What is The Cato Corporation's (CATO) StockRank?

MoatMap's StockRank for The Cato Corporation (CATO) is 33/100, with a Sell signal. This is a composite score combining Quality (37), Value (38), and Momentum (48) factor ranks across MoatMap's 20,000+ stock universe.

Does The Cato Corporation have an economic moat?

The Cato Corporation (CATO) has a Quality factor score of 37/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the financial characteristics of a moated business.

Is The Cato Corporation a buy, hold, or sell?

MoatMap's current signal for The Cato Corporation (CATO) is Sell, based on a StockRank of 33/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.

What sector is The Cato Corporation in?

The Cato Corporation (CATO) operates in the Consumer Cyclical sector, specifically the Apparel Retail industry (United States).

Company Deep Dive

Business segments breakdown, earnings transcript analysis, management credibility scoring, competitive landscape, and scenario modelling.

Request Deep Dive(50 Feathers)

CATO

SELLREMOVE

The Cato Corporation · Consumer Cyclical · United States · $64M · Avg Vol: $294K/d

StockRank

P/E (TTM)

—

ROE

0.1%

D/E

0.9x

Dividend %

—

Director Trades · 180d

None in 180d →

Buybacks · 180d

None in 180d →

AI CONVICTION THESIS

The Cato Corporation is a micro-cap apparel retailer facing structural headwinds from e-commerce migration and declining brick-and-mortar foot traffic. It fails all quality filters under the Terry Smith and Warren Buffett lenses.

COMPANY DESCRIPTION

The Cato Corporation is a specialty retailer of fashion apparel and accessories operating primarily in the southeastern United States under the Cato, Versona, and It's Fashion concepts. The company targets value-conscious female consumers in niche, rural, and suburban markets where competition from major department stores is limited. Its competitive advantage lies in its debt-free balance sheet, low-cost real estate strategy, and highly efficient, centralized distribution model.

FINANCIAL SUMMARY (USD)

Year	2023	2024	2025	2026	CAGR
Revenue	759.3M	708.1M	649.8M	653.8M	-4.9%
EPS	0.00	-1.17	-0.97	-0.31	—
Shares	20.5M	20.6M	20.1M	19.7M	-3.6%
Debt	174.8M	153.1M	145.9M	150.4M	-4.9%
Equity	226.6M	192.3M	162.3M	157.3M	-11.5%
Op CF	13.4M	0.5M	-19.7M	-1.5M	-96.4%
Inv CF	16.0M	19.8M	29.0M	-1.3M	—
Fin CF	-29.3M	-16.1M	-14.1M	-0.9M	—

PRICE (1Y)+10.7%

SMA 50SMA 200

$3.20

RSI (14)

53.6

52W High

$4.92

From 52W High

0.7%

SCORE BREAKDOWN

Quality

ROIC

-2.8%10.4

ROE

0.1%17.5

GP/Assets

53.3%80.7

Op. Margin

5.0%41.8

FCF/Assets

-0.3%26.6

Piotroski

652.6

Int. Cover

-50.0x0.7

D/E Ratio

0.87x31.0

Current Ratio

1.29x37.6

Value

P/E (TTM)

—N/A

EV/EBITDA

133.7x1.9

P/FCF

—N/A

P/B

0.4x93.6

P/S

0.1x97.6

Div Yield

—N/A

Momentum

52W High %

65%32.8

RS 6M

-11%72.3

SMA 50/200

0.90x25.6

EPS Rev 4W

—N/A

EPS Rev 12W

—N/A

EPS Improve

—N/A

Q Growth

181%91.4

FUNDAMENTALS

Market Cap

$64M

P/E (Forward)

2.5x

Gross Margin

34.3%

SECTOR PEERS

Closest peers in Consumer Cyclical, ranked by industry match, size, and score similarity. Cross-listings of CATO are excluded.

Ticker	Company	Mkt Cap	StockRank	Signal
CATO	The Cato Corporation(you)	$64M	33	SELL
BIRD	Smartbird, Inc	$57M	16	STRONG SELL
CURV	Torrid Holdings Inc.	$188M	33	SELL
RENT	Rent the Runway, Inc.	$108M	9	STRONG SELL
CAL	Caleres, Inc.	$437M	42	HOLD
ZUMZ	Zumiez Inc.	$301M	51	HOLD
SFIX	Stitch Fix, Inc.	$530M	25	SELL
DLTH	Duluth Holdings Inc.	$153M	79	BUY
JILL	J.Jill, Inc.	$218M	76	BUY
SCVL	Shoe Station Group Inc.	$473M	65	HOLD

Peer medians: ROE 10.2% · P/E 22.6x · Gross margin 37.6%

The Cato Corporation (CATO) — Stock Score Summary

The Cato Corporation (CATO) has a MoatMap StockRank of 33/100 based on Quality (37/100), Value (38/100), and Momentum (48/100) factor scores. The current signal is SELL. The Cato Corporation is a micro-cap apparel retailer facing structural headwinds from e-commerce migration and declining brick-and-mortar foot traffic. It fails all quality filters under the Terry Smith and Warren Buffett lenses.

Key Financial Metrics

Price	$3.20
Market Cap	$64M
P/E (Forward)	2.45
Price/Book	0.36
Return on Equity	0.1%
Return on Invested Capital	-2.8%
Debt/Equity	87.00
Gross Margin	34.3%
Operating Margin	5.0%
Revenue Growth	0.5%
Free Cash Flow	$-1M

The Cato Corporation operates in the Apparel Retail industry, part of the Consumer Cyclical sector (United States).

Frequently Asked Questions

What is The Cato Corporation’s (CATO) StockRank?: MoatMap’s StockRank for The Cato Corporation (CATO) is 33/100, with a Sell signal. It is a composite of Quality (37), Value (38), and Momentum (48) factor ranks across MoatMap’s 20,000+ stock universe.
Does The Cato Corporation have an economic moat?: The Cato Corporation (CATO) has a Quality factor score of 37/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is The Cato Corporation a buy, hold, or sell?: MoatMap’s current signal for The Cato Corporation (CATO) is Sell, based on a StockRank of 33/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is The Cato Corporation in?: The Cato Corporation (CATO) operates in the Consumer Cyclical sector, specifically the Apparel Retail industry (United States).