing at Five Below, Inc. since May 2019 until Februa ...


Leadership Team

NamePositionTenureCompensationOwnership
Peter Sachse
Executive Chairman0.58yrUS$997.15k0.57%
$ 1.6m
Ivy Council
Executive VP of Human Resources & Chief Compliance Officer8.58yrsUS$534.83k0.76%
$ 2.1m
James Dunn
Senior Vice President of Store Operations14.5yrsUS$461.57k0.50%
$ 1.4m
Christina Short
Senior VP & General Planning Manager2.58yrsUS$487.21k0.12%
$ 328.4k
David Makuen
CEO & Director0.58yrno data0.14%
$ 396.0k
Jason Moschner
Principal Financial Officer & Principal Accounting Officer0.58yrno data0.032%
$ 89.4k
Lisa Powell
Executive VP & Chief Merchandising Officer1.08yrsno data0.17%
$ 494.0k
Charles Hynes
Senior Vice President of Supply Chain1yrno data0.092%
$ 260.8k

1.0yrs

Average Tenure

52yo

Average Age

Experienced Management: CTRN's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Peter Sachse
Executive Chairman0.58yrUS$997.15k0.57%
$ 1.6m
David Makuen
CEO & Director0.58yrno data0.14%
$ 396.0k
Brian Carney
Independent Director0.58yrUS$233.25k0.36%
$ 1.0m
Laurens Goff
Independent Director6.92yrsUS$229.00k0.22%
$ 626.8k
Margaret Jenkins
Independent Director3yrsUS$182.25k0.070%
$ 199.0k
Jonathan Duskin
Lead Independent Director0.58yrUS$221.25k0.070%
$ 199.0k
Kenneth Seipel
Independent Director1.08yrsUS$79.37k0.057%
$ 160.6k

0.6yrs

Average Tenure

59yo

Average Age

Experienced Board: CTRN's board of directors are not considered experienced ( 0.6 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

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


Key Information

  • Name: Citi Trends, Inc.
  • Ticker: CTRN
  • Exchange: NasdaqGS
  • Founded: 1946
  • Industry: Apparel Retail
  • Sector: Retail
  • Market Cap: US$282.897m
  • Shares outstanding: 10.46m
  • Website: https://www.cititrends.com

Number of Employees


Location

  • Citi Trends, Inc.
  • 104 Coleman Boulevard
  • Savannah
  • Georgia
  • 31408
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CTRNNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDMay 2005
WW2DB (Deutsche Boerse AG)YesCommon StockDEEURMay 2005

Biography

Citi Trends, Inc. operates as a value-priced retailer of fashion apparel, accessories, and home goods. The company offers apparel, such as fashion sportswear for men and women, as well as children, includi ...


Company Analysis and Financial Data Status

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