DINGDONG CAYMAN LTD -SPN ADR (DDL) Stock Fundamental Analysis
NYSE:DDL - New York Stock Exchange, Inc. - US25445D1019 - ADR - Currency: USD
Taking everything into account, DDL scores 4 out of 10 in our fundamental rating. DDL was compared to 41 industry peers in the Consumer Staples Distribution & Retail industry. DDL has only an average score on both its financial health and profitability. DDL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
DDL had positive earnings in the past year.
In the past year DDL had a positive cash flow from operations.
In the past 5 years DDL reported 4 times negative net income.
In multiple years DDL reported negative operating cash flow during the last 5 years.
1.2 Ratios
DDL has a better Return On Assets (4.15%) than 63.41% of its industry peers.
The Return On Equity of DDL (36.95%) is better than 97.56% of its industry peers.
DDL has a Return On Invested Capital (4.91%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.15% | ||
| ROE | 36.95% | ||
| ROIC | 4.91% |
ROA(3y)-1.94%
ROA(5y)-29.63%
ROE(3y)-83.86%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DDL has a Profit Margin (1.28%) which is comparable to the rest of the industry.
The Operating Margin of DDL (0.93%) is worse than 63.41% of its industry peers.
DDL has a better Gross Margin (30.11%) than 78.05% of its industry peers.
In the last couple of years the Gross Margin of DDL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.93% | ||
| PM (TTM) | 1.28% | ||
| GM | 30.11% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y14.42%
GM growth 5Y11.93%
2. Health
2.1 Basic Checks
DDL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for DDL has been increased compared to 1 year ago.
DDL has less shares outstanding than it did 5 years ago.
The debt/assets ratio for DDL has been reduced compared to a year ago.
2.2 Solvency
DDL has an Altman-Z score of 1.04. This is a bad value and indicates that DDL is not financially healthy and even has some risk of bankruptcy.
DDL has a worse Altman-Z score (1.04) than 85.37% of its industry peers.
DDL has a debt to FCF ratio of 1.93. This is a very positive value and a sign of high solvency as it would only need 1.93 years to pay back of all of its debts.
The Debt to FCF ratio of DDL (1.93) is better than 78.05% of its industry peers.
A Debt/Equity ratio of 2.01 is on the high side and indicates that DDL has dependencies on debt financing.
DDL's Debt to Equity ratio of 2.01 is on the low side compared to the rest of the industry. DDL is outperformed by 85.37% of its industry peers.
Although DDL does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.01 | ||
| Debt/FCF | 1.93 | ||
| Altman-Z | 1.04 |
ROIC/WACC0.55
WACC8.85%
2.3 Liquidity
A Current Ratio of 1.02 indicates that DDL should not have too much problems paying its short term obligations.
DDL has a Current ratio of 1.02. This is in the lower half of the industry: DDL underperforms 60.98% of its industry peers.
A Quick Ratio of 0.91 indicates that DDL may have some problems paying its short term obligations.
DDL's Quick ratio of 0.91 is fine compared to the rest of the industry. DDL outperforms 75.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 389.72% over the past year.
Looking at the last year, DDL shows a quite strong growth in Revenue. The Revenue has grown by 15.50% in the last year.
DDL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 42.83% yearly.
EPS 1Y (TTM)389.72%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%725%
Revenue 1Y (TTM)15.5%
Revenue growth 3Y4.66%
Revenue growth 5Y42.83%
Sales Q2Q%18.26%
3.2 Future
DDL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.42% yearly.
DDL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.28% yearly.
EPS Next Y5.82%
EPS Next 2Y15.42%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.6%
Revenue Next 2Y12.28%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.74, the valuation of DDL can be described as reasonable.
Based on the Price/Earnings ratio, DDL is valued cheaper than 80.49% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.91. DDL is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 8.56, the valuation of DDL can be described as reasonable.
97.56% of the companies in the same industry are more expensive than DDL, based on the Price/Forward Earnings ratio.
DDL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.74 | ||
| Fwd PE | 8.56 |
4.2 Price Multiples
DDL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DDL is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.84 | ||
| EV/EBITDA | -14.32 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
DDL's earnings are expected to grow with 15.42% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.84
PEG (5Y)N/A
EPS Next 2Y15.42%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for DDL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
2.04
-0.07 (-3.32%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners36.73%
Inst Owner Change0.99%
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap442.65M
Analysts77.14
Price Target3.74 (83.33%)
Short Float %1.44%
Short Ratio1.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)16.4%
PT rev (3m)-14.33%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-11.46%
EPS NY rev (3m)-25.13%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.04%
Revenue NY rev (3m)-7.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.74 | ||
| Fwd PE | 8.56 | ||
| P/S | 0.14 | ||
| P/FCF | 3.84 | ||
| P/OCF | 3.43 | ||
| P/B | 3.99 | ||
| P/tB | 3.99 | ||
| EV/EBITDA | -14.32 |
EPS(TTM)0.19
EY9.31%
EPS(NY)0.24
Fwd EY11.68%
FCF(TTM)0.53
FCFY26.06%
OCF(TTM)0.59
OCFY29.14%
SpS14.76
BVpS0.51
TBVpS0.51
PEG (NY)1.84
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.15% | ||
| ROE | 36.95% | ||
| ROCE | 11.62% | ||
| ROIC | 4.91% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 0.93% | ||
| PM (TTM) | 1.28% | ||
| GM | 30.11% | ||
| FCFM | 3.6% |
ROA(3y)-1.94%
ROA(5y)-29.63%
ROE(3y)-83.86%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y14.42%
GM growth 5Y11.93%
F-Score8
Asset Turnover3.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.01 | ||
| Debt/FCF | 1.93 | ||
| Debt/EBITDA | 4.88 | ||
| Cap/Depr | 85.67% | ||
| Cap/Sales | 0.43% | ||
| Interest Coverage | 4.59 | ||
| Cash Conversion | 282.25% | ||
| Profit Quality | 281.56% | ||
| Current Ratio | 1.02 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 1.04 |
F-Score8
WACC8.85%
ROIC/WACC0.55
Cap/Depr(3y)67.19%
Cap/Depr(5y)125.79%
Cap/Sales(3y)0.46%
Cap/Sales(5y)1.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)389.72%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%725%
EPS Next Y5.82%
EPS Next 2Y15.42%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)15.5%
Revenue growth 3Y4.66%
Revenue growth 5Y42.83%
Sales Q2Q%18.26%
Revenue Next Year8.6%
Revenue Next 2Y12.28%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y264.81%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year4.32%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y361.33%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y496%
OCF growth 3YN/A
OCF growth 5YN/A