Recent News
September 22, 2025 — A group of analysts issued a negative consensus citing margin compression and a weaker operating income outlook, noting notable gross-margin deterioration in recent quarters. September 23, 2025 — CDI Contractors, Dillard’s wholly owned construction subsidiary, named a new CEO, a former Arkansas commerce official, following the incumbent’s retirement. November 2025 — The company announced the planned closure of its Dillard’s store at The Shops at Willow Bend in Plano, Texas, with the shutdown scheduled between January 12 and January 25, 2026, and accompanying staff reductions tied to a mall redevelopment project.
Technical Analysis
ADX / DI+ / DI-: ADX at 30.99 signals a strong underlying trend; DI+ decreasing and DI- increasing indicate the directional indicators lean bearish, which raises the probability of short-term downside pressure relative to the company’s fundamental valuation.
MACD: MACD at 11.47 sits below its signal line at 16.96 and the MACD trend shows a decrease, indicating bearish momentum that undermines immediate upside attempts.
MRO: MRO reads 31.49 with a peak-and-reversal pattern and a positive value, implying price above its regression target and a likely contraction in upside — a technical headwind against valuations that otherwise look supportive.
RSI: RSI at 56.88 with a decreasing trend signals cooling momentum while remaining outside overbought territory, consistent with a consolidation or moderate pullback scenario rather than an extreme selloff.
Price vs Moving Averages and Bands: Last close $663.63 sits above the 50-day average ($633.45) and the 200-day average ($491.61) but below the 20-day average ($684.21) and the 12-day EMA (declining at $671.40), which places near-term resistance at short-term averages while long-term technical context stays constructive for valuation support.
Bollinger / Ichimoku / Volume: Price trades inside the 1x Bollinger band range (lower $654.89, upper $713.54), near the lower band, with volume of 216,215 above the 10/50/200-day averages — elevated liquidity that can amplify directional moves and accelerate any technical correction toward support levels implied by short-term averages.
Fundamental Analysis
Earnings & Profitability: Reported EPS of $8.29 exceeded the $6.20 estimate by $2.09, a 33.71% surprise. Earnings show meaningful YoY improvement (earnings growth YoY +27.37%), and operating income (EBIT $170,192,000) produced an operating margin of 11.42%. Operating margin stands above the industry peer mean of 9.77% and sits slightly below the industry peer median of 12.12%, reflecting stronger-than-average margin control though not best-in-class among peers. Gross margin of 44.22% exceeds the industry peer mean of 33.64% and the peer median of 32.59%, supporting cash generation.
Revenue and Growth Dynamics: Total revenue $1,490,973,000 shows mixed dynamics: quarter-over-quarter revenue growth printed +313.54% while year-over-year revenue contracted -30.04%. The sharp QoQ uplift likely reflects calendar and seasonal effects; the large YoY decline remains the dominant growth signal and warrants attention when weighing forward recovery assumptions.
Cash Flow & Liquidity: Operating cash flow $186,462,000 and free cash flow $156,151,000 yield a free cash flow yield of 1.736%, above the industry peer mean of 0.289%. Cash and short-term investments total $1,334,444,000 with cash alone at $1,149,201,000. Current ratio 2.19 and quick ratio 1.00 exceed industry peer means of 1.17 and 0.38 respectively, indicating ample near-term liquidity. Interest coverage runs at 37.82, reflecting low cost of debt and comfortable coverage of interest obligations.
Balance Sheet and Working Capital: Total debt $548,566,000 produces debt-to-assets of 12.76%, which sits below the industry peer range low (15.87%), and debt-to-equity of 0.268. Net working capital and retained earnings remain sizable. Inventory levels and turnover deserve scrutiny: days inventory outstanding at 139.7 and inventory turnover 0.566 are below typical peer turnover figures, pointing to slower inventory velocity that could pressure margin if not managed.
Valuation Metrics & WMDST View: Price multiples sit below many peer averages: P/E 69.54 compares to an industry peer mean P/E of ~90.01 and median ~84.02; P/B 4.40 sits below the industry peer mean 5.58; PS 6.03 sits below the peer mean 6.84; enterprise multiple 38.18 below the peer mean 64.14. Combined with a higher free cash flow yield and robust liquidity, the current valuation as determined by WMDST classifies the stock as under-valued. Offsetting factors include substantial YoY revenue contraction and low inventory turnover, which limit confidence in multiple expansion absent sustained sales recovery.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-10-31 |
| REPORT DATE: | 2025-11-13 |
| NEXT REPORT DATE: | 2026-02-12 |
| CASH FLOW | Begin Period Cash Flow | $ 1.0 B |
| Operating Cash Flow | $ 186.5 M | |
| Capital Expenditures | $ -30.31 M | |
| Change In Working Capital | $ 13.8 M | |
| Dividends Paid | $ -3.90 M | |
| Cash Flow Delta | $ 137.2 M | |
| End Period Cash Flow | $ 1.1 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.5 B | |
| Forward Revenue | $ 312.7 M | |
| COSTS | ||
| Cost Of Revenue | $ 831.6 M | |
| Depreciation | $ 44.8 M | |
| Depreciation and Amortization | $ 44.8 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 1.3 B | |
| PROFITABILITY | ||
| Gross Profit | $ 659.3 M | |
| EBITDA | $ 215.0 M | |
| EBIT | $ 170.2 M | |
| Operating Income | $ 170.2 M | |
| Interest Income | $ 3.1 M | |
| Interest Expense | — | |
| Net Interest Income | $ 3.1 M | |
| Income Before Tax | $ 168.8 M | |
| Tax Provision | $ 39.0 M | |
| Tax Rate | 23.103 % | |
| Net Income | $ 129.8 M | |
| Net Income From Continuing Operations | $ 129.8 M | |
| EARNINGS | ||
| EPS Estimate | $ 6.20 | |
| EPS Actual | $ 8.29 | |
| EPS Difference | $ 2.09 | |
| EPS Surprise | 33.71 % | |
| Forward EPS | $ 6.98 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 4.3 B | |
| Intangible Assets | — | |
| Net Tangible Assets | $ 2.0 B | |
| Total Current Assets | $ 3.2 B | |
| Cash and Short-Term Investments | $ 1.3 B | |
| Cash | $ 1.1 B | |
| Net Receivables | $ 44.9 M | |
| Inventory | $ 1.7 B | |
| Long-Term Investments | $ 92.5 M | |
| LIABILITIES | ||
| Accounts Payable | $ 1.2 B | |
| Short-Term Debt | $ 96.0 M | |
| Total Current Liabilities | $ 1.4 B | |
| Net Debt | — | |
| Total Debt | $ 548.6 M | |
| Total Liabilities | $ 2.3 B | |
| EQUITY | ||
| Total Equity | $ 2.0 B | |
| Retained Earnings | $ 6.6 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 131.09 | |
| Shares Outstanding | 15.600 M | |
| Revenue Per-Share | $ 95.58 | |
| VALUATION | Market Capitalization | $ 9.0 B |
| Enterprise Value | $ 8.2 B | |
| Enterprise Multiple | 38.18 | |
| Enterprise Multiple QoQ | -14.824 % | |
| Enterprise Multiple YoY | 72.783 % | |
| Enterprise Multiple IPRWA | high: 140.603 mean: 64.139 median: 61.949 DDS: 38.18 low: -25.739 |
|
| EV/R | 5.504 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.102 | |
| Asset To Liability | 1.908 | |
| Debt To Capital | 0.212 | |
| Debt To Assets | 0.128 | |
| Debt To Assets QoQ | -14.674 % | |
| Debt To Assets YoY | 4394.014 % | |
| Debt To Assets IPRWA | high: 1.07 mean: 0.484 median: 0.375 low: 0.159 DDS: 0.128 |
|
| Debt To Equity | 0.268 | |
| Debt To Equity QoQ | -6.595 % | |
| Debt To Equity YoY | 4393.132 % | |
| Debt To Equity IPRWA | high: 4.258 median: 1.41 mean: 1.391 low: 0.426 DDS: 0.268 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 4.397 | |
| Price To Book QoQ | 22.971 % | |
| Price To Book YoY | 51.374 % | |
| Price To Book IPRWA | high: 11.264 median: 5.709 mean: 5.582 DDS: 4.397 low: -4.474 |
|
| Price To Earnings (P/E) | 69.537 | |
| Price To Earnings QoQ | -29.975 % | |
| Price To Earnings YoY | 49.846 % | |
| Price To Earnings IPRWA | high: 222.283 mean: 90.011 median: 84.024 DDS: 69.537 low: -121.919 |
|
| PE/G Ratio | 0.798 | |
| Price To Sales (P/S) | 6.032 | |
| Price To Sales QoQ | 34.998 % | |
| Price To Sales YoY | 53.459 % | |
| Price To Sales IPRWA | high: 12.438 mean: 6.84 median: 6.475 DDS: 6.032 low: 0.253 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 86.757 | |
| Forward PE/G | 0.996 | |
| Forward P/S | 30.72 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -28.097 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.374 | |
| Asset Turnover Ratio QoQ | -7.685 % | |
| Asset Turnover Ratio YoY | 0.33 % | |
| Asset Turnover Ratio IPRWA | high: 0.677 median: 0.416 mean: 0.396 DDS: 0.374 low: 0.079 |
|
| Receivables Turnover | 30.706 | |
| Receivables Turnover Ratio QoQ | 9.097 % | |
| Receivables Turnover Ratio YoY | 33.526 % | |
| Receivables Turnover Ratio IPRWA | high: 75.428 DDS: 30.706 median: 24.168 mean: 21.145 low: 0.298 |
|
| Inventory Turnover | 0.566 | |
| Inventory Turnover Ratio QoQ | -20.649 % | |
| Inventory Turnover Ratio YoY | -0.712 % | |
| Inventory Turnover Ratio IPRWA | high: 2.407 median: 1.099 mean: 1.065 DDS: 0.566 low: 0.308 |
|
| Days Sales Outstanding (DSO) | 2.972 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 48.755 | |
| Cash Conversion Cycle Days QoQ | -1.668 % | |
| Cash Conversion Cycle Days YoY | 2.404 % | |
| Cash Conversion Cycle Days IPRWA | high: 184.758 DDS: 48.755 mean: 39.931 median: 31.628 low: -44.206 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.865 | |
| CapEx To Revenue | -0.02 | |
| CapEx To Depreciation | -0.677 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 2.5 B | |
| Net Invested Capital | $ 2.6 B | |
| Invested Capital | $ 2.6 B | |
| Net Tangible Assets | $ 2.0 B | |
| Net Working Capital | $ 1.7 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.923 | |
| Current Ratio | 2.192 | |
| Current Ratio QoQ | -18.281 % | |
| Current Ratio YoY | -7.847 % | |
| Current Ratio IPRWA | high: 2.205 DDS: 2.192 mean: 1.168 median: 1.094 low: 0.788 |
|
| Quick Ratio | 1.004 | |
| Quick Ratio QoQ | -28.836 % | |
| Quick Ratio YoY | -1.479 % | |
| Quick Ratio IPRWA | high: 1.527 DDS: 1.004 mean: 0.384 median: 0.366 low: 0.059 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 2.552 | |
| Cost Of Debt | 0.627 % | |
| Interest Coverage Ratio | 37.82 | |
| Interest Coverage Ratio QoQ | 82.371 % | |
| Interest Coverage Ratio YoY | 3.766 % | |
| Interest Coverage Ratio IPRWA | high: 101.842 mean: 42.173 DDS: 37.82 median: 15.671 low: -74.758 |
|
| Operating Cash Flow Ratio | 0.094 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 93.941 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 33.251 | |
| Dividend Payout Ratio | 0.03 | |
| Dividend Rate | $ 0.25 | |
| Dividend Yield | 0.0 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 16.653 % | |
| Revenue Growth | -2.932 % | |
| Revenue Growth QoQ | 313.54 % | |
| Revenue Growth YoY | -30.041 % | |
| Revenue Growth IPRWA | high: 14.292 % median: 1.298 % mean: -0.849 % DDS: -2.932 % low: -15.552 % |
|
| Earnings Growth | 87.133 % | |
| Earnings Growth QoQ | -252.227 % | |
| Earnings Growth YoY | 27.369 % | |
| Earnings Growth IPRWA | DDS: 87.133 % high: 57.143 % median: -4.0 % mean: -6.216 % low: -400.0 % |
|
| MARGINS | ||
| Gross Margin | 44.221 % | |
| Gross Margin QoQ | 17.781 % | |
| Gross Margin YoY | 1.562 % | |
| Gross Margin IPRWA | high: 70.897 % DDS: 44.221 % mean: 33.637 % median: 32.592 % low: 18.966 % |
|
| EBIT Margin | 11.415 % | |
| EBIT Margin QoQ | 87.87 % | |
| EBIT Margin YoY | 1.0 % | |
| EBIT Margin IPRWA | high: 18.986 % median: 12.117 % DDS: 11.415 % mean: 9.771 % low: -18.493 % |
|
| Return On Sales (ROS) | 11.415 % | |
| Return On Sales QoQ | 87.87 % | |
| Return On Sales YoY | 1.0 % | |
| Return On Sales IPRWA | high: 18.986 % median: 11.92 % DDS: 11.415 % mean: 9.71 % low: -18.493 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 156.2 M | |
| Free Cash Flow Yield | 1.736 % | |
| Free Cash Flow Yield QoQ | 98.174 % | |
| Free Cash Flow Yield YoY | -31.922 % | |
| Free Cash Flow Yield IPRWA | high: 9.132 % DDS: 1.736 % median: 0.36 % mean: 0.289 % low: -17.07 % |
|
| Free Cash Growth | 159.875 % | |
| Free Cash Growth QoQ | -321.578 % | |
| Free Cash Growth YoY | -162.905 % | |
| Free Cash Growth IPRWA | high: 382.415 % DDS: 159.875 % mean: -78.107 % median: -85.233 % low: -517.24 % |
|
| Free Cash To Net Income | 1.203 | |
| Cash Flow Margin | 9.143 % | |
| Cash Flow To Earnings | 1.05 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 3.252 % | |
| Return On Assets QoQ | 69.463 % | |
| Return On Assets YoY | 1.72 % | |
| Return On Assets IPRWA | high: 4.623 % DDS: 3.252 % median: 3.23 % mean: 2.836 % low: -2.24 % |
|
| Return On Capital Employed (ROCE) | 5.966 % | |
| Return On Equity (ROE) | 0.063 | |
| Return On Equity QoQ | 67.273 % | |
| Return On Equity YoY | 0.032 % | |
| Return On Equity IPRWA | high: 0.154 median: 0.07 DDS: 0.063 mean: 0.037 low: -0.156 |
|
| DuPont ROE | 6.549 % | |
| Return On Invested Capital (ROIC) | 5.099 % | |
| Return On Invested Capital QoQ | 73.2 % | |
| Return On Invested Capital YoY | -144.502 % | |
| Return On Invested Capital IPRWA | high: 12.867 % mean: 7.108 % median: 6.477 % DDS: 5.099 % low: -4.158 % |
|