Conn's Stock Analysis, Valuation (NASDAQ:CONN)

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$37.2 $0.3 (0.8%) CONN stock closing price Jul 16, 2018 (Closing)

View the Conn's stock analysis video on Amigobulls. Our CONN analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Conn's Inc Stock Rating 2.9/5

Amigobulls CONN stock analysis takes into account various financial ratios like relative valuation, Conn's revenue, growth and return on equity based on latest quarter 2019 Q1 financial statements. We also check Conn's dividend performance. Conn's valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Based on a company's historical fundamentals we arrive at Conn's stock rating which is indicative of the company's financial performance.

Should you buy CONN stock?

  • The TTM operating margin was good at 8.41 for Conn's.
  • The company has a healthy free cash flow margin of 36.

Should you sell CONN stock?

  • Conn's salesgrew by a marginal 0.7% year over year in 2018-04.
  • Conn's posted a TTM Net margin of 1.4%.
  • With a debt/equity ratio of 1.73, Conn's is highly leveraged in comparison to Retail-Wholesale peers.
  • The CONN stock currently trades at a PE of 26.6, which is expensive, compared to the sector average of 21.4.
  • Conn's has a poor return on invested capital of 3.6.

Comments on this video and Conn's stock

Amigobulls Conn's stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of CONN stock. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

Conn's revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Conn's stock.