Premier Investments Limited (PMV) AI Stock Analysis

• Market Cap: AU$3.30B
• Dividend Yield: 6.79%
• Average Volume (3M): 232.12K
• Price to Earnings (P/E): 16.7
• Beta (1Y): 1.25
• Revenue Growth: -27.48%
• EPS Growth: -27.96%
• Country: AU
• Employees: 9,000
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Apparel - Retail
• EPS (TTM): 0.63
• Shares Outstanding: 159,880,000
• 10 Day Avg. Volume: 192,773
• 30 Day Avg. Volume: 232,119
• PEG Ratio: 0.82
• Price to Book (P/B): 1.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 20.92
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$25.25
• Price Target Upside: 22.39% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 72 Outperform
• Price Target: AU$22.50 ▲(9.06%Upside)

The overall score for Premier Investments Limited is driven by its strong financial performance, characterized by solid profitability and a robust balance sheet. The valuation is supported by a fair P/E ratio and an attractive dividend yield. However, technical analysis suggests some short-term weakness due to mixed indicators. The absence of recent earnings call data or significant corporate events has no impact on the assessment.

Positive Factors

Earnings and Growth

Higher-than-expected EBIT margin in PA/Smiggle with an increase in forecasted earnings.

Market Strategy

Increased visibility on Apparel Brands growth path suggests opportunities through an omni-channel sales model and data-driven strategies.

Negative Factors

Earnings

FY24 Group EBIT of A$320mn -10% YoY.

Financial Performance

Premier Investments Ltd. FY24 Group sales -2.9% YoY, implying 2H24 -3.0% YoY with misses in Apparel Brands and Smiggle.

Stock Performance

The stock traded -10% over the day on a combination of weaker than expected results as well as delay of strategic review of PA and Smiggle brands.

Premier Investments Limited Business Overview & Revenue Model

Company Description

Premier Investments Limited (PMV) is a leading Australian retail investment company with interests in a range of dynamic and innovative retail brands across fashion and consumer products. The company operates through a diverse portfolio of brands including Just Jeans, Jay Jays, Portmans, Dotti, Jacqui E, Peter Alexander, and Smiggle, which are well-known in the fashion and lifestyle sectors. Premier Investments is committed to delivering high-quality products and exceptional customer service both in-store and through its growing online presence.

How the Company Makes Money

Premier Investments Limited generates revenue primarily through the sale of apparel, accessories, and stationery products across its various retail brands. The company's revenue model is centered on retail operations, where income is derived from both physical store sales and online e-commerce platforms. Significant revenue streams include the fashion segments through brands like Just Jeans and Portmans, and the lifestyle and home segments through Peter Alexander and Smiggle. The company also benefits from its strategic partnerships and global expansion initiatives, especially with Smiggle, which has a strong international presence. By utilizing a multi-channel retail strategy, Premier Investments effectively maximizes its market reach and customer engagement, contributing to its overall profitability.

Premier Investments Limited Financial Statement Overview

Summary

Premier Investments Limited demonstrates a strong financial position with consistent profitability, effective cost management, and solid cash flows. While there are minor fluctuations in revenue and EBIT, the company has maintained healthy margins and a robust balance sheet. The conservative approach to leverage and solid equity base underpin its financial stability.

Income Statement

The company has shown a consistent revenue growth trend over the years, although there was a slight dip in the latest period. Gross and net profit margins remain strong, indicating good cost management and profitability. The EBIT and EBITDA margins also reflect operational efficiency, despite a decrease in EBIT this year.

Balance Sheet

The balance sheet is robust with a strong equity base, resulting in a healthy equity ratio. The debt-to-equity ratio is well-managed, reflecting a conservative leverage approach. Return on equity remains solid, showcasing effective use of equity to generate profits.

Cash Flow

Cash flow generation is strong with consistent free cash flow. The operating cash flow to net income ratio indicates efficient cash conversion, while the free cash flow has slightly declined but remains positive, suggesting ongoing investment in growth while maintaining liquidity.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	1.17B	1.60B	1.64B	1.50B	1.45B	1.22B
Gross Profit	339.87M	999.35M	1.02B	969.80M	927.90M	741.73M
EBITDA	371.29M	528.68M	548.17M	562.10M	562.74M	417.22M
Net Income	197.74M	257.92M	271.08M	285.17M	271.84M	137.75M
Balance Sheet
Total Assets	2.64B	2.52B	2.52B	2.30B	2.28B	2.20B
Cash, Cash Equivalents and Short-Term Investments	337.08M	409.48M	417.65M	471.27M	523.36M	448.83M
Total Debt	256.11M	478.27M	499.33M	308.28M	384.32M	450.55M
Total Liabilities	1.86B	728.01M	776.79M	627.22M	748.32M	855.08M
Stockholders Equity	783.18M	1.80B	1.74B	1.68B	1.53B	1.35B
Cash Flow
Free Cash Flow	342.14M	377.97M	375.19M	359.45M	392.71M	490.23M
Operating Cash Flow	379.63M	407.13M	391.64M	368.33M	395.75M	497.82M
Investing Cash Flow	-56.34M	-42.94M	-50.85M	-24.02M	-19.54M	-7.59M
Financing Cash Flow	-383.86M	-372.80M	-399.00M	-393.68M	-302.35M	-230.59M

Premier Investments Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 20.63
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:PMV, the sentiment is Positive. The current price of 20.63 is above the 20-day moving average (MA) of 19.90, above the 50-day MA of 20.51, and below the 200-day MA of 22.59, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 59.07 is Neutral, neither overbought nor oversold. The STOCH value of 76.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:PMV.

Premier Investments Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SUL	77 Outperform	AU$3.33B	14.71	17.52%	4.34%	2.56%	-13.62%
UNI	73 Outperform	AU$617.60M	24.78	16.47%	5.46%	14.03%	-7.57%
PMV	72 Outperform	AU$3.30B	16.65	14.01%	6.79%	-27.48%	-27.96%
LOV	69 Neutral	€3.40B	39.35	82.71%	3.26%	11.86%	14.62%
AX1	66 Neutral	AU$871.43M	12.70	14.35%	7.59%	6.29%	-12.42%
Sector *	62 Neutral	$16.90B	11.24	-7.48%	2.95%	1.60%	-23.76%
MYR	53 Neutral	€1.08B	22.40	8.55%	16.00%	-2.43%	-49.64%

Premier Investments Limited Corporate Events

Premier Investments Undergoes Internal Reorganization

Premier Investments Limited, a company involved in investment activities, has undergone an internal reorganization within the Lew Group, which holds a substantial interest in its voting shares. Despite the reorganization, the total voting power of the Lew Group in Premier Investments remains unchanged, although the voting power of certain members has been diluted due to changes in the company’s issued shares.

The most recent analyst rating on (AU:PMV) stock is a Hold with a A$33.00 price target. To see the full list of analyst forecasts on Premier Investments Limited stock, see the AU:PMV Stock Forecast page.

Magellan Acquires Substantial Stake in Premier Investments

Magellan Financial Group Ltd has become a substantial holder in Premier Investments Limited, acquiring a 5.07% voting power through 8,120,815 ordinary fully paid shares. This acquisition indicates a significant investment by Magellan, potentially impacting Premier Investments’ shareholder dynamics and market perception.

The most recent analyst rating on (AU:PMV) stock is a Hold with a A$33.00 price target. To see the full list of analyst forecasts on Premier Investments Limited stock, see the AU:PMV Stock Forecast page.

AustralianSuper Acquires Significant Stake in Premier Investments

AustralianSuper Pty Ltd has become a substantial holder in Premier Investments Limited, acquiring a 5.13% voting power with 8,203,094 ordinary shares. This acquisition signifies a notable investment by AustralianSuper, potentially impacting Premier Investments’ shareholder composition and influencing future strategic decisions.