Vipshop Stock Analysis, Valuation (NYSE:VIPS)

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$10.03 $0.11 (1.11%) VIPS stock closing price Jul 20, 2018 (Closing)

Take a look at Amigobulls Vipshop stock analysis video. This video puts forward our latest analysis highlighting the pros and cons for VIPS stock.

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.

Vipshop Holdings Ltd - ADR Stock Rating 3.2/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for VIPS stock analysis. Vipshop valuation forms a crucial part of our stock analysis. Our Vipshop stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy VIPS stock?

  • Vipshop's revenue growth came in at 36.7% in 2018-03.
  • The company saw a significant growth in revenue with a 5 year CAGR of 67.1.
  • The price to earnings multiple of 18.2 is attractive when compared with the sector average PE ratio of 26.2.
  • The lower PS ratio 0.6 for VIPS stock versus Computer and Technology sector average of 3 is a positive for the company.
  • Vipshop generates a high return on invested capital of 24.4.
  • Return On Equity (ROE) which is a measure of the company's profitability, looks great for Vipshop at 19.

Should you sell VIPS stock?

  • Vipshop has a debt/equity ratio of 0.35, which is worse than the average in the Computer and Technology sector.

Comments on this video and Vipshop stock

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

Vipshop revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. One can also combine technical analysis and fundamental analysis to get a holistic picture about VIPS stock.