CATO vs. ZUMZ

Last updated Jun 5, 2026

CATO (The Cato Corporation) and ZUMZ (Zumiez Inc.) are both stocks. Both operate in the Apparel Retail industry within the Consumer Cyclical sector. Over the past 10 years, CATO returned -17.14%/yr vs 4.85%/yr for ZUMZ. At a 0.44 correlation, their price movements are largely independent.

Performance

CATO vs. ZUMZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in The Cato Corporation (CATO) and Zumiez Inc. (ZUMZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CATO achieves a 6.15% return, which is significantly higher than ZUMZ's -9.87% return. Over the past 10 years, CATO has underperformed ZUMZ with an annualized return of -17.14%, while ZUMZ has yielded a comparatively higher 4.85% annualized return.

CATO

• 1D: -1.80%
• 1M: 13.10%
• YTD: 6.15%
• 6M: -3.81%
• 1Y: 24.24%
• 3Y*: -21.44%
• 5Y*: -23.16%
• 10Y*: -17.14%

ZUMZ

• 1D: 1.60%
• 1M: -2.25%
• YTD: -9.87%
• 6M: -13.87%
• 1Y: 86.65%
• 3Y*: 20.11%
• 5Y*: -13.07%
• 10Y*: 4.85%

*Multi-year figures are annualized to reflect compound growth (CAGR)

CATO vs. ZUMZ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
CATO The Cato Corporation	6.15%	-20.77%	-39.83%	-16.51%	-42.20%	84.02%	-43.53%	32.97%	-2.99%	-42.89%
ZUMZ Zumiez Inc.	-9.87%	35.89%	-5.75%	-6.44%	-54.70%	30.48%	6.49%	80.18%	-7.95%	-4.69%

Correlation

The correlation between CATO and ZUMZ is 0.14, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.14
Correlation (3Y) Calculated over the trailing 3-year period	0.25
Correlation (5Y) Calculated over the trailing 5-year period	0.39
Correlation (10Y) Calculated over the trailing 10-year period	0.41
Correlation (All Time) Calculated using the full available price history since May 9, 2005	0.44

Over the past year, the correlation between CATO and ZUMZ has dropped to 0.14 - well below their long-term average of 0.44, suggesting their price drivers have been diverging.

Fundamentals

Market Cap CATO : $64.96M ZUMZ : $380.49M
EPS CATO : -$0.01 ZUMZ : $0.86
PS Ratio CATO : 0.10 ZUMZ : 0.42
PB Ratio CATO : 0.39 ZUMZ : 1.24
Total Revenue (TTM) CATO : $654.67M ZUMZ : $938.06M
Gross Profit (TTM) CATO : $216.44M ZUMZ : $338.56M
EBITDA (TTM) CATO : $2.37M ZUMZ : $39.31M

Return for Risk

CATO vs. ZUMZ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

CATO

CATO Risk / Return Rank: 55
CATO Sharpe Ratio Rank: 54
CATO Sortino Ratio Rank: 58
CATO Omega Ratio Rank: 55
CATO Calmar Ratio Rank: 54
CATO Martin Ratio Rank: 51

ZUMZ

ZUMZ Risk / Return Rank: 81
ZUMZ Sharpe Ratio Rank: 86
ZUMZ Sortino Ratio Rank: 82
ZUMZ Omega Ratio Rank: 80
ZUMZ Calmar Ratio Rank: 80
ZUMZ Martin Ratio Rank: 79

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

CATO vs. ZUMZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for The Cato Corporation (CATO) and Zumiez Inc. (ZUMZ). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	CATO	ZUMZ	Difference
Sharpe ratio: Return per unit of total volatility	0.37	1.81	-1.44
Sortino ratio: Return per unit of downside risk	1.18	2.48	-1.31
Omega ratio: Gain probability vs. loss probability	1.13	1.31	-0.17
Calmar ratio: Return relative to maximum drawdown	0.56	2.73	-2.18
Martin ratio: Return relative to average drawdown	0.90	5.99	-5.09
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CATO vs. ZUMZ - Sharpe Ratio Comparison

The current CATO Sharpe Ratio is 0.37, which is lower than the ZUMZ Sharpe Ratio of 1.81. The chart below compares the historical Sharpe Ratios of CATO and ZUMZ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	CATO	ZUMZ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.37	1.81	-1.44
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.45	-0.26	-0.19
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	-0.34	0.10	-0.43
Sharpe Ratio (All Time) Calculated using the full available price history	0.03	0.06	-0.02

Drawdowns

CATO vs. ZUMZ - Drawdown Comparison

The maximum CATO drawdown since its inception was -95.29%, which is greater than ZUMZ's maximum drawdown of -88.06%. Use the drawdown chart below to compare losses from any high point for CATO and ZUMZ.

Drawdown Indicators

	CATO	ZUMZ	Difference
Max Drawdown Largest peak-to-trough decline	-95.29%	-88.06%	-7.23%
Max Drawdown (1Y) Largest decline over 1 year	-43.64%	-31.87%	-11.77%
Max Drawdown (3Y) Largest decline over 3 years	-69.43%	-60.22%	-9.21%
Max Drawdown (5Y) Largest decline over 5 years	-85.17%	-78.80%	-6.37%
Max Drawdown (10Y) Largest decline over 10 years	-89.73%	-78.80%	-10.93%
Current Drawdown Current decline from peak	-86.49%	-57.02%	-29.47%
Average Drawdown Average peak-to-trough decline	-39.68%	-48.80%	+9.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	26.94%	14.51%	+12.43%

Volatility

CATO vs. ZUMZ - Volatility Comparison

The Cato Corporation (CATO) has a higher volatility of 19.13% compared to Zumiez Inc. (ZUMZ) at 13.73%. This indicates that CATO's price experiences larger fluctuations and is considered to be riskier than ZUMZ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CATO	ZUMZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	19.13%	13.73%	+5.40%
Volatility (6M) Calculated over the trailing 6-month period	35.91%	33.21%	+2.70%
Volatility (1Y) Calculated over the trailing 1-year period	65.64%	48.24%	+17.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	52.04%	50.81%	+1.23%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	50.72%	50.91%	-0.19%

Dividends

CATO vs. ZUMZ - Dividend Comparison

Neither CATO nor ZUMZ has paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CATO The Cato Corporation	0.00%	0.00%	13.08%	9.52%	7.29%	2.62%	3.44%	7.59%	9.25%	8.29%	4.29%	3.26%
ZUMZ Zumiez Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

CATO vs. ZUMZ - Profitability Comparison

The chart below illustrates the profitability comparison between The Cato Corporation and Zumiez Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

CATO - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, The Cato Corporation reported a gross profit of 62.53M and revenue of 171.10M. Therefore, the gross margin over that period was 36.5%.

ZUMZ - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Zumiez Inc. reported a gross profit of 61.34M and revenue of 193.35M. Therefore, the gross margin over that period was 31.7%.

CATO - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, The Cato Corporation reported an operating income of 8.60M and revenue of 171.10M, resulting in an operating margin of 5.0%.

ZUMZ - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Zumiez Inc. reported an operating income of -15.19M and revenue of 193.35M, resulting in an operating margin of -7.9%.

CATO - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, The Cato Corporation reported a net income of 9.31M and revenue of 171.10M, resulting in a net margin of 5.4%.

ZUMZ - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Zumiez Inc. reported a net income of -13.27M and revenue of 193.35M, resulting in a net margin of -6.9%.

Frequently Asked Questions

Can I hold both CATO and ZUMZ in my portfolio?

CATO and ZUMZ have a correlation of 0.14, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CATO or ZUMZ?

CATO has higher volatility (19.13%) compared to ZUMZ (13.73%). In terms of maximum drawdown, CATO dropped -95.29% vs ZUMZ's -88.06%.

Which has better risk-adjusted returns?

ZUMZ currently has the higher Sharpe Ratio (1.81 vs 0.37), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.