DIGITOUCH SPA (DGT.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:DGT - IT0005089476 - Common Stock
2 EUR
+0.02 (+1.01%)
DGT gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 69 industry peers in the Media industry. While DGT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. DGT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DGT was profitable.
In the past year DGT had a positive cash flow from operations.
DGT had positive earnings in 4 of the past 5 years.
In the past 5 years DGT always reported a positive cash flow from operatings.
1.2 Ratios
DGT has a better Return On Assets (3.08%) than 61.76% of its industry peers.
Looking at the Return On Equity, with a value of 8.54%, DGT is in line with its industry, outperforming 57.35% of the companies in the same industry.
DGT's Return On Invested Capital of 9.36% is amongst the best of the industry. DGT outperforms 82.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DGT is in line with the industry average of 8.16%.
The last Return On Invested Capital (9.36%) for DGT is above the 3 year average (8.27%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.08% | ||
| ROE | 8.54% | ||
| ROIC | 9.36% |
ROA(3y)3.87%
ROA(5y)3.02%
ROE(3y)11.26%
ROE(5y)8.84%
ROIC(3y)8.27%
ROIC(5y)7%
1.3 Margins
DGT has a Profit Margin (4.30%) which is comparable to the rest of the industry.
DGT's Profit Margin has improved in the last couple of years.
The Operating Margin of DGT (12.10%) is better than 77.94% of its industry peers.
In the last couple of years the Operating Margin of DGT has grown nicely.
DGT's Gross Margin of 67.49% is fine compared to the rest of the industry. DGT outperforms 66.18% of its industry peers.
DGT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.1% | ||
| PM (TTM) | 4.3% | ||
| GM | 67.49% |
OM growth 3Y10.15%
OM growth 5Y19.29%
PM growth 3Y-7.76%
PM growth 5Y45.7%
GM growth 3Y11.31%
GM growth 5Y12.8%
2. Health
2.1 Basic Checks
DGT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
DGT has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for DGT has been reduced compared to 5 years ago.
The debt/assets ratio for DGT has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.73, we must say that DGT is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.73, DGT perfoms like the industry average, outperforming 58.82% of the companies in the same industry.
DGT has a debt to FCF ratio of 4.32. This is a neutral value as DGT would need 4.32 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.32, DGT is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
DGT has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
DGT's Debt to Equity ratio of 0.32 is fine compared to the rest of the industry. DGT outperforms 69.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 4.32 | ||
| Altman-Z | 1.73 |
ROIC/WACC1.45
WACC6.46%
2.3 Liquidity
DGT has a Current Ratio of 1.21. This is a normal value and indicates that DGT is financially healthy and should not expect problems in meeting its short term obligations.
DGT has a Current ratio of 1.21. This is in the better half of the industry: DGT outperforms 69.12% of its industry peers.
DGT has a Quick Ratio of 1.21. This is a normal value and indicates that DGT is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.21, DGT is doing good in the industry, outperforming 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.21 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.82% over the past year.
DGT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 48.64% yearly.
DGT shows a decrease in Revenue. In the last year, the revenue decreased by -5.02%.
Measured over the past years, DGT shows a small growth in Revenue. The Revenue has been growing by 1.66% on average per year.
EPS 1Y (TTM)5.82%
EPS 3Y-6.68%
EPS 5Y48.64%
EPS Q2Q%0%
Revenue 1Y (TTM)-5.02%
Revenue growth 3Y1.64%
Revenue growth 5Y1.66%
Sales Q2Q%-0.93%
3.2 Future
The Earnings Per Share is expected to grow by 24.87% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 4.58% on average over the next years.
EPS Next Y36.36%
EPS Next 2Y29.98%
EPS Next 3Y24.87%
EPS Next 5YN/A
Revenue Next Year4.84%
Revenue Next 2Y6.11%
Revenue Next 3Y5.86%
Revenue Next 5Y4.58%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.67, which indicates a correct valuation of DGT.
DGT's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.92, DGT is valued a bit cheaper.
With a Price/Forward Earnings ratio of 8.88, the valuation of DGT can be described as very reasonable.
DGT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. DGT is cheaper than 73.53% of the companies in the same industry.
DGT is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.67 | ||
| Fwd PE | 8.88 |
4.2 Price Multiples
DGT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DGT is cheaper than 70.59% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DGT is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.58 | ||
| EV/EBITDA | 4.66 |
4.3 Compensation for Growth
DGT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of DGT may justify a higher PE ratio.
DGT's earnings are expected to grow with 24.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.46
PEG (5Y)0.34
EPS Next 2Y29.98%
EPS Next 3Y24.87%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.49%, DGT has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.29, DGT has a dividend in line with its industry peers.
DGT's Dividend Yield is slightly below the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
5.2 History
The dividend of DGT has a limited annual growth rate of 4.87%.
Dividend Growth(5Y)4.87%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
21.40% of the earnings are spent on dividend by DGT. This is a low number and sustainable payout ratio.
DGT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP21.4%
EPS Next 2Y29.98%
EPS Next 3Y24.87%
BIT:DGT (1/7/2026, 7:00:00 PM)
2
+0.02 (+1.01%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners4.09%
Inst Owner ChangeN/A
Ins Owners41.4%
Ins Owner ChangeN/A
Market Cap27.80M
Revenue(TTM)38.69M
Net Income(TTM)1.67M
Analysts84
Price Target3.06 (53%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
Yearly Dividend0.03
Dividend Growth(5Y)4.87%
DP21.4%
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)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.67 | ||
| Fwd PE | 8.88 | ||
| P/S | 0.72 | ||
| P/FCF | 9.58 | ||
| P/OCF | 8.84 | ||
| P/B | 1.43 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.66 |
EPS(TTM)0.12
EY6%
EPS(NY)0.23
Fwd EY11.26%
FCF(TTM)0.21
FCFY10.44%
OCF(TTM)0.23
OCFY11.32%
SpS2.78
BVpS1.4
TBVpS-0.12
PEG (NY)0.46
PEG (5Y)0.34
Graham Number1.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.08% | ||
| ROE | 8.54% | ||
| ROCE | 15.72% | ||
| ROIC | 9.36% | ||
| ROICexc | 11.3% | ||
| ROICexgc | 79.03% | ||
| OM | 12.1% | ||
| PM (TTM) | 4.3% | ||
| GM | 67.49% | ||
| FCFM | 7.5% |
ROA(3y)3.87%
ROA(5y)3.02%
ROE(3y)11.26%
ROE(5y)8.84%
ROIC(3y)8.27%
ROIC(5y)7%
ROICexc(3y)10.99%
ROICexc(5y)9.63%
ROICexgc(3y)111%
ROICexgc(5y)154.86%
ROCE(3y)13.88%
ROCE(5y)11.75%
ROICexgc growth 3Y-17.77%
ROICexgc growth 5YN/A
ROICexc growth 3Y3.28%
ROICexc growth 5Y5.68%
OM growth 3Y10.15%
OM growth 5Y19.29%
PM growth 3Y-7.76%
PM growth 5Y45.7%
GM growth 3Y11.31%
GM growth 5Y12.8%
F-Score7
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 4.32 | ||
| Debt/EBITDA | 0.84 | ||
| Cap/Depr | 9.14% | ||
| Cap/Sales | 0.63% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 42.73% | ||
| Profit Quality | 174.18% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.21 | ||
| Altman-Z | 1.73 |
F-Score7
WACC6.46%
ROIC/WACC1.45
Cap/Depr(3y)25.83%
Cap/Depr(5y)41.06%
Cap/Sales(3y)1.68%
Cap/Sales(5y)3.42%
Profit Quality(3y)117.43%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.82%
EPS 3Y-6.68%
EPS 5Y48.64%
EPS Q2Q%0%
EPS Next Y36.36%
EPS Next 2Y29.98%
EPS Next 3Y24.87%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.02%
Revenue growth 3Y1.64%
Revenue growth 5Y1.66%
Sales Q2Q%-0.93%
Revenue Next Year4.84%
Revenue Next 2Y6.11%
Revenue Next 3Y5.86%
Revenue Next 5Y4.58%
EBIT growth 1Y30.56%
EBIT growth 3Y11.96%
EBIT growth 5Y21.27%
EBIT Next Year105.13%
EBIT Next 3Y36.87%
EBIT Next 5Y19.15%
FCF growth 1Y-30.06%
FCF growth 3Y1.96%
FCF growth 5Y43.54%
OCF growth 1Y-32.82%
OCF growth 3Y-0.44%
OCF growth 5Y23.05%
DIGITOUCH SPA / DGT.MI FAQ
Can you provide the ChartMill fundamental rating for DIGITOUCH SPA?
ChartMill assigns a fundamental rating of 6 / 10 to DGT.MI.
Can you provide the valuation status for DIGITOUCH SPA?
ChartMill assigns a valuation rating of 6 / 10 to DIGITOUCH SPA (DGT.MI). This can be considered as Fairly Valued.
What is the profitability of DGT stock?
DIGITOUCH SPA (DGT.MI) has a profitability rating of 7 / 10.
What is the earnings growth outlook for DIGITOUCH SPA?
The Earnings per Share (EPS) of DIGITOUCH SPA (DGT.MI) is expected to grow by 36.36% in the next year.
How sustainable is the dividend of DIGITOUCH SPA (DGT.MI) stock?
The dividend rating of DIGITOUCH SPA (DGT.MI) is 4 / 10 and the dividend payout ratio is 21.4%.