The Michaels Companies, Inc. owns and operates arts and crafts specialty retail stores for hobbyist and do-it-yourself home decorators in the United States and Canada. More Details
Undervalued with moderate growth potential.
Share Price & News
How has Michaels Companies's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MIK's share price has been volatile over the past 3 months.
7 Day Return
US Specialty Retail
1 Year Return
US Specialty Retail
Return vs Industry: MIK underperformed the US Specialty Retail industry which returned 15.3% over the past year.
Return vs Market: MIK underperformed the US Market which returned 12% over the past year.
Price Volatility Vs. Market
How volatile is Michaels Companies's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StMarket Cool On The Michaels Companies, Inc.'s (NASDAQ:MIK) Earnings
2 months ago | Simply Wall StThe Michaels Companies, Inc.'s (NASDAQ:MIK) Sentiment Matching Earnings
2 months ago | Simply Wall StHow Much Are The Michaels Companies, Inc. (NASDAQ:MIK) Insiders Spending On Buying Shares?
Is Michaels Companies undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MIK ($8.11) is trading below our estimate of fair value ($22.52)
Significantly Below Fair Value: MIK is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MIK is good value based on its PE Ratio (8.6x) compared to the US Specialty Retail industry average (20x).
PE vs Market: MIK is good value based on its PE Ratio (8.6x) compared to the US market (18.1x).
Price to Earnings Growth Ratio
PEG Ratio: MIK is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: MIK has negative assets, so we can't compare its PB Ratio to the US Specialty Retail industry average.
How is Michaels Companies forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MIK's forecast earnings growth (25.2% per year) is above the savings rate (2.2%).
Earnings vs Market: MIK's earnings (25.2% per year) are forecast to grow faster than the US market (22% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: MIK's revenue (3.1% per year) is forecast to grow slower than the US market (10% per year).
High Growth Revenue: MIK's revenue (3.1% 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 MIK's Return on Equity is forecast to be high in 3 years time
How has Michaels Companies performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MIK has a large one-off loss of $121.2M impacting its August 1 2020 financial results.
Growing Profit Margin: MIK's current net profit margins (2.8%) are lower than last year (6.3%).
Past Earnings Growth Analysis
Earnings Trend: MIK's earnings have declined by 8.8% per year over the past 5 years.
Accelerating Growth: MIK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MIK had negative earnings growth (-57.5%) over the past year, making it difficult to compare to the Specialty Retail industry average (6%).
Return on Equity
High ROE: MIK's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
How is Michaels Companies's financial position?
Financial Position Analysis
Short Term Liabilities: MIK has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: MIK 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: MIK has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: MIK's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: MIK's debt is well covered by operating cash flow (29.7%).
Interest Coverage: MIK's interest payments on its debt are well covered by EBIT (3x coverage).
What is Michaels Companies's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate MIK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate MIK'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 MIK's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if MIK'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 MIK's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ashley Buchanan (46 yo)
Mr. Ashley Buchanan has been Chief Executive Officer at The Michaels Companies, Inc. since April 1, 2020. He has been Director of The Michaels Companies, Inc. since January 6, 2020 and served as its Presid ...
CEO Compensation Analysis
Compensation vs Market: Ashley's total compensation ($USD12.19M) is above average for companies of similar size in the US market ($USD2.96M).
Compensation vs Earnings: Insufficient data to compare Ashley's compensation with company performance.
|Senior Advisor & Director||1.58yrs||US$6.51m||0.095% |
|Executive Vice President of Stores & Development||2.42yrs||US$1.44m||0.019% |
|Executive Officer||0.83yr||US$3.39m||no data|
|Executive VP & CFO||no data||no data||no data|
|Chief Accounting Officer||6.17yrs||no data||0.023% |
|VP of Investor Relations & Treasurer||no data||no data||no data|
|Executive VP||0.42yr||no data||no data|
|Executive VP & Chief Human Resources Officer||2.75yrs||no data||no data|
|Executive VP of Information Technology||6.83yrs||US$1.29m||0% |
|Senior Vice President of Real Estate & Development||5.75yrs||no data||no data|
|Senior Vice President of Merchandising||5yrs||no data||no data|
Experienced Management: MIK's management team is considered experienced (2.6 years average tenure).
|Senior Advisor & Director||1.58yrs||US$6.51m||0.095% |
|Independent Director||14yrs||no data||no data|
|Independent Director||14yrs||US$200.00k||0.011% |
|Independent Director||6yrs||US$190.00k||0.028% |
|Independent Director||5yrs||US$205.00k||0.019% |
|Independent Director||7yrs||US$215.00k||0.027% |
|Independent Chairman||1.42yrs||US$331.07k||0.022% |
|Independent Director||5.42yrs||US$212.50k||0.020% |
|Independent Director||2.83yrs||no data||no data|
Experienced Board: MIK's board of directors are considered experienced (5.2 years average tenure).
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
The Michaels Companies, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: The Michaels Companies, Inc.
- Ticker: MIK
- Exchange: NasdaqGS
- Founded: 1983
- Industry: Specialty Stores
- Sector: Retail
- Market Cap: US$1.196b
- Shares outstanding: 147.44m
- Website: https://www.michaels.com
Number of Employees
- The Michaels Companies, Inc.
- 8000 Bent Branch Drive
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MIK||NasdaqGS (Nasdaq Global Select)||Yes||Common Stock||US||USD||Jun 2014|
|MIM||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Jun 2014|
The Michaels Companies, Inc. owns and operates arts and crafts specialty retail stores for hobbyist and do-it-yourself home decorators in the United States and Canada. It operates Michaels stores that offe ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/10/31 01:18|
|End of Day Share Price||2020/10/30 00:00|
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.