ScoreWhy is The Cato Corp. ?
1
Poor Management Efficiency with a low ROE of 2.82%
- The company has been able to generate a Return on Equity (avg) of 2.82% signifying low profitability per unit of shareholders funds
2
The company has declared Negative results for the last 7 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at USD -12.94 MM
- DEBTORS TURNOVER RATIO(HY) Lowest at 23.28 times
- CASH AND EQV(HY) Lowest at USD 176.08 MM
3
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 3.65%, its profits have fallen by -59.6%
4
High Institutional Holdings at 47.48%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to The Cato Corp. 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 The Cato Corp. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
The Cato Corp.
3.65%
-0.52
75.94%
S&P 500
13.22%
0.65
20.20%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-0.01%
EBIT Growth (5y)
7.91%
EBIT to Interest (avg)
-8.22
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.18
Sales to Capital Employed (avg)
2.83
Tax Ratio
9.46%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
47.48%
ROCE (avg)
3.05%
ROE (avg)
2.82%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
0.31
EV to EBIT
-0.67
EV to EBITDA
-1.00
EV to Capital Employed
0.15
EV to Sales
0.03
PEG Ratio
NA
Dividend Yield
1362.19%
ROCE (Latest)
-22.78%
ROE (Latest)
-15.83%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend18What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -4.59% (YoY
NET SALES(Q)
Highest at USD 176.51 MM
OPERATING PROFIT(Q)
Highest at USD 7.67 MM
OPERATING PROFIT MARGIN(Q)
Highest at 4.35 %
PRE-TAX PROFIT(Q)
Highest at USD 6.54 MM
NET PROFIT(Q)
Highest at USD 6.51 MM
EPS(Q)
Highest at USD 0.35
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD -12.94 MM
DEBTORS TURNOVER RATIO(HY)
Lowest at 23.28 times
CASH AND EQV(HY)
Lowest at USD 176.08 MM
DIVIDEND PER SHARE(HY)
Lowest at USD 23.28
Here's what is working for The Cato Corp.
Pre-Tax Profit
At USD 6.54 MM has Grown at 786.04%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 6.51 MM has Grown at 6,162.5%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
Net Sales
Highest at USD 176.51 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 7.67 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 4.35 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at USD 6.54 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 6.51 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 0.35
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Raw Material Cost
Fallen by -4.59% (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
Here's what is not working for The Cato Corp.
Operating Cash Flow
Lowest at USD -12.94 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Debtors Turnover Ratio
Lowest at 23.28 times and Fallen
In each half year in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
Cash and Eqv
Lowest at USD 176.08 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Dividend per share
Lowest at USD 23.28
in the last five yearsMOJO Watch
Company is distributing lower dividend than previous years
DPS (USD)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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