Fact based stock research
Card Factory (LSE:CARD)
GB00BLY2F708
How to read the free ranks
For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".
Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".
Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.
Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.
(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).
(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.
Card Factory stock research in summary
ANALYSIS: With an Obermatt Combined Rank of 82 (better than 82% compared with investment alternatives), Card Factory (Specialty Stores, United Kingdom) shares have much better financial characteristics than comparable stocks. Shares of Card Factory are a good value (attractively priced) with a consolidated Value Rank of 91 (better than 91% of alternatives), are safely financed (Safety Rank of 72, which means low debt burdens), but show below-average growth (Growth Rank of 32). ...read more
RECOMMENDATION: A Combined Rank of 82, is a strong buy recommendation based on Card Factory's financial characteristics. As the company Card Factory's key financial metrics exhibit good value (Obermatt Value Rank of 91) but low growth (Obermatt Growth Rank of 32) while being safely financed (Obermatt Safety Rank of 72), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 91% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
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360° Viewnew| Country | United Kingdom |
| Industry | Specialty Stores |
| Index | FTSE All Shares |
| Size class | Medium |
14-Nov-2024. Stock data may be delayed. Log in or sign up to get the most recent research.
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Review the performance ranks of the individual metrics that form each investment strategy.
Research History: Card Factory
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 45 |
|
93 |
|
54 |
|
91 |
|
| GROWTH | ||||||||
| GROWTH | 14 |
|
100 |
|
73 |
|
32 |
|
| SAFETY | ||||||||
| SAFETY | 1 |
|
12 |
|
48 |
|
72 |
|
| SENTIMENT | ||||||||
| SENTIMENT | n/a |
|
73 |
|
82 |
|
new |
|
| 360° VIEW | ||||||||
| 360° VIEW | n/a |
|
81 |
|
87 |
|
new |
|
Combined financial peformance in Detail
ANALYSIS: With an Obermatt Combined Rank of 82 (better than 82% compared with investment alternatives), Card Factory (Specialty Stores, United Kingdom) shares have much better financial characteristics than comparable stocks. Shares of Card Factory are a good value (attractively priced) with a consolidated Value Rank of 91 (better than 91% of alternatives), are safely financed (Safety Rank of 72, which means low debt burdens), but show below-average growth (Growth Rank of 32). ...read more
RECOMMENDATION: A Combined Rank of 82, is a strong buy recommendation based on Card Factory's financial characteristics. As the company Card Factory's key financial metrics exhibit good value (Obermatt Value Rank of 91) but low growth (Obermatt Growth Rank of 32) while being safely financed (Obermatt Safety Rank of 72), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 91% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 45 |
|
93 |
|
54 |
|
91 |
|
| GROWTH | ||||||||
| GROWTH | 14 |
|
100 |
|
73 |
|
32 |
|
| SAFETY | ||||||||
| SAFETY | 1 |
|
12 |
|
48 |
|
72 |
|
| COMBINED | ||||||||
| COMBINED | 1 |
|
86 |
|
78 |
|
82 |
|
Value Metrics in Detail
ANALYSIS: With an Obermatt Value Rank of 91 (better than 91% compared with alternatives) for 2024, Card Factory shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators, with three out of four indicators above average for Card Factory. Price-to-Profit (also referred to as price to earnings, P/E ratio) is 97 which means that the stock price compared with what market professionals expect for future profits is lower than for 97% of comparable companies, indicating a good value concerning Card Factory's profit levels. The same is valid for the expected Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 65, and for Dividend Yield with a Dividend Yield Rank of 90. But, compared with other companies in the same industry, the stock price is higher than average as regards expected revenues; only 62% of all competitors have an even higher stock price as regards to sales revenues (a Price-to-Sales Rank of 38). Profits, the level of invested capital, and dividend policy suggest that this stock is attractively priced. ...read more
RECOMMENDATION: The overall picture with a consolidated Value Rank of 91, is a buy recommendation based on Card Factory's stock price compared with the company's operational size and dividend yields. Since it is on the expensive side for Price-to-Sales, it may mean that Card Factory has pricing power in its distribution market because it can charge higher prices than its competitors. If this is the case, all four value indicators are positive signals for purchasing Card Factory shares. 9. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more
| VALUE METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| PRICE VS. REVENUES (P/S) | ||||||||
| PRICE VS. REVENUES (P/S) | 75 |
|
76 |
|
30 |
|
38 |
|
| PRICE VS. PROFITS (P/E) | ||||||||
| PRICE VS. PROFITS (P/E) | 21 |
|
97 |
|
87 |
|
97 |
|
| PRICE VS. CAPITAL (Market-to-Book) | ||||||||
| PRICE VS. CAPITAL (Market-to-Book) | 84 |
|
90 |
|
59 |
|
65 |
|
| DIVIDEND YIELD | ||||||||
| DIVIDEND YIELD | 1 |
|
72 |
|
1 |
|
90 |
|
| CONSOLIDATED RANK: VALUE | ||||||||
| CONSOLIDATED RANK: VALUE | 45 |
|
93 |
|
54 |
|
91 |
|
Growth Metrics in Detail
ANALYSIS: With an Obermatt Growth Rank of 32 (better than 32% compared with alternatives), Card Factory shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with three out of four indicators below-average for Card Factory. While Sales Growth ranks at 55, professionals currently expect the company to grow more than 55% of its competitors, while all other growth ranks are below the market median. Profit Growth has a rank of 30, which means that, currently, professionals expect the company to grow its profits less than 70% of its competitors, and Capital Growth has a low rank of 49. Historic stock returns were also below average with a current Stock Returns rank of 27 which means that the stock returns have recently been below 73% of alternative investments. ...read more
RECOMMENDATION: The overall picture with a consolidated Growth Rank of 32, is a hold recommendation for growth and momentum investors. If revenues are expected to increase, but all other growth indicators are negative, the company may be investing in future growth through means not visible in the balance sheet and thus not reflected in capital growth. The fact that Stock Returns have been below market doesn't mean that much, as it may be due to overly optimistic investor behavior in the past, which has been corrected to a more reasonable level recently. If that were the case, a positive Value Rank would be a reason to invest because the company is still expected to grow, while stock prices are now at a more reasonable level. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance isn't stellar here. ...read more
| GROWTH METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| REVENUE GROWTH | ||||||||
| REVENUE GROWTH | 12 |
|
77 |
|
71 |
|
55 |
|
| PROFIT GROWTH | ||||||||
| PROFIT GROWTH | 20 |
|
83 |
|
51 |
|
30 |
|
| CAPITAL GROWTH | ||||||||
| CAPITAL GROWTH | n/a |
|
59 |
|
44 |
|
49 |
|
| STOCK RETURNS | ||||||||
| STOCK RETURNS | 54 |
|
83 |
|
82 |
|
27 |
|
| CONSOLIDATED RANK: GROWTH | ||||||||
| CONSOLIDATED RANK: GROWTH | 14 |
|
100 |
|
73 |
|
32 |
|
Safety Metrics in Detail
ANALYSIS: With an Obermatt Safety Rank of 72 (better than 72% compared with alternatives), the company Card Factory has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of Card Factory is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with two out of three indicators above average for Card Factory. Leverage is at a rank of 70, meaning the company has a below-average debt-to-equity ratio. It has less debt than 70% of its competitors. Liquidity is also good at a rank of 76, meaning the company generates more profit to service its debt than 76% of its competitors. This indicates that the company is on the safer side when it comes to debt service. But Refinancing is lower at a rank of 35, which means that the portion of the debt that is about to be refinanced is above-average. It has more debt in the refinancing stage than 65% of its competitors. ...read more
RECOMMENDATION: With a consolidated Safety Rank of 72 (better than 72% compared with alternatives), Card Factory has a financing structure that is safer than that of its competitors. The refinancing issues could be a short-term problem, especially if the company has reputation issues. Banks and investors don't like to refinance debt if there are clouds on the horizon. For this reason, investors should look at the refinancing environment for Card Factory. Does it look safe that debt that is coming due can be covered with new debt? If that is the case, then the financing situation of the company is on the safer side. If not, it may be better to wait until refinancing has been completed and the Refinancing rank is good again. Investors may have a short-term debt challenge with Card Factory and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more
| SAFETY METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| LEVERAGE | ||||||||
| LEVERAGE | 6 |
|
38 |
|
69 |
|
70 |
|
| REFINANCING | ||||||||
| REFINANCING | 10 |
|
7 |
|
18 |
|
35 |
|
| LIQUIDITY | ||||||||
| LIQUIDITY | 31 |
|
28 |
|
69 |
|
76 |
|
| CONSOLIDATED RANK: SAFETY | ||||||||
| CONSOLIDATED RANK: SAFETY | 1 |
|
12 |
|
48 |
|
72 |
|
Sentiment Metrics in Detail
| SENTIMENT | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| ANALYST OPINIONS | ||||||||
| ANALYST OPINIONS | n/a |
|
68 |
|
79 |
|
new |
|
| OPINIONS CHANGE | ||||||||
| OPINIONS CHANGE | n/a |
|
98 |
|
50 |
|
new |
|
| PRO HOLDINGS | ||||||||
| PRO HOLDINGS | n/a |
|
22 |
|
84 |
|
new |
|
| MARKET PULSE | ||||||||
| MARKET PULSE | n/a |
|
42 |
|
51 |
|
new |
|
| CONSOLIDATED RANK: SENTIMENT | ||||||||
| CONSOLIDATED RANK: SENTIMENT | n/a |
|
73 |
|
82 |
|
new |
|
Free stock analysis by the purely fact based Obermatt Method for Card Factory from November 14, 2024.
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