Dillard's (DDS) AI Stock Analysis

• Market Cap: $6.29B
• Dividend Yield: 0.25%
• Average Volume (3M): 124.47K
• Price to Earnings (P/E): 11.0
• Beta (1Y): 1.10
• Revenue Growth: -3.94%
• EPS Growth: -17.78%
• Country: US
• Employees: 22,800
• Sector: Consumer Cyclical
• Sector Strength: 57
• Industry: Department Stores
• EPS (TTM): 10.39
• Shares Outstanding: 11,651,202
• 10 Day Avg. Volume: 108,482
• 30 Day Avg. Volume: 124,471
• PEG Ratio: 0.35
• Price to Book (P/B): 4.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.04
• Enterprise Value/Market Cap: 1.04
• Enterprise Value/Revenue: 0.25
• Enterprise Value/Gross Profit: 2.59
• Enterprise Value/Ebitda: 1.69
• 1Y Price Target: $329.33
• Price Target Upside: -17.64% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 3

• Rating: 78 Outperform
• Price Target: $466.00 ▲(16.54%Upside)

Dillard's overall stock score is driven by strong financial performance and positive technical indicators. The recent extension of the credit facility enhances liquidity and operational flexibility. Despite low dividend yield, the stock appears undervalued with a strong momentum.

Dillard's Business Overview & Revenue Model

Company Description

Dillard's, Inc. (DDS) is a leading American department store chain, primarily operating in the retail sector. Established in 1938, the company offers a wide array of merchandise, including apparel for men, women, and children, cosmetics, home furnishings, and other consumer goods. Dillard's is known for its emphasis on brand-name products and quality customer service, with a significant presence in shopping malls and online platforms across the United States.

How the Company Makes Money

Dillard's makes money primarily through the sale of merchandise in its department stores and online platforms. The company's key revenue streams include sales from women's and men's apparel, accessories, cosmetics, and home products. Dillard's also generates income from private label credit card programs, which offer customers exclusive benefits and financing options. Additionally, the company benefits from strategic partnerships with well-known brands, which enhance its product offerings and attract a loyal customer base. Dillard's focuses on maintaining a competitive edge through effective inventory management, merchandising strategies, and personalized customer service, all of which contribute to its overall earnings.

Dillard's Financial Statement Overview

Summary

Dillard's financials reflect a well-managed company with strong profitability, low leverage, and robust cash flow generation. High profit margins and a stable financial structure position it well despite volatile revenue growth.

Income Statement

Dillard's demonstrates strong profitability with a gross profit margin of 39.23% and a net profit margin of 8.85% for the TTM (Trailing-Twelve-Months), showcasing efficient management of cost of goods sold and expenses. Revenue growth has been volatile, with a decline in recent periods, but the company maintains solid EBIT and EBITDA margins of 11.12% and 14.15%, respectively, indicating robust operational performance.

Balance Sheet

The company has a healthy balance sheet with a debt-to-equity ratio of 0.15, suggesting low leverage and financial stability. Return on equity (ROE) is strong at 23.89%, highlighting effective use of equity. The equity ratio stands at 61.87%, pointing to significant shareholder equity relative to total assets, which provides a cushion against liabilities.

Cash Flow

Dillard's cash flow is solid, with a strong operating cash flow to net income ratio of 1.22, indicating good cash conversion efficiency. The free cash flow to net income ratio is also favorable at 1.07, reflecting effective capital expenditure management and cash generation capabilities. Free cash flow growth has been positive, supporting further investment opportunities and shareholder returns.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
6.55B	6.48B	6.75B	7.00B	6.62B	4.43B
	Gross Profit
2.53B	2.56B	2.84B	3.01B	2.88B	1.36B
	EBIT
737.94M	740.16M	924.75M	1.12B	1.12B	-82.91M
	EBITDA
923.17M	947.44M	1.14B	1.34B	1.33B	112.52M
	Net Income Common Stockholders
577.24M	593.48M	738.85M	891.64M	862.47M	-71.70M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.16B	1.04B	956.32M	799.20M	716.80M	360.30M
	Total Assets
3.91B	3.53B	3.45B	3.34B	3.25B	3.09B
	Total Debt
353.90M	555.32M	564.44M	555.20M	608.80M	613.70M
	Net Debt
-546.60M	-162.53M	-243.85M	-95.10M	-108.00M	253.40M
	Total Liabilities
1.49B	1.73B	1.75B	1.73B	1.79B	1.65B
	Stockholders Equity
2.42B	1.80B	1.70B	1.61B	1.45B	1.44B
Cash Flow		Free Cash Flow
616.17M	609.58M	750.65M	828.20M	1.18B	192.50M
	Operating Cash Flow
702.32M	714.13M	883.59M	948.30M	1.28B	252.90M
	Investing Cash Flow
16.35M	-269.73M	-115.59M	-69.79M	-69.79M	-48.38M
	Financing Cash Flow
-636.07M	-534.83M	-620.04M	-768.97M	-853.81M	-121.30M

Dillard's Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 399.87
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DDS, the sentiment is Positive. The current price of 399.87 is below the 20-day moving average (MA) of 405.31, above the 50-day MA of 366.05, and above the 200-day MA of 389.90, indicating a neutral trend. The MACD of 7.07 indicates Positive momentum. The RSI at 53.87 is Neutral, neither overbought nor oversold. The STOCH value of 64.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DDS.

Dillard's Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
URBN	81 Outperform	$6.21B	14.49	19.55%	―	8.38%	52.18%
DDS	78 Outperform	$6.29B	11.05	30.93%	0.25%	-3.94%	-17.78%
M	73 Outperform	$3.23B	5.68	12.92%	6.13%	-3.77%	4607.98%
ANF	67 Neutral	$3.75B	7.35	46.98%	―	12.54%	25.47%
Sector *	62 Neutral	$6.90B	11.05	2.80%	4.27%	2.67%	-24.92%
KSS	59 Neutral	$977.00M	7.52	3.19%	5.73%	-7.03%	-56.59%

Dillard's Corporate Events

Dillard’s Stockholders Approve Key Governance Decisions

On May 17, 2025, Dillard’s, Inc. held its Annual Meeting of Stockholders in Little Rock, Arkansas, where stockholders voted on several matters. Key outcomes included the election of directors for both Class A and Class B nominees, all of whom were successfully elected. Additionally, the stockholders ratified the selection of KPMG LLP as the company’s independent registered public accounting firm for 2025. These decisions are expected to maintain stability in the company’s governance and financial auditing processes.

The most recent analyst rating on (DDS) stock is a Sell with a $194.00 price target. To see the full list of analyst forecasts on Dillard’s stock, see the DDS Stock Forecast page.

Warren A. Stephens Resigns from Dillard’s Board

On April 29, 2025, Warren A. Stephens announced his resignation from Dillard’s Board of Directors, effective immediately after his confirmation as the U.S. Ambassador to the United Kingdom. His departure was not due to any disagreements with the company regarding its operations, policies, or practices.

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.