5.69 USD
-0.02 (-0.35%)
Last: Feb 2, 2026, 09:40 AM
DLHC gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 89 industry peers in the Professional Services industry. Both the profitability and financial health of DLHC have multiple concerns. DLHC has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
- DLHC had positive earnings in the past year.
- DLHC had a positive operating cash flow in the past year.
- Each year in the past 5 years DLHC has been profitable.
- Each year in the past 5 years DLHC had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of DLHC (0.47%) is comparable to the rest of the industry.
- DLHC has a Return On Equity (1.21%) which is in line with its industry peers.
- DLHC's Return On Invested Capital of 5.86% is in line compared to the rest of the industry. DLHC outperforms 52.81% of its industry peers.
- DLHC had an Average Return On Invested Capital over the past 3 years of 7.48%. This is below the industry average of 12.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.47% | ||
| ROE | 1.21% | ||
| ROIC | 5.86% |
ROA(3y)1.08%
ROA(5y)4.44%
ROE(3y)3.12%
ROE(5y)10.02%
ROIC(3y)7.48%
ROIC(5y)11.41%
1.3 Margins
- DLHC's Profit Margin of 0.40% is in line compared to the rest of the industry. DLHC outperforms 47.19% of its industry peers.
- In the last couple of years the Profit Margin of DLHC has declined.
- DLHC's Operating Margin of 4.87% is in line compared to the rest of the industry. DLHC outperforms 52.81% of its industry peers.
- DLHC's Operating Margin has declined in the last couple of years.
- With a Gross Margin value of 18.92%, DLHC is not doing good in the industry: 73.03% of the companies in the same industry are doing better.
- In the last couple of years the Gross Margin of DLHC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.87% | ||
| PM (TTM) | 0.4% | ||
| GM | 18.92% |
OM growth 3Y-17.18%
OM growth 5Y-6.68%
PM growth 3Y-59.37%
PM growth 5Y-34.95%
GM growth 3Y1.12%
GM growth 5Y-2.8%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DLHC is destroying value.
- The number of shares outstanding for DLHC has been increased compared to 1 year ago.
- The number of shares outstanding for DLHC has been increased compared to 5 years ago.
- DLHC has a better debt/assets ratio than last year.
2.2 Solvency
- DLHC has an Altman-Z score of 1.71. This is a bad value and indicates that DLHC is not financially healthy and even has some risk of bankruptcy.
- DLHC has a Altman-Z score (1.71) which is comparable to the rest of the industry.
- DLHC has a debt to FCF ratio of 5.57. This is a neutral value as DLHC would need 5.57 years to pay back of all of its debts.
- DLHC has a Debt to FCF ratio (5.57) which is comparable to the rest of the industry.
- A Debt/Equity ratio of 1.06 is on the high side and indicates that DLHC has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.06, DLHC is not doing good in the industry: 69.66% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 5.57 | ||
| Altman-Z | 1.71 |
ROIC/WACC0.57
WACC10.21%
2.3 Liquidity
- DLHC has a Current Ratio of 1.00. This is a bad value and indicates that DLHC is not financially healthy enough and could expect problems in meeting its short term obligations.
- DLHC's Current ratio of 1.00 is on the low side compared to the rest of the industry. DLHC is outperformed by 74.16% of its industry peers.
- DLHC has a Quick Ratio of 1.00. This is a bad value and indicates that DLHC is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of DLHC (1.00) is worse than 74.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
- DLHC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -80.39%.
- DLHC shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -29.88% yearly.
- Looking at the last year, DLHC shows a very negative growth in Revenue. The Revenue has decreased by -12.99% in the last year.
- DLHC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.49% yearly.
EPS 1Y (TTM)-80.39%
EPS 3Y-57.47%
EPS 5Y-29.88%
EPS Q2Q%-137.5%
Revenue 1Y (TTM)-12.99%
Revenue growth 3Y-4.47%
Revenue growth 5Y10.49%
Sales Q2Q%-15.8%
3.2 Future
- The Earnings Per Share is expected to decrease by -51.86% on average over the next years. This is quite bad
- Based on estimates for the next years, DLHC will show a very negative growth in Revenue. The Revenue will decrease by -14.42% on average per year.
EPS Next Y-457%
EPS Next 2Y-51.86%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-32.07%
Revenue Next 2Y-14.42%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 56.90, DLHC can be considered very expensive at the moment.
- DLHC's Price/Earnings ratio is a bit more expensive when compared to the industry. DLHC is more expensive than 61.80% of the companies in the same industry.
- DLHC is valuated expensively when we compare the Price/Earnings ratio to 28.32, which is the current average of the S&P500 Index.
- DLHC is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.9 | ||
| Fwd PE | N/A |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DLHC is valued cheaply inside the industry as 91.01% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, DLHC is valued cheaper than 98.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.56 | ||
| EV/EBITDA | 6.18 |
4.3 Compensation for Growth
- A cheap valuation may be justified as DLHC's earnings are expected to decrease with -51.86% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-51.86%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- DLHC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
DLH HOLDINGS CORP / DLHC FAQ
What is the fundamental rating for DLHC stock?
ChartMill assigns a fundamental rating of 2 / 10 to DLHC.
What is the valuation status of DLH HOLDINGS CORP (DLHC) stock?
ChartMill assigns a valuation rating of 2 / 10 to DLH HOLDINGS CORP (DLHC). This can be considered as Overvalued.
What is the profitability of DLHC stock?
DLH HOLDINGS CORP (DLHC) has a profitability rating of 3 / 10.
What is the valuation of DLH HOLDINGS CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DLH HOLDINGS CORP (DLHC) is 56.9 and the Price/Book (PB) ratio is 0.72.
How financially healthy is DLH HOLDINGS CORP?
The financial health rating of DLH HOLDINGS CORP (DLHC) is 1 / 10.