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Market Cap

US$93.4m

Last Updated

2021/04/11 22:13 UTC

Data Sources

Company Financials

Executive Summary

DAVIDsTEA Inc. operates as a retailer of specialty tea in Canada and the United States. More Details


Snowflake Analysis

Mediocre balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: DTEA is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 20% a week.

Volatility Over Time: DTEA's weekly volatility (20%) has been stable over the past year, but is still higher than 75% of US stocks.


Market Performance


7 Day Return

-7.3%

DTEA

3.7%

US Specialty Retail

2.1%

US Market


1 Year Return

557.9%

DTEA

116.8%

US Specialty Retail

56.3%

US Market

Return vs Industry: DTEA exceeded the US Specialty Retail industry which returned 116.8% over the past year.

Return vs Market: DTEA exceeded the US Market which returned 56.3% over the past year.


Shareholder returns

DTEAIndustryMarket
7 Day-7.3%3.7%2.1%
30 Day-6.3%3.6%2.4%
90 Day28.5%16.1%6.1%
1 Year557.9%557.9%118.1%116.8%59.1%56.3%
3 Year4.7%4.7%116.8%108.2%65.7%55.1%
5 Year-68.2%-68.2%111.0%95.1%122.3%97.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


In this section, we usually try to help investors determine whether DAVIDsTEA is trading at an attractive price based on the cash flow it is expected to produce in the future. But as DAVIDsTEA 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.


Future Growth

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

30.2%

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 DAVIDsTEA 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.


Past Performance

How has DAVIDsTEA performed over the past 5 years?

4.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DTEA is currently unprofitable.

Growing Profit Margin: DTEA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DTEA is unprofitable, but has reduced losses over the past 5 years at a rate of 4.8% per year.

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

Earnings vs Industry: DTEA is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (30.5%).


Return on Equity

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


Financial Health

How is DAVIDsTEA's financial position?


Financial Position Analysis

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

Long Term Liabilities: DTEA 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: DTEA is debt free.

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


Balance Sheet


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: Whilst unprofitable DTEA has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: DTEA is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 30.6% per year.


Dividend

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


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if DTEA'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 DTEA'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?

0.3yrs

Average management tenure


CEO

Sarah Segal (35 yo)

0.33

Tenure

CA$322,000

Compensation

Ms. Sarah Segal has been Chief Brand Officer at DAVIDsTEA Inc since August 21, 2018 and serves as Chief Executive Officer since December 16, 2020. Ms. Segal served as Vice President of Product Development ...


CEO Compensation Analysis

Compensation vs Market: Sarah's total compensation ($USD256.40K) is below average for companies of similar size in the US market ($USD510.93K).

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


Leadership Team

Experienced Management: DTEA's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: DTEA's board of directors are not considered experienced ( 2.8 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: DAVIDsTEA Inc.
  • Ticker: DTEA
  • Exchange: NasdaqGM
  • Founded: 2008
  • Industry: Specialty Stores
  • Sector: Retail
  • Market Cap: US$93.382m
  • Shares outstanding: 26.23m
  • Website: https://www.davidstea.com

Number of Employees


Location

  • DAVIDsTEA Inc.
  • 5430 Ferrier
  • Mount Royal
  • Quebec
  • H4P 1M2
  • Canada

Listings


Biography

DAVIDsTEA Inc. operates as a retailer of specialty tea in Canada and the United States. The company offers loose-leaf teas, pre-packaged teas, tea sachets, and tea-related gifts; tea accessories, including...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/11 22:13
End of Day Share Price2021/04/09 00:00
Earnings2020/10/31
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.