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Stock Analysis & ValuationCALIDA Holding AG (CALN.SW)

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CHF12.16
Sector Valuation Confidence Level
Moderate
Valuation methodValue, CHFUpside, %
Artificial intelligence (AI)42.92253
Intrinsic value (DCF)8.40-31
Graham-Dodd Methodn/a
Graham Formula0.25-98

Strategic Investment Analysis

Company Overview

CALIDA Holding AG is a Swiss-based apparel manufacturer specializing in premium underwear, lingerie, and outdoor clothing. Founded in 1941 and headquartered in Sursee, Switzerland, the company operates through three key segments: CALIDA (underwear, sleepwear, and swimwear), AUBADE (luxury lingerie), and LAFUMA MOBILIER (outdoor and leisure equipment). CALIDA serves markets across Europe, Asia, and the U.S., leveraging a mix of direct-to-consumer e-commerce and traditional retail channels. The company’s diversified brand portfolio allows it to cater to different consumer segments, from everyday essentials (CALIDA) to high-end lingerie (AUBADE) and outdoor enthusiasts (LAFUMA Outdoor). With a market cap of CHF 120.5 million, CALIDA competes in the global apparel sector, emphasizing Swiss craftsmanship, sustainability, and digital sales growth. Its presence in both luxury and functional apparel positions it uniquely in the consumer cyclical industry.

Investment Summary

CALIDA Holding AG presents a mixed investment profile. On the positive side, the company maintains a diversified brand portfolio with strong niche positioning in luxury lingerie (AUBADE) and outdoor apparel (LAFUMA). Its low beta (0.56) suggests relative stability compared to broader markets, and it generated CHF 37.1 million in operating cash flow in its latest fiscal year. However, challenges include modest net income (CHF 14.9 million) and a diluted EPS of just CHF 0.063, reflecting tight margins in the competitive apparel sector. The dividend yield (~1.4% based on current data) is modest, and the company’s small market cap may limit liquidity. Investors should weigh its brand equity against exposure to cyclical consumer demand and rising input costs.

Competitive Analysis

CALIDA Holding AG’s competitive advantage lies in its multi-brand strategy, combining luxury (AUBADE), everyday essentials (CALIDA), and outdoor performance (LAFUMA). This diversification mitigates reliance on any single segment. AUBADE’s high-end lingerie niche offers pricing power and brand loyalty, while LAFUMA’s outdoor segment benefits from growing demand for sustainable and functional apparel. However, CALIDA faces intense competition from global apparel giants and digital-native brands. Its Swiss heritage and craftsmanship differentiate it in Europe, but scalability in North America and Asia remains a challenge. The company’s direct e-commerce channels (~20% of revenue) are a strength but lag behind pure-play online competitors. Supply chain efficiency is critical given its modest operating margins (6.5% in FY2023). CALIDA’s smaller size limits economies of scale compared to rivals like Triumph or Hanesbrands, but its focus on premium segments helps avoid direct price wars with fast-fashion players.

Major Competitors

  • Hanesbrands Inc. (HBI): Hanesbrands is a global leader in basic apparel (e.g., Hanes, Champion) with strong wholesale distribution. Its scale and cost efficiency give it an edge in mass-market segments, but it lacks CALIDA’s luxury positioning. Struggles with debt (over $3B) and declining Champion sales are weaknesses.
  • Triumph International (TRI.SW): Triumph is a key competitor in lingerie, with broader global reach (60+ countries) and stronger Asian presence. Its innovation in fit technology is a strength, but its lack of outdoor/lifestyle diversification makes it more vulnerable to lingerie market shifts compared to CALIDA’s multi-segment approach.
  • Lindex AB (LINDEX.ST): Lindex focuses on affordable lingerie and women’s apparel, competing with CALIDA’s mid-tier CALIDA line. Its fast-fashion model and Scandinavian design appeal are strengths, but it lacks CALIDA’s premium (AUBADE) and outdoor (LAFUMA) diversification.
  • VF Corporation (VFC): VF’s outdoor brands (The North Face, Timberland) compete with LAFUMA. Its global scale and marketing power are strengths, but recent operational struggles (inventory issues, weak Vans performance) highlight execution risks CALIDA avoids via its smaller, focused portfolio.
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