DREAM UNLIMITED-CL A SUB VOT (DRM.CA) Stock Fundamental Analysis
TSX:DRM - Toronto Stock Exchange - CA26153M5072 - Common Stock - Currency: CAD
We assign a fundamental rating of 4 out of 10 to DRM. DRM was compared to 32 industry peers in the Real Estate Management & Development industry. DRM has a medium profitability rating, but doesn't score so well on its financial health evaluation. DRM has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year DRM was profitable.
DRM had a positive operating cash flow in the past year.
Of the past 5 years DRM 4 years were profitable.
In the past 5 years DRM reported 4 times negative operating cash flow.
1.2 Ratios
DRM has a Return On Assets of 4.43%. This is amongst the best in the industry. DRM outperforms 81.25% of its industry peers.
The Return On Equity of DRM (11.46%) is better than 81.25% of its industry peers.
DRM's Return On Invested Capital of 2.84% is in line compared to the rest of the industry. DRM outperforms 43.75% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DRM is significantly below the industry average of 7.45%.
The 3 year average ROIC (1.83%) for DRM is below the current ROIC(2.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.43% | ||
| ROE | 11.46% | ||
| ROIC | 2.84% |
ROA(3y)1.98%
ROA(5y)2.94%
ROE(3y)4.92%
ROE(5y)6.79%
ROIC(3y)1.83%
ROIC(5y)1.65%
1.3 Margins
Looking at the Profit Margin, with a value of 31.84%, DRM belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
In the last couple of years the Profit Margin of DRM has declined.
The Operating Margin of DRM (23.28%) is comparable to the rest of the industry.
DRM's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 35.21%, DRM is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
DRM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.28% | ||
| PM (TTM) | 31.84% | ||
| GM | 35.21% |
OM growth 3Y18.53%
OM growth 5Y-16%
PM growth 3Y-3.77%
PM growth 5Y-12.07%
GM growth 3Y4.93%
GM growth 5Y-12.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DRM is destroying value.
DRM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, DRM has less shares outstanding
The debt/assets ratio for DRM is higher compared to a year ago.
2.2 Solvency
DRM has an Altman-Z score of 1.04. This is a bad value and indicates that DRM is not financially healthy and even has some risk of bankruptcy.
DRM's Altman-Z score of 1.04 is in line compared to the rest of the industry. DRM outperforms 50.00% of its industry peers.
DRM has a Debt/Equity ratio of 1.26. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.26, DRM is doing worse than 65.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.04 |
ROIC/WACC0.42
WACC6.75%
2.3 Liquidity
DRM has a Current Ratio of 1.78. This is a normal value and indicates that DRM is financially healthy and should not expect problems in meeting its short term obligations.
DRM's Current ratio of 1.78 is amongst the best of the industry. DRM outperforms 81.25% of its industry peers.
A Quick Ratio of 1.78 indicates that DRM should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.78, DRM belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
DRM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 211.71%, which is quite impressive.
DRM shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -11.62% yearly.
DRM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.04%.
The Revenue has been growing slightly by 1.48% on average over the past years.
EPS 1Y (TTM)211.71%
EPS 3Y18.69%
EPS 5Y-11.62%
EPS Q2Q%-186.36%
Revenue 1Y (TTM)13.04%
Revenue growth 3Y24.21%
Revenue growth 5Y1.48%
Sales Q2Q%-56.76%
3.2 Future
The Earnings Per Share is expected to decrease by -42.54% on average over the next years. This is quite bad
DRM is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -8.19% yearly.
EPS Next Y-73.34%
EPS Next 2Y-42.54%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-13.36%
Revenue Next 2Y-8.19%
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 decreasing.
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
With a Price/Earnings ratio of 5.72, the valuation of DRM can be described as very cheap.
Based on the Price/Earnings ratio, DRM is valued cheaper than 90.63% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.99, DRM is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 15.60, the valuation of DRM can be described as correct.
87.50% of the companies in the same industry are more expensive than DRM, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.36, DRM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.72 | ||
| Fwd PE | 15.6 |
4.2 Price Multiples
DRM's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DRM is cheaper than 65.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 20.79 |
4.3 Compensation for Growth
DRM's earnings are expected to decrease with -42.54% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-42.54%
EPS Next 3YN/A
5. Dividend
5.1 Amount
DRM has a Yearly Dividend Yield of 3.11%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.37, DRM pays a bit more dividend than its industry peers.
DRM's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.11% |
5.2 History
The dividend of DRM is nicely growing with an annual growth rate of 52.47%!
DRM has been paying a dividend for over 5 years, so it has already some track record.
DRM has decreased its dividend recently.
Dividend Growth(5Y)52.47%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
39.87% of the earnings are spent on dividend by DRM. This is a low number and sustainable payout ratio.
DP39.87%
EPS Next 2Y-42.54%
EPS Next 3YN/A
TSX:DRM (8/6/2025, 7:00:00 PM)
21.27
-0.19 (-0.89%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners21.34%
Inst Owner ChangeN/A
Ins Owners40.76%
Ins Owner ChangeN/A
Market Cap863.99M
Analysts80
Price Target34.17 (60.65%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.11% |
Yearly Dividend1.6
Dividend Growth(5Y)52.47%
DP39.87%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-423.64%
Min EPS beat(2)-840.59%
Max EPS beat(2)-6.68%
EPS beat(4)1
Avg EPS beat(4)-216.4%
Min EPS beat(4)-840.59%
Max EPS beat(4)218.76%
EPS beat(8)1
Avg EPS beat(8)-401.39%
EPS beat(12)4
Avg EPS beat(12)-176.87%
EPS beat(16)7
Avg EPS beat(16)-107.81%
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)0%
PT rev (3m)-1.47%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-12.5%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)12.89%
Revenue NY rev (3m)12.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.72 | ||
| Fwd PE | 15.6 | ||
| P/S | 1.62 | ||
| P/FCF | N/A | ||
| P/OCF | 160.15 | ||
| P/B | 0.58 | ||
| P/tB | 0.59 | ||
| EV/EBITDA | 20.79 |
EPS(TTM)3.72
EY17.49%
EPS(NY)1.36
Fwd EY6.41%
FCF(TTM)-0.01
FCFYN/A
OCF(TTM)0.13
OCFY0.62%
SpS13.16
BVpS36.56
TBVpS36.26
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.43% | ||
| ROE | 11.46% | ||
| ROCE | 3.4% | ||
| ROIC | 2.84% | ||
| ROICexc | 2.89% | ||
| ROICexgc | 3.79% | ||
| OM | 23.28% | ||
| PM (TTM) | 31.84% | ||
| GM | 35.21% | ||
| FCFM | N/A |
ROA(3y)1.98%
ROA(5y)2.94%
ROE(3y)4.92%
ROE(5y)6.79%
ROIC(3y)1.83%
ROIC(5y)1.65%
ROICexc(3y)1.86%
ROICexc(5y)1.7%
ROICexgc(3y)2.47%
ROICexgc(5y)2.32%
ROCE(3y)2.19%
ROCE(5y)1.98%
ROICexcg growth 3Y39.33%
ROICexcg growth 5Y-25.54%
ROICexc growth 3Y40.89%
ROICexc growth 5Y-22.13%
OM growth 3Y18.53%
OM growth 5Y-16%
PM growth 3Y-3.77%
PM growth 5Y-12.07%
GM growth 3Y4.93%
GM growth 5Y-12.44%
F-Score7
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 14.53 | ||
| Cap/Depr | 137.34% | ||
| Cap/Sales | 1.1% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 4.19% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 1.04 |
F-Score7
WACC6.75%
ROIC/WACC0.42
Cap/Depr(3y)189.38%
Cap/Depr(5y)392.14%
Cap/Sales(3y)3.04%
Cap/Sales(5y)7.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)211.71%
EPS 3Y18.69%
EPS 5Y-11.62%
EPS Q2Q%-186.36%
EPS Next Y-73.34%
EPS Next 2Y-42.54%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)13.04%
Revenue growth 3Y24.21%
Revenue growth 5Y1.48%
Sales Q2Q%-56.76%
Revenue Next Year-13.36%
Revenue Next 2Y-8.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y120.66%
EBIT growth 3Y47.22%
EBIT growth 5Y-14.76%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y92.9%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y17.28%
OCF growth 3YN/A
OCF growth 5YN/A