COLM — Columbia Sportswear Co
Snapshot dated September 25, 2026.
Columbia Sportswear Company designs, sources, and distributes outdoor, active, and everyday apparel, footwear, accessories, and equipment. The business operates through a portfolio of brands, including the namesake Columbia, Mountain Hardwear, SOREL, and prAna, each targeting distinct segments of the active outdoor market. The company generates revenue through both wholesale channels, supplying retailers and distributors, and direct-to-consumer channels, which encompass company-owned retail stores and e-commerce platforms. With a presence in approximately 90 countries, the firm relies on a complex global supply chain to manage manufacturing and logistics. Historically positioned as a specialist in winter sports and hiking gear, the company has increasingly pivoted toward versatile, multi-season apparel to capture broader lifestyle consumption trends. Recently, the company has focused on optimizing its inventory management and reducing logistical friction to stabilize margins across its primary wholesale channels.
Fair Value / Share
$84.26
Price on September 25, 2026
$57.60
Upside to fair value
46.29%
Margin of safety 31.6%
Upside is measured against what you pay; margin of safety is measured against what the business is worth.
Data by Equibles and SEC filings. Figures are as of September 25, 2026 and are not live.
Earnings Yield
Earnings Yield shows how much profit a company generates relative to its share price. EPS ÷ Stock Price.
Stock Price
$57.60
Market Cap
$2,952,806,400
Net Income (TTM)
$206,033,000
Diluted Shares
51.3 million
EPS (TTM)
$4.02
Earnings Yield
6.98%
AI Analysis
Columbia Sportswear's earnings yield is 6.98%, calculated by dividing its EPS of $4.02 by its current stock price of $57.60. This figure sits above the 4-5% return typically found in safer, guaranteed alternatives like bonds. Mechanically, this yield implies that the current share price attributes a lower cost to each dollar of earnings generated by the business compared to instruments carrying lower relative risk. For the earnings yield to rise, the share price would need to decline or the EPS would need to increase, assuming the business maintains its current earnings power. Conversely, a lower yield would result if the share price rises in anticipation of future growth. This metric does not capture the company's long-term competitive position or future shifts in consumer demand.
Return on Capital
EBIT ÷ (Net Working Capital + Net Fixed Assets) — how efficiently the business turns capital into profit.
EBIT (TTM)
$256,999,000
Net Working Capital
$584,948,000
Net Fixed Assets
$266,595,000
Invested Capital
$851,543,000
Return on Capital
30.18%
AI Analysis
Columbia Sportswear Co demonstrates a return on capital of 30.18%. This figure is derived by dividing its EBIT of $257M by its total invested capital of $851.5M, which comprises $584.9M in net working capital and $266.6M in net fixed assets. In this framework, a return on capital of approximately 30% or more indicates a highly efficient use of capital, as the business is able to generate substantial profit relative to the tangible assets required to operate. A decline in this percentage would occur if the company needed to increase its investment in fixed assets or working capital without achieving a proportional increase in operating profit. While this metric highlights operational efficiency, it does not account for differences in capital intensity across various sectors, nor does it capture the potential for future growth in businesses currently in a heavy reinvestment phase.
Acquirer's Multiple
Enterprise Value ÷ Operating Earnings — how many years of operating earnings it would take to buy the whole business.
| Company | Operating earnings | Enterprise value | Multiple |
|---|---|---|---|
| DECKDeckers Outdoor Corp | $1.3B | $9.2B | 7.4x |
| COLMColumbia Sportswear Co | $257M | $2.4B | 9.4x |
| VFCV F Corp | $607.3M | $8.3B | 13.6x |
Where COLM sits: 9.4x against a peer median of 10.5x (peers: 13.6x and 7.4x) — 10.3% below the median.
Show the enterprise value bridge for each companyHide the enterprise value bridge
COLM
Debt $0. This is the company's reported total debt — borrowings due within a year plus long-term borrowings. The company separately reports $461.2M of operating lease liabilities as of 2026-06-30 ($377.2M non-current, $84M current). These are excluded from debt because operating lease cost already sits inside operating earnings — counting the liability again as debt would charge the business twice for the same thing.
VFC
Named as a competitor: Competes directly in outdoor apparel and footwear through brands like The North Face and Timberland
Debt $3.5B. This is the company's reported total debt — borrowings due within a year plus long-term borrowings. The company separately reports $1.5B of operating lease liabilities as of 2026-03-28 ($1.1B non-current, $333.5M current). These are excluded from debt because operating lease cost already sits inside operating earnings — counting the liability again as debt would charge the business twice for the same thing.
DECK
Named as a competitor: Competes in outdoor and performance footwear through brands like HOKA and Teva
Debt $0. This is the company's reported total debt — borrowings due within a year plus long-term borrowings. The company separately reports $472.3M of operating lease liabilities as of 2026-06-30 ($399M non-current, $73.4M current). These are excluded from debt because operating lease cost already sits inside operating earnings — counting the liability again as debt would charge the business twice for the same thing.
Operating earnings — COLM
AI Analysis
Columbia Sportswear Co (COLM) has an Acquirer's Multiple of 9.4x, derived from an enterprise value of $2.4B and TTM operating earnings of $257M. Among the competitors, VFC records an enterprise value of $8.3B and operating earnings of $607.3M, resulting in an Acquirer's Multiple of 13.6x, while DECK records an enterprise value of $9.2B and operating earnings of $1.3B, resulting in a multiple of 7.4x. Comparing these figures, DECK holds the lowest multiple, and VFC holds the highest. The computed comparison for COLM is 9.4x against a peer median of 10.5x (peers: 13.6x and 7.4x) — 10.3% below the median. This measure does not capture differences in capital intensity or debt structure; the gap between these figures would narrow if the companies' operating margins converged or if their respective financing strategies shifted to resemble one another.
FS-Score
A 10-check read on financial health, across profitability, balance-sheet stability and operating momentum.
FS-Score
7/10
Decent score — worth a deeper look before investing.
Section 1
Current Profitability
3/3
Current profitability is strong, as the company is generating positive net income and free cash flow relative to its asset base while maintaining a high quality of earnings.
- Return on Assets is positive at 6.05%
- Free Cash Flow to Total Assets is positive at 7.40%
- Accruals are healthy, with Cash Flow from Operations 1.6 times higher than Net Income
This score indicates the business is currently self-sustaining; a shift toward negative cash flow or accounting profits exceeding cash receipts would lower this rating.
Return on Assets (ROA > 0)
PassFree Cash Flow to Total Assets (FCFTA > 0)
PassAccruals (CFO / Net Income > 1)
PassSection 2
Stability
2/3
Stability is mixed, characterized by a reduction in share count and zero long-term debt, offset by a slight decrease in the current ratio.
- Long-term debt remained at 0, preventing any increase in leverage
- The current ratio fell slightly from 2.62 to 2.59, indicating a marginal decline in liquidity
- Net dilution was negative as diluted shares outstanding fell from 58.5 million shares to 54.8 million shares
The score reflects a stable capital structure, though further declines in the current ratio would signal a weakening liquidity position.
Change in Leverage (↓ or unchanged)
PassChange in Liquidity (↑ Current Ratio)
FailNet Dilution (annual diluted weighted-average shares, this year vs last)
PassSection 3
Recent Operational Improvements
2/4
Recent operational improvements are mixed, as gains in pricing power and asset efficiency are countered by year-over-year declines in overall profitability and cash flow yields.
- Return on Assets declined from 7.50% to 6.05%
- Free Cash Flow to Total Assets dropped from 14.49% to 7.40%
- Gross Margin improved from 50.20% to 50.53%
- Asset Turnover increased from 1.13 to 1.16
For this score to improve, the company would need to translate its better asset turnover and margins into higher absolute returns on its assets.
Change in ROA (↑)
FailChange in FCFTA (↑)
FailChange in Gross Margin (↑)
PassChange in Asset Turnover (↑)
PassFramework conclusion
The total FS-Score of 7/10 suggests solid financial health, driven primarily by strong current profitability and a clean balance sheet. While the score is high enough to suggest the company is not in a state of financial distress, the mixed results in operational improvements and liquidity indicate that recent growth in efficiency has not yet reversed a downward trend in total returns. This score helps distinguish whether the company's current valuation is a result of fundamental deterioration or temporary operational fluctuations.
- Return on Assets remains positive at 6.05% despite a year-over-year decline
- Long-term debt is non-existent at 0
- Gross Margin showed resilience by expanding to 50.53%
- Shareholders saw the share count reduced to 54.8 million shares
Intrinsic Value (DCF)
A 10-year discounted cash flow, then the bridge from business value to value per share.
Reported cash flow → unlevered free cash flow
Free Cash Flow (reported)
$321.3M
+ After-Tax Interest Expense
$0
= Unlevered Free Cash Flow
$321.3M
Business value (10-year DCF)
PV of Years 1–10
$2.1B
PV of Terminal Value
$1.7B
= Business Value
$3.8B
Terminal value share
44.49%
Business value → share value
Intrinsic Value (business)
$3.8B
+ Cash & Equivalents
$532.3M
− Debt
$0
= Shareholders' Value
$4.3B
÷ Diluted Shares
51.3 million
= Fair Value / Share
$84.26
Divided by 51.3 million diluted shares — the weighted-average diluted count from the most recent quarterly income statement, for the quarter ended 2026-06-30.
Risk bucket → discount rate
mid (12%)
Year-1 FCF
$321.3M
Trailing twelve months.
FY2023 $581.7M · FY2024 $431.2M · FY2025 $216.7M
Growth rate (yrs 1–10)
4%
Terminal growth (after yr 10)
3%
AI Analysis
Columbia Sportswear is evaluated using a 12% discount rate, placing it in the mid-risk bucket due to its nature as an established brand with cyclical cash flows and exposure to the discretionary consumer sector. The forecast begins with a Year-1 free cash flow of $321.3M, a figure set by standard app methodology. Over the ten-year horizon, a 4.00% growth rate is applied, reflecting a conservative outlook consistent with the company's historical cash flow volatility. The terminal growth rate is 3%, which is fixed for every company to align with long-term economic assumptions rather than specific business judgment. This DCF approach aggregates the present value of future cash flows, adds cash, and subtracts debt to reach a shareholder value of $4.3B. Dividing this by 51.3 million shares results in a fair value per share of $84.26. Comparing this to the current price of $57.60 indicates an upside to fair value of 46.29%. The calculation also includes a margin of safety of 31.6%, representing the buffer between the current price and the fair value estimate. Because the fair value is sensitive to future cash flow projections, the most significant variable that would alter this result is the 4.00% growth assumption; changes in market demand or operational efficiency would directly impact the terminal value and the final per-share calculation.
Overall Verdict
How the five signals above stack up together, then the full synthesis.
Earnings Yield
6.98% vs ~4-5% bond-yield benchmark
Return on Capital
30.18% ROC vs ~30% benchmark
Acquirer's Multiple
9.4x against a peer median of 10.5x (peers: 13.6x and 7.4x) — 10.3% below the median.
FS-Score
7/10 — Solid but mixed
Intrinsic Value
46.29% upside to fair value
The framework provides a measurement of Columbia Sportswear Co by balancing operational performance against valuation metrics. Return on Capital at 30.18% aligns with the 30% benchmark, and the FS-Score of 7/10 suggests a generally stable operational state, though with some mixed results. Regarding valuation, the Earnings Yield of 6.98% stands above the 4-5% bond-yield benchmark, and the Acquirer's Multiple of 9.4x sits 10.3% below the peer median of 10.5x. Additionally, the Intrinsic Value check indicates a 46.29% upside to fair value, with a margin of safety of 31.6% relative to the calculated fair value. A tension exists between the high operational efficiency and the upside indicated by the current price relative to fair value. If the company were to report a significant decline in its return on capital, it would shift the quality profile, potentially altering the overall framework reading more than a change in the current price-based valuation multiples.
Comments
Notes from readers on COLM — one each. Comments stay with the company, so they carry across to a later snapshot, and each one shows the date it was written.
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