There has been some commentary that Dick’s Sporting Goods may be a good candidate for PE firms and is contemplating an LBO.
According to the article, at a premium, Dick’s could be valued at just under $8 billion.
Looking at the last year end numbers, Dick’s had current liabilities of about $1 billion, long-term debt of about $330 million against about $3 billion of total assets. Sales had increased from $5.2 billion to $5.8 billion to $6.2 billion from 2012 to 2014. Profit margins were 5%, 5% and 5.4% for those years.
Debt has increased a bit over the last few quarters to $1.3 billion in current liabilities and $733 million in long-term liabilities, against $3.7 billion in total assets.