Bob's Discount Furniture, Inc.
Bob's Discount Furniture, Inc. Fundamental Analysis
Bob's Discount Furniture, Inc. (BOBS) shows weak financial fundamentals with a PE ratio of 32.47, profit margin of 4.34%, and ROE of 20.61%. The company generates $2.0B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 35.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze BOBS's fundamental strength across five key dimensions:
Efficiency Score
WeakBOBS struggles to generate sufficient returns from assets.
Valuation Score
ModerateBOBS shows balanced valuation metrics.
Growth Score
ModerateBOBS shows steady but slowing expansion.
Financial Health Score
WeakBOBS carries high financial risk with limited liquidity.
Profitability Score
ModerateBOBS maintains healthy but balanced margins.
Key Financial Metrics
Is BOBS Expensive or Cheap?
P/E Ratio
BOBS trades at 32.47 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, BOBS's PEG of 0.32 indicates potential undervaluation.
Price to Book
The market values Bob's Discount Furniture, Inc. at 6.15 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 8.99 times EBITDA. This is generally considered low.
How Well Does BOBS Make Money?
Net Profit Margin
For every $100 in sales, Bob's Discount Furniture, Inc. keeps $4.34 as profit after all expenses.
Operating Margin
Core operations generate 6.66 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $20.61 in profit for every $100 of shareholder equity.
ROA
Bob's Discount Furniture, Inc. generates $4.73 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Bob's Discount Furniture, Inc. generates limited operating cash flow of $161.15M, signaling weaker underlying cash strength.
Free Cash Flow
Bob's Discount Furniture, Inc. produces free cash flow of $82.93M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.64 in free cash annually.
FCF Yield
BOBS converts 2.91% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
32.47
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.32
vs 25 benchmark
P/B Ratio
Price to book value ratio
6.15
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.41
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.70
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.84
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How BOBS Stacks Against Its Sector Peers
| Metric | BOBS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 32.47 | 25.25 | Worse (Expensive) |
| ROE | 20.61% | 1170.00% | Weak |
| Net Margin | 4.34% | 742.00% | Weak |
| Debt/Equity | 2.70 | 0.77 | Weak (High Leverage) |
| Current Ratio | 0.84 | 9.19 | Weak Liquidity |
| ROA | 4.73% | -6467.00% (disorted) | Weak |
BOBS outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Bob's Discount Furniture, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
EPS CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
FCF CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary