NasdaqGS:KIRK

Stock Analysis Report

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Market Cap

US$280.1m

Last Updated

2021/08/03 00:30 UTC

Data Sources

Company Financials +

Executive Summary

Kirkland's, Inc. operates as a specialty retailer of home décor in the United States. More Details


Snowflake Analysis

Very undervalued with flawless balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: KIRK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: KIRK's weekly volatility has decreased from 13% to 7% over the past year.


Market Performance


7 Day Return

1.0%

KIRK

-1.6%

US Specialty Retail

-0.4%

US Market


1 Year Return

215.4%

KIRK

64.0%

US Specialty Retail

34.4%

US Market

Return vs Industry: KIRK exceeded the US Specialty Retail industry which returned 65.8% over the past year.

Return vs Market: KIRK exceeded the US Market which returned 35.9% over the past year.


Shareholder returns

KIRKIndustryMarket
7 Day1.0%-1.6%-0.4%
30 Day-10.7%-2.1%-0.4%
90 Day-33.0%-0.9%4.0%
1 Year215.4%215.4%65.2%64.0%36.5%34.4%
3 Year74.5%74.5%90.1%83.4%62.0%51.9%
5 Year26.7%26.7%107.3%93.5%121.8%97.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Kirkland's 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: KIRK ($19.65) is trading below our estimate of fair value ($40.41)

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


Price To Earnings Ratio

PE vs Industry: KIRK is good value based on its PE Ratio (10.8x) compared to the US Specialty Retail industry average (13.4x).

PE vs Market: KIRK is good value based on its PE Ratio (10.8x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: KIRK is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: KIRK is good value based on its PB Ratio (2.9x) compared to the US Specialty Retail industry average (3.3x).


Future Growth

How is Kirkland's forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

16.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KIRK's forecast earnings growth (16.4% per year) is above the savings rate (2%).

Earnings vs Market: KIRK's earnings (16.4% per year) are forecast to grow faster than the US market (15% per year).

High Growth Earnings: KIRK's earnings are forecast to grow, but not significantly.

Revenue vs Market: KIRK's revenue is expected to decline over the next 3 years (-2.4% per year).

High Growth Revenue: KIRK's revenue is forecast to decline over the next 3 years (-2.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KIRK's Return on Equity is forecast to be low in 3 years time (16.4%).


Past Performance

How has Kirkland's performed over the past 5 years?

-41.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KIRK has high quality earnings.

Growing Profit Margin: KIRK became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: KIRK's earnings have declined by 41.8% per year over the past 5 years.

Accelerating Growth: KIRK has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: KIRK has become profitable in the last year, making it difficult to compare its past year earnings growth to the Specialty Retail industry (156.7%).


Return on Equity

High ROE: KIRK's Return on Equity (27.1%) is considered high.


Financial Health

How is Kirkland's's financial position?


Financial Position Analysis

Short Term Liabilities: KIRK's short term assets ($157.3M) exceed its short term liabilities ($128.5M).

Long Term Liabilities: KIRK's short term assets ($157.3M) exceed its long term liabilities ($141.2M).


Debt to Equity History and Analysis

Debt Level: KIRK is debt free.

Reducing Debt: KIRK had no debt 5 years ago.

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

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


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

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

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

2.8yrs

Average management tenure


CEO

Woody Woodward (64 yo)

2.83yrs

Tenure

US$2,241,669

Compensation

Mr. Steve C. Woodward, also known as Woody, serves as Chief Executive Officer at Kirkland's, Inc. since October 22, 2018 and serves as its President since January 16, 2020. Prior to joining Kirkland’s, Inc...


CEO Compensation Analysis

Compensation vs Market: Woody's total compensation ($USD2.24M) is above average for companies of similar size in the US market ($USD1.10M).

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


Leadership Team

Experienced Management: KIRK's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: KIRK's board of directors are considered experienced (5.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: KIRK insiders have only sold shares 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

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


Key Information

  • Name: Kirkland's, Inc.
  • Ticker: KIRK
  • Exchange: NasdaqGS
  • Founded: 1966
  • Industry: Homefurnishing Retail
  • Sector: Retail
  • Market Cap: US$280.063m
  • Shares outstanding: 14.25m
  • Website: https://www.kirklands.com

Number of Employees


Location

  • Kirkland's, Inc.
  • 5310 Maryland Way
  • Brentwood
  • Tennessee
  • 37027
  • United States

Listings


Biography

Kirkland's, Inc. operates as a specialty retailer of home décor in the United States. The company’s stores provide various merchandise, including holiday décor, furniture, textiles, ornamental wall décor, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/03 00:30
End of Day Share Price2021/08/02 00:00
Earnings2021/05/01
Annual Earnings2021/01/30


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.