Movado Story

<div class='circular--portrait' style='background:#169D0B;color: #E6E6FA;font-size:3em;'>MOV</div>
MOV -- USA Stock  

USD 20.46  0.30  1.45%

Movado Cash and Equivalents Turnover is fairly stable at the moment as compared to the past year. Movado reported Cash and Equivalents Turnover of 3.73 in 2019. Cash Flow Per Share is likely to climb to 1.72 in 2020, whereas Average Assets are likely to drop slightly above 786.8 M in 2020. Movado Group is scheduled to announce its earnings today. The next earnings report is expected on the 25th of March 2021. As some conservatives are trying to avoid consumer cyclical space, we'll focus on Movado Group a little further and explain its current market possibilities. We will look into reasons why it is still very possible for the company to generate above-average returns. Will sophisticated investors continue to hold, or should we expect a sell-off?
Published over a month ago
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Does Movado (NYSE:MOV) have stable fundamental indicators based on the latest climb?
Movado is OVERVALUED at 14.44 per share with modest projections ahead. Movado appears to be somewhat reliable, given 1 month investment horizon. Movado Group has Sharpe Ratio of 0.19, which conveys that the firm had 0.19% of return per unit of risk over the last month. Our standpoint towards estimating the volatility of a stock is to use all available market data together with stock specific technical indicators that cannot be diversified away. By analyzing Movado Group technical indicators you can presently evaluate if the expected return of 0.74% is justified by implied risk. Please exercise Movado Group Downside Deviation of 4.13, mean deviation of 2.92, and Risk Adjusted Performance of 0.2525 to check out if our risk estimates are consistent with your expectations.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Movado income statement, its balance sheet, and the statement of cash flows. Potential Movado investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Movado investors may use each financial statement separately, they are all related. The changes in Movado's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Movado's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages. The goal of Movado fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Movado performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Movado shares is the value that is considered the true value of the share. If the intrinsic value Movado is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Movado. Please read more on our fundamental analysis page.

What is Movado Asset Breakdown?

Movado Group reports assets on its Balance Sheet. It represents the amount of Movado resources that either has an existing economic value or will provide some form of benefits in the future. To get a better handle on how balance sheet or income statements item affect Movado volatility, please check the breakdown of all its fundamentals

Are Movado Earnings Expected to grow?

The future earnings power of Movado involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Movado factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Movado stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Movado expected earnings.

And What about dividends?

A dividend is the distribution of a portion of Movado earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Movado dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Movado one year expected dividend income is about $0.27 per share.
Dividend Yield is likely to climb to 0.06 in 2021, whereas Payment of Dividends and Other Cash Distributions is likely to drop (17.9 M) in 2021.
Last ReportedProjected for 2021
Payment of Dividends and Other Cash Distributions-16.6 M-17.9 M
Dividend Yield 0.05  0.06 
Dividends per Basic Common Share 0.92  0.82 
Investing in stocks that pay dividends, such as stock of Movado Group, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Movado must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Movado. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

Movado Gross Profit

Movado Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Movado previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Movado Gross Profit growth over the last 10 years. Please check Gross Profit in more details.

Is Movado valued fairly by the market?

Institutional investor usually refers to an organization that invests money in Movado on behalf of clients or other money managers. Buying and selling of large positions of Movado stock by institutional investors can create supply and demand imbalances that result in sudden price moves of Movado stock. Let's take a look at how the ownership of Movado is distributed among investors.

Ownership Allocation

Movado Group maintains a total of sixteen million five hundred seventy thousand outstanding shares. The majority of Movado outstanding shares are owned by institutional investors. These third-party entities are usually referred to as non-private investors looking to shop for positions in Movado Group to benefit from reduced commissions. Consequently, institutional holders are subject to a different set of regulations than regular investors in Movado Group. Please pay attention to any change in the institutional holdings of Movado as this could imply that something significant has changed or about to change at the company. Please note that no matter how much assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.

Institutions
92.75%
Retail Investors3.19
Insiders4.06
Institutions92.75
 2017 2018 2019 2020 (projected)
Interest Expense1.51 M771 K930 K1.07 M
Gross Profit298.08 M369.36 M374.89 M363.21 M

Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Movado has an asset utilization ratio of 141.9 percent. This indicates that the company is making $1.42 for each dollar of assets. An increasing asset utilization means that Movado Group is more efficient with each dollar of assets it utilizes for everyday operations.

Current Assets
507.4 M
Assets Non Current
413 M
Current Assets507.44 Million46.0
Assets Non Current412.97 Million37.43
Goodwill158.9 Million14.4
Tax Assets23.92 Million2.17

Are Movado technical ratios showing a throwback?

Kurtosis is down to 2.67. It may cause a possible volatility fall. Movado Group shows above-average downside volatility for the selected time horizon. We advise investors to inspect Movado Group further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Movado future alpha.

Our Final Takeaway

While some companies under the luxury goods industry are still a bit expensive, Movado may offer a potential longer-term growth to sophisticated investors. To conclude, as of the 24th of November 2020, we believe Movado is currently overvalued. It actively responds to the market and projects low chance of distress in the next two years. However, our ongoing 30 days 'Buy-Sell' recommendation on the venture is Buy.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Movado Group. Please refer to our Terms of Use for any information regarding our disclosure principles.

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