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Movado Group logo

Movado Group

MOV
47
Luxury Goods · Consumer Cyclical
Winston Score
47
Winston is serious
Mixed quality — meaningful strengths and weaknesses.

Movado Group designs and sells watches under several brand names. Its most recognized brand is Movado, known for its minimalist dial with a single dot at 12 o'clock. The company also owns or licenses brands like Olivia Burton, MVMT, and Calvin Klein watches, selling to everyday consumers and gift buyers through department stores, jewelry retailers, and its own website.

The company makes money by selling watches at wholesale to retailers and directly to consumers online. It operates mainly in the United States and Europe, with some sales in Asia. Movado is a mid-sized player in a crowded watch market, sitting between mass-market brands and true luxury names like Rolex or Patek Philippe. Its main risk is that smartwatches and changing consumer habits continue to pull younger buyers away from traditional fashion watches, which has already pressured sales and kept profit margins thin in recent years.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+9.7% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+52.8% YoY

YoY Growth Rate

EPS growth accelerating

Insider Activity

1.0%ownership

Rising

Insiders increasing their stake — aligned with shareholders

Cash Position

Cash flow positive

$231M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth context

Movado Group is growing revenue at 10% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
54.1%
Healthy — 54.1% gross margin
Operating Margin
7.2%
Modest — 7.2% operating margin
ROCE
2.7%
Weak — 2.7% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+9.3%
Steady sales growth (9.3% YoY)
EPS YoY
+45.5%
Earnings growing fast (45.5% YoY)

Earnings growing 25%+ a year. The compounder zone.

EPS Consistency
4/8 quarters
Earnings inconsistent quarter-to-quarter

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Cash Flow

Cash Conversion
328%
Turns 328% of profit into real cash
FCF Margin
14.0%
Converts sales into free cash efficiently (14.0%)

FCF margin between 10% and 20%. Every $100 in sales becomes $10 to $20 in real cash.

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Stability

Debt / Equity
N/A
Data not available
Interest Cover
71.47x
Comfortably covers interest (71.5x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

P/E Ratio (TTM)
27.5x
no trend
Growth-priced — P/E 27.5

P/E above the market average. People are paying up for expected growth.

P/E vs Forward
+5.8
GROWING
Earnings expected to grow meaningfully — cheaper on forward P/E (27.5 → 21.7)

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Dividends

Dividend Yield
3.68%
no trend
Moderate income — 3.68% yield

Standard yield zone for stable dividend payers. A meaningful piece of total return.

Dividend Growth
+3.6%
no trend
Dividend growing modestly (3.6% YoY)

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