CATO (The Cato) Quality Rank


CATO The Cato Corp CATO
53 GF Score
Price $3.47
GF Value $4.18
Valuation Modestly Undervalued
! 2 Warning Signs
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What is The Cato Quality Rank?

The Quality Rank measures the business quality of a company relative to other companies. It is ranked based on the strength of the balance sheet, as well as the profitability and growth of the business. The ranked companies are split in equal numbers and then ranked from 1 to 10, with 10 being the highest.

The rank of balance sheet (30%)

The rank of balance sheet is done through the ranking of:
  • Interest coverage
  • Zscore
  • Debt to revenue
  • Equity to asset
  • Cash to debt

The rank of Profitability (70%)

The ranking of Profitability is done by ranking:
  • Operating margin mean rank (10-year mean average profit margine)
  • Operating margin growth rank
  • Fscore
  • Predictability rank
  • Revenue growth rank (5 year), when the growth is higher than 25%, set it as 25%
  • Num of year profit (number of years that is profitable within the last 10 years)
  • ROIC median (10-year median of ROIC)

The Cato Quality Rank Related Terms

CATO
53GF Score
The Cato Corp CATO
Quality Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Is The Cato (CATO) Overvalued in 2026?

Based on GuruFocus' analysis, The Cato stock appears to be undervalued. The current stock price of $3.47 is trading 17% below its estimated GF Value™ of $4.18. GuruFocus considers The Cato to be Modestly Undervalued.

Key valuation signals for CATO:

  • Quality Rank:
  • GF Value™: $4.18 vs. price of $3.47 (17% below fair value)
  • GF Score™: 53/100 with 2 warning signs

No single metric tells the full story. See the CATO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

The Cato Business Description

Other Exchanges CO2A:Germany
Address 8100 Denmark Road, Charlotte, NC, USA, 28273-5975
The Cato Corp seeks to offer quality fashion apparel and accessories at low prices every day, in junior/missy and plus sizes. The Cato concept's stores and e-commerce website feature a broad assortment of apparel and accessories, including dressy, career, and casual sportswear, dresses, coats, shoes, lingerie, costume jewelry, and handbags. Management believes the Company's success is dependent upon its ability to differentiate its stores from department stores, mass merchandise discount stores, and competing specialty stores. The key elements of the Company's business are: Merchandise Assortment, Value Pricing, Strip Shopping Center Location, Customer Service, Credit and Layaway Programs.
53GF Score

Get the complete analysis for CATO

Quality Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$3.47
Price
$4.18
GF Value