Dillard's (DDS) AI Stock Analysis

• Market Cap: $5.05B
• Dividend Yield: 0.32%
• Average Volume (3M): 193.56K
• Price to Earnings (P/E): 8.6
• Beta (1Y): 1.10
• Revenue Growth: -4.13%
• EPS Growth: -17.60%
• Country: US
• Employees: 22,800
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Department Stores
• EPS (TTM): 36.90
• Shares Outstanding: 11,918,431
• 10 Day Avg. Volume: 149,020
• 30 Day Avg. Volume: 193,565
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.84
• Price to Cash Flow (P/CF): 8.10
• P/FCF Ratio: 9.70
• 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: $321.67
• Price Target Upside: 1.39% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 3

Dillard's strong financial performance and strategic extension of its credit facility are significant strengths, providing a solid foundation and financial flexibility for future growth. However, technical indicators point to weak stock momentum, and the low dividend yield may deter some investors. The overall score reflects a balance of strong financials and strategic moves, weighed against current market challenges and valuation considerations.

Dillard's Business Overview & Revenue Model

Company Description

Dillard's, Inc. operates retail department stores in the southeastern, southwestern, and midwestern areas of the United States. Its stores offer merchandise, including fashion apparel for women, men, and children; and accessories, cosmetics, home furnishings, and other consumer goods. As of January 29, 2022, the company operated 280 Dillard's stores, including 30 clearance centers, and an Internet store at dillards.com. It also engages in the general contracting construction activities. The company was founded in 1938 and is based in Little Rock, Arkansas.

How the Company Makes Money

Dillard's generates revenue primarily through the sale of merchandise in its department stores and online. Its key revenue streams include women's, men's, and children's clothing, shoes, accessories, cosmetics, and home goods. The company also benefits from private label brands, which often yield higher profit margins. Additionally, Dillard's earns revenue through credit operations by offering proprietary credit cards, which encourage customer loyalty and drive sales. The company may also engage in strategic partnerships and collaborations with various brands to enhance its product offerings and attract a diverse customer base.

Dillard's Financial Statement Overview

Summary

Dillard's demonstrates strong financial performance with high profit margins and efficient cash flow management. Despite volatility in revenue growth, the company maintains solid operations and low leverage.

Income Statement

Dillard's shows strong financial performance with a TTM gross profit margin of 38.73% and a net profit margin of 9.44%. Revenue growth is volatile but generally positive, with TTM revenue slightly down from the previous year. Notably, TTM EBIT and EBITDA margins are robust at 12.17% and 14.45% respectively, indicating efficient operations.

Balance Sheet

The balance sheet is stable with a low debt-to-equity ratio of 0.28, suggesting prudent leverage management. The equity ratio of 47.51% indicates solid asset backing. However, the TTM return on equity is moderate at 32.06%, reflecting good but not exceptional profitability relative to shareholder equity.

Cash Flow

Cash flow metrics are strong, with a TTM free cash flow to net income ratio of 1.06, indicating healthy cash generation relative to earnings. The operating cash flow to net income ratio is also strong at 1.25. However, free cash flow growth shows a slight decline, indicating potential challenges in maintaining cash flow levels.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
6.67B	6.87B	7.00B	6.62B	4.43B	6.35B
	Gross Profit
2.58B	2.84B	3.01B	2.88B	1.36B	2.11B
	EBIT
812.49M	924.75M	1.12B	1.11B	-91.40M	159.80M
	EBITDA
964.29M	1.14B	1.31B	1.31B	109.59M	382.17M
	Net Income Common Stockholders
629.62M	738.85M	891.64M	862.47M	-71.70M	111.08M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
167.10M	956.32M	799.20M	716.80M	360.30M	277.10M
	Total Assets
4.71B	3.45B	3.34B	3.25B	3.09B	3.43B
	Total Debt
960.90M	564.44M	555.20M	608.80M	613.70M	614.90M
	Net Debt
793.80M	-243.85M	-95.10M	-108.00M	253.40M	337.80M
	Total Liabilities
2.60B	1.75B	1.73B	1.79B	1.65B	1.81B
	Stockholders Equity
2.12B	1.70B	1.61B	1.45B	1.44B	1.62B
Cash Flow		Free Cash Flow
668.52M	750.65M	828.20M	1.18B	192.50M	261.70M
	Operating Cash Flow
785.88M	883.59M	948.30M	1.28B	252.90M	365.10M
	Investing Cash Flow
-183.61M	-115.59M	-235.80M	-69.70M	-48.40M	-68.10M
	Financing Cash Flow
-463.89M	-620.04M	-769.00M	-853.80M	-121.30M	-143.40M

Dillard's Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 317.25
• 50DMA: Negative
• 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 DDS, the sentiment is Negative. The current price of 317.25 is below the 20-day moving average (MA) of 359.28, below the 50-day MA of 416.12, and below the 200-day MA of 392.61, indicating a bearish trend. The MACD of -16.52 indicates Negative momentum. The RSI at 38.29 is Neutral, neither overbought nor oversold. The STOCH value of 38.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DDS.

Dillard's Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
URBN	76 Outperform	$4.19B	10.93	17.56%	―	7.71%	40.01%
DDS	69 Neutral	$5.05B	8.62	33.98%	0.32%	-4.13%	-17.60%
M	69 Neutral	$3.17B	5.51	13.40%	6.18%	-3.60%	442.87%
JWN	64 Neutral	$4.00B	13.76	29.58%	3.26%	2.20%	120.00%
ANF	61 Neutral	$3.58B	6.85	47.77%	―	15.60%	71.45%
Sector *	59 Neutral	$11.22B	10.13	-1.22%	3.96%	1.32%	-18.57%
KSS	57 Neutral	$798.19M	7.37	2.83%	22.66%	-7.18%	-65.92%

Dillard's Corporate Events

Dillard’s Extends Credit Facility to 2030

On March 12, 2025, Dillard’s, Inc. amended its $800 million senior secured revolving credit facility, extending the maturity date to March 12, 2030, with a $200 million expansion option. The amendment, arranged by JPMorgan Chase Bank, N.A., reduces applicable rates and unused commitment fees, reflecting Dillard’s strategic focus on liquidity and operational flexibility, with no financial covenants required if availability exceeds $80 million.