Sportsman'S Warehouse Holdings, Inc. (NASDAQ: SPWH)

Sector: Consumer Cyclical Industry: Specialty Retail CIK: 0001132105
Market Cap 46.31 Mn
P/B 0.22
P/E -1.25
P/S 0.04
ROIC (Qtr) -0.07
Div Yield % 0.00
Rev 1y % (Qtr) 2.18
Total Debt (Qtr) 525.08 Mn
Debt/Equity (Qtr) 2.51
Add ratio to table...

About

Investment thesis

Bull case

  • Robust tangible asset base of 912.15M provides 12.08x coverage of working capital 75.52M, indicating strong operational backing.
  • Operating cash flow of (17.68M) provides strong 38.68x coverage of operating expenses (457000), showing operational efficiency.
  • Tangible assets of 912.15M provide robust 7.86x coverage of other current liabilities 115.99M, indicating strong asset backing.
  • Free cash flow of (39.63M) provides solid 86.73x coverage of operating expenses (457000), showing operational efficiency.
  • Cash reserves of 2.25M provide comfortable 10.90x coverage of tax obligations 206000, showing strong fiscal management.

Bear case

  • Operating cash flow of (17.68M) barely covers its investment activities of (21.96M), with a coverage ratio of 0.80, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • With cash reserves of 2.25M against inventory of 423.97M, the 0.01 cash-to-inventory ratio suggests potential liquidity risks if inventory turnover slows, particularly concerning given current supply chain volatilities.
  • The company's operating cash flow of (17.68M) shows concerning coverage of stock compensation expenses of 3.19M, with a -5.54 ratio indicating potential earnings quality issues.
  • Free cash flow of (39.63M) provides weak coverage of capital expenditures of 21.96M, with a -1.80 ratio suggesting additional external financing needs for growth initiatives.
  • Operating earnings of (15.12M) show weak coverage of depreciation charges of 44.39M, with a -0.34 ratio indicating high capital intensity and potential reinvestment needs.

Peer comparison

Companies in the Specialty Retail
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 ULTA Ulta Beauty, Inc. 32.20 Bn 27.06 2.69 2.57 Bn
2 WSM Williams Sonoma Inc 29.62 Bn 25.19 3.40 1.47 Bn
3 TSCO Tractor Supply Co /De/ 28.42 Bn 25.23 1.93 5.72 Bn
4 DKS Dick'S Sporting Goods, Inc. 24.98 Bn 88.10 4.64 7.70 Bn
5 CASY Caseys General Stores Inc 24.65 Bn 59.49 1.65 2.92 Bn
6 BBY Best Buy Co Inc 17.85 Bn 11.66 0.41 4.09 Bn
7 MUSA Murphy USA Inc. 15.91 Bn 61.33 1.35 2.75 Bn
8 FIVE Five Below, Inc 11.68 Bn 37.94 2.64 2.01 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.65 2.23
EV to Cash from Ops. EV/CFO -33.67 14.70
EV to Debt EV to Debt 1.13 79.39
EV to EBIT EV/EBIT -39.35 -40.16
EV to EBITDA EV/EBITDA 19.92 11.51
EV to Free Cash Flow [EV/FCF] EV/FCF -15.02 -286.14
EV to Market Cap EV to Market Cap 12.85 6.33
EV to Revenue EV/Rev 0.49 2.39
Price to Book Value [P/B] P/B 0.22 32.78
Price to Earnings [P/E] P/E -1.25 -36.32
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -4.05
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 14.19
Dividend per Basic Share Div per Share (Qtr) 0.00 0.71
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 18.58
Interest Coverage Int. cover (Qtr) -1.11 4.43
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -9.94 13.87
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -15.75 33.75
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.00
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 16.31 -272.99
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 765.50 588.45
EBIT Growth (1y) % EBIT 1y % (Qtr) 49.97 29.27
EBT Growth (1y) % EBT 1y % (Qtr) 33.03 -92.23
EPS Growth (1y) % EPS 1y % (Qtr) -9.09 -121.86
FCF Growth (1y) % FCF 1y % (Qtr) -230.99 71.80
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 4.27 2.50
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 1.33 1.24
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.04
Cash Ratio Cash Ratio (Qtr) 0.01 0.74
Current Ratio Curr Ratio (Qtr) 1.20 3.56
Debt to Equity Ratio Debt/Equity (Qtr) 2.51 25.92
Interest Cover Ratio Int Coverage (Qtr) -1.11 4.43
Times Interest Earned Times Interest Earned (Qtr) -1.11 4.43
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 2.40 -42.64
EBIT Margin % EBIT Margin % (Qtr) -1.24 -131.12
EBT Margin % EBT Margin % (Qtr) -2.37 -64.70
Gross Margin % Gross Margin % (Qtr) 31.40 30.93
Net Profit Margin % Net Margin % (Qtr) -3.10 -65.71