Industria De Diseno Textil, S.A. Unsponsored Adr (IDEXY)
OTHER OTC:IDEXY
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Industria de Diseno Textil
(OTC:IDEXY)
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Rating:70Outperform
Price Target:
$17.00
▲(3.09% Upside)
Action:UpgradedDate:04/10/26
The score is primarily supported by strong margins and solid cash generation with generally manageable leverage. This is partially offset by mixed technical momentum (negative MACD and trading below the 50/100-day averages) and a valuation that is balanced between a higher P/E and a strong dividend yield.
Positive Factors
High and sustainable margins
Inditex’s multi-year margin strength — gross ~50%, operating near 20% and net ~16% — reflects durable product mix, pricing power and cost control. These margins underpin long-term cash generation, support reinvestment in stores/tech and provide resilience across cycles.
Negative Factors
Recent top-line cooling
A revenue decline in 2026 after prior growth signals risk to sustained top-line momentum. For a fast-fashion retailer, slowing sales can pressure inventory turns and future margin expansion, requiring continued product, channel and geographic execution to reaccelerate growth.
Read all positive and negative factors
Positive Factors
Negative Factors
High and sustainable margins
Inditex’s multi-year margin strength — gross ~50%, operating near 20% and net ~16% — reflects durable product mix, pricing power and cost control. These margins underpin long-term cash generation, support reinvestment in stores/tech and provide resilience across cycles.
Read all positive factors
Industria de Diseno Textil (IDEXY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$194.27B
Dividend Yield3.76%
Average Volume (3M)1.03M
Price to Earnings (P/E)28.6
Beta (1Y)0.98
Revenue Growth6.10%
EPS Growth6.04%
CountryUS
Employees67,195
SectorConsumer Cyclical
Sector Strength84
IndustryApparel - Retail
Share Statistics
EPS (TTM)0.15
Shares Outstanding12,466,608,000
10 Day Avg. Volume868,510
30 Day Avg. Volume1,032,474
Financial Highlights & Ratios
PEG Ratio13.43
Price to Book (P/B)8.35
Price to Sales (P/S)4.46
P/FCF Ratio25.25
Enterprise Value/Market Cap0.86
Enterprise Value/Revenue4.29
Enterprise Value/Gross Profit7.42
Enterprise Value/Ebitda15.03
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)0.63
Revenue Forecast (FY)$49.17B
Industria de Diseno Textil Business Overview & Revenue Model
Company Description
Industria de Diseño Textil, S.A. engages in the retail and online distribution of clothing, footwear, accessories, and household textile products through various commercial concepts. Its retail concepts include Zara, Pull & Bear, Massimo Dutti, Be...
How the Company Makes Money
Inditex generates revenue primarily through the sale of clothing, footwear, accessories, and home textiles under its various retail brands. The company's fast-fashion model ensures a continuous and rapid turnover of inventory, as new products are ...
Industria de Diseno Textil Earnings Call Summary
Earnings Call Date:Dec 03, 2025
(Q3-2025)
| % Change Since: |
Next Earnings Date:Jun 10, 2026
Earnings Call Sentiment Positive
The earnings call reflects a positive sentiment with strong sales growth and profit improvements despite currency headwinds. Inditex continues to expand globally and invest in logistics and technology, indicating confidence in future growth. The challenges posed by currency headwinds and potential EU legislation were acknowledged but do not overshadow the overall positive performance.Positive Updates
Strong Sales Growth
Sales in constant currency increased by 6.2% in the first 9 months of 2025, with a 4.9% growth in Q3 despite currency headwinds. Store and online sales between November 1st and December 1st grew by 10.6%.
Negative Updates
Currency Headwinds
Sales growth was impacted by about 350 basis points due to currency headwinds, with an expected minus 4% top line currency impact for the full year 2025.
Read all updates
Q3-2025 Updates
Positive
Negative
Strong Sales Growth
Sales in constant currency increased by 6.2% in the first 9 months of 2025, with a 4.9% growth in Q3 despite currency headwinds. Store and online sales between November 1st and December 1st grew by 10.6%.
Read all positive updates
Company Guidance
In the Inditex 9-month 2025 results presentation, the company reported a robust financial performance despite currency headwinds, with sales in constant currency increasing by 6.2% and reaching EUR 28.2 billion. The gross profit rose by 3.2% to EUR 16.8 billion, while profit before tax grew 3.6% to EUR 6 billion, resulting in a net income increase of 3.9% to EUR 4.6 billion. The gross margin stood at 59.7%, and operating expenses were tightly controlled, reflecting a 29 basis point operating leverage. Inditex's net cash position was EUR 11.3 billion. The company reiterated a stable gross margin guidance for 2025, with an emphasis on reinvesting efficiencies to maintain competitive differentiation. The presentation highlighted strong store and online sales growth, with a 10.6% increase in constant currency sales from November 1 to December 1, 2025. Inditex also emphasized its diversification strategy across 214 markets, ongoing investments in logistics, and the expansion of its store network.Industria de Diseno Textil Financial Statement Overview
Summary
Income Statement
84
Very Positive
Balance Sheet
72
Positive
Cash Flow
78
Positive
| Breakdown | TTM | Jan 2026 | Jan 2025 | Jan 2024 | Jan 2023 | Jan 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 38.92B | 38.31B | 38.63B | 35.95B | 32.57B | 20.40B |
| Gross Profit | 22.51B | 19.17B | 22.34B | 17.86B | 17.83B | 11.39B |
| EBITDA | 11.11B | 10.90B | 11.10B | 10.04B | 8.28B | 4.24B |
| Net Income | 5.89B | 5.98B | 5.87B | 5.38B | 4.13B | 1.11B |
Balance Sheet | ||||||
| Total Assets | 34.05B | 35.74B | 34.71B | 32.73B | 29.98B | 26.42B |
| Cash, Cash Equivalents and Short-Term Investments | 10.01B | 10.99B | 11.50B | 11.42B | 10.08B | 7.57B |
| Total Debt | 5.59B | 5.95B | 7.13M | 5.74B | 5.45B | 6.35B |
| Total Liabilities | 17.09B | 15.29B | 15.04B | 14.06B | 12.95B | 11.87B |
| Stockholders Equity | 16.95B | 20.45B | 19.68B | 18.64B | 17.01B | 14.52B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | 6.76B | 6.62B | 6.80B | 5.26B | 2.31B |
| Operating Cash Flow | 0.00 | 8.87B | 9.29B | 8.67B | 6.67B | 3.02B |
| Investing Cash Flow | 0.00 | -3.09B | -3.29B | -1.71B | -3.50B | 2.51B |
| Financing Cash Flow | 0.00 | -6.80B | -6.61B | -5.47B | -4.61B | -2.79B |
Industria de Diseno Textil Technical Analysis
Positive
16.49
Price Trends
15.67
Negative
15.66
Negative
14.33
Positive
Market Momentum
-0.14
Negative
59.82
Neutral
86.50
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IDEXY, the sentiment is Positive. The current price of 16.49 is above the 20-day moving average (MA) of 14.65, above the 50-day MA of 15.67, and above the 200-day MA of 14.33, indicating a neutral trend. The MACD of -0.14 indicates Negative momentum. The RSI at 59.82 is Neutral, neither overbought nor oversold. The STOCH value of 86.50 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IDEXY.
Industria de Diseno Textil Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $72.50B | 28.12 | 36.70% | 0.90% | 3.71% | 0.65% | |
76 Outperform | $182.62B | 30.68 | 59.53% | 1.07% | 4.53% | 6.52% | |
70 Outperform | $194.27B | 28.57 | 33.53% | 3.76% | 6.10% | 6.04% | |
64 Neutral | $9.82B | 15.26 | 22.98% | 2.45% | 0.29% | 3.65% | |
63 Neutral | $20.10B | 13.49 | 34.82% | ― | 8.76% | 3.41% | |
62 Neutral | $21.21B | 31.09 | 39.79% | ― | 6.80% | 20.46% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
* Consumer Cyclical Sector Average
IDEXY
Industria de Diseno Textil
15.61
3.13
25.08%
GAP
Gap Inc
26.36
7.89
42.73%
LULU
Lululemon Athletica
166.51
-90.11
-35.11%
ROST
Ross Stores
224.91
87.39
63.55%
TJX
TJX Companies
165.00
39.07
31.02%
BURL
Burlington Stores
338.40
94.96
39.01%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.