Is Childrens Place Stock a Good Investment?
Childrens Place Investment Advice | PLCE |
- Examine Childrens Place's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Childrens Place's leadership team and their track record. Good management can help Childrens Place navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Specialty Retail space and any emerging trends that could impact Childrens Place's business and its evolving consumer preferences.
- Compare Childrens Place's performance and market position to its competitors. Analyze how Childrens Place is positioned in terms of product offerings, innovation, and market share.
- Check if Childrens Place pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Childrens Place's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Childrens Place stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Childrens Place is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Moderately volatile | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Almost neglects market trends | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Hold | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Childrens Place Stock
Researching Childrens Place's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 85.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.79. Childrens Place recorded a loss per share of 14.21. The entity last dividend was issued on the 13th of December 2019.
To determine if Childrens Place is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Childrens Place's research are outlined below:
| Childrens Place generated a negative expected return over the last 90 days | |
| Childrens Place has high historical volatility and very poor performance | |
| Childrens Place currently holds 463.84 M in liabilities with Debt to Equity (D/E) ratio of 2.85, implying the company greatly relies on financing operations through barrowing. Childrens Place has a current ratio of 0.92, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Childrens Place's use of debt, we should always consider it together with its cash and equity. | |
| The entity reported the previous year's revenue of 1.6 B. Net Loss for the year was (154.54 M) with profit before overhead, payroll, taxes, and interest of 441.79 M. | |
| Over 85.0% of Childrens Place shares are owned by institutional investors | |
| Latest headline from finance.yahoo.com: The past three years for Childrens Place investors has not been profitable |
Childrens Place Quarterly Liabilities And Stockholders Equity |
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Childrens Place uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Childrens Place. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Childrens Place's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 21st of March 2024 Upcoming Quarterly Report | View | |
| 22nd of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 21st of March 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Childrens Place's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Childrens Place's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2000-08-11 | 2000-07-31 | 0.03 | 0.06 | 0.03 | 100 | ||
1999-08-12 | 1999-07-31 | 0.02 | 0.05 | 0.03 | 150 | ||
1998-08-18 | 1998-07-31 | -0.05 | -0.02 | 0.03 | 60 | ||
2010-08-19 | 2010-07-31 | -0.34 | -0.3 | 0.04 | 11 | ||
2003-05-15 | 2003-04-30 | 0.25 | 0.21 | -0.04 | 16 | ||
1999-05-13 | 1999-04-30 | 0.24 | 0.28 | 0.04 | 16 | ||
1998-05-21 | 1998-04-30 | 0.06 | 0.11 | 0.05 | 83 | ||
2003-02-27 | 2003-01-31 | 0.08 | 0.14 | 0.06 | 75 |
Know Childrens Place's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Childrens Place is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Childrens Place backward and forwards among themselves. Childrens Place's institutional investor refers to the entity that pools money to purchase Childrens Place's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Caption Management, Llc | 2024-12-31 | 69.9 K | Charles Schwab Investment Management Inc | 2024-12-31 | 68.1 K | Amvescap Plc. | 2024-12-31 | 62.8 K | Millennium Management Llc | 2024-12-31 | 60.6 K | State Street Corp | 2024-12-31 | 50.1 K | Northern Trust Corp | 2024-12-31 | 45.1 K | Jane Street Group Llc | 2024-12-31 | 44.8 K | 683 Capital Management Llc | 2024-12-31 | 43.9 K | Two Sigma Advisers, Llc | 2024-12-31 | 40.9 K | Mithaq Capital Spc | 2024-12-31 | 7 M | Quinn Opportunity Partners Llc | 2024-12-31 | 638 K |
Childrens Place's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 114.43 M.Market Cap |
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Childrens Place's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.06 | 0.10 | |
| Return On Capital Employed | 0.12 | 0.19 | |
| Return On Assets | 0.06 | 0.10 | |
| Return On Equity | 0.10 | 0.09 |
Determining Childrens Place's profitability involves analyzing its financial statements and using various financial metrics to determine if Childrens Place is a good buy. For example, gross profit margin measures Childrens Place's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Childrens Place's profitability and make more informed investment decisions.
Childrens Place's Earnings Breakdown by Geography
Please note, the presentation of Childrens Place's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Childrens Place's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Childrens Place's management manipulating its earnings.
Evaluate Childrens Place's management efficiency
Childrens Place has return on total asset (ROA) of (0.0107) % which means that it has lost $0.0107 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (5.2167) %, meaning that it created substantial loss on money invested by shareholders. Childrens Place's management efficiency ratios could be used to measure how well Childrens Place manages its routine affairs as well as how well it operates its assets and liabilities. At present, Childrens Place's Return On Capital Employed is projected to slightly decrease based on the last few years of reporting. The current year's Return On Assets is expected to grow to 0.1, whereas Return On Equity is forecasted to decline to 0.09. At present, Childrens Place's Other Current Assets are projected to increase significantly based on the last few years of reporting. The current year's Return On Tangible Assets is expected to grow to 0.1, whereas Non Current Assets Total are forecasted to decline to about 333.2 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 27.17 | 28.53 | |
| Tangible Book Value Per Share | 27.17 | 28.53 | |
| Enterprise Value Over EBITDA | 7.95 | 8.35 | |
| Price Book Value Ratio | 2.21 | 2.81 | |
| Enterprise Value Multiple | 7.95 | 8.35 | |
| Price Fair Value | 2.21 | 2.81 | |
| Enterprise Value | 143.8 M | 136.6 M |
Childrens Place showcases strong leadership that adapts to market changes and drives innovation. Our analysis explores how this adaptability affects the stock's investment appeal.
Beta 2.351 |
Basic technical analysis of Childrens Stock
As of the 26th of February, Childrens Place shows the Risk Adjusted Performance of (0.07), standard deviation of 5.9, and Mean Deviation of 3.52. In respect to fundamental indicators, the technical analysis model gives you tools to check existing technical drivers of Childrens Place, as well as the relationship between them. Please confirm Childrens Place standard deviation, treynor ratio, as well as the relationship between the Treynor Ratio and potential upside to decide if Childrens Place is priced correctly, providing market reflects its regular price of 8.95 per share. Given that Childrens Place has information ratio of (0.10), we suggest you to validate Childrens Place's prevailing market performance to make sure the company can sustain itself at a future point.Childrens Place's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Childrens Place insiders, such as employees or executives, is commonly permitted as long as it does not rely on Childrens Place's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Childrens Place insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Childrens Place's Outstanding Corporate Bonds
Childrens Place issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Childrens Place uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Childrens bonds can be classified according to their maturity, which is the date when Childrens Place has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| MPLX LP 4125 Corp BondUS55336VAK61 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View |
Understand Childrens Place's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Childrens Place's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (1.18) | |||
| Mean Deviation | 3.52 | |||
| Coefficient Of Variation | (978.24) | |||
| Standard Deviation | 5.9 | |||
| Variance | 34.84 | |||
| Information Ratio | (0.10) | |||
| Jensen Alpha | (0.62) | |||
| Total Risk Alpha | (0.65) | |||
| Treynor Ratio | (1.19) | |||
| Maximum Drawdown | 34.43 | |||
| Value At Risk | (12.03) | |||
| Potential Upside | 5.96 | |||
| Skewness | (0.27) | |||
| Kurtosis | 6.35 |
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (1.18) | |||
| Mean Deviation | 3.52 | |||
| Coefficient Of Variation | (978.24) | |||
| Standard Deviation | 5.9 | |||
| Variance | 34.84 | |||
| Information Ratio | (0.10) | |||
| Jensen Alpha | (0.62) | |||
| Total Risk Alpha | (0.65) | |||
| Treynor Ratio | (1.19) | |||
| Maximum Drawdown | 34.43 | |||
| Value At Risk | (12.03) | |||
| Potential Upside | 5.96 | |||
| Skewness | (0.27) | |||
| Kurtosis | 6.35 |
Consider Childrens Place's intraday indicators
Childrens Place intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Childrens Place stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Childrens Place Corporate Filings
| 25th of February 2025 Other Reports | ViewVerify | |
F3 | 20th of February 2025 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
8K | 18th of February 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 7th of February 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
Childrens Stock media impact
Far too much social signal, news, headlines, and media speculation about Childrens Place that are available to investors today. That information is available publicly through Childrens media outlets and privately through word of mouth or via Childrens internal channels. However, regardless of the origin, that massive amount of Childrens data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Childrens Place news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Childrens Place relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Childrens Place's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Childrens Place alpha.
Childrens Place Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Childrens Place can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Childrens Place Corporate Management
| Philip Ende | GVP Estate | Profile | |
| Mary Sheridan | Chief Officer | Profile | |
| Jared Shure | General Officer | Profile | |
| Rajat Jain | Logistics Technology | Profile |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Childrens Place. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators. For information on how to trade Childrens Stock refer to our How to Trade Childrens Stock guide.You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Is Specialty Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Childrens Place. If investors know Childrens will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Childrens Place listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.48) | Earnings Share (14.21) | Revenue Per Share | Quarterly Revenue Growth (0.19) | Return On Assets |
The market value of Childrens Place is measured differently than its book value, which is the value of Childrens that is recorded on the company's balance sheet. Investors also form their own opinion of Childrens Place's value that differs from its market value or its book value, called intrinsic value, which is Childrens Place's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Childrens Place's market value can be influenced by many factors that don't directly affect Childrens Place's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Childrens Place's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Childrens Place is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Childrens Place's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.