Dillard's, Inc. (DDS) AI Stock Analysis

Dillard's, Inc. operates a retail department store chain across the southeastern, southwestern, and midwestern regions of the United States. Its merchandise assortment includes fashion apparel for women, men, and children, as well as accessories, cosmetics, home furnishings, and other consumer goods. As of January 29, 2022, the company maintained a network of 280 stores, including 30 clearance centers, alongside its e-commerce website dillards.com. Dillard's also conducts general contracting construction activities. Founded in 1938 and headquartered in Little Rock, Arkansas, the company pairs physical retail locations with online channels to serve customers across key U.S. markets.

Over the past five fiscal years, annual revenue peaked at $7.00B in FY2023 before declining to $6.87B in FY2024, $6.59B in FY2025, and $6.56B in FY2026, representing a 0.4% contraction in FY2026. Gross margin moderated from 43.4% in FY2022 to 37.6% in FY2026, while operating margin shifted from 16.9% to 10.5%. Net income reached $570.6M in FY2026, down from $862.5M in FY2022, resulting in FY2026 EPS of $35.27. For the trailing twelve months ending July 31, 2026, revenue stood at $6.60B with a profit margin of 10.3%. In the latest quarter, quarterly revenue fell 0.4% year-over-year, while quarterly earnings grew 34.1%.

As of July 31, 2026, Dillard's held $1.26B in cash and short-term investments against $456.8M in total debt, creating a net cash position of $804.0M. The company reported a current ratio of 3.03 and a debt-to-equity ratio of 0.22, with total shareholders' equity of $2.12B. During FY2026, Dillard's generated $717.0M in operating cash flow and invested $93.4M in capital expenditures, yielding $623.6M in free cash flow. Cash returned to shareholders in FY2026 included $107.8M in share buybacks and $484.8M in dividends paid, contributing to a 22.4% reduction in share count over five years.

At a share price of $663.26, Dillard's holds a market capitalization of $10.36B and an enterprise value of $9.28B. The stock trades at a trailing price-to-earnings ratio of 15.2x, below the 18.0x median of its US-listed Consumer Cyclical peers, but its forward P/E of 35.2x stands above the peer median of 14.1x. Its price-to-sales ratio is 1.6x, compared to the peer median of 0.7x, while EV/EBITDA is 9.5x compared to the peer median of 11.1x. Over the past year, the stock returned 16.3%, trailing the 16.8% return of the S&P 500 (SPY), though its five-year return of 315.5% exceeded the benchmark's 83.0% return.

Dillard's offers a forward annual dividend of $1.20 per share, which corresponds to a dividend yield of 0.18% and a payout ratio of 3.2%. Dividends are distributed on a quarterly frequency, and the company has paid dividends for 42 consecutive years. The most recent ex-dividend date occurred on September 30, 2026.

Wall Street coverage tracked includes 0 Strong Buy, 0 Buy, 1 Hold, 1 Sell, and 1 Strong Sell recommendations. The mean price target is $545.67, representing a 17.7% discount to the last close of $663.26. For the fiscal year ending January 31, 2027, consensus estimates project revenue of $6.60B and EPS of $35.99, indicating 2.1% earnings growth. Over the last four quarters, the company delivered 4 EPS beats. The next earnings date is scheduled for November 12, 2026.

This page is an AI-written research summary of Dillard's, Inc. (DDS). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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