Vera Bradley, Inc. (VRA) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

FIGS, Inc.

Levi Strauss & Co.

Hanesbrands, Inc.

G-III Apparel Group Ltd.

Guess?, Inc.

Wolverine World Wide, Inc.

Canada Goose Holdings, Inc.

Weyco Group, Inc.

Vera Bradley, Inc.

Under Armour, Inc.

Lanvin Group Holdings Ltd.

Why is Vera Bradley, Inc. ?

Poor long term growth as Operating profit has grown by an annual rate -208.73% of over the last 5 years

Positive results in Apr 26

RAW MATERIAL COST(Y) Fallen by -17.83% (YoY)
INVENTORY TURNOVER RATIO(HY) Highest at 1.66 times
PRE-TAX PROFIT(Q) At USD -3.6 MM has Grown at 79.53%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 65.67%, its profits have fallen by -528.9%

High Institutional Holdings at 66.42%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Market Beating Performance

The stock has generated a return of 65.67% in the last 1 year, much higher than market (S&P 500) returns of 20.78%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Vera Bradley, 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 Vera Bradley, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Vera Bradley, Inc.

65.67%

-0.60

85.71%

S&P 500

20.78%

1.56

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-10.02%

EBIT Growth (5y)

-208.73%

EBIT to Interest (avg)

1.06

Debt to EBITDA (avg)

Net Debt to Equity (avg)

0.05

Sales to Capital Employed (avg)

1.76

Tax Ratio

49.86%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

72.05%

ROCE (avg)

5.37%

ROE (avg)

3.59%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.92

EV to EBIT

-3.08

EV to EBITDA

-8.96

EV to Capital Employed

0.93

EV to Sales

0.48

PEG Ratio

Dividend Yield

ROCE (Latest)

-30.13%

ROE (Latest)

-52.79%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

12What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -17.83% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 1.66 times

PRE-TAX PROFIT(Q)

At USD -3.6 MM has Grown at 79.53%

NET PROFIT(Q)

At USD -3.71 MM has Grown at 79.37%

-5What is not working for the Company

INTEREST(9M)

At USD 0.4 MM has Grown at inf%

CASH AND EQV(HY)

Lowest at USD 31.02 MM

Here's what is working for Vera Bradley, Inc.

Pre-Tax Profit

At USD -3.6 MM has Grown at 79.53%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

At USD -3.71 MM has Grown at 79.37%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Inventory Turnover Ratio

Highest at 1.66 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -17.83% (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 Vera Bradley, Inc.

Interest

At USD 0.4 MM has Grown at inf%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Cash and Eqv

Lowest at USD 31.02 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents