Switch to:
Express, Inc. (NYSE:EXPR)
Piotroski F-Score
6 (As of Today)

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Express, Inc. has an F-score of 8. It is a good or high score, which usually indicates a very healthy situation.

EXPR' s Piotroski F-Score Range Over the Past 10 Years
Min: 4   Max: 8
Current: 6

4
8

During the past 9 years, the highest Piotroski F-Score of Express, Inc. was 8. The lowest was 4. And the median was 6.


Definition

How is the Piotroski F-Score calculated?

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

This Year (Jul16) TTM:Last Year (Jul15) TTM:
Net Income was 26.307 + 56.116 + 12.882 + 10.144 = $105 Mil.
Cash Flow from Operations was -7.85 + 173.97 + -15.661 + 61.81 = $212 Mil.
Revenue was 546.616 + 765.553 + 502.909 + 504.767 = $2,320 Mil.
Gross Profit was 191.089 + 260.554 + 167.748 + 150.919 = $770 Mil.
Average Total Assets from the begining of this year (Jul15)
to the end of this year (Jul16) was
(1147.276 + 1196.945 + 1178.644 + 1127.7 + 1142.546) / 5 = $1158.6222 Mil.
Total Assets at the begining of this year (Jul15) was $1,147 Mil.
Long-Term Debt was $0 Mil.
Total Current Assets was $450 Mil.
Total Current Liabilities was $352 Mil.
Net Income was 14.585 + 41.79 + 13.062 + 21.028 = $90 Mil.

Revenue was 497.608 + 725.801 + 502.378 + 535.582 = $2,261 Mil.
Gross Profit was 157.558 + 229.998 + 166.444 + 177.19 = $731 Mil.
Average Total Assets from the begining of last year (Jul14)
to the end of last year (Jul15) was
(1198.922 + 1278.07 + 1278.15 + 1082.748 + 1147.276) / 5 = $1197.0332 Mil.
Total Assets at the begining of last year (Jul14) was $1,199 Mil.
Long-Term Debt was $0 Mil.
Total Current Assets was $507 Mil.
Total Current Liabilities was $312 Mil.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Express, Inc.'s current net income (TTM) was 105. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Express, Inc.'s current cash flow from operations (TTM) was 212. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year’s return on assets (1) to last year’s return on assets.

Score 1 if it’s higher, 0 if it’s lower.

ROA (This Year)=Net Income (TTM)/Total Assets at the Beginning of This Year (Jul15)
=105.449/1147.276
=0.0919125

ROA (Last Year)=Net Income (TTM)/Total Assets at the Beginning of Last Year (Jul14)
=90.465/1198.922
=0.07545528

Express, Inc.'s return on assets of this year was 0.0919125. Express, Inc.'s return on assets of last year was 0.07545528. ==> This year is higher. ==> Score 1.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Express, Inc.'s current net income (TTM) was 105. Express, Inc.'s current cash flow from operations (TTM) was 212. ==> 212 > 105 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year’s gearing (long-term debt divided by average total assets) to last year’s gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Jul16)=Long-Term Debt/Average Total Assets from Jul15 to Jul16
=0/1158.6222
=0

Gearing (Last Year: Jul15)=Long-Term Debt/Average Total Assets from Jul14 to Jul15
=0/1197.0332
=0

Express, Inc.'s gearing of this year was 0. Express, Inc.'s gearing of last year was 0. ==> This year is lower or equal to last year. ==> Score 1.

Question 6. Change in Working Capital (Liquidity)

Compare this year’s current ratio (current assets divided by current liabilities) to last year’s current ratio.

Score 1 if this year'’s current ratio is higher, 0 if it’s lower

Current Ratio (This Year: Jul16)=Total Current Assets/Total Current Liabilities
=449.788/351.619
=1.2791914

Current Ratio (Last Year: Jul15)=Total Current Assets/Total Current Liabilities
=507.218/311.825
=1.62661108

Express, Inc.'s current ratio of this year was 1.2791914. Express, Inc.'s current ratio of last year was 1.62661108. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Express, Inc.'s number of shares in issue this year was 78.9. Express, Inc.'s number of shares in issue last year was 85.2. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year’s gross margin (gross profit divided by sales) to last year’s.

Score 1 if this year’s gross margin is higher, 0 if it’s lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=770.31/2319.845
=0.33205236

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=731.19/2261.369
=0.32333953

Express, Inc.'s gross margin of this year was 0.33205236. Express, Inc.'s gross margin of last year was 0.32333953. ==> This year's gross margin is higher. ==> Score 1.

Question 9. Change in asset turnover

Compare this year’s asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year’s asset turnover ratio.

Score 1 if this year’s asset turnover ratio is higher, 0 if it’s lower

Asset Turnover (This Year)=Revenue (TTM)/Total Assets at the Beginning of This Year (Jul15)
=2319.845/1147.276
=2.02204613

Asset Turnover (Last Year)=Revenue (TTM)/Total Assets at the Beginning of Last Year (Jul14)
=2261.369/1198.922
=1.88616857

Express, Inc.'s asset turnover of this year was 2.02204613. Express, Inc.'s asset turnover of last year was 1.88616857. ==> This year's asset turnover is higher. ==> Score 1.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+1+1+1+0+1+1+1
=8

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Express, Inc. has an F-score of 8. It is a good or high score, which usually indicates a very healthy situation.


Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Related Terms

Net Income, Cash Flow from Operations, Revenue, Gross Profit, Total Assets, Long-Term Debt, Total Current Assets, Total Current Liabilities


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Express, Inc. Annual Data

Jan11Jan12Jan13Jan14Jan15Jan16
Question 1 111111
Question 2 111111
Question 3 110001
Question 4 111111
Question 5 111111
Question 6 001110
Question 7 001110
Question 8 100001
Question 9 110001
F-score 766667

Express, Inc. Quarterly Data

Jul14Oct14Jan15Apr15Jul15Oct15Jan16Apr16Jul16Oct16
Question 1 1111111111
Question 2 1111111111
Question 3 0000111110
Question 4 1111111111
Question 5 1111111111
Question 6 1110000000
Question 7 1010000111
Question 8 0000111110
Question 9 0000001111
F-score 6564667886
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
FEEDBACK