Zumiez (ZUMZ) AI Stock Analysis

• Market Cap: $417.13M
• Dividend Yield: N/A
• Average Volume (3M): 285.95K
• Price to Earnings (P/E): 50.9
• Beta (1Y): 1.10
• Revenue Growth: 2.81%
• EPS Growth: N/A
• Country: US
• Employees: 2,400
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 0.55
• Shares Outstanding: 16,949,577
• 10 Day Avg. Volume: 300,554
• 30 Day Avg. Volume: 285,947
• PEG Ratio: 1.81
• Price to Book (P/B): 0.92
• Price to Sales (P/S): 0.34
• P/FCF Ratio: 53.00
• Enterprise Value/Market Cap: 1.31
• Enterprise Value/Revenue: 0.60
• Enterprise Value/Gross Profit: 1.69
• Enterprise Value/Ebitda: 19.28
• 1Y Price Target: $24.00
• Price Target Upside: -2.48% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: $25.00 ▲(1.58% Upside)

Score is anchored by solid cash-flow strength and a stable financial position, supported by a strong recent earnings call with improved margins and EPS performance. Offsetting these positives are weak near-term technicals (bearish/oversold) and a stretched valuation (high P/E with no dividend support).

Positive Factors

Strong free cash flow growth

Sustained, large FCF growth strengthens Zumiez's ability to fund inventory, invest in omni‑channel capabilities, expand private label, or weather retail cyclicality without relying on external financing, improving long‑term operational flexibility and strategic optionality.

Private label margin expansion

A rise in private label to roughly 31% of sales shifts mix toward higher‑margin owned goods, enhancing gross margin durability and reducing dependence on third‑party brands. This structural mix change supports long‑term margin sustainability and pricing control.

Cash on hand with no debt

A net cash position provides a durable liquidity cushion, lowers financial risk, and preserves strategic flexibility for inventory cycles, store investments or selective M&A. It also reduces vulnerability to interest rate swings and financing constraints.

Negative Factors

Very low net profit margin

Sub‑1% net margin implies limited profit conversion from sales, reducing retained earnings for reinvestment and making the business more sensitive to cost inflation or sales softness. This weak profitability constrains long‑term shareholder return potential.

Weak return on equity

An ROE near zero signals poor capital efficiency and limited ability to generate returns from shareholders' equity. Over time, persistently low ROE can deter capital allocation and indicate structural operating or margin issues that impair long‑term value creation.

International and category headwinds

Ongoing international declines and category weaknesses (notably footwear) limit geographic diversification and growth runway. Sustained underperformance overseas increases the need for investment in local assortments and raises uncertainty around profitable global expansion.

Zumiez Business Overview & Revenue Model

Company Description

Zumiez Inc., together with its subsidiaries, operates as a specialty retailer of apparel, footwear, accessories, and hardgoods for young men and women. Its hardgoods include skateboards, snowboards, bindings, components, and other equipment. As of February 26, 2022, the company operated 738 stores, including 602 stores in the United States, 52 stores in Canada, 67 stores in Europe, and 17 stores in Australia under the names of Zumiez, Blue Tomato, and Fast Times. The company also operates zumiez.com, zumiez.ca, blue-tomato.com, and fasttimes.com.au e-commerce websites. Zumiez Inc. was founded in 1978 and is headquartered in Lynnwood, Washington.

How the Company Makes Money

Zumiez generates revenue primarily through the sale of action sports and lifestyle apparel, footwear, and accessories in its retail stores and online platform. The company's revenue model is driven by direct product sales, where it offers a mix of proprietary brands and third-party branded items. Key revenue streams include in-store sales, online sales through its e-commerce platform, and sales from promotional events and collaborations. The company often engages in partnerships with popular brands to create exclusive products, enhancing its market appeal. Additionally, Zumiez benefits from a strong brand loyalty and community engagement, which drives repeat purchases and customer retention, further contributing to its earnings.

Zumiez Financial Statement Overview

Summary

Mixed fundamentals: modest TTM revenue growth (1.85%) and very low net margin (0.94%) indicate limited profitability, but the balance sheet is stable (manageable leverage noted) and cash flow is a clear strength with strong TTM free cash flow growth (47.62%) and solid cash conversion.

Income Statement

Zumiez's income statement shows a modest revenue growth of 1.85% in the TTM, with a gross profit margin of 35.14%. However, the net profit margin is low at 0.94%, indicating limited profitability. The EBIT and EBITDA margins are also low, suggesting operational challenges. Despite these issues, the company has shown improvement from previous periods, moving from negative to positive net income.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.70, which is manageable. The return on equity is low at 0.19%, indicating limited returns for shareholders. The equity ratio is not explicitly calculated, but the company's equity position appears stable relative to its assets.

Cash Flow

Zumiez's cash flow statement shows a strong free cash flow growth rate of 47.62% in the TTM, indicating improved cash generation. The operating cash flow to net income ratio is 0.29, and the free cash flow to net income ratio is 0.91, suggesting efficient cash conversion. Overall, the cash flow position is robust, supporting the company's liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	916.91M	889.20M	875.49M	958.38M	1.18B	990.65M
Gross Profit	322.17M	303.04M	280.89M	324.68M	456.73M	350.01M
EBITDA	28.32M	24.11M	-39.12M	52.73M	180.74M	121.00M
Net Income	8.58M	-1.71M	-62.61M	21.03M	119.29M	76.23M
Balance Sheet
Total Assets	633.11M	634.88M	664.23M	747.90M	862.01M	998.36M
Cash, Cash Equivalents and Short-Term Investments	104.47M	147.56M	171.58M	173.49M	294.48M	375.54M
Total Debt	209.06M	199.82M	220.76M	254.29M	267.89M	313.12M
Total Liabilities	334.57M	305.90M	311.02M	340.57M	393.69M	445.77M
Stockholders Equity	298.54M	328.98M	353.21M	407.33M	468.32M	552.60M
Cash Flow
Free Cash Flow	46.20M	5.70M	-5.59M	-26.01M	119.20M	129.35M
Operating Cash Flow	50.50M	20.70M	14.76M	-379.00K	134.95M	138.41M
Investing Cash Flow	15.57M	32.60M	-8.55M	54.21M	101.64M	-110.54M
Financing Cash Flow	-37.73M	-24.60M	704.00K	-87.26M	-191.41M	-9.69M

Zumiez Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 24.61
• 50DMA: Negative
• 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 ZUMZ, the sentiment is Negative. The current price of 24.61 is below the 20-day moving average (MA) of 25.38, below the 50-day MA of 26.38, and above the 200-day MA of 18.74, indicating a neutral trend. The MACD of -0.51 indicates Positive momentum. The RSI at 41.42 is Neutral, neither overbought nor oversold. The STOCH value of 37.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZUMZ.

Zumiez Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
URBN	82 Outperform	$6.35B	13.40	19.34%	―	11.09%	51.51%
ANF	74 Outperform	$4.48B	9.36	40.72%	―	7.57%	1.75%
AEO	74 Outperform	$3.95B	20.12	12.36%	2.09%	-1.15%	-0.98%
CRI	68 Neutral	$1.26B	14.04	10.27%	4.89%	-0.34%	-61.00%
ZUMZ	62 Neutral	$417.13M	50.89	2.79%	―	2.81%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
TLYS	48 Neutral	$44.80M	-1.30	-34.77%	―	-8.31%	36.10%

Zumiez Corporate Events

Zumiez Raises EPS Outlook Despite Mixed Holiday Sales

Zumiez Inc. reported that for the nine-week 2025 holiday period ended January 3, 2026, comparable sales rose 2.9% year over year, with North America delivering a strong 6.5% comp increase while international markets, including Europe and Australia, saw an 8.9% decline. Women’s apparel led category growth, followed by men’s, accessories and hardgoods, while footwear was the only segment to post negative comparable sales. Reflecting softer international demand but improved product margins and cost discipline, Zumiez trimmed its fiscal 2025 fourth-quarter net sales outlook to a range of $287 million to $290 million, down from prior guidance, but raised its earnings-per-share forecast to $1.05 to $1.10, signaling that profitability is holding up despite mixed regional performance and underscoring the strategic benefits of its focus on full-price selling and expense management.

The most recent analyst rating on (ZUMZ) stock is a Hold with a $29.00 price target. To see the full list of analyst forecasts on Zumiez stock, see the ZUMZ Stock Forecast page.

Zumiez Extends Revolving Credit Facility Maturity to 2027

On December 17, 2025, Zumiez Inc. and its subsidiaries Zumiez Europe Holding GmbH and Blue Tomato GmbH, along with newly added borrowers Zumiez Services Inc. and Zumiez Canada Holdings Inc., amended their existing revolving credit agreement with PNC Bank, National Association. The amendment extends the maturity of the secured $25 million revolving credit facility, originally dated December 20, 2024 and previously scheduled to mature on December 20, 2025, to December 23, 2027, providing the company and its affiliated borrowers with longer-term access to credit for general corporate purposes and reinforcing their financial flexibility.

The most recent analyst rating on (ZUMZ) stock is a Hold with a $24.00 price target. To see the full list of analyst forecasts on Zumiez stock, see the ZUMZ Stock Forecast page.