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Industria de Diseño Textil, S.A.

BME: ITX.MC

Stock price

55.86 EUR

(+79.33%) 5 years

Apparel - RetailInvestable Universe

Financial Performance

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5Y price score: 111

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The price score is a basic measure of the stock's performance against the S&P 500 Index over a five-year period.

A score of 100 indicates that the stock did as well as the S&P 500 Index.

A score below 100 means the stock underperformed the index, while a score above 100 means it outperformed the S&P 500.

10Y return: 94.6%

DATE RANGE:

%

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  • Earnings per share

  • Free cash flow per share

  • Stock price

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46.0

52-week range

59.4

55.86

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Required return / cost of capital
%
FCFF terminal growth rate
%

Your fair value & Margin of safety

To calculate fair value based on cost of capital and terminal growth assumptions above, please select free cash flow forecast.

Forecast:

Valuation

Free Cash Flow Yield

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FCF Yield TTM = Trailing Twelve Months free cash flow per share / current market price per shareLearn more

-

Dividend Yield TTM

3.1 %

Market cap

174,004

Price / Earnings TTM

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P/E TTM = current market price per share / Trailing Twelve Months diluted earnings per shareLearn more

27.2

Price / Book TTM

9.8

PEG TTM

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Price/Earnings-to-Growth ratio = P/E TTM divided by most recent annual diluted earnings per share growth rateLearn more

4.3

Earnings growth and return

LTM

5YR

10YR

Total return (price & dividends)

19.3 %

96.4 %

94.6 %

Free cash flow per share growth

-

175.8 %

123.4 %

Earnings per share growth

6.3 %

455.6 %

117.4 %

Founded: 1,985

Employees: 67,195

Business Summary:Industria de Diseño Textil, S.A. (ITX) is a prominent entity primarily focused on the global retail and online sale of fashion apparel, footwear, accessories, and home textile products, which it distributes through a diverse array of retail concepts. The company markets its extensive range of offerings under well-known brands such as Zara, Pull & Bear, Massimo Dutti, Bershka, Stradivarius, Oysho, and Zara Home. Beyond its core retail activities, ITX's business ventures also span textile manufacturing, logistical operations, product design, insurance services, construction projects, real estate investments, and financial services provision. With its origins tracing back to 1963, Industria de Diseño Textil, S.A. is headquartered in A Coruña, Spain, and its operations extend across Spain, the broader European continent, the Americas, and various other international regions.

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Fair Value Reference Estimate

Latest Earnings Call Takeaways

2027 Q2 (Sep 9, 2026)

1) Financial Performance Overview
- Inditex reported a 7.6% increase in sales to EUR 19.8 billion for H1 2026, with a 9.2% increase in constant currency.
- Net income rose 6.8% to EUR 3 billion, reflecting strong execution despite geopolitical challenges.
- EBITDA increased 7.8% to EUR 5.5 billion, maintaining stable margins.
- Gross profit grew 8.3% to EUR 11.6 billion, with a gross margin of 58.7%.
- Operating expenses also increased 8.3%, influenced by higher transport and input costs.

2) Strategic Initiatives and Market Expansion
- Inditex operates in 98 markets with plans to expand to 99 with a new store in Curaçao.
- The company emphasizes a retail optimization strategy, enhancing customer experience across all channels.
- Younger concepts like Bershka and Stradivarius are showing strong growth, with sales CAGR of 12% and 15% respectively over four years.
- New store openings include Bershka in the U.S. and Lefties in the U.K., highlighting ongoing expansion efforts.

3) Operational Resilience and Supply Chain Management
- Inditex's supply chain flexibility allows for diversification across 50+ markets, crucial during times of geopolitical uncertainty.
- The company maintains a net cash position of over EUR 10 billion, supporting future investments and stability.
- Operational proximity with suppliers, with 70% of production having relationships over 8 years, enhances responsiveness to market demands.

4) Challenges and Headwinds
- Increased transport and input costs due to geopolitical tensions have impacted both gross margins and operating expenses.
- The company anticipates a minus 1% currency impact on top-line results for the full year 2026.
- Sales in the Middle East have been affected by regional instability, although there are signs of improvement since Q1.

5) Guidance and Future Outlook
- Inditex expects 5% growth in gross space for 2026, with ongoing strong online sales growth.
- Ordinary capital expenditure is projected at EUR 2.3 billion, with an additional EUR 200 million for extraordinary investments.
- The company maintains a positive outlook for the second half of 2026, with Autumn/Winter collections performing well, evidenced by a 9% sales increase from August to early September.

Bottom line: Inditex continues to demonstrate robust financial performance and strategic growth potential, underpinned by a resilient business model and strong market positioning, despite facing some operational headwinds. The company's focus on innovation and expansion across various markets bodes well for long-term shareholder value.

Industria de Diseño Textil, S.A. — Financial Overview, Stock Price, Market Cap

Industria de Diseño Textil, S.A. is a company. Founded in 1985. As of October 19, 2026, the company's market capitalization is $174004414471 with a current stock price of $55.86.