DHH SPA (DHH.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:DHH - IT0005203622 - Common Stock
23.4 EUR
+0.7 (+3.08%)
Overall DHH gets a fundamental rating of 5 out of 10. We evaluated DHH against 68 industry peers in the IT Services industry. DHH scores excellent on profitability, but there are some minor concerns on its financial health. DHH is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
DHH had positive earnings in the past year.
In the past year DHH had a positive cash flow from operations.
DHH had positive earnings in each of the past 5 years.
DHH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DHH has a better Return On Assets (5.26%) than 60.29% of its industry peers.
DHH's Return On Equity of 12.73% is in line compared to the rest of the industry. DHH outperforms 55.88% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.08%, DHH is in line with its industry, outperforming 48.53% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for DHH is below the industry average of 11.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 12.73% | ||
| ROIC | 8.08% |
ROA(3y)3.93%
ROA(5y)4.47%
ROE(3y)8.68%
ROE(5y)9.26%
ROIC(3y)8.73%
ROIC(5y)7.32%
1.3 Margins
Looking at the Profit Margin, with a value of 10.05%, DHH belongs to the top of the industry, outperforming 91.18% of the companies in the same industry.
DHH's Profit Margin has improved in the last couple of years.
DHH has a better Operating Margin (18.89%) than 97.06% of its industry peers.
DHH's Operating Margin has improved in the last couple of years.
DHH has a better Gross Margin (93.24%) than 91.18% of its industry peers.
DHH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.89% | ||
| PM (TTM) | 10.05% | ||
| GM | 93.24% |
OM growth 3Y-2.06%
OM growth 5Y54.36%
PM growth 3Y-14.91%
PM growth 5Y46.79%
GM growth 3Y-0.79%
GM growth 5Y-1.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DHH is still creating some value.
DHH has more shares outstanding than it did 1 year ago.
The number of shares outstanding for DHH has been increased compared to 5 years ago.
Compared to 1 year ago, DHH has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.21 indicates that DHH is not in any danger for bankruptcy at the moment.
The Altman-Z score of DHH (3.21) is better than 64.71% of its industry peers.
The Debt to FCF ratio of DHH is 3.64, which is a good value as it means it would take DHH, 3.64 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 3.64, DHH perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
A Debt/Equity ratio of 0.51 indicates that DHH is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.51, DHH perfoms like the industry average, outperforming 45.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.64 | ||
| Altman-Z | 3.21 |
ROIC/WACC1.08
WACC7.48%
2.3 Liquidity
A Current Ratio of 1.29 indicates that DHH should not have too much problems paying its short term obligations.
DHH has a Current ratio (1.29) which is in line with its industry peers.
DHH has a Quick Ratio of 1.26. This is a normal value and indicates that DHH is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of DHH (1.26) is better than 63.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
DHH shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.53%.
DHH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 62.49% yearly.
The Revenue has been growing slightly by 6.82% in the past year.
DHH shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 39.65% yearly.
EPS 1Y (TTM)-5.53%
EPS 3Y3.98%
EPS 5Y62.49%
EPS Q2Q%3.55%
Revenue 1Y (TTM)6.82%
Revenue growth 3Y22.43%
Revenue growth 5Y39.65%
Sales Q2Q%9.01%
3.2 Future
Based on estimates for the next years, DHH will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.37% on average per year.
Based on estimates for the next years, DHH will show a small growth in Revenue. The Revenue will grow by 7.56% on average per year.
EPS Next Y5.73%
EPS Next 2Y9.72%
EPS Next 3Y11.37%
EPS Next 5YN/A
Revenue Next Year15.35%
Revenue Next 2Y10.64%
Revenue Next 3Y9.18%
Revenue Next 5Y7.56%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 30.79, the valuation of DHH can be described as expensive.
Based on the Price/Earnings ratio, DHH is valued a bit more expensive than the industry average as 61.76% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 26.77. DHH is around the same levels.
Based on the Price/Forward Earnings ratio of 23.31, the valuation of DHH can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as DHH.
DHH's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.79 | ||
| Fwd PE | 23.31 |
4.2 Price Multiples
DHH's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as DHH.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.07 | ||
| EV/EBITDA | 9.76 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of DHH may justify a higher PE ratio.
PEG (NY)5.37
PEG (5Y)0.49
EPS Next 2Y9.72%
EPS Next 3Y11.37%
5. Dividend
5.1 Amount
No dividends for DHH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BIT:DHH (12/29/2025, 7:00:00 PM)
23.4
+0.7 (+3.08%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners3.21%
Inst Owner ChangeN/A
Ins Owners68.88%
Ins Owner ChangeN/A
Market Cap122.62M
Revenue(TTM)37.51M
Net Income(TTM)3.77M
Analysts83.33
Price Target34.6 (47.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
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)17.41%
PT rev (3m)16.86%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.69%
EPS NY rev (3m)-12.61%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)2.54%
Revenue NY rev (3m)-0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.79 | ||
| Fwd PE | 23.31 | ||
| P/S | 3.27 | ||
| P/FCF | 21.07 | ||
| P/OCF | 9.98 | ||
| P/B | 4.14 | ||
| P/tB | 17.66 | ||
| EV/EBITDA | 9.76 |
EPS(TTM)0.76
EY3.25%
EPS(NY)1
Fwd EY4.29%
FCF(TTM)1.11
FCFY4.75%
OCF(TTM)2.34
OCFY10.02%
SpS7.16
BVpS5.65
TBVpS1.32
PEG (NY)5.37
PEG (5Y)0.49
Graham Number9.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 12.73% | ||
| ROCE | 13.66% | ||
| ROIC | 8.08% | ||
| ROICexc | 11.87% | ||
| ROICexgc | 33.1% | ||
| OM | 18.89% | ||
| PM (TTM) | 10.05% | ||
| GM | 93.24% | ||
| FCFM | 15.51% |
ROA(3y)3.93%
ROA(5y)4.47%
ROE(3y)8.68%
ROE(5y)9.26%
ROIC(3y)8.73%
ROIC(5y)7.32%
ROICexc(3y)12.23%
ROICexc(5y)10.48%
ROICexgc(3y)26.87%
ROICexgc(5y)29.48%
ROCE(3y)15.07%
ROCE(5y)12.92%
ROICexgc growth 3Y-10.28%
ROICexgc growth 5YN/A
ROICexc growth 3Y6.52%
ROICexc growth 5Y53.67%
OM growth 3Y-2.06%
OM growth 5Y54.36%
PM growth 3Y-14.91%
PM growth 5Y46.79%
GM growth 3Y-0.79%
GM growth 5Y-1.44%
F-Score5
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.64 | ||
| Debt/EBITDA | 1.2 | ||
| Cap/Depr | 116.31% | ||
| Cap/Sales | 17.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.15% | ||
| Profit Quality | 154.41% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 3.21 |
F-Score5
WACC7.48%
ROIC/WACC1.08
Cap/Depr(3y)89.93%
Cap/Depr(5y)88.5%
Cap/Sales(3y)13.53%
Cap/Sales(5y)12.57%
Profit Quality(3y)392.65%
Profit Quality(5y)477.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.53%
EPS 3Y3.98%
EPS 5Y62.49%
EPS Q2Q%3.55%
EPS Next Y5.73%
EPS Next 2Y9.72%
EPS Next 3Y11.37%
EPS Next 5YN/A
Revenue 1Y (TTM)6.82%
Revenue growth 3Y22.43%
Revenue growth 5Y39.65%
Sales Q2Q%9.01%
Revenue Next Year15.35%
Revenue Next 2Y10.64%
Revenue Next 3Y9.18%
Revenue Next 5Y7.56%
EBIT growth 1Y-0.33%
EBIT growth 3Y19.91%
EBIT growth 5Y115.56%
EBIT Next Year89.59%
EBIT Next 3Y31.31%
EBIT Next 5YN/A
FCF growth 1Y-12.19%
FCF growth 3Y-4.43%
FCF growth 5Y23.86%
OCF growth 1Y2.95%
OCF growth 3Y15.1%
OCF growth 5Y55.96%
DHH SPA / DHH.MI FAQ
What is the fundamental rating for DHH stock?
ChartMill assigns a fundamental rating of 5 / 10 to DHH.MI.
Can you provide the valuation status for DHH SPA?
ChartMill assigns a valuation rating of 2 / 10 to DHH SPA (DHH.MI). This can be considered as Overvalued.
How profitable is DHH SPA (DHH.MI) stock?
DHH SPA (DHH.MI) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for DHH stock?
The Earnings per Share (EPS) of DHH SPA (DHH.MI) is expected to grow by 5.73% in the next year.
How sustainable is the dividend of DHH SPA (DHH.MI) stock?
The dividend rating of DHH SPA (DHH.MI) is 0 / 10 and the dividend payout ratio is 0%.