Unfortunately for its shareholders the Premier Investments Limited (ASX: PMV) share price has not been a strong performer this year.
Year-to-date the retailer's shares are down 10%, compared to a 1.5% decline by the S&P/ASX 200 Cons Disc (Index: ^AXDJ) (ASX: XDJ).
Is now the time to invest?
Whilst the release of its full-year results isn't too far away and it may be prudent to wait for them, I do feel that Premier Investments' shares are very attractive at the current level.
Not only do they trade at a reasonable 19x trailing earnings, but they provide investors with a generous trailing fully franked 4% dividend.
Given the success of the international expansion of its Smiggle brand, I expect this dividend has plenty of room to grow over the next few years.
After all, Smiggle's UK expansion alone is on course to generate $200 million in annual sales by 2019 according to management.
By my calculation this equates to sales growth in the country of 150% over the next couple of years.
Elsewhere, I continue to believe the high margin Peter Alexander brand has significant growth potential both at home and internationally.
This could give the company's bottom line an additional boost over the coming years and offset any slowdown in the growth of its other brands.
In light of this, I would put Premier Investments up there with Noni B Limited (ASX: NBL) and Super Retail Group Ltd (ASX: SUL) as great options for investors looking to gain exposure to the retail industry.
