DAYFORCE INC (DAY)
US15677J1088 - Common Stock
DAY gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 82 industry peers in the Professional Services industry. DAY has a bad profitability rating. Also its financial health evaluation is rather negative. DAY is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
DAY had positive earnings in the past year.
In the past year DAY had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: DAY reported negative net income in multiple years.
DAY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
DAY has a worse Return On Assets (0.48%) than 60.98% of its industry peers.
Looking at the Return On Equity, with a value of 2.14%, DAY is in line with its industry, outperforming 40.24% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 3.24%, DAY is doing worse than 62.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 2.14% | ||
| ROIC | 3.24% |
ROA(3y)-0.44%
ROA(5y)-0.02%
ROE(3y)-1.53%
ROE(5y)-0.12%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DAY has a Profit Margin of 3.30%. This is comparable to the rest of the industry: DAY outperforms 54.88% of its industry peers.
With a decent Operating Margin value of 9.69%, DAY is doing good in the industry, outperforming 73.17% of the companies in the same industry.
In the last couple of years the Operating Margin of DAY has grown nicely.
DAY has a Gross Margin (43.92%) which is in line with its industry peers.
In the last couple of years the Gross Margin of DAY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.69% | ||
| PM (TTM) | 3.3% | ||
| GM | 43.92% |
OM growth 3Y164.31%
OM growth 5Y9.17%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.78%
GM growth 5Y0.09%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DAY is destroying value.
The number of shares outstanding for DAY has been increased compared to 1 year ago.
The number of shares outstanding for DAY has been increased compared to 5 years ago.
The debt/assets ratio for DAY has been reduced compared to a year ago.
2.2 Solvency
DAY has an Altman-Z score of 0.78. This is a bad value and indicates that DAY is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.78, DAY is not doing good in the industry: 73.17% of the companies in the same industry are doing better.
The Debt to FCF ratio of DAY is 11.77, which is on the high side as it means it would take DAY, 11.77 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.77, DAY is doing worse than 67.07% of the companies in the same industry.
A Debt/Equity ratio of 0.50 indicates that DAY is not too dependend on debt financing.
DAY has a Debt to Equity ratio (0.50) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 11.77 | ||
| Altman-Z | 0.78 |
ROIC/WACC0.39
WACC8.32%
2.3 Liquidity
DAY has a Current Ratio of 1.07. This is a normal value and indicates that DAY is financially healthy and should not expect problems in meeting its short term obligations.
DAY has a Current ratio of 1.07. This is in the lower half of the industry: DAY underperforms 71.95% of its industry peers.
A Quick Ratio of 1.07 indicates that DAY should not have too much problems paying its short term obligations.
DAY has a worse Quick ratio (1.07) than 71.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 70.53% over the past year.
DAY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 45.20% yearly.
Looking at the last year, DAY shows a quite strong growth in Revenue. The Revenue has grown by 18.97% in the last year.
DAY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.37% yearly.
EPS 1Y (TTM)70.53%
EPS 3Y45.2%
EPS 5YN/A
EPS Q2Q%38.71%
Revenue 1Y (TTM)18.97%
Revenue growth 3Y21.57%
Revenue growth 5Y15.37%
Sales Q2Q%16.43%
3.2 Future
The Earnings Per Share is expected to grow by 28.14% on average over the next years. This is a very strong growth
DAY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.14% yearly.
EPS Next Y9.51%
EPS Next 2Y16.5%
EPS Next 3Y18.37%
EPS Next 5Y28.14%
Revenue Next Year14.58%
Revenue Next 2Y14.2%
Revenue Next 3Y14.58%
Revenue Next 5Y17.14%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 31.28, DAY can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of DAY indicates a slightly more expensive valuation: DAY is more expensive than 69.51% of the companies listed in the same industry.
DAY is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.19, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 24.89 indicates a rather expensive valuation of DAY.
DAY's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. DAY is more expensive than 63.41% of the companies in the same industry.
DAY is valuated rather expensively when we compare the Price/Forward Earnings ratio to 19.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.28 | ||
| Fwd PE | 24.89 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DAY indicates a slightly more expensive valuation: DAY is more expensive than 71.95% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, DAY is valued a bit more expensive than the industry average as 68.29% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 77.39 | ||
| EV/EBITDA | 28.31 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
DAY's earnings are expected to grow with 18.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.29
PEG (5Y)N/A
EPS Next 2Y16.5%
EPS Next 3Y18.37%
5. Dividend
5.1 Amount
No dividends for DAY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DAYFORCE INC
NYSE:DAY (6/10/2024, 7:04:01 PM)
After market: 50.68 0 (0%)50.68
-0.85 (-1.65%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.00B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.28 | ||
| Fwd PE | 24.89 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.29
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 2.14% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 9.69% | ||
| PM (TTM) | 3.3% | ||
| GM | 43.92% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)70.53%
EPS 3Y45.2%
EPS 5Y
EPS Q2Q%
EPS Next Y9.51%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)18.97%
Revenue growth 3Y21.57%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y