Comparing Dillard’s (DDS) & Its Rivals

Dillard’s (NYSE:DDS) is one of 142 publicly-traded companies in the “Broadline Retail” industry, but how does it compare to its rivals? We will compare Dillard’s to similar businesses based on the strength of its dividends, profitability, earnings, institutional ownership, risk, valuation and analyst recommendations.

Profitability

This table compares Dillard’s and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dillard’s	10.09%	31.43%	15.63%
Dillard’s Competitors	-3.17%	-34.71%	-1.48%

Analyst Ratings

This is a summary of recent ratings and target prices for Dillard’s and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dillard’s	2	3	0	0	1.60
Dillard’s Competitors	1356	5322	10706	295	2.56

Dillard’s presently has a consensus price target of $521.33, indicating a potential downside of 19.70%. As a group, “Broadline Retail” companies have a potential upside of 15.99%. Given Dillard’s’ rivals stronger consensus rating and higher possible upside, analysts plainly believe Dillard’s has less favorable growth aspects than its rivals.

Valuation & Earnings

This table compares Dillard’s and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Dillard’s	$6.47 billion	$570.19 million	15.44
Dillard’s Competitors	$42.77 billion	$1.73 billion	-220.54

Dillard’s’ rivals have higher revenue and earnings than Dillard’s. Dillard’s is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Volatility & Risk

Dillard’s has a beta of 1.15, suggesting that its share price is 15% more volatile than the S&P 500. Comparatively, Dillard’s’ rivals have a beta of -1.27, suggesting that their average share price is 227% less volatile than the S&P 500.

Dividends

Dillard’s pays an annual dividend of $1.20 per share and has a dividend yield of 0.2%. Dillard’s pays out 2.9% of its earnings in the form of a dividend. As a group, “Broadline Retail” companies pay a dividend yield of 31.7% and pay out 11.5% of their earnings in the form of a dividend. Dillard’s has increased its dividend for 14 consecutive years.

Insider & Institutional Ownership

67.2% of Dillard’s shares are owned by institutional investors. Comparatively, 44.4% of shares of all “Broadline Retail” companies are owned by institutional investors. 34.8% of Dillard’s shares are owned by company insiders. Comparatively, 24.0% of shares of all “Broadline Retail” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Dillard’s beats its rivals on 8 of the 15 factors compared.

Dillard’s Company Profile

Dillard’s, Inc. engages in the retail of fashion apparel, cosmetics, and home furnishings, and other consumer goods. It operates through the Retail Operations and Construction segments. The Retail Operations segment comprises sells cosmetics, ladies’ apparel, ladies’ accessories and lingerie, juniors’ and children’s apparel, men’s apparel and accessories, shoes, and home and furniture products. The Construction segment constructs and remodels stores through CDI Contractors, LLC. The company was founded by William Thomas Dillard in 1938 and is headquartered in Little Rock, AR.