Roots: Top 10 Undervalued Retail - Cyclical Industry Stocks (ROOT)
Roots is now ranked among the top 10 undervalued stocks in the Retail - Cyclical industry on the Toronto Stock Exchange or TSX Venture Exchange.
- A stock is considered undervalued if it trades at a discount to its valuation – a calculation used to determine the intrinsic (true) worth of a company
- Valuation methodology provided by Stockcalc (see below)
Retail - Cyclical: Companies engaged in the retail sale of clothing, shoes, and accessories.
Stocks in this category are held primarily for capital appreciation.
| Symbol | Name | Close Price ($) | Valuation ($) | Difference | Average Vol (30D) | Market Cap ($M) | Yield (%) | P/E Ratio |
|---|---|---|---|---|---|---|---|---|
| RUM | Rocky Mountain Liquor | 0.08 | 0.13 | 0.05 (58.8%) | 7238 | 3.8 | 0.0 | 7.9 |
| IDG | Indigo Books & Music | 2.07 | 3.27 | 1.20 (58.1%) | 26035 | 57.6 | 0.0 | 0.0 |
| LNF | Leon's Furniture | 17.57 | 20.48 | 2.91 (16.5%) | 12707 | 1206.1 | 3.6 | 8.2 |
| RET-A | Reitmans (Canada) | 2.25 | 2.62 | 0.37 (16.4%) | 26222 | 111.5 | 0.0 | 2.1 |
| ROOT | Roots | 2.74 | 3.00 | 0.26 (9.5%) | 7985 | 111.8 | 0.0 | 68.5 |
| AWI | Advent-AWI Hldgs | 0.81 | 0.87 | 0.06 (7.4%) | 190 | 9.7 | 0.0 | 34.3 |
All data provided as of October 25, 2023.
The list is sorted by stocks with the greatest percentage difference between valuation and price.
Roots
Roots Corp provides a portfolio of apparel, leather goods, accessories, and footwear for men, women, and children under the Roots brand. Its merchandise includes genuine leather, such as jackets, bags, and luggage; kids & baby clothing; and leather, linens, towels, and accessories. The company operates through two segments: Direct-To-Consumer, which accounts for the majority of revenue, and Partners & Other.
Roots is listed under ROOT on the Toronto Stock Exchange.
Stockcalc
StockCalc is a Canadian fintech company specializing in fundamental valuations for North American stocks and ETFs.
Stockcalc valuations (https://www.stockcalc.com/Resources) can help determine if a stock is undervalued. Stockcalc’s Weighted Average Valuation (WAV) is based on a proprietary calculation using model and analyst inputs, including:
- Discounted Cash Flow (DCF)
- Price & Other Comparables
- Multiples
- Adjusted Book Value (ABV)
- Analyst Consensus
Artificial Intelligence at Report on Business
Report on Business scans market data using algorithms to process large quantities of information. The results are specialized reports produced through automation. Ongoing ROB project experiments that leverage artificial intelligence include valuation screens across 14 categories and end-of-day Closing Summary reports for all North American securities.
