Cato Company Leadership

CATO Stock  USD 4.62  0.06  1.32%   
Cato employs about 7 K people. The company is managed by 18 executives with a total tenure of roughly 150 years, averaging almost 8.0 years of service per executive, having 388.89 employees per reported executive. Analysis of Cato's management performance can provide insight into the firm performance.
John Cato  Chairman
Chairman of the Board, President, Chief Executive Officer
John Howe  President
Chief Financial Officer and Executive Vice President
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Cato Management Team Effectiveness

The company has return on total asset (ROA) of (0.0343) % which means that it has lost $0.0343 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (0.1034) %, meaning that it created substantial loss on money invested by shareholders. Cato's management efficiency ratios could be used to measure how well Cato manages its routine affairs as well as how well it operates its assets and liabilities.

Cato Workforce Comparison

Cato Corporation is number one stock in number of employees category among its peers. The total workforce of Consumer Discretionary industry is currently estimated at about 26,040. Cato totals roughly 7,000 in number of employees claiming about 27% of stocks in Consumer Discretionary industry.
The company has Profit Margin (PM) of (0.03) %, which may suggest that it does not properly executes on its current pricing strategies or is unable to control all of the operational costs. This is way below average. Similarly, it shows Operating Margin (OM) of 0.03 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.03.

Cato Insider Trading

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Cato insiders, such as employees or executives, is commonly permitted as long as it does not rely on Cato's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases, Cato insiders must file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

Cato Notable Stakeholders

A Cato stakeholder refers to an individual interested in an outcome of the business. Different stakeholders have different interests, and companies such as Cato often face trade-offs trying to please all of them. Cato's stakeholders can have a positive or negative influence on the entity's direction, and there are a lot of executives involved in getting Cato's stock to the level that pleases all shareholders. Keeping track of the stakeholders is a great way to stay on top of things affecting its ongoing price.
John CatoChairman of the Board, President, Chief Executive OfficerProfile
John HoweChief Financial Officer and Executive Vice PresidentProfile
Gordon SmithExecutive Vice President, Chief Real Estate and Store Development OfficerProfile
Charles KnightChief Financial Officer, Executive Vice PresidentProfile
Thomas HensonIndependent DirectorProfile
Daniel StoweIndependent DirectorProfile
Pamela DaviesIndependent DirectorProfile
Bailey PatrickIndependent DirectorProfile
Thomas MeckleyIndependent DirectorProfile
Bryan KennedyLead Independent DirectorProfile
Shawn SmithSecProfile
Christin ReischeAssistant SecretaryProfile
Woody CozartVP DivisionProfile
J FaganVP CounselProfile
Jeffrey ShockSenior ControllerProfile
Stephen HeadleySenior SupportProfile
Stevens StaesSecretaryProfile
Theresa DrewIndependent DirectorProfile

About Cato Management Performance

The success or failure of an entity such as Cato often depends on how effective the management is. Cato management team is responsible for propelling the future growth in the right direction and administering and controlling the business activities and accounting for the results. Ineffective management usually contributes to failure in the company's future performance for all stakeholders equally, but most importantly, for investors. So it is important to measure the effectiveness of Cato management before purchasing its stock. In many ways, it's all about finding the answer to one important question - Are they doing the right thing right now? How would we assess whether the Cato management is utilizing all available resources in the best possible way? Also, how well is the company doing relative to others in its sector and the market as a whole? The answer can be found by analyzing a few important fundamental indicators such as return on assets and return on equity.
The Cato Corporation, together with its subsidiaries, operates as a specialty retailer of fashion apparel and accessories primarily in the southeastern United States. The company was incorporated in 1946 and is headquartered in Charlotte, North Carolina. Cato Corp operates under Apparel Retail classification in the United States and is traded on New York Stock Exchange. It employs 7500 people.

Cato Workforce Analysis

Traditionally, organizations such as Cato use manpower efficiency calculations for various incentive schemes, employee appraisal, or as an initiative to improve the processes. However, it can also be used by investors to make long-term investment decisions. The trends in the profit per employee or revenue per employee are measured by net income or revenue divided by the current number of full-time employees over a given time interval. Because workforce needs differ across sectors, these ratios could be used to compare Cato within its industry.

Cato Manpower Efficiency

Return on Cato Manpower

Revenue Per Employee92.8K
Revenue Per Executive36.1M
Net Loss Per Employee2.6K
Net Loss Per Executive1M
Working Capital Per Employee5K
Working Capital Per Executive1.9M
When determining whether Cato offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Cato's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Cato Corporation Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Cato Corporation Stock:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Cato Corporation. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in housing.
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Is Specialty Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cato. If investors know Cato will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cato listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Cato is measured differently than its book value, which is the value of Cato that is recorded on the company's balance sheet. Investors also form their own opinion of Cato's value that differs from its market value or its book value, called intrinsic value, which is Cato's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cato's market value can be influenced by many factors that don't directly affect Cato's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Cato's value and its price as these two are different measures arrived at by different means. Investors typically determine if Cato is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cato's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.