DHI GROUP INC (DHX) Stock Fundamental Analysis
USA - NYSE:DHX - US23331S1006 - Common Stock
2.88 USD
+0.07 (+2.49%)
2.88 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to DHX. DHX was compared to 69 industry peers in the Interactive Media & Services industry. While DHX is still in line with the averages on profitability rating, there are concerns on its financial health. DHX has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
DHX had positive earnings in the past year.
DHX had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: DHX reported negative net income in multiple years.
In the past 5 years DHX always reported a positive cash flow from operatings.
1.2 Ratios
DHX has a Return On Assets (-4.57%) which is in line with its industry peers.
With a Return On Equity value of -9.14%, DHX perfoms like the industry average, outperforming 46.38% of the companies in the same industry.
The Return On Invested Capital of DHX (3.98%) is better than 68.12% of its industry peers.
DHX had an Average Return On Invested Capital over the past 3 years of 3.66%. This is significantly below the industry average of 12.98%.
The 3 year average ROIC (3.66%) for DHX is below the current ROIC(3.98%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.57% | ||
| ROE | -9.14% | ||
| ROIC | 3.98% |
ROA(3y)1.17%
ROA(5y)-4.47%
ROE(3y)2.47%
ROE(5y)-8.33%
ROIC(3y)3.66%
ROIC(5y)3.04%
1.3 Margins
In the last couple of years the Profit Margin of DHX has declined.
Looking at the Operating Margin, with a value of 5.36%, DHX is in the better half of the industry, outperforming 62.32% of the companies in the same industry.
In the last couple of years the Operating Margin of DHX has declined.
DHX has a Gross Margin of 84.65%. This is amongst the best in the industry. DHX outperforms 85.51% of its industry peers.
DHX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.36% | ||
| PM (TTM) | N/A | ||
| GM | 84.65% |
OM growth 3Y235.07%
OM growth 5Y-16.43%
PM growth 3YN/A
PM growth 5Y-53.76%
GM growth 3Y-0.64%
GM growth 5Y-0.76%
2. Health
2.1 Basic Checks
DHX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, DHX has more shares outstanding
Compared to 5 years ago, DHX has less shares outstanding
The debt/assets ratio for DHX has been reduced compared to a year ago.
2.2 Solvency
DHX has an Altman-Z score of 1.52. This is a bad value and indicates that DHX is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of DHX (1.52) is comparable to the rest of the industry.
DHX has a debt to FCF ratio of 3.41. This is a good value and a sign of high solvency as DHX would need 3.41 years to pay back of all of its debts.
DHX has a better Debt to FCF ratio (3.41) than 66.67% of its industry peers.
A Debt/Equity ratio of 0.29 indicates that DHX is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.29, DHX is in line with its industry, outperforming 42.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.41 | ||
| Altman-Z | 1.52 |
ROIC/WACC0.4
WACC9.95%
2.3 Liquidity
A Current Ratio of 0.42 indicates that DHX may have some problems paying its short term obligations.
DHX's Current ratio of 0.42 is on the low side compared to the rest of the industry. DHX is outperformed by 91.30% of its industry peers.
A Quick Ratio of 0.42 indicates that DHX may have some problems paying its short term obligations.
With a Quick ratio value of 0.42, DHX is not doing good in the industry: 91.30% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 27.78% over the past year.
The Earnings Per Share has been decreasing by -3.16% on average over the past years.
The Revenue has decreased by -8.31% in the past year.
DHX shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.02% yearly.
EPS 1Y (TTM)27.78%
EPS 3YN/A
EPS 5Y-3.16%
EPS Q2Q%16.67%
Revenue 1Y (TTM)-8.31%
Revenue growth 3Y5.78%
Revenue growth 5Y-1.02%
Sales Q2Q%-10.62%
3.2 Future
DHX is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -13.60% yearly.
DHX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -6.33% yearly.
EPS Next Y-15.1%
EPS Next 2Y-13.6%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-10.41%
Revenue Next 2Y-6.33%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
The Price/Earnings ratio is 12.52, which indicates a correct valuation of DHX.
Compared to the rest of the industry, the Price/Earnings ratio of DHX indicates a somewhat cheap valuation: DHX is cheaper than 76.81% of the companies listed in the same industry.
DHX is valuated cheaply when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 16.77, the valuation of DHX can be described as correct.
Based on the Price/Forward Earnings ratio, DHX is valued a bit cheaper than 62.32% of the companies in the same industry.
DHX's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.52 | ||
| Fwd PE | 16.77 |
4.2 Price Multiples
DHX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. DHX is cheaper than 88.41% of the companies in the same industry.
DHX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. DHX is cheaper than 75.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.7 | ||
| EV/EBITDA | 6.93 |
4.3 Compensation for Growth
DHX's earnings are expected to decrease with -13.60% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-13.6%
EPS Next 3YN/A
5. Dividend
5.1 Amount
DHX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
2.88
+0.07 (+2.49%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners67.22%
Inst Owner Change-0.37%
Ins Owners16.27%
Ins Owner Change4.41%
Market Cap138.27M
Analysts80
Price Target5.93 (105.9%)
Short Float %0.21%
Short Ratio0.62
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)2
Avg EPS beat(2)345.42%
Min EPS beat(2)197.07%
Max EPS beat(2)493.76%
EPS beat(4)4
Avg EPS beat(4)267.9%
Min EPS beat(4)65.02%
Max EPS beat(4)493.76%
EPS beat(8)7
Avg EPS beat(8)156.22%
EPS beat(12)10
Avg EPS beat(12)183.35%
EPS beat(16)12
Avg EPS beat(16)149.77%
Revenue beat(2)0
Avg Revenue beat(2)-1.23%
Min Revenue beat(2)-1.45%
Max Revenue beat(2)-1%
Revenue beat(4)1
Avg Revenue beat(4)-0.74%
Min Revenue beat(4)-1.45%
Max Revenue beat(4)0.45%
Revenue beat(8)2
Avg Revenue beat(8)-0.74%
Revenue beat(12)5
Avg Revenue beat(12)-0.2%
Revenue beat(16)9
Avg Revenue beat(16)0.78%
PT rev (1m)-1.06%
PT rev (3m)22.37%
EPS NQ rev (1m)6.66%
EPS NQ rev (3m)33.33%
EPS NY rev (1m)0%
EPS NY rev (3m)34.88%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.08%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.52 | ||
| Fwd PE | 16.77 | ||
| P/S | 1.03 | ||
| P/FCF | 15.7 | ||
| P/OCF | 7.27 | ||
| P/B | 1.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.93 |
EPS(TTM)0.23
EY7.99%
EPS(NY)0.17
Fwd EY5.96%
FCF(TTM)0.18
FCFY6.37%
OCF(TTM)0.4
OCFY13.75%
SpS2.8
BVpS2.13
TBVpS-0.87
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.57% | ||
| ROE | -9.14% | ||
| ROCE | 5.03% | ||
| ROIC | 3.98% | ||
| ROICexc | 4.06% | ||
| ROICexgc | N/A | ||
| OM | 5.36% | ||
| PM (TTM) | N/A | ||
| GM | 84.65% | ||
| FCFM | 6.55% |
ROA(3y)1.17%
ROA(5y)-4.47%
ROE(3y)2.47%
ROE(5y)-8.33%
ROIC(3y)3.66%
ROIC(5y)3.04%
ROICexc(3y)3.75%
ROICexc(5y)3.13%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)4.63%
ROCE(5y)3.85%
ROICexcg growth 3Y308.37%
ROICexcg growth 5Y-14.06%
ROICexc growth 3Y255.67%
ROICexc growth 5Y-13.05%
OM growth 3Y235.07%
OM growth 5Y-16.43%
PM growth 3YN/A
PM growth 5Y-53.76%
GM growth 3Y-0.64%
GM growth 5Y-0.76%
F-Score5
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.41 | ||
| Debt/EBITDA | 1.26 | ||
| Cap/Depr | 61.19% | ||
| Cap/Sales | 7.59% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.61% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 1.52 |
F-Score5
WACC9.95%
ROIC/WACC0.4
Cap/Depr(3y)100.02%
Cap/Depr(5y)103.51%
Cap/Sales(3y)11.72%
Cap/Sales(5y)11.77%
Profit Quality(3y)1091.74%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)27.78%
EPS 3YN/A
EPS 5Y-3.16%
EPS Q2Q%16.67%
EPS Next Y-15.1%
EPS Next 2Y-13.6%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-8.31%
Revenue growth 3Y5.78%
Revenue growth 5Y-1.02%
Sales Q2Q%-10.62%
Revenue Next Year-10.41%
Revenue Next 2Y-6.33%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-28.09%
EBIT growth 3Y254.44%
EBIT growth 5Y-17.28%
EBIT Next Year289.15%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y46.82%
FCF growth 3Y-20.72%
FCF growth 5Y-4.01%
OCF growth 1Y-22.93%
OCF growth 3Y-9.7%
OCF growth 5Y-1.69%