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Dillard's is Among the Companies in the Department Stores Industry With the Lowest EV/EBITDA Ratio (DDS, KSS, M, JWN, JCP)

By Nick Russo

Below are the three companies in the Department Stores industry with the lowest enterprise value to EBITDA (EV/EBITDA) ratios. EV/EBITDA is an important metric used in valuing comparable companies. It is capital structure neutral and generally the lower the ratio, the more undervalued the company is believed to be.

Dillard's ranks lowest with a an EV/EBITDA ratio of 4.16. Kohl's is next with a an EV/EBITDA ratio of 4.77. Macy's ranks third lowest with a an EV/EBITDA ratio of 5.23.

Nordstrom follows with a an EV/EBITDA ratio of 5.39, and JC Penney rounds out the bottom five with a an EV/EBITDA ratio of 14.00.

SmarTrend recommended that its subscribers protect gains by selling shares of Dillard's on April 5th, 2016 by issuing a Downtrend alert when the shares were trading at $80.58. Since that call, shares of Dillard's have fallen 23.1%. We are now looking for when a new Uptrend will commence and will alert SmarTrend subscribers in real time.

Keywords: lowest ev/ebitda ratio dillard's kohl's macy's Nordstrom JC Penney

Ticker(s): DDS KSS M JWN JCP