One-glance verdict
Undervalued
$87.85 our estimate vs market $33.37
Wall Street consensus: $47.50 (-45.9% lower than our fair-value estimate)
62% below our estimate, below the bear case
Fundamentals snapshot
Movado Group, Inc.
MOV · NYQ · Consumer Cyclical · Luxury Goods
Current price
$33.37
52-week range
$17.24 - $40.50
Market cap
$744.56M
Balance sheet
Healthy
58.83x Strong cushion
Net cash $143.99M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Revenue grew 2.8% last year.
- Reward Returns 8.4% on equity, ahead of 40% of its peers.
- Risk Stock trades 10.5% above its 5-year average P/E.
- Risk Operating margin compressed from 15.5% to 8.8% over 3 years.
What this company does
Movado Group, Inc.
Movado Group is a watch company that sells its own brands, like Movado and MVMT, but a large part of its business comes from licensing (paying for the right to use a popular name) fashion brands like Coach, Tommy Hilfiger, and HUGO BOSS for its watch designs. The company sells these watches through department stores, jewelry shops, and its own websites. Because watches are often a non-essential purchase, Movado's sales can be sensitive to the overall health of the economy and how much extra money people have to spend on fashion accessories.
How the company got here
Movado Group's story begins in Switzerland in 1881 with a watchmaker named Achilles Ditesheim. The company we know today was shaped by Gedalio Grinberg, who founded the North American Watch Corporation and later purchased the Movado brand in 1983, revitalizing it. A key moment was the focus on the iconic "Museum Watch," known for its simple, modern design with a single dot at the 12 o'clock position. Over the years, the company grew by acquiring other watch brands like Ebel and Concord and securing licenses to produce watches for fashion houses. More recently, it purchased younger, digitally-focused brands MVMT and Olivia Burton to connect with a new generation of customers.
What it actually does
Movado Group is in the business of designing, making, and selling watches and, to a smaller extent, jewelry. You would recognize their products in department stores, jewelry chains, and their own outlet stores. The company manages a collection of different watch brands, some of which it owns outright, like the flagship Movado, and others it licenses (gets permission to use the name) from famous fashion brands like Coach and Tommy Hilfiger. This means they handle everything from coming up with new watch styles to marketing them and getting them into the hands of customers worldwide.
Watch and Accessory Brands
This is the company's largest and most important business segment, making up the vast majority of its sales. It's where the company designs, produces, and distributes watches and accessories for all its brands, both the ones it owns (like Movado, MVMT, and Ebel) and the ones it licenses (like Coach, Tommy Hilfiger, and Hugo Boss). The customers for this segment are wholesale partners, which means other businesses like department stores, jewelry store chains, and online retailers who buy the watches in bulk to sell to everyday shoppers. This part of the company also includes after-sales services, like repairs.
Company Stores
This is the smaller part of Movado's business, which consists of its own physical retail stores. These are primarily outlet stores located in outlet malls across the United States and Canada. Here, the company sells its watches directly to shoppers, which is different from the wholesale model of its main segment. These stores are an effective way for the company to sell products that are being discontinued or have minor imperfections, allowing them to clear out older inventory.
What management is betting on now
The company's leadership is focused on a few key areas to drive growth. A major priority is strengthening its digital presence and connecting directly with consumers online, which is especially important for its newer, social-media-savvy brands like MVMT. They are also concentrating on maximizing the potential of their diverse portfolio of brands and finding growth opportunities in different regions around the world. Finally, management emphasizes driving innovation in their products and marketing to keep their brands fresh and appealing to customers.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q3
$-7.17M
FY2025 Q4
$37.52M
FY2026 Q1
$-8.75M
FY2026 Q2
$-5.09M
FY2026 Q3
$11.60M
FY2026 Q4
$55.66M
FY2027 Q1
$5.80M
FY2027 Q2
$-1.61M
Revenue
$169.75M
Net income
$12.30M
Diluted EPS
0.53
Operating cash flow
$-417.00K
Free cash flow
$-1.61M
Fetching…
Sources
Revenue
$142.40M
Net income
$6.93M
Diluted EPS
0.30
Operating cash flow
$6.96M
Free cash flow
$5.80M
Fetching…
Sources
Revenue
$191.58M
Net income
$12.56M
Diluted EPS
0.56
Operating cash flow
$56.66M
Free cash flow
$55.66M
Fetching…
Sources
Revenue
$186.13M
Net income
$9.58M
Diluted EPS
0.42
Operating cash flow
$12.28M
Free cash flow
$11.60M
Fetching…
Sources
Revenue
$161.83M
Net income
$2.99M
Diluted EPS
0.13
Operating cash flow
$-3.80M
Free cash flow
$-5.09M
Fetching…
Sources
Revenue
$131.77M
Net income
$1.42M
Diluted EPS
0.06
Operating cash flow
$-7.21M
Free cash flow
$-8.75M
Fetching…
Sources
Revenue
$181.47M
Net income
$8.05M
Diluted EPS
0.36
Operating cash flow
$39.12M
Free cash flow
$37.52M
Fetching…
Sources
Revenue
$182.73M
Net income
$5.05M
Diluted EPS
0.22
Operating cash flow
$-4.72M
Free cash flow
$-7.17M
Fetching…
Sources
Is it cheap or expensive?
Fair value $87.85 vs current price $33.37
Wall Street consensus is the average analyst price target: $47.50 (-45.9% lower than our fair-value estimate).
Our most-likely fair value is $87.85 a share — about 163.3% above today's price of $33.37, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Healthy
Net cash $144.0M - more cash than debt. Interest coverage 58.8x.
Net debt
$-143.99M
Interest coverage
58.83x
Movado Group, Inc.'s profit covers its interest bill about 58.8 times over. which is stronger than every peer shown here and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
MOV
BASELINE
Movado Group, Inc.
Total debt $68.11M Interest coverage 58.83x This is the baseline the peer rows are being compared against.
Total debt $341.94M Interest coverage 1.14x -98% vs MOV Carries about 51.6x less debt cushion than MOV.
Total debt $1.22B Interest coverage 38.17x -35% vs MOV Carries about 1.5x less debt cushion than MOV.
Total debt $3.96B Interest coverage 34.68x -41% vs MOV Carries about 1.7x less debt cushion than MOV.
Total debt $463.31M Interest coverage -0.86x -100% vs MOV This peer has almost no interest-payment cushion compared with MOV.
Total debt $41.92M Interest coverage -2.36x -100% vs MOV This peer has almost no interest-payment cushion compared with MOV.
What you should know
The case for and against MOV
3 Rewards
2 Risks
Rewards
-
Revenue grew 2.8% last year.
-
Returns 8.4% on equity, ahead of 40% of its peers.
-
Free cash flow was positive in 9/10 years.
Risks
-
Stock trades 10.5% above its 5-year average P/E.
-
Operating margin compressed from 15.5% to 8.8% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
18.44x
Forward P/E
—
P/B
1.47x
P/S
1.08x
EV/EBITDA
10.66x
PEG ratio
0.84x
Profitability
How much profit each dollar creates
Gross margin
56.1%
Operating margin
8.8%
Net margin
6.0%
ROE
8.4%
ROA
4.0%
Health
Liquidity and balance-sheet strength
Debt / equity
0.13x
Current ratio
4.26x
Quick ratio
2.52x
Total debt
$68.11M
Total cash
$212.10M
Growth
How the business has been compounding
Revenue TTM
$689.87M
Revenue 5Y CAGR
-2.2%
EPS TTM
1.81
EPS 5Y CAGR
-34.3%
Cash flow
How much cash the business throws off
Operating CF TTM
$75.48M
Free CF TTM
$53.41M
FCF margin
7.7%
Dividend
Shareholder payout
Yield
4.9%
Payout ratio
80.1%
Last ex-div date
2026-09-08