DORMAN PRODUCTS INC (DORM) Stock Fundamental Analysis
NASDAQ:DORM - Nasdaq - US2582781009 - Common Stock - Currency: USD
DORM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 81 industry peers in the Automobile Components industry. DORM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DORM is quite expensive at the moment. It does show a decent growth rate. These ratings could make DORM a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
DORM had positive earnings in the past year.
DORM had a positive operating cash flow in the past year.
Each year in the past 5 years DORM has been profitable.
In the past 5 years DORM always reported a positive cash flow from operatings.
1.2 Ratios
DORM's Return On Assets of 8.84% is amongst the best of the industry. DORM outperforms 92.59% of its industry peers.
DORM has a better Return On Equity (16.05%) than 92.59% of its industry peers.
The Return On Invested Capital of DORM (12.64%) is better than 92.59% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DORM is in line with the industry average of 9.05%.
The last Return On Invested Capital (12.64%) for DORM is above the 3 year average (9.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.84% | ||
| ROE | 16.05% | ||
| ROIC | 12.64% |
ROA(3y)6.22%
ROA(5y)7.06%
ROE(3y)12.47%
ROE(5y)12.81%
ROIC(3y)9.34%
ROIC(5y)9.92%
1.3 Margins
Looking at the Profit Margin, with a value of 10.48%, DORM belongs to the top of the industry, outperforming 97.53% of the companies in the same industry.
In the last couple of years the Profit Margin of DORM has grown nicely.
With an excellent Operating Margin value of 15.55%, DORM belongs to the best of the industry, outperforming 98.77% of the companies in the same industry.
In the last couple of years the Operating Margin of DORM has grown nicely.
Looking at the Gross Margin, with a value of 40.65%, DORM belongs to the top of the industry, outperforming 93.83% of the companies in the same industry.
In the last couple of years the Gross Margin of DORM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.55% | ||
| PM (TTM) | 10.48% | ||
| GM | 40.65% |
OM growth 3Y4.55%
OM growth 5Y6.44%
PM growth 3Y-1.1%
PM growth 5Y2.27%
GM growth 3Y5.26%
GM growth 5Y3.2%
2. Health
2.1 Basic Checks
DORM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for DORM has been reduced compared to 1 year ago.
Compared to 5 years ago, DORM has less shares outstanding
DORM has a better debt/assets ratio than last year.
2.2 Solvency
DORM has an Altman-Z score of 4.55. This indicates that DORM is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of DORM (4.55) is better than 83.95% of its industry peers.
DORM has a debt to FCF ratio of 2.42. This is a good value and a sign of high solvency as DORM would need 2.42 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.42, DORM belongs to the top of the industry, outperforming 92.59% of the companies in the same industry.
A Debt/Equity ratio of 0.33 indicates that DORM is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.33, DORM is not doing good in the industry: 65.43% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for DORM, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.42 | ||
| Altman-Z | 4.55 |
ROIC/WACC1.35
WACC9.38%
2.3 Liquidity
A Current Ratio of 2.62 indicates that DORM has no problem at all paying its short term obligations.
DORM has a better Current ratio (2.62) than 82.72% of its industry peers.
A Quick Ratio of 1.22 indicates that DORM should not have too much problems paying its short term obligations.
DORM's Quick ratio of 1.22 is fine compared to the rest of the industry. DORM outperforms 74.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.22 |
3. Growth
3.1 Past
DORM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 48.39%, which is quite impressive.
Measured over the past years, DORM shows a very strong growth in Earnings Per Share. The EPS has been growing by 21.83% on average per year.
DORM shows a small growth in Revenue. In the last year, the Revenue has grown by 6.03%.
DORM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.18% yearly.
EPS 1Y (TTM)48.39%
EPS 3Y15.37%
EPS 5Y21.83%
EPS Q2Q%54.2%
Revenue 1Y (TTM)6.03%
Revenue growth 3Y14.31%
Revenue growth 5Y15.18%
Sales Q2Q%8.32%
3.2 Future
The Earnings Per Share is expected to grow by 9.46% on average over the next years. This is quite good.
DORM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.76% yearly.
EPS Next Y11.5%
EPS Next 2Y9.46%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.75%
Revenue Next 2Y4.76%
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
Based on the Price/Earnings ratio of 16.47, the valuation of DORM can be described as correct.
DORM's Price/Earnings ratio is in line with the industry average.
DORM is valuated rather cheaply when we compare the Price/Earnings ratio to 26.25, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 15.11 indicates a correct valuation of DORM.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DORM indicates a slightly more expensive valuation: DORM is more expensive than 61.73% of the companies listed in the same industry.
DORM's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.15.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.47 | ||
| Fwd PE | 15.11 |
4.2 Price Multiples
DORM's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. DORM is more expensive than 70.37% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DORM is valued a bit more expensive than the industry average as 60.49% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.69 | ||
| EV/EBITDA | 11.48 |
4.3 Compensation for Growth
DORM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of DORM may justify a higher PE ratio.
PEG (NY)1.43
PEG (5Y)0.75
EPS Next 2Y9.46%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for DORM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
129.31
+1.24 (+0.97%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners81.24%
Inst Owner Change5.06%
Ins Owners14.98%
Ins Owner Change-7.32%
Market Cap3.95B
Analysts82
Price Target148.67 (14.97%)
Short Float %3.8%
Short Ratio3.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)22.89%
Min EPS beat(2)9.67%
Max EPS beat(2)36.11%
EPS beat(4)4
Avg EPS beat(4)27.34%
Min EPS beat(4)9.67%
Max EPS beat(4)37.78%
EPS beat(8)6
Avg EPS beat(8)19.23%
EPS beat(12)6
Avg EPS beat(12)8.17%
EPS beat(16)8
Avg EPS beat(16)6.1%
Revenue beat(2)1
Avg Revenue beat(2)1.53%
Min Revenue beat(2)-0.28%
Max Revenue beat(2)3.34%
Revenue beat(4)1
Avg Revenue beat(4)-0.48%
Min Revenue beat(4)-3.19%
Max Revenue beat(4)3.34%
Revenue beat(8)1
Avg Revenue beat(8)-1.83%
Revenue beat(12)3
Avg Revenue beat(12)-0.7%
Revenue beat(16)7
Avg Revenue beat(16)0.78%
PT rev (1m)5.42%
PT rev (3m)8.16%
EPS NQ rev (1m)-3.04%
EPS NQ rev (3m)-5.46%
EPS NY rev (1m)1.5%
EPS NY rev (3m)3.69%
Revenue NQ rev (1m)-2%
Revenue NQ rev (3m)-0.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.47 | ||
| Fwd PE | 15.11 | ||
| P/S | 1.93 | ||
| P/FCF | 20.69 | ||
| P/OCF | 17.13 | ||
| P/B | 2.95 | ||
| P/tB | 6.35 | ||
| EV/EBITDA | 11.48 |
EPS(TTM)7.85
EY6.07%
EPS(NY)8.56
Fwd EY6.62%
FCF(TTM)6.25
FCFY4.83%
OCF(TTM)7.55
OCFY5.84%
SpS67.13
BVpS43.83
TBVpS20.37
PEG (NY)1.43
PEG (5Y)0.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.84% | ||
| ROE | 16.05% | ||
| ROCE | 16.75% | ||
| ROIC | 12.64% | ||
| ROICexc | 13.05% | ||
| ROICexgc | 21.36% | ||
| OM | 15.55% | ||
| PM (TTM) | 10.48% | ||
| GM | 40.65% | ||
| FCFM | 9.31% |
ROA(3y)6.22%
ROA(5y)7.06%
ROE(3y)12.47%
ROE(5y)12.81%
ROIC(3y)9.34%
ROIC(5y)9.92%
ROICexc(3y)9.58%
ROICexc(5y)10.64%
ROICexgc(3y)16.14%
ROICexgc(5y)16.08%
ROCE(3y)13.07%
ROCE(5y)14.22%
ROICexcg growth 3Y8.15%
ROICexcg growth 5Y10.63%
ROICexc growth 3Y3.74%
ROICexc growth 5Y2.76%
OM growth 3Y4.55%
OM growth 5Y6.44%
PM growth 3Y-1.1%
PM growth 5Y2.27%
GM growth 3Y5.26%
GM growth 5Y3.2%
F-Score8
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.42 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 69.94% | ||
| Cap/Sales | 1.94% | ||
| Interest Coverage | 9.68 | ||
| Cash Conversion | 61.38% | ||
| Profit Quality | 88.81% | ||
| Current Ratio | 2.62 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 4.55 |
F-Score8
WACC9.38%
ROIC/WACC1.35
Cap/Depr(3y)78.22%
Cap/Depr(5y)67.78%
Cap/Sales(3y)2.14%
Cap/Sales(5y)1.86%
Profit Quality(3y)77.16%
Profit Quality(5y)84.08%
High Growth Momentum
Growth
EPS 1Y (TTM)48.39%
EPS 3Y15.37%
EPS 5Y21.83%
EPS Q2Q%54.2%
EPS Next Y11.5%
EPS Next 2Y9.46%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)6.03%
Revenue growth 3Y14.31%
Revenue growth 5Y15.18%
Sales Q2Q%8.32%
Revenue Next Year4.75%
Revenue Next 2Y4.76%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y26.62%
EBIT growth 3Y19.51%
EBIT growth 5Y22.59%
EBIT Next Year26.36%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y5347.23%
FCF growth 3Y33.52%
FCF growth 5Y23.87%
OCF growth 1Y415.22%
OCF growth 3Y32.07%
OCF growth 5Y19.38%