DAKTRONICS INC (DAKT) Stock Fundamental Analysis
NASDAQ:DAKT - Nasdaq - US2342641097 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to DAKT. DAKT was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. DAKT is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. DAKT has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year DAKT was profitable.
In the past year DAKT had a positive cash flow from operations.
Of the past 5 years DAKT 4 years were profitable.
Of the past 5 years DAKT 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -2.01%, DAKT perfoms like the industry average, outperforming 44.80% of the companies in the same industry.
With a Return On Equity value of -3.72%, DAKT perfoms like the industry average, outperforming 47.20% of the companies in the same industry.
With a decent Return On Invested Capital value of 6.41%, DAKT is doing good in the industry, outperforming 69.60% of the companies in the same industry.
DAKT had an Average Return On Invested Capital over the past 3 years of 9.83%. This is in line with the industry average of 9.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.01% | ||
| ROE | -3.72% | ||
| ROIC | 6.41% |
ROA(3y)2%
ROA(5y)1.81%
ROE(3y)4.72%
ROE(5y)4.02%
ROIC(3y)9.83%
ROIC(5y)7.08%
1.3 Margins
The Operating Margin of DAKT (4.38%) is better than 60.80% of its industry peers.
In the last couple of years the Operating Margin of DAKT has grown nicely.
DAKT has a Gross Margin (25.84%) which is in line with its industry peers.
In the last couple of years the Gross Margin of DAKT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.38% | ||
| PM (TTM) | N/A | ||
| GM | 25.84% |
OM growth 3Y88.4%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y10.6%
GM growth 5Y2.56%
2. Health
2.1 Basic Checks
DAKT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
DAKT has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, DAKT has more shares outstanding
Compared to 1 year ago, DAKT has an improved debt to assets ratio.
2.2 Solvency
DAKT has an Altman-Z score of 4.64. This indicates that DAKT is financially healthy and has little risk of bankruptcy at the moment.
DAKT has a better Altman-Z score (4.64) than 71.20% of its industry peers.
DAKT has a debt to FCF ratio of 0.15. This is a very positive value and a sign of high solvency as it would only need 0.15 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.15, DAKT belongs to the top of the industry, outperforming 86.40% of the companies in the same industry.
A Debt/Equity ratio of 0.04 indicates that DAKT is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.04, DAKT perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.15 | ||
| Altman-Z | 4.64 |
ROIC/WACC0.67
WACC9.53%
2.3 Liquidity
A Current Ratio of 2.22 indicates that DAKT has no problem at all paying its short term obligations.
With a Current ratio value of 2.22, DAKT perfoms like the industry average, outperforming 46.40% of the companies in the same industry.
A Quick Ratio of 1.60 indicates that DAKT should not have too much problems paying its short term obligations.
The Quick ratio of DAKT (1.60) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
The earnings per share for DAKT have decreased strongly by -31.93% in the last year.
Measured over the past years, DAKT shows a very strong growth in Earnings Per Share. The EPS has been growing by 55.18% on average per year.
Looking at the last year, DAKT shows a decrease in Revenue. The Revenue has decreased by -7.53% in the last year.
The Revenue has been growing slightly by 4.44% on average over the past years.
EPS 1Y (TTM)-31.93%
EPS 3Y100.83%
EPS 5Y55.18%
EPS Q2Q%-33.33%
Revenue 1Y (TTM)-7.53%
Revenue growth 3Y7.38%
Revenue growth 5Y4.44%
Sales Q2Q%-20.07%
3.2 Future
DAKT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.93% yearly.
Based on estimates for the next years, DAKT will show a small growth in Revenue. The Revenue will grow by 5.83% on average per year.
EPS Next Y18.37%
EPS Next 2Y22.93%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.86%
Revenue Next 2Y5.83%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 20.13, the valuation of DAKT can be described as rather expensive.
Based on the Price/Earnings ratio, DAKT is valued a bit cheaper than the industry average as 77.60% of the companies are valued more expensively.
DAKT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.48.
With a Price/Forward Earnings ratio of 17.01, DAKT is valued on the expensive side.
Based on the Price/Forward Earnings ratio, DAKT is valued a bit cheaper than 78.40% of the companies in the same industry.
DAKT is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.13 | ||
| Fwd PE | 17.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DAKT is valued a bit cheaper than 76.00% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DAKT indicates a rather cheap valuation: DAKT is cheaper than 92.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.24 | ||
| EV/EBITDA | 12.86 |
4.3 Compensation for Growth
DAKT's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
DAKT's earnings are expected to grow with 22.93% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.1
PEG (5Y)0.36
EPS Next 2Y22.93%
EPS Next 3YN/A
5. Dividend
5.1 Amount
DAKT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.305
+0.16 (+1.02%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners66.79%
Inst Owner Change0%
Ins Owners1.71%
Ins Owner Change0.65%
Market Cap800.74M
Analysts85
Price Target21.08 (29.29%)
Short Float %4.89%
Short Ratio4.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-36.57%
Min EPS beat(2)-88.23%
Max EPS beat(2)15.09%
EPS beat(4)3
Avg EPS beat(4)-4.56%
Min EPS beat(4)-88.23%
Max EPS beat(4)32.35%
EPS beat(8)6
Avg EPS beat(8)41.38%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-13.43%
Min Revenue beat(2)-14.08%
Max Revenue beat(2)-12.78%
Revenue beat(4)1
Avg Revenue beat(4)-7.32%
Min Revenue beat(4)-14.08%
Max Revenue beat(4)0.82%
Revenue beat(8)3
Avg Revenue beat(8)-3.16%
Revenue beat(12)6
Avg Revenue beat(12)-0.4%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-14.29%
EPS NQ rev (3m)-14.29%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-6.01%
Revenue NQ rev (3m)-6.01%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.13 | ||
| Fwd PE | 17.01 | ||
| P/S | 1.06 | ||
| P/FCF | 10.24 | ||
| P/OCF | 8.19 | ||
| P/B | 2.94 | ||
| P/tB | 2.99 | ||
| EV/EBITDA | 12.86 |
EPS(TTM)0.81
EY4.97%
EPS(NY)0.96
Fwd EY5.88%
FCF(TTM)1.59
FCFY9.77%
OCF(TTM)1.99
OCFY12.2%
SpS15.4
BVpS5.54
TBVpS5.46
PEG (NY)1.1
PEG (5Y)0.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.01% | ||
| ROE | -3.72% | ||
| ROCE | 10.01% | ||
| ROIC | 6.41% | ||
| ROICexc | 10.43% | ||
| ROICexgc | 10.63% | ||
| OM | 4.38% | ||
| PM (TTM) | N/A | ||
| GM | 25.84% | ||
| FCFM | 10.34% |
ROA(3y)2%
ROA(5y)1.81%
ROE(3y)4.72%
ROE(5y)4.02%
ROIC(3y)9.83%
ROIC(5y)7.08%
ROICexc(3y)13.17%
ROICexc(5y)9.6%
ROICexgc(3y)13.4%
ROICexgc(5y)9.86%
ROCE(3y)15.35%
ROCE(5y)11.06%
ROICexcg growth 3Y101.31%
ROICexcg growth 5YN/A
ROICexc growth 3Y103.2%
ROICexc growth 5YN/A
OM growth 3Y88.4%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y10.6%
GM growth 5Y2.56%
F-Score5
Asset Turnover1.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.15 | ||
| Debt/EBITDA | 0.2 | ||
| Cap/Depr | 99.73% | ||
| Cap/Sales | 2.58% | ||
| Interest Coverage | 10.8 | ||
| Cash Conversion | 185.54% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | 4.64 |
F-Score5
WACC9.53%
ROIC/WACC0.67
Cap/Depr(3y)112.4%
Cap/Depr(5y)103.16%
Cap/Sales(3y)2.67%
Cap/Sales(5y)2.6%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-31.93%
EPS 3Y100.83%
EPS 5Y55.18%
EPS Q2Q%-33.33%
EPS Next Y18.37%
EPS Next 2Y22.93%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-7.53%
Revenue growth 3Y7.38%
Revenue growth 5Y4.44%
Sales Q2Q%-20.07%
Revenue Next Year4.86%
Revenue Next 2Y5.83%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-61.98%
EBIT growth 3Y102.3%
EBIT growth 5YN/A
EBIT Next Year85.54%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y69.08%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y54.51%
OCF growth 3YN/A
OCF growth 5Y55.32%