Despegar com Corp (DESP) Fundamental Analysis & Valuation

NYSE:DESP • VGG273581030

Current stock price

19.5 USD
+0.03 (+0.15%)
At close:
19.5 USD
0 (0%)
After Hours:

This DESP fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

4

1. DESP Profitability Analysis

1.1 Basic Checks

  • In the past year DESP was profitable.
  • DESP had a positive operating cash flow in the past year.
  • In the past 5 years DESP always reported negative net income.
  • In multiple years DESP reported negative operating cash flow during the last 5 years.
DESP Yearly Net Income VS EBIT VS OCF VS FCFDESP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M -50M 100M -100M -150M

1.2 Ratios

  • DESP has a Return On Assets of -0.31%. This is in the lower half of the industry: DESP underperforms 63.70% of its industry peers.
  • DESP has a Return On Equity (-5.89%) which is comparable to the rest of the industry.
  • With an excellent Return On Invested Capital value of 41.42%, DESP belongs to the best of the industry, outperforming 97.04% of the companies in the same industry.
Industry RankSector Rank
ROA -0.31%
ROE -5.89%
ROIC 41.42%
ROA(3y)-3.19%
ROA(5y)-7.85%
ROE(3y)-61.6%
ROE(5y)-66.05%
ROIC(3y)N/A
ROIC(5y)N/A
DESP Yearly ROA, ROE, ROICDESP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -50 -100 -150

1.3 Margins

  • Looking at the Operating Margin, with a value of 16.02%, DESP is in the better half of the industry, outperforming 70.37% of the companies in the same industry.
  • Looking at the Gross Margin, with a value of 73.11%, DESP belongs to the top of the industry, outperforming 90.37% of the companies in the same industry.
  • In the last couple of years the Gross Margin of DESP has grown nicely.
Industry RankSector Rank
OM 16.02%
PM (TTM) N/A
GM 73.11%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y12.49%
GM growth 5Y2.13%
DESP Yearly Profit, Operating, Gross MarginsDESP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50 -50 -100

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. DESP Health Analysis

2.1 Basic Checks

  • DESP has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • DESP has more shares outstanding than it did 1 year ago.
  • DESP has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for DESP is higher compared to a year ago.
DESP Yearly Shares OutstandingDESP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M
DESP Yearly Total Debt VS Total AssetsDESP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

2.2 Solvency

  • Based on the Altman-Z score of 1.39, we must say that DESP is in the distress zone and has some risk of bankruptcy.
  • Looking at the Altman-Z score, with a value of 1.39, DESP is in line with its industry, outperforming 46.67% of the companies in the same industry.
  • The Debt to FCF ratio of DESP is 1.72, which is an excellent value as it means it would take DESP, only 1.72 years of fcf income to pay off all of its debts.
  • DESP has a Debt to FCF ratio of 1.72. This is amongst the best in the industry. DESP outperforms 85.93% of its industry peers.
  • DESP has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
  • Looking at the Debt to Equity ratio, with a value of 1.06, DESP is in the better half of the industry, outperforming 62.22% of the companies in the same industry.
  • Although DESP's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. 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 RankSector Rank
Debt/Equity 1.06
Debt/FCF 1.72
Altman-Z 1.39
ROIC/WACC3.76
WACC11.03%
DESP Yearly LT Debt VS Equity VS FCFDESP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M -100M 200M

2.3 Liquidity

  • A Current Ratio of 0.85 indicates that DESP may have some problems paying its short term obligations.
  • DESP's Current ratio of 0.85 is in line compared to the rest of the industry. DESP outperforms 46.67% of its industry peers.
  • A Quick Ratio of 0.85 indicates that DESP may have some problems paying its short term obligations.
  • The Quick ratio of DESP (0.85) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 0.85
Quick Ratio 0.85
DESP Yearly Current Assets VS Current LiabilitesDESP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. DESP Growth Analysis

3.1 Past

  • DESP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 525.00%, which is quite impressive.
  • Looking at the last year, DESP shows a quite strong growth in Revenue. The Revenue has grown by 9.65% in the last year.
  • DESP shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.08% yearly.
EPS 1Y (TTM)525%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-137.5%
Revenue 1Y (TTM)9.65%
Revenue growth 3Y33.85%
Revenue growth 5Y8.08%
Sales Q2Q%8.72%

3.2 Future

  • The Earnings Per Share is expected to grow by 74.28% on average over the next years. This is a very strong growth
  • DESP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.38% yearly.
EPS Next Y471.8%
EPS Next 2Y177.09%
EPS Next 3Y129.7%
EPS Next 5Y74.28%
Revenue Next Year8.9%
Revenue Next 2Y9.86%
Revenue Next 3Y10.79%
Revenue Next 5Y11.38%

3.3 Evolution

  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
DESP Yearly Revenue VS EstimatesDESP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 500M 1B
DESP Yearly EPS VS EstimatesDESP Yearly EPS VS EstimatesYearly EPS VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 1 -1 2 -2 3

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Find the best growth stocksShow best growing peers

4

4. DESP Valuation Analysis

4.1 Price/Earnings Ratio

  • DESP is valuated quite expensively with a Price/Earnings ratio of 114.71.
  • 61.48% of the companies in the same industry are cheaper than DESP, based on the Price/Earnings ratio.
  • DESP's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.50.
  • Based on the Price/Forward Earnings ratio of 20.06, the valuation of DESP can be described as rather expensive.
  • The rest of the industry has a similar Price/Forward Earnings ratio as DESP.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.67, DESP is valued at the same level.
Industry RankSector Rank
PE 114.71
Fwd PE 20.06
DESP Price Earnings VS Forward Price EarningsDESP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, DESP is valued cheaply inside the industry as 82.22% of the companies are valued more expensively.
  • DESP's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 55.63
EV/EBITDA 7.46
DESP Per share dataDESP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 4 6 8

4.3 Compensation for Growth

  • DESP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • A more expensive valuation may be justified as DESP's earnings are expected to grow with 129.70% in the coming years.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y177.09%
EPS Next 3Y129.7%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. DESP Dividend Analysis

5.1 Amount

  • No dividends for DESP!.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

DESP Fundamentals: All Metrics, Ratios and Statistics

Despegar com Corp

NYSE:DESP (5/14/2025, 8:04:00 PM)

After market: 19.5 0 (0%)

19.5

+0.03 (+0.15%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)05-14
Earnings (Next)08-13
Inst Owners70.89%
Inst Owner Change-32.83%
Ins Owners1.89%
Ins Owner ChangeN/A
Market Cap1.63B
Revenue(TTM)774.06M
Net Income(TTM)-2.81M
Analysts76
Price Target21.29 (9.18%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly Dividend0.3
Dividend Growth(5Y)N/A
DP-835.54%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-123.59%
Min EPS beat(2)-157.73%
Max EPS beat(2)-89.46%
EPS beat(4)1
Avg EPS beat(4)-55.41%
Min EPS beat(4)-157.73%
Max EPS beat(4)31.04%
EPS beat(8)2
Avg EPS beat(8)-174.31%
EPS beat(12)2
Avg EPS beat(12)-163.57%
EPS beat(16)2
Avg EPS beat(16)-136.75%
Revenue beat(2)2
Avg Revenue beat(2)1.18%
Min Revenue beat(2)0.15%
Max Revenue beat(2)2.2%
Revenue beat(4)2
Avg Revenue beat(4)-0.08%
Min Revenue beat(4)-1.9%
Max Revenue beat(4)2.2%
Revenue beat(8)5
Avg Revenue beat(8)1.22%
Revenue beat(12)8
Avg Revenue beat(12)1.31%
Revenue beat(16)11
Avg Revenue beat(16)2.42%
PT rev (1m)0%
PT rev (3m)-2.91%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
Industry RankSector Rank
PE 114.71
Fwd PE 20.06
P/S 2.11
P/FCF 55.63
P/OCF 24.65
P/B 34.21
P/tB N/A
EV/EBITDA 7.46
EPS(TTM)0.17
EY0.87%
EPS(NY)0.97
Fwd EY4.98%
FCF(TTM)0.35
FCFY1.8%
OCF(TTM)0.79
OCFY4.06%
SpS9.26
BVpS0.57
TBVpS-1.93
PEG (NY)0.24
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA -0.31%
ROE -5.89%
ROCE 60.25%
ROIC 41.42%
ROICexc 324.65%
ROICexgc N/A
OM 16.02%
PM (TTM) N/A
GM 73.11%
FCFM 3.78%
ROA(3y)-3.19%
ROA(5y)-7.85%
ROE(3y)-61.6%
ROE(5y)-66.05%
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
ROICexgc growth 3YN/A
ROICexgc 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 3Y12.49%
GM growth 5Y2.13%
F-Score6
Asset Turnover0.86
Health
Industry RankSector Rank
Debt/Equity 1.06
Debt/FCF 1.72
Debt/EBITDA 0.3
Cap/Depr 80.5%
Cap/Sales 4.76%
Interest Coverage 3.01
Cash Conversion 38.96%
Profit Quality N/A
Current Ratio 0.85
Quick Ratio 0.85
Altman-Z 1.39
F-Score6
WACC11.03%
ROIC/WACC3.76
Cap/Depr(3y)83.13%
Cap/Depr(5y)71.17%
Cap/Sales(3y)5.42%
Cap/Sales(5y)7.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)525%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-137.5%
EPS Next Y471.8%
EPS Next 2Y177.09%
EPS Next 3Y129.7%
EPS Next 5Y74.28%
Revenue 1Y (TTM)9.65%
Revenue growth 3Y33.85%
Revenue growth 5Y8.08%
Sales Q2Q%8.72%
Revenue Next Year8.9%
Revenue Next 2Y9.86%
Revenue Next 3Y10.79%
Revenue Next 5Y11.38%
EBIT growth 1Y89.65%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year50.8%
EBIT Next 3Y27.88%
EBIT Next 5Y22.13%
FCF growth 1Y-52.57%
FCF growth 3YN/A
FCF growth 5Y16.45%
OCF growth 1Y-35.64%
OCF growth 3YN/A
OCF growth 5Y8.37%

Despegar com Corp / DESP Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for Despegar com Corp?

ChartMill assigns a fundamental rating of 4 / 10 to DESP.


What is the valuation status of Despegar com Corp (DESP) stock?

ChartMill assigns a valuation rating of 4 / 10 to Despegar com Corp (DESP). This can be considered as Fairly Valued.


What is the profitability of DESP stock?

Despegar com Corp (DESP) has a profitability rating of 4 / 10.


Can you provide the PE and PB ratios for DESP stock?

The Price/Earnings (PE) ratio for Despegar com Corp (DESP) is 114.71 and the Price/Book (PB) ratio is 34.21.


Can you provide the expected EPS growth for DESP stock?

The Earnings per Share (EPS) of Despegar com Corp (DESP) is expected to grow by 471.8% in the next year.