Dillard’s Nearing Attractive Valuation



“Dillard’s has been one of the more under-followed retail stories of the year, and they will more than likely stay under the radar going forward. Even though the stock plummeted following earnings, revenue numbers were fairly respectable (+5.3%). If the company can continue to grow revenue and capitalize other stores’ weaknesses, they will be a nice long-term play, but in the short term, Dillard’s will continue to be a tough play.”



“I am placing an underperform price target between $52-60 for Dillards within the next 10 months as this appears to be 52-week floor, and a key area of resistance. The stock could very well dip lower if the market turns bearish due to rapidly increasing rates, and if CEO William T. Dillard does not make some big changes soon. I am placing my target there as I believe the stock is currently overvalued by about 5%, and then with another decline of approximately -10% on earnings and revenue expected over the next year, you reach the above price target range.”

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s