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Samsonite International SA 01910

Morningstar Rating
HKD 22.85 −0.30 (1.30%)
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Company Report

Pandemic Cost Cuts Lifted Samsonite Margins, but Old Market Forces Will Return

Samsonite's revenue and earnings faced significant challenges due to the impact of the coronavirus pandemic. Despite these pressures, the company took steps to safeguard its business, including drastic cost cuts. Now that travel has returned to prepandemic levels, Samsonite is poised to achieve impressive near-record profit margins in the near term. However, this positive momentum is unlikely to last over the long run.

Price vs Fair Value

01910 is trading at a 697% premium.
Price
HKD 23.15
Fair Value
HKD 54.00
Uncertainty
High
1-Star Price
HKD 46.48
5-Star Price
HKD 71.10
Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

Premium-positioned Tumi will drive faster sales and margin growth for Samsonite.

Bears

The rising popularity of e-commerce lowers the barrier of entry for rival brands, especially those that operate exclusively online.

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Trading Information

Previous Close Price
HKD 23.15
Day Range
HKD 22.8023.10
52-Week Range
HKD 21.2031.60
Bid/Ask
HKD 22.85 / HKD 22.90
Market Cap
HKD 33.39 Bil
Volume/Avg
1.5 Mil / 6.7 Mil

Key Statistics

Price/Earnings (Normalized)
10.38
Price/Sales
1.17
Dividend Yield (Trailing)
3.45%
Dividend Yield (Forward)
3.45%
Total Yield
3.45%

Company Profile

Samsonite is the world’s largest luggage company with a 20% market share in 2023. The company produces and sells travel luggage under various brands targeting the mid-market to high-end consumers. The group’s key brand is Samsonite, whose market presence is well established, followed by Tumi, the high-end brand acquired in 2016, which alongside mass-market brand American Tourister, are the next largest earnings contributors. The majority of its products are manufactured by third parties, but Samsonite does produce its own select proprietary materials.
Sector
Consumer Cyclical
Industry
Footwear & Accessories
Stock Style Box
Small Core
Total Number of Employees
12,100

Competitors

Valuation

Metric
01910
01913
KER
Price/Earnings (Normalized)
10.3824.7813.53
Price/Book Value
2.964.422.70
Price/Sales
1.173.682.10
Price/Cash Flow
6.9313.609.16
Price/Earnings
01910
01913
KER

Financial Strength

Metric
01910
01913
KER
Quick Ratio
0.900.840.68
Current Ratio
1.591.491.38
Interest Coverage
5.4113.1012.44
Quick Ratio
01910
01913
KER

Profitability

Metric
01910
01913
KER
Return on Assets (Normalized)
8.04%9.47%8.33%
Return on Equity (Normalized)
31.61%19.42%20.97%
Return on Invested Capital (Normalized)
13.26%11.74%11.34%
Return on Assets
01910
01913
KER
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