(PSMT) PriceSmart - Overview
Sector: Consumer Defensive | Industry: Discount Stores | Exchange: NASDAQ (USA) | Market Cap: 4.850m USD | Total Return: 55.5% in 12m
Industry Rotation: +10.2
Avg Turnover: 33.8M
EPS Trend: 64.2%
Qual. Beats: 0
Rev. Trend: 96.1%
Qual. Beats: 2
Warnings
Beneish M-Score -1.48 > -1.5 - likely earnings manipulation
Tailwinds
No distinct edge detected
PriceSmart, Inc. (PSMT) operates U.S.-style membership shopping warehouses across Central America, the Caribbean, and Colombia. The company utilizes a high-volume, low-margin business model, offering a curated mix of private-label goods under the Member’s Selection brand alongside national brands and ancillary services such as optical and pharmacy departments.
As a key player in the Consumer Staples Merchandise Retail sub-industry, PriceSmart leverages membership fees to offset operational costs, a strategy that typically enhances customer loyalty and provides a predictable recurring revenue stream. The company has integrated omnichannel capabilities, including e-commerce and curbside pickup, to compete with local retailers and global big-box competitors in emerging markets.
Investors looking for deeper financial metrics should evaluate the companys performance on ValueRay. PriceSmart’s focus on middle-class demographics in developing economies provides unique exposure to regional consumption growth outside the domestic United States market.
- Membership renewal rates drive recurring high-margin income and stock valuation
- Foreign exchange volatility in Colombia and Central America impacts consolidated earnings
- Expansion of Members Selection private label brand enhances gross profit margins
- Middle-class consumption trends in emerging markets dictate net sales growth
- Logistics and supply chain efficiency determines operating costs in island territories
| Net Income: 152.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA -0.28 > 1.0 |
| NWC/Revenue: 4.28% < 20% (prev 3.41%; Δ 0.87% < -1%) |
| CFO/TA 0.11 > 3% & CFO 268.2m > Net Income 152.9m |
| Net Debt (145.3m) to EBITDA (331.5m): 0.44 < 3 |
| Current Ratio: 1.29 > 1.5 & < 3 |
| Outstanding Shares: last quarter (30.2m) vs 12m ago 0.59% < -2% |
| Gross Margin: 17.57% > 18% (prev 0.17%; Δ 1.74k% > 0.5%) |
| Asset Turnover: 244.0% > 50% (prev 242.6%; Δ 1.40% > 0%) |
| Interest Coverage Ratio: 16.21 > 6 (EBITDA TTM 331.5m / Interest Expense TTM 14.7m) |
| A: 0.10 (Total Current Assets 1.04b - Total Current Liabilities 805.2m) / Total Assets 2.44b |
| B: 0.43 (Retained Earnings 1.05b / Total Assets 2.44b) |
| C: 0.10 (EBIT TTM 237.7m / Avg Total Assets 2.26b) |
| D: 0.84 (Book Value of Equity 921.9m / Total Liabilities 1.10b) |
| Altman-Z'' Score: 3.62 = AA |
| DSRI: 2.86 (Receivables 63.6m/20.4m, Revenue 5.53b/5.08b) |
| GMI: 0.98 (GM 17.57% / 17.22%) |
| AQI: 1.03 (AQ_t 0.08 / AQ_t-1 0.08) |
| SGI: 1.09 (Revenue 5.53b / 5.08b) |
| TATA: -0.05 (NI 152.9m - CFO 268.2m) / TA 2.44b) |
| Beneish M-Score: -1.48 (Cap -4..+1) = D |
Over the past week, the price has changed by +0.63%, over one month by +2.49%, over three months by +4.38% and over the past year by +55.50%.
- StrongBuy: 2
- Buy: 0
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 153.3 | -3.7% |
P/E Forward = 27.4725
P/S = 0.8776
P/B = 3.6668
P/EG = 1.8308
Revenue TTM = 5.53b USD
EBIT TTM = 237.7m USD
EBITDA TTM = 331.5m USD
Long Term Debt = 129.1m USD (from longTermDebt, last quarter)
Short Term Debt = 46.1m USD (from shortTermDebt, last quarter)
Debt = 310.1m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 145.3m USD (from netDebt column, last quarter)
Enterprise Value = 4.85b USD (4.85b + Debt 310.1m - CCE 314.5m)
Interest Coverage Ratio = 16.21 (Ebit TTM 237.7m / Interest Expense TTM 14.7m)
EV/FCF = 57.32x (Enterprise Value 4.85b / FCF TTM 84.5m)
FCF Yield = 1.74% (FCF TTM 84.5m / Enterprise Value 4.85b)
FCF Margin = 1.53% (FCF TTM 84.5m / Revenue TTM 5.53b)
Net Margin = 2.77% (Net Income TTM 152.9m / Revenue TTM 5.53b)
Gross Margin = 17.57% ((Revenue TTM 5.53b - Cost of Revenue TTM 4.56b) / Revenue TTM)
Gross Margin QoQ = 17.72% (prev 17.67%)
Tobins Q-Ratio = 1.99 (Enterprise Value 4.85b / Total Assets 2.44b)
Interest Expense / Debt = 1.28% (Interest Expense 3.96m / Debt 310.1m)
Taxrate = 26.39% (17.6m / 66.7m)
NOPAT = 175.0m (EBIT 237.7m * (1 - 26.39%))
Current Ratio = 1.29 (Total Current Assets 1.04b / Total Current Liabilities 805.2m)
Debt / Equity = 0.23 (Debt 310.1m / totalStockholderEquity, last quarter 1.33b)
Debt / EBITDA = 0.44 (Net Debt 145.3m / EBITDA 331.5m)
Debt / FCF = 1.72 (Net Debt 145.3m / FCF TTM 84.5m)
Total Stockholder Equity = 1.27b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.75% (Net Income 152.9m / Total Assets 2.44b)
RoE = 12.00% (Net Income TTM 152.9m / Total Stockholder Equity 1.27b)
RoCE = 16.93% (EBIT 237.7m / Capital Employed (Equity 1.27b + L.T.Debt 129.1m))
RoIC = 12.12% (NOPAT 175.0m / Invested Capital 1.44b)
WACC = 7.41% (E(4.85b)/V(5.16b) * Re(7.82%) + D(310.1m)/V(5.16b) * Rd(1.28%) * (1-Tc(0.26)))
Discount Rate = 7.82% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.92%
Shares (quarterly) Correlation: 60.0 | Cagr: -0.04%
[DCF] Terminal Value 81.40% ; FCFF base≈82.1m ; Y1≈86.6m ; Y5≈102.1m
[DCF] Fair Price = 61.69 (EV 2.05b - Net Debt 145.3m = Equity 1.91b / Shares 30.9m; r=7.41% [WACC]; 5y FCF grow 5.94% → 3.0% )
EPS Correlation: 64.22 | EPS CAGR: 29.19% | SUE: 0.62 | # QB: 0
Revenue Correlation: 96.10 | Revenue CAGR: 10.43% | SUE: 1.67 | # QB: 2
EPS current Quarter (2026-05-31): EPS=1.19 | Chg30d=-3.64% | Revisions=-20% | Analysts=1
EPS current Year (2026-08-31): EPS=5.45 | Chg30d=+1.24% | Revisions=+33% | GrowthEPS=+13.0% | GrowthRev=+9.9%
EPS next Year (2027-08-31): EPS=7.05 | Chg30d=+5.38% | Revisions=N/A | GrowthEPS=+29.4% | GrowthRev=+11.0%
[Analyst] Revisions Ratio: +33%