PERF  Perfumania Holdings Inc

Exchange

NASDAQ

Sector

Consumer Services

Industry

Other Specialty Stores

Market Cap.

27.89M

Vuru Grade

35.50/100

Current Price

$1.80
-0.05 (-2.70%)

Growth Price

$17.72
Undervalued by 884.70%

Stability Price

$41.18
Undervalued by 2,187.66%

Company Metrics

  • P/E 24.37
  • P/S 0.06
  • P/B 0.43
  • EPS -0.93
  • Cash ROIC 5.58%
  • Cash Ratio 0.08
  • Dividend 0 / 0%
  • Avg. Vol. 23,970.00
  • Shares 15.49M
  • Market Cap. 27.89M

Company Description

Perfumania Holdings, Inc., through its subsidiaries, operates as a wholesale distributor and specialty retailer of perfumes and fragrances in the United States and Puerto Rico. The company distributes designer fragrances to mass market retailers, drug and other chain stores, retail wholesale clubs, traditional wholesalers, and other distributors. It sells its products in retail stores on a consign... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Perfumania Holdings, Inc. Names Frank J. Furlan Chief Executive Officer of ...
GlobeNewswire (press release) - Aug 10, 2016
BELLPORT, N.Y., Aug. 10, 2016 (GLOBE NEWSWIRE) -- Perfumania Holdings, Inc. (NASDAQ:PERF) (“Perfumania” or "the Company"), a U.S.
Perfumania Holdings Reports Third Quarter EPS of $0.04 on Net Sales of $125 ...
GlobeNewswire (press release) - Dec 13, 2016
13, 2016 (GLOBE NEWSWIRE) -- Perfumania Holdings, Inc. (NASDAQ:PERF) (“Perfumania” or the “Company”) a U.S. specialty retailer and distributor of fragrances and related beauty products, today reported operating results for the fiscal 2016 third quarter ...
Perfumania Holdings reports lower sales, net income - Newsday
Perfumania Holdings Reports Second Quarter Net Sales of $97 Million
GlobeNewswire (press release) - Sep 9, 2016
BELLPORT, N.Y., Sept. 09, 2016 (GLOBE NEWSWIRE) -- Perfumania Holdings, Inc. (NASDAQ:PERF) (“Perfumania” or the “Company”) a U.S.
Perfumania Holdings reports net loss of $11 million - Newsday
Executive Suite: Donna Dellomo, Perfumania Holdings Inc.
Newsday - May 4, 2014
When the Bellport fragrance company Perfumania Holdings decided in 2008 to go public, chief financial officer and vice president Donna Dellomo had only a few months to prepare.
BRIEF-Perfumania Holdings- on Jan. 3 notified co of resignation effective Jan ...
Reuters - Jan 9, 2017
... * Perfumania holdings - on Jan 3, Donna Dellomo, Co's chief financial officer, notified co of her resignation from co effective Jan. 20, 2017 - sec filing Source text (bit.
Perfumania Holdings Reports First Quarter Net Sales of $105 Million
GlobeNewswire (press release) - Jun 14, 2016
BELLPORT, N.Y., June 14, 2016 (GLOBE NEWSWIRE) -- Perfumania Holdings, Inc. (NASDAQ:PERF) (“Perfumania” or the “Company”) a U.S.
Perfumania profit drops more than 50% in quarter
Newsday - Apr 29, 2016
Net income at Bellport-based Perfumania Holdings Inc. dropped by more than 50 percent for the quarter ended Jan. 30 as the seller of celebrity fragrances dealt with a decrease in same-store sales and a lower number of stores.
Perfumania Holdings Reports Fourth Quarter Net Sales of $162 Million and ... - GlobeNewswire (press release)
Perfumania continues slide in Q4; eyes store closures - Chain Store Age
This Is What Market Manipulation Looks Like
Seeking Alpha - Jan 25, 2016
Perfumania (NASDAQ:PERF) is "America's Largest Fragrance Retailer." They help you smell as virile as James Bond and as fancy as Jessica Simpson (who, if their description is apt, smells faintly of patchouli).
Perfumania Holdings, Inc.'s (PERF) stock price is at $2.05 on volume of 161367 ...
WsNews 4investors - Feb 20, 2017
Perfumania Holdings, Inc.'s (PERF ) stock price escalated 7.89% to finalize at $2.05 throughout previous buying and selling session.
Retailer Perfumania explores strategic alternatives: sources
Reuters - Feb 17, 2017
Perfumania Holdings Inc (PERF.O), a U.S. retailer with exclusive distribution rights to several Trump-branded colognes, has hired advisers to explore strategic alternatives, including a debt restructuring, people familiar with the matter said.
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for PERF to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate PERF's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$1.80 Current Price

$17.72 Growth Price (DCF)

Undervalued by 884.70%


Growth Rate Assumed by Market: -500.00%


Future Free Cash Flow Growth Rate: 0.0%


Discount Rate: 15.0%


Show Free Cash Flow numbers

$41.18 Stability Price (EPV)

Undervalued by 2,187.66%


Discount Rate: 15.0%

$6.03 Book Price

Undervalued by 235.22%


Poor Cash Return on Invested Capital over the past 5 years

PERF has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

PERF has only created $5.58 of cash for every $100 invested.
Figures in USD. Fiscal year ends in January
20122013201420152016
Free Cash Flow 29.88M -14.46M -6.97M 32.13M 29.63M
divided by
Invested Capital 222.30M 336.94M 337.77M 315.81M 278.48M
Cash ROIC 13.44% -4.29% -2.06% 10.17% 10.64%

Very Poor Return on Equity over the past 5 years

PERF has shown an inability to deliver results for shareholders. This could be due to poor management, PERF operating in a highly competitive industry, or having a weak business in general.

PERF has generated a $14.54 loss for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in January
20122013201420152016
Net Income 4.13M -56.01M -12.47M 2.65M -11.67M
divided by
Stockholders' Equity 64.80M 103.12M 91.29M 95.29M 83.98M
Return on Equity 6.38% -54.32% -13.65% 2.78% -13.90%

Poor Business Performance over the past 10 years

PERF's inability to produce positive free cash flow for the majority of the past 10 years is concerning. It should be a red flag, since this company does not have a track record of delivering results for shareholders. This could be due to poor management or the nature of its business.

PERF has been losing money for the majority of the past 10 years.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Free Cash Flow -7.17M -5.86M -18.39M 116.22M -14.06M 29.88M -14.46M -6.97M 32.13M 29.63M

Weak Balance Sheet

PERF's financial position is not ideal. The key is to check whether PERF is using debt to fuel its growth and the sustainability of that tendency. Highly capital intensive businesses (see Economic Moat) follow this route, which can deeply impact the future prospects of the business.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Cash 1.28M 1.04M 4.20M 1.95M 1.24M 1.68M 2.45M 1.55M 1.53M 5.64M
Current Assets 86.96M 114.06M 340.93M 255.27M 255.96M 247.59M 317.23M 333.98M 296.46M 266.44M
Total Assets 125.75M 159.83M 400.13M 306.59M 300.47M 286.76M 419.60M 423.40M 386.23M 351.05M
Current Liabilities 75.63M 116.78M 216.85M 130.16M 58.92M 62.77M 80.22M 84.08M 68.89M 66.93M
Total Liabilities 88.18M 123.97M 320.25M 242.49M 239.96M 221.96M 316.48M 332.11M 290.94M 267.07M
Stockholder' Equity 37.57M 35.86M 79.88M 64.09M 60.51M 64.80M 103.12M 91.29M 95.29M 83.98M
Current Ratio 1.15 0.98 1.57 1.96 4.34 3.94 3.95 3.97 4.30 3.98
TL-to-TA 0.70 0.78 0.80 0.79 0.80 0.77 0.75 0.78 0.75 0.76

Low or No Reinvestment of Profits over the past 10 years

PERF has either been retaining a small amount of their earnings or has done so inconsistently. A lack of consistency could be due to PERF operating at a loss or them having such a strong economic moat they feel comfortable spending profits on growth. Be wary of future prospects and if applicable, inspect the moat's sustainability.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Retained Earnings -32.96M -34.78M -36.65M -52.48M -56.20M -52.07M -108.08M -120.55M -117.90M -129.57M
Retained Earnings Growth - -5.53% -5.36% -43.19% -7.10% 7.35% -107.57% -11.53% 2.20% -9.90%

Loss Making Entity over the past 10 years

PERF has been unable to maintain profitability. It's Costs of Sales have outstripped Revenue consistently. This is a huge red flag, unless the company has been investing heavily for the future. However, even that is dubious since accurately predicting the future of a company like that is extremely difficult.

$3.58 of every $100 of Revenue have been a loss, on average over the past 10 years.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Net Income 4.52M 5,730.00 -86.96M -15.83M -3.72M 4.13M -56.01M -12.47M 2.65M -11.67M
divided by
Revenue 243.61M 301.83M 429.29M 510.92M 484.80M 493.51M 534.78M 575.86M 583.96M 541.96M
Net Profit Margin 1.86% 0.00% -20.26% -3.10% -0.77% 0.84% -10.47% -2.16% 0.45% -2.15%

Varying Pricing Power over the past 10 years

PERF has maintained substantial gross margins, suggesting that they have been able to set prices without consideration of the cost of goods sold. However, there is a substantial variation in their Gross Profit Margins from year-to-year, which indicates inconsistent performance. Look at reasons for this inconsistency to determine the likelihood of future sustainability.

$46.11 of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Gross Profit 103.93M 111.87M 134.82M 178.79M 180.85M 493.51M 213.61M 252.17M 271.12M 257.62M
divided by
Revenue 243.61M 301.83M 429.29M 510.92M 484.80M 493.51M 534.78M 575.86M 583.96M 541.96M
Gross Margin 42.66% 37.06% 31.41% 34.99% 37.30% 100.00% 39.94% 43.79% 46.43% 47.54%

High Capital Intensity over the past 10 years

PERF spends large amounts of capital buying new equipment or investing in new facilities to stay competitive. Over the long term, those costs may have to be fuelled by debt. Look at the growth of Shareholders' Equity to see if this strategy is having a positive or negative impact.

63,864.33% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Capital Expenditure 9.80M 14.59M 8.86M 4.82M 2.98M 4.04M 7.09M 5.50M 12.39M 8.49M
divided by
Net Income 4.52M 5,730.00 -86.96M -15.83M -3.72M 4.13M -56.01M -12.47M 2.65M -11.67M
Capital Expenditure Ratio 216.66% 254,674.61% -10.19% -30.46% -79.97% 97.89% -12.65% -44.12% 468.15% -72.70%

No Dividend History over the past 10 years

PERF has never distributed dividends or has recently suspended their dividend distribution.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Dividend Paid - - - - - - - - - -
divided by
Shares Outstanding 3.51M 3.06M 7.36M 8.97M 8.97M 9.03M 13.94M 15.36M 15.49M 15.49M
Dividend Paid Per Share - - - - - - - - - -
Price at Year End 26.92 4.70 7.16 8.46 10.40 4.89 6.05 6.02 2.41 1.50
Dividend Yield - - - - - - - - - -

History of Stock Buybacks over the past 10 years

PERF has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in January
2007200820092010201120122013201420152016
Shares Outstanding 3.51M 3.06M 7.36M 8.97M 8.97M 9.03M 13.94M 15.36M 15.49M 15.49M
Stock Bought Back - 14.62% -58.46% -17.87% -0.00% -0.68% -35.24% -9.21% -0.85% 0.00%
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