Despegar com Corp (DESP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DESP - VGG273581030 - Common Stock
19.5 USD
+0.03 (+0.15%)
19.5 USD
0 (0%)
DESP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 133 industry peers in the Hotels, Restaurants & Leisure industry. DESP has only an average score on both its financial health and profitability. DESP is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- DESP had positive earnings in the past year.
- DESP had a positive operating cash flow in the past year.
- In the past 5 years DESP always reported negative net income.
- The reported operating cash flow has been mixed in the past 5 years: DESP reported negative operating cash flow in multiple years.
1.2 Ratios
- The Return On Assets of DESP (-0.31%) is worse than 63.70% of its industry peers.
- DESP has a Return On Equity (-5.89%) which is in line with its industry peers.
- Looking at the Return On Invested Capital, with a value of 41.42%, DESP belongs to the top of the industry, outperforming 97.04% of the companies in the same industry.
| Industry Rank | Sector 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
1.3 Margins
- DESP's Operating Margin of 16.02% is fine compared to the rest of the industry. DESP outperforms 70.37% of its industry peers.
- With an excellent Gross Margin value of 73.11%, DESP belongs to the best 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 Rank | Sector 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%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so DESP is creating value.
- The number of shares outstanding for DESP has been increased compared to 1 year ago.
- The number of shares outstanding for DESP has been increased compared to 5 years ago.
- The debt/assets ratio for DESP is higher compared to a year ago.
2.2 Solvency
- DESP has an Altman-Z score of 1.39. This is a bad value and indicates that DESP is not financially healthy and even has some risk of bankruptcy.
- DESP has a Altman-Z score (1.39) which is in line with its industry peers.
- DESP has a debt to FCF ratio of 1.72. This is a very positive value and a sign of high solvency as it would only need 1.72 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 1.72, DESP belongs to the best of the industry, outperforming 85.93% of the companies in the same industry.
- A Debt/Equity ratio of 1.06 is on the high side and indicates that DESP has dependencies on debt 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.
- Even though the debt/equity ratio score it not favorable for DESP, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 1.72 | ||
| Altman-Z | 1.39 |
ROIC/WACC3.76
WACC11.03%
2.3 Liquidity
- A Current Ratio of 0.85 indicates that DESP may have some problems paying its short term obligations.
- DESP has a Current ratio of 0.85. This is comparable 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.
- DESP has a Quick ratio (0.85) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 525.00% over the past year.
- DESP shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.65%.
- The Revenue has been growing by 8.08% on average over the past years. This is quite good.
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
- Based on estimates for the next years, DESP will show a very strong growth in Earnings Per Share. The EPS will grow by 74.28% on average per year.
- 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
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 114.71 indicates a quite expensive valuation of DESP.
- Based on the Price/Earnings ratio, DESP is valued a bit more expensive than 61.48% of the companies in the same industry.
- DESP's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.38.
- The Price/Forward Earnings ratio is 20.06, which indicates a rather expensive current valuation of DESP.
- DESP's Price/Forward Earnings is on the same level as the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. DESP is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 114.71 | ||
| Fwd PE | 20.06 |
4.2 Price Multiples
- 82.22% of the companies in the same industry are more expensive than DESP, based on the Enterprise Value to EBITDA ratio.
- The rest of the industry has a similar Price/Free Cash Flow ratio as DESP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.63 | ||
| EV/EBITDA | 7.46 |
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%
5. Dividend
5.1 Amount
- No dividends for DESP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.5
+0.03 (+0.15%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)05-14 2025-05-14/amc
Earnings (Next)08-13 2025-08-13/amc
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 Rank | Sector 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 Rank | Sector 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 Rank | Sector 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 Rank | Sector 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 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.