Designer Brands Valuation

Is DBI undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of DBI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DBI ($4.74) is trading above our estimate of fair value ($3.32)

Significantly Below Fair Value: DBI is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for DBI?

Key metric: As DBI is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for DBI. This is calculated by dividing DBI's market cap by their current revenue.
What is DBI's PS Ratio?
PS Ratio0.09x
SalesUS$3.06b
Market CapUS$279.72m

Price to Sales Ratio vs Peers

How does DBI's PS Ratio compare to its peers?

The above table shows the PS ratio for DBI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average0.4x
GCO Genesco
0.1x1.9%US$331.8m
JILL J.Jill
0.6x1.6%US$384.2m
AKA a.k.a. Brands Holding
0.4x4.2%US$182.5m
CURV Torrid Holdings
0.4x0.8%US$428.1m
DBI Designer Brands
0.09x2.6%US$279.7m

Price-To-Sales vs Peers: DBI is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (0.4x).


Price to Sales Ratio vs Industry

How does DBI's PS Ratio compare vs other companies in the US Specialty Retail Industry?

45 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.0.4x4.7%
DBI Designer Brands
0.09x2.6%US$279.72m
TA TravelCenters of America
0.1x-0.8%US$1.30b
ARKO Arko
0.08x-1.7%US$759.46m
DBI 0.1xIndustry Avg. 0.4xNo. of Companies45PS00.61.21.82.43+
45 CompaniesEstimated GrowthMarket Cap
Industry Avg.0.4x8.4%
DBI Designer Brands
0.09x127.8%US$279.72m
No more companies

Price-To-Sales vs Industry: DBI is good value based on its Price-To-Sales Ratio (0.1x) compared to the US Specialty Retail industry average (0.4x).


Price to Sales Ratio vs Fair Ratio

What is DBI's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DBI PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.09x
Fair PS Ratio0.2x

Price-To-Sales vs Fair Ratio: DBI is good value based on its Price-To-Sales Ratio (0.1x) compared to the estimated Fair Price-To-Sales Ratio (0.2x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst DBI forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$4.74
US$5.75
+21.3%
4.3%US$6.00US$5.50n/a2
Nov ’25US$5.08
US$5.75
+13.2%
4.3%US$6.00US$5.50n/a2
Oct ’25US$6.85
US$5.75
-16.1%
4.3%US$6.00US$5.50n/a2
Sep ’25US$6.64
US$9.50
+43.1%
5.3%US$10.00US$9.00n/a2
Mar ’25US$10.75
US$9.50
-11.6%
5.3%US$10.00US$9.00n/a2
Feb ’25US$9.12
US$9.50
+4.2%
5.3%US$10.00US$9.00n/a2
Jan ’25US$8.85
US$9.00
+1.7%
9.1%US$10.00US$8.00n/a3
Dec ’24US$12.45
US$12.67
+1.7%
9.8%US$14.00US$11.00n/a3
Nov ’24US$9.22
US$12.67
+37.4%
9.8%US$14.00US$11.00US$5.083
Oct ’24US$12.66
US$12.67
+0.05%
9.8%US$14.00US$11.00US$6.853
Sep ’24US$11.17
US$9.33
-16.4%
13.4%US$11.00US$8.00US$6.643
Aug ’24US$9.81
US$9.33
-4.9%
13.4%US$11.00US$8.00US$7.913
Jul ’24US$10.10
US$9.33
-7.6%
13.4%US$11.00US$8.00US$6.693
Jun ’24US$6.38
US$10.67
+67.2%
17.7%US$12.00US$8.00US$10.053
May ’24US$8.15
US$12.67
+55.4%
19.7%US$16.00US$10.00US$9.193
Apr ’24US$8.74
US$12.67
+44.9%
19.7%US$16.00US$10.00US$10.833
Mar ’24US$9.75
US$13.67
+40.2%
15.0%US$16.00US$11.00US$10.753
Feb ’24US$10.42
US$13.67
+31.2%
15.0%US$16.00US$11.00US$9.123
Jan ’24US$9.78
US$14.67
+50.0%
6.4%US$16.00US$14.00US$8.853
Dec ’23US$11.44
US$16.67
+45.7%
5.7%US$18.00US$16.00US$12.453
Nov ’23US$15.45
US$19.75
+27.8%
7.5%US$22.00US$18.00US$9.224

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.


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