DHI GROUP INC (DHX)
US23331S1006 - Common Stock
DHX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 68 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 decent growth rate and is not valued too expensively.
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.
In multiple years DHX reported negative net income over the last 5 years.
DHX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 1.55%, DHX is doing good in the industry, outperforming 64.18% of the companies in the same industry.
With a decent Return On Equity value of 3.25%, DHX is doing good in the industry, outperforming 64.18% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.40%, DHX is in the better half of the industry, outperforming 77.61% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for DHX is significantly below the industry average of 9.68%.
The 3 year average ROIC (2.45%) for DHX is below the current ROIC(4.40%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 3.25% | ||
| ROIC | 4.4% |
ROA(3y)-3.34%
ROA(5y)-3.59%
ROE(3y)-6.13%
ROE(5y)-6.82%
ROIC(3y)2.45%
ROIC(5y)3.79%
1.3 Margins
Looking at the Profit Margin, with a value of 2.30%, DHX is in the better half of the industry, outperforming 64.18% of the companies in the same industry.
DHX's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 5.73%, DHX is in the better half of the industry, outperforming 70.15% of the companies in the same industry.
In the last couple of years the Operating Margin of DHX has declined.
DHX has a better Gross Margin (86.97%) than 83.58% of its industry peers.
In the last couple of years the Gross Margin of DHX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.73% | ||
| PM (TTM) | 2.3% | ||
| GM | 86.97% |
OM growth 3Y-5.17%
OM growth 5Y-10.36%
PM growth 3YN/A
PM growth 5Y-12.4%
GM growth 3Y-0.21%
GM growth 5Y-0.37%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DHX is destroying value.
The number of shares outstanding for DHX has been reduced compared to 1 year ago.
Compared to 5 years ago, DHX has less shares outstanding
The debt/assets ratio for DHX is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.45, we must say that DHX is in the distress zone and has some risk of bankruptcy.
DHX has a Altman-Z score (1.45) which is comparable to the rest of the industry.
DHX has a debt to FCF ratio of 34.77. This is a negative value and a sign of low solvency as DHX would need 34.77 years to pay back of all of its debts.
DHX has a Debt to FCF ratio of 34.77. This is comparable to the rest of the industry: DHX outperforms 55.22% of its industry peers.
DHX has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
DHX's Debt to Equity ratio of 0.35 is on the low side compared to the rest of the industry. DHX is outperformed by 70.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 34.77 | ||
| Altman-Z | 1.45 |
ROIC/WACC0.48
WACC9.24%
2.3 Liquidity
A Current Ratio of 0.45 indicates that DHX may have some problems paying its short term obligations.
DHX has a Current ratio of 0.45. This is amonst the worse of the industry: DHX underperforms 95.52% of its industry peers.
A Quick Ratio of 0.45 indicates that DHX may have some problems paying its short term obligations.
DHX has a Quick ratio of 0.45. This is amonst the worse of the industry: DHX underperforms 95.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.11% over the past year.
Measured over the past years, DHX shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -16.06% on average per year.
DHX shows a small growth in Revenue. In the last year, the Revenue has grown by 1.47%.
The Revenue has been decreasing by -1.23% on average over the past years.
EPS 1Y (TTM)11.11%
EPS 3Y-12.64%
EPS 5Y-16.06%
EPS growth Q2Q-20%
Revenue 1Y (TTM)1.47%
Revenue growth 3Y3.52%
Revenue growth 5Y-1.23%
Revenue growth Q2Q-6.22%
3.2 Future
The Earnings Per Share is expected to grow by 52.41% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 0.78% on average over the next years.
EPS Next Y76.75%
EPS Next 2Y52.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.19%
Revenue Next 2Y0.78%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 28.30 indicates a quite expensive valuation of DHX.
70.15% of the companies in the same industry are more expensive than DHX, based on the Price/Earnings ratio.
DHX's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.02.
A Price/Forward Earnings ratio of 16.01 indicates a correct valuation of DHX.
Based on the Price/Forward Earnings ratio, DHX is valued a bit cheaper than 79.10% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.58. DHX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.3 | ||
| Fwd PE | 16.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DHX is valued cheaply inside the industry as 88.06% of the companies are valued more expensively.
DHX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 124.36 | ||
| EV/EBITDA | 6.32 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of DHX may justify a higher PE ratio.
DHX's earnings are expected to grow with 52.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y52.41%
EPS Next 3YN/A
5. Dividend
5.1 Amount
DHX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DHI GROUP INC
NYSE:DHX (5/7/2024, 3:10:03 PM)
After market: 2.69 -0.14 (-4.95%)2.83
+0.16 (+5.99%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap135.92M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.3 | ||
| Fwd PE | 16.01 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.37
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 3.25% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.73% | ||
| PM (TTM) | 2.3% | ||
| GM | 86.97% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)11.11%
EPS 3Y-12.64%
EPS 5Y
EPS growth Q2Q
EPS Next Y76.75%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)1.47%
Revenue growth 3Y3.52%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y