ScoreWhy is Aritzia, Inc. ?
1
High Management Efficiency with a high ROE of 20.27%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 6.39
3
Healthy long term growth as Net Sales has grown by an annual rate of 26.52% and Operating profit at 29.78%
4
Positive results in May 25
- OPERATING CASH FLOW(Y) Highest at CAD 543.65 MM
- NET PROFIT(HY) At CAD 128.56 MM has Grown at 197.75%
- PRE-TAX PROFIT(Q) At CAD 59.09 MM has Grown at 125.34%
5
With ROE of 19.18%, it has a fair valuation with a 7.19 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 69.48%, its profits have risen by 143.7% ; the PEG ratio of the company is 0.3
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Aritzia, Inc. should be less than 10%
- Overall Portfolio exposure to Footwear should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Footwear)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Aritzia, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Aritzia, Inc.
101.62%
2.47
52.67%
S&P/TSX 60
21.87%
1.54
14.62%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
31.57%
EBIT Growth (5y)
49.74%
EBIT to Interest (avg)
6.39
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.18
Sales to Capital Employed (avg)
2.43
Tax Ratio
28.11%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.08%
ROCE (avg)
36.11%
ROE (avg)
20.27%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
43
Industry P/E
Price to Book Value
9.82
EV to EBIT
27.69
EV to EBITDA
19.16
EV to Capital Employed
15.12
EV to Sales
3.72
PEG Ratio
0.35
Dividend Yield
NA
ROCE (Latest)
54.61%
ROE (Latest)
22.68%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend23What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CAD 761.06 MM
ROCE(HY)
Highest at 30.21%
RAW MATERIAL COST(Y)
Fallen by -1.12% (YoY
CASH AND EQV(HY)
Highest at CAD 972.85 MM
DEBT-EQUITY RATIO
(HY)
Lowest at 31.19 %
NET SALES(Q)
Highest at CAD 1,040.26 MM
OPERATING PROFIT(Q)
Highest at CAD 223.75 MM
OPERATING PROFIT MARGIN(Q)
Highest at 21.51 %
PRE-TAX PROFIT(Q)
Highest at CAD 160.17 MM
NET PROFIT(Q)
Highest at CAD 117.48 MM
EPS(Q)
Highest at CAD 1.16
-1What is not working for the Company
INTEREST(Q)
Highest at CAD 14.77 MM
Here's what is working for Aritzia, Inc.
Operating Cash Flow
Highest at CAD 761.06 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CAD MM)
Net Sales
Highest at CAD 1,040.26 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (CAD MM)
Net Sales
At CAD 1,040.26 MM has Grown at 42.76%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (CAD MM)
Operating Profit
Highest at CAD 223.75 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (CAD MM)
Operating Profit Margin
Highest at 21.51 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at CAD 160.17 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CAD MM)
Pre-Tax Profit
At CAD 160.17 MM has Grown at 53.51%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CAD MM)
Net Profit
Highest at CAD 117.48 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
Net Profit
At CAD 117.48 MM has Grown at 59.25%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
EPS
Highest at CAD 1.16
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CAD)
Cash and Eqv
Highest at CAD 972.85 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at 31.19 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Raw Material Cost
Fallen by -1.12% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at CAD 54.1 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (CAD MM)
Here's what is not working for Aritzia, Inc.
Interest
Highest at CAD 14.77 MM
in the last five periods and Increased by 7.98% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (CAD MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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