NasdaqGM:OSTK

Stock Analysis Report

Executive Summary

Overstock.com, Inc. operates as an online retailer in the United States and internationally.


Snowflake Analysis

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

How has Overstock.com's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0.4%

OSTK

-2.9%

US Online Retail

-4.1%

US Market


1 Year Return

-72.6%

OSTK

0.6%

US Online Retail

-14.9%

US Market

Return vs Industry: OSTK underperformed the US Online Retail industry which returned 0.6% over the past year.

Return vs Market: OSTK underperformed the US Market which returned -14.9% over the past year.


Shareholder returns

OSTKIndustryMarket
7 Day0.4%-2.9%-4.1%
30 Day-27.4%-6.2%-19.1%
90 Day-35.8%-7.4%-23.4%
1 Year-72.6%-72.6%0.6%0.6%-13.2%-14.9%
3 Year-73.4%-73.4%70.5%70.3%10.7%3.5%
5 Year-81.3%-81.3%165.4%154.1%28.5%14.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Overstock.com 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: OSTK ($4.63) is trading below our estimate of fair value ($11.55)

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


Price To Earnings Ratio

PE vs Industry: OSTK is unprofitable, so we can't compare its PE Ratio to the Online Retail industry average.

PE vs Market: OSTK 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 OSTK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: OSTK is good value based on its PB Ratio (1.6x) compared to the US Online Retail industry average (2x).


Next Steps

Future Growth

How is Overstock.com forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

24.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OSTK is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: OSTK is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: OSTK is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: OSTK's revenue (5.4% per year) is forecast to grow slower than the US market (7.1% per year).

High Growth Revenue: OSTK's revenue (5.4% 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 OSTK's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Overstock.com performed over the past 5 years?

-63.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OSTK is currently unprofitable.

Growing Profit Margin: OSTK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: OSTK is unprofitable, and losses have increased over the past 5 years at a rate of -63% per year.

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

Earnings vs Industry: OSTK is unprofitable, making it difficult to compare its past year earnings growth to the Online Retail industry (18.4%).


Return on Equity

High ROE: OSTK has a negative Return on Equity (-75.75%), as it is currently unprofitable.


Next Steps

Financial Health

How is Overstock.com's financial position?


Financial Position Analysis

Short Term Liabilities: OSTK's short term assets ($177.4M) do not cover its short term liabilities ($216.0M).

Long Term Liabilities: OSTK's short term assets ($177.4M) exceed its long term liabilities ($23.9M).


Debt to Equity History and Analysis

Debt Level: OSTK is debt free.

Reducing Debt: OSTK has no debt compared to 5 years ago when its debt to equity ratio was 0.8%.


Balance Sheet

Inventory Level: OSTK has a high level of physical assets or inventory.

Debt Coverage by Assets: OSTK's debt is covered by short term assets (assets are 4.9923246294332E+16x debt).


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: OSTK has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if OSTK has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Overstock.com's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate OSTK's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if OSTK's dividends per share have been stable in the past.

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

0.4yrs

Average management tenure


CEO

Jonathan Johnson (53yo)

0.67

Tenure

US$627,745

Compensation

Mr. Jonathan E. Johnson, III, serves as Chief Executive Officer of Overstock.com, Inc. since September 23, 2019. Mr. Johnson was the Interim Chief Executive Officer of Overstock.com, Inc. from August 22, 2 ...


CEO Compensation Analysis

Compensation vs Market: Jonathan's total compensation ($USD0.00) is below average for companies of similar size in the US market ($USD1.49M).

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


Leadership Team

NamePositionTenureCompensationOwnership
John Knab
Chief Marketing Officer2.25yrsUS$1.72m0.067% $125.0k
Robert Hughes
President of Medici Land Governanceno dataUS$1.77m0.12% $229.6k
Saum Noursalehi
CEO of tZERO Groupno dataUS$4.84m0.30% $569.8k
Jonathan Johnson
CEO & Director0.67yrUS$627.75k0.21% $394.2k
Anthony Strong
Acting CFO and Principal Financial & Accounting Officer0.083yrno data0.023% $42.8k
Adrianne Lee
Chief Financial Officer0.083yrno datano data
Ronald Hilton
Chief Sourcing & Operations Officerno datano data0.027% $49.8k
Joel Weight
Chief Technology Officer0.17yrno data0.0011% $2.0k
Carter Lee
Chief Administrative Officer2.25yrsno data0.071% $131.9k
Mark Harden
Investor Relations Contactno datano datano data

0.4yrs

Average Tenure

46yo

Average Age

Experienced Management: OSTK's management team is not considered experienced ( 0.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Jonathan Johnson
CEO & Director0.67yrUS$627.75k0.21% $394.2k
Allison Abraham
Independent Chairwoman of the Board2.92yrsUS$395.59k0.20% $380.4k
Barclay Corbus
Independent Director13.08yrsUS$320.59k0.12% $219.5k
Joseph Tabacco
Independent Director12.83yrsUS$320.59k0.32% $606.8k
Robert Shapiro
Independent Director0.17yrno datano data

6.9yrs

Average Tenure

56yo

Average Age

Experienced Board: OSTK's board of directors are considered experienced (6.9 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: OSTK insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 16.3%.


Top Shareholders

Company Information

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


Key Information

  • Name: Overstock.com, Inc.
  • Ticker: OSTK
  • Exchange: NasdaqGM
  • Founded: 1997
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: US$186.928m
  • Shares outstanding: 40.37m
  • Website: https://www.overstock.com

Number of Employees


Location

  • Overstock.com, Inc.
  • 799 West Coliseum Way
  • Midvale
  • Utah
  • 84047
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OSTKNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDMay 2002
OVERDB (Deutsche Boerse AG)YesCommon StockDEEURMay 2002
0KDULSE (London Stock Exchange)YesCommon StockGBUSDMay 2002
OSTB.POTCPK (Pink Sheets LLC)PFD VTG SER BUSUSDFeb 2017

Biography

Overstock.com, Inc. operates as an online retailer in the United States and internationally. It operates through Retail and tZERO segments. The company offers furniture; and home décor, including rugs, bedding and bath, home improvement, kitchen items, and other related products. It also operates Worldstock Fair Trade, a store that provides handcrafted products; Pet Adoptions, a free service and portal to display pets available for adoption; and Overstock Hotels, a portal that enables customers to search and book properties within its Website. In addition, the company operates Supplier Oasis, a single integration point for partners to manage their products, inventory, and sales channels, as well as obtain multi-channel fulfillment services through its distribution network; and offers businesses advertising products or services on its Website. It provides its products and services through its Internet Websites, such as overstock.com, o.co, and o.biz. Further, it focuses on the development and commercialization of financial applications of blockchain technologies. The company was formerly known as D2-Discounts Direct and changed its name to Overstock.com, Inc. in October 1999. Overstock.com, Inc. was founded in 1997 and is headquartered in Midvale, Utah. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/03 05:21
End of Day Share Price2020/04/02 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.