Reitmans (Canada) Limited

OTCPK:RTMN.F Stock Report

Market Cap: US$94.8m

Reitmans (Canada) Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: RTMN.F ($2) is trading below our estimate of fair value ($13.07)

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


Key Valuation Metric

Which metric is best to use when looking at relative valuation for RTMN.F?

Key metric: As RTMN.F is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for RTMN.F. This is calculated by dividing RTMN.F's market cap by their current earnings.
What is RTMN.F's PE Ratio?
PE Ratio6.8x
EarningsCA$19.51m
Market CapCA$132.48m

Price to Earnings Ratio vs Peers

How does RTMN.F's PE Ratio compare to its peers?

The above table shows the PE ratio for RTMN.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.3x
DXLG Destination XL Group
12.9x12.4%US$126.0m
TLF Tandy Leather Factory
14.2xn/aUS$35.5m
JILL J.Jill
10.2x21.8%US$396.7m
CURV Torrid Holdings
31.8x55.5%US$414.5m
RTMN.F Reitmans (Canada)
6.8xn/aUS$94.8m

Price-To-Earnings vs Peers: RTMN.F is good value based on its Price-To-Earnings Ratio (6.8x) compared to the peer average (17.3x).


Price to Earnings Ratio vs Industry

How does RTMN.F's PE Ratio compare vs other companies in the US Specialty Retail Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
TKLF Tokyo Lifestyle
1.9xn/aUS$14.10m
MASN Maison Luxe
0.1xn/aUS$144.03k
FTCH.Q Farfetch
n/an/aUS$395.00
EXPR.Q Express
0.000002xn/aUS$374.00
RTMN.F 6.8xIndustry Avg. 18.5xNo. of Companies11PE01224364860+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RTMN.F is good value based on its Price-To-Earnings Ratio (6.8x) compared to the US Specialty Retail industry average (17.2x).


Price to Earnings Ratio vs Fair Ratio

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

RTMN.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.8x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate RTMN.F's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.


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