NYSE:VIPS

Stock Analysis Report

Executive Summary

Vipshop Holdings Limited operates as an online discount retailer for various brands in the People's Republic of China.

Snowflake

Fundamentals

Flawless balance sheet and good value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.4%

VIPS

1.1%

US Online Retail

1.0%

US Market


1 Year Return

69.9%

VIPS

5.8%

US Online Retail

6.7%

US Market

Return vs Industry: VIPS exceeded the US Online Retail industry which returned 5.8% over the past year.

Return vs Market: VIPS exceeded the US Market which returned 6.7% over the past year.


Share holder returns

VIPSIndustryMarket
7 Day-0.4%1.1%1.0%
30 Day-6.8%-5.1%-1.8%
90 Day14.9%-8.3%-1.8%
1 Year69.9%69.9%5.9%5.8%9.1%6.7%
3 Year-36.3%-36.3%77.5%77.3%46.1%36.6%
5 Year-54.0%-54.0%181.2%169.0%66.9%48.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Vipshop Holdings undervalued based on future cash flows and its price relative to the stock market?

25%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: VIPS ($9.02) is trading below our estimate of fair value ($12.01)

Significantly Undervalued: VIPS is trading below fair value, but not by a significant amount.


Price Based on Earnings

PE vs Industry: VIPS is good value based on its PE Ratio (16.3x) compared to the Online Retail industry average (32.3x).

PE vs Market: VIPS is good value based on its PE Ratio (16.3x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: VIPS is poor value based on its PEG Ratio (1.3x)


Price Based on Value of Assets

PB vs Industry: VIPS is good value based on its PB Ratio (2.2x) compared to the US Online Retail industry average (2.7x).


Next Steps

Future Growth

How is Vipshop Holdings expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

12.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: VIPS's forecast earnings growth (12.1% per year) is above the savings rate (2.7%).

Earnings vs Market: VIPS's earnings (12.1% per year) are forecast to grow slower than the US market (14.5% per year).

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

Revenue vs Market: VIPS's revenue (4.7% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: VIPS's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: VIPS's Return on Equity is forecast to be low in 3 years time (16.2%).


Next Steps

Past Performance

How has Vipshop Holdings performed over the past 5 years?

19.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: VIPS's earnings have grown by 19.9% per year over the past 5 years.

Accelerating Growth: VIPS's earnings growth over the past year (17.1%) is below its 5-year average (19.9% per year).

Earnings vs Industry: VIPS earnings growth over the past year (17.1%) exceeded the Online Retail industry -15.1%.


Return on Equity

High ROE: VIPS's Return on Equity (13.5%) is considered low.


Return on Assets

ROA vs Industry: VIPS has a higher Return on Assets than the Online Retail industry average last year.


Return on Capital Employed

ROCE Improving: VIPS's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Vipshop Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: VIPS's short term assets (CN¥20.0B) exceeds its short term liabilities (CN¥18.7B)

Long Term Liabilities: VIPS's short term assets (20.0B) exceeds its long term liabilities (1.2B)


Debt to Equity History and Analysis

Debt Level: VIPS's debt to equity ratio (5.9%) is considered satisfactory

Reducing Debt: VIPS's debt to equity ratio has reduced from 181.4% to 5.9% over the past 5 years.

Debt Coverage: VIPS's debt is well covered by operating cash flow (507.8%).

Interest Coverage: VIPS earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: VIPS's debt is covered by short term assets (assets are 17.662730x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage2.4%forecastin3Years0%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

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

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

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

Growing Dividend: Insufficient data to determine if VIPS'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 VIPS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Vipshop Holdings's salary, the management and board of directors tenure and is there insider trading?

6.9yrs

Average management tenure


CEO

Eric Shen (48yo)

9.2yrs

Tenure

0

Mr. Ya Shen, also known as Eric, Co-founded Vipshop Holdings Limited in August 22, 2008 and has been its Chief Executive Officer since August 22, 2008. Mr. Shen has more than 18 years of experience in the  ...


Management Age and Tenure

6.9yrs

Average Tenure

47yo

Average Age

Experienced Management: VIPS's management team is seasoned and experienced (6.9 years average tenure).


Board Age and Tenure

8.8yrs

Average Tenure

48yo

Average Age

Experienced Board: VIPS's board of directors are considered experienced (8.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Donghao Yang (47yo)

    Chief Financial Officer

    • Tenure: 8.2yrs
  • Arthur Hong (47yo)

    Co-Founder

    • Tenure: 8.8yrs
  • Eric Shen (48yo)

    Co-Founder

    • Tenure: 9.2yrs
  • Alex Jiang (49yo)

    Senior Corporate Advisor

    • Tenure: 4.6yrs
  • Maggie Hung (51yo)

    Senior Consultant

    • Tenure: 3.3yrs
  • Yizhi Tang (45yo)

    Senior Vice President of Logistics

    • Tenure: 6.9yrs
  • Daniel Kao (46yo)

    Chief Technology Officer

    • Tenure: 0.5yrs
  • Jessie Fan

    Head Of Investor Relations

    • Tenure: 0yrs

Board Members

  • Hurst Lin (54yo)

    Independent Director

    • Tenure: 8.8yrs
  • Alex Zheng (51yo)

    Independent Director

    • Tenure: 7.6yrs
  • Kathleen Chien (50yo)

    Independent Director

    • Tenure: 7.6yrs
  • Martin Lau (46yo)

    Director

    • Tenure: 1.5yrs
  • Xing Liu (48yo)

    Independent Director

    • Tenure: 8.8yrs
  • Chun Liu (51yo)

    Independent Director

    • Tenure: 6.6yrs
  • Arthur Hong (47yo)

    Co-Founder

    • Tenure: 8.8yrs
  • Eric Shen (48yo)

    Co-Founder

    • Tenure: 9.2yrs
  • Jacky Xu (47yo)

    Director

    • Tenure: 8.8yrs

Company Information

Vipshop Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Vipshop Holdings Limited
  • Ticker: VIPS
  • Exchange: NYSE
  • Founded: 2008
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: US$6.022b
  • Shares outstanding: 667.67m
  • Website: https://www.vip.com

Number of Employees


Location

  • Vipshop Holdings Limited
  • No. 20 Huahai Street
  • Liwan District
  • Guangzhou
  • Guangdong Province
  • 510370
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VIPSNYSE (New York Stock Exchange)YesSPON ADR EA REPR 0.2 ORD SHS USD0.0001USUSDMar 2012
1VPADB (Deutsche Boerse AG)YesSPON ADR EA REPR 0.2 ORD SHS USD0.0001DEEURMar 2012
VIPS NBMV (Bolsa Mexicana de Valores)YesSPON ADR EA REPR 0.2 ORD SHS USD0.0001MXMXNMar 2012
0LQ0LSE (London Stock Exchange)YesSPON ADR EA REPR 0.2 ORD SHS USD0.0001GBUSDMar 2012

Biography

Vipshop Holdings Limited operates as an online discount retailer for various brands in the People's Republic of China. It operates in two segments, Vip.com and Internet Finance Business. The company offers ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 02:35
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.

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