DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) Stock Fundamental Analysis
Canada - TSX:DRT - CA25490H1064 - Common Stock
0.97 CAD
+0.03 (+3.19%)
DRT gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 4 industry peers in the Building Products industry. DRT has only an average score on both its financial health and profitability. DRT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
DRT had positive earnings in the past year.
In the past year DRT had a positive cash flow from operations.
In the past 5 years DRT reported 4 times negative net income.
In multiple years DRT reported negative operating cash flow during the last 5 years.
1.2 Ratios
DRT's Return On Assets of 3.53% is amongst the best of the industry. DRT outperforms 100.00% of its industry peers.
DRT has a Return On Equity of 11.21%. This is amongst the best in the industry. DRT outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 11.21% | ||
| ROIC | N/A |
ROA(3y)-12.5%
ROA(5y)-14.12%
ROE(3y)-158.75%
ROE(5y)-113.03%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 2.24%, DRT belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
DRT's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 34.62%, DRT belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Gross Margin of DRT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 2.24% | ||
| GM | 34.62% |
OM growth 3YN/A
OM growth 5Y31.76%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y32.37%
GM growth 5Y1.15%
2. Health
2.1 Basic Checks
DRT does not have a ROIC to compare to the WACC, probably because it is not profitable.
DRT has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, DRT has more shares outstanding
Compared to 1 year ago, DRT has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.60, we must say that DRT is in the distress zone and has some risk of bankruptcy.
DRT's Altman-Z score of 0.60 is on the low side compared to the rest of the industry. DRT is outperformed by 75.00% of its industry peers.
The Debt to FCF ratio of DRT is 5.59, which is a neutral value as it means it would take DRT, 5.59 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 5.59, DRT is doing good in the industry, outperforming 75.00% of the companies in the same industry.
DRT has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.32, DRT belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 5.59 | ||
| Altman-Z | 0.6 |
ROIC/WACCN/A
WACC8.95%
2.3 Liquidity
A Current Ratio of 1.48 indicates that DRT should not have too much problems paying its short term obligations.
DRT's Current ratio of 1.48 is fine compared to the rest of the industry. DRT outperforms 75.00% of its industry peers.
A Quick Ratio of 1.10 indicates that DRT should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.10, DRT is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
DRT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 140.00%, which is quite impressive.
The Earnings Per Share has been growing by 17.80% on average over the past years. This is quite good.
Looking at the last year, DRT shows a decrease in Revenue. The Revenue has decreased by -5.50% in the last year.
The Revenue has been decreasing by -6.79% on average over the past years.
EPS 1Y (TTM)140%
EPS 3YN/A
EPS 5Y17.8%
EPS Q2Q%-906.98%
Revenue 1Y (TTM)-5.5%
Revenue growth 3Y5.7%
Revenue growth 5Y-6.79%
Sales Q2Q%-5.53%
3.2 Future
The Earnings Per Share is expected to grow by 25.65% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 6.01% on average over the next years.
EPS Next Y-27.86%
EPS Next 2Y12.36%
EPS Next 3Y25.65%
EPS Next 5YN/A
Revenue Next Year3.16%
Revenue Next 2Y6.45%
Revenue Next 3Y6.01%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 48.50, the valuation of DRT can be described as expensive.
Based on the Price/Earnings ratio, DRT is valued a bit cheaper than 75.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of DRT to the average of the S&P500 Index (27.08), we can say DRT is valued expensively.
A Price/Forward Earnings ratio of 9.78 indicates a reasonable valuation of DRT.
DRT's Price/Forward Earnings ratio is rather cheap when compared to the industry. DRT is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of DRT to the average of the S&P500 Index (23.09), we can say DRT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.5 | ||
| Fwd PE | 9.78 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DRT is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, DRT is valued a bit cheaper than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.44 | ||
| EV/EBITDA | 19.94 |
4.3 Compensation for Growth
A more expensive valuation may be justified as DRT's earnings are expected to grow with 25.65% in the coming years.
PEG (NY)N/A
PEG (5Y)2.73
EPS Next 2Y12.36%
EPS Next 3Y25.65%
5. Dividend
5.1 Amount
DRT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:DRT (10/27/2025, 7:00:00 PM)
0.97
+0.03 (+3.19%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners31.79%
Inst Owner ChangeN/A
Ins Owners2.72%
Ins Owner ChangeN/A
Market Cap185.81M
Revenue(TTM)172.48M
Net Income(TTM)3.87M
Analysts80
Price Target1.22 (25.77%)
Short Float %N/A
Short RatioN/A
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)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
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)-27.27%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-300%
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)0%
Revenue NY rev (3m)-11.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.5 | ||
| Fwd PE | 9.78 | ||
| P/S | 0.77 | ||
| P/FCF | 31.44 | ||
| P/OCF | 17.65 | ||
| P/B | 3.84 | ||
| P/tB | 4.22 | ||
| EV/EBITDA | 19.94 |
EPS(TTM)0.02
EY2.06%
EPS(NY)0.1
Fwd EY10.22%
FCF(TTM)0.03
FCFY3.18%
OCF(TTM)0.05
OCFY5.67%
SpS1.26
BVpS0.25
TBVpS0.23
PEG (NY)N/A
PEG (5Y)2.73
Graham Number0.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 11.21% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 2.24% | ||
| GM | 34.62% | ||
| FCFM | 2.44% |
ROA(3y)-12.5%
ROA(5y)-14.12%
ROE(3y)-158.75%
ROE(5y)-113.03%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y31.76%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y32.37%
GM growth 5Y1.15%
F-Score7
Asset Turnover1.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 5.59 | ||
| Debt/EBITDA | 1.73 | ||
| Cap/Depr | 50.28% | ||
| Cap/Sales | 1.91% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 116.17% | ||
| Profit Quality | 109% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 0.6 |
F-Score7
WACC8.95%
ROIC/WACCN/A
Cap/Depr(3y)38.92%
Cap/Depr(5y)77.85%
Cap/Sales(3y)2.11%
Cap/Sales(5y)5.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)140%
EPS 3YN/A
EPS 5Y17.8%
EPS Q2Q%-906.98%
EPS Next Y-27.86%
EPS Next 2Y12.36%
EPS Next 3Y25.65%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.5%
Revenue growth 3Y5.7%
Revenue growth 5Y-6.79%
Sales Q2Q%-5.53%
Revenue Next Year3.16%
Revenue Next 2Y6.45%
Revenue Next 3Y6.01%
Revenue Next 5YN/A
EBIT growth 1Y-101.28%
EBIT growth 3YN/A
EBIT growth 5Y22.82%
EBIT Next Year50.59%
EBIT Next 3Y37.51%
EBIT Next 5YN/A
FCF growth 1Y150.23%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y261.42%
OCF growth 3YN/A
OCF growth 5Y-11.28%
DIRTT ENVIRONMENTAL SOLUTION / DRT.CA FAQ
What is the fundamental rating for DRT stock?
ChartMill assigns a fundamental rating of 5 / 10 to DRT.CA.
What is the valuation status for DRT stock?
ChartMill assigns a valuation rating of 5 / 10 to DIRTT ENVIRONMENTAL SOLUTION (DRT.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for DIRTT ENVIRONMENTAL SOLUTION?
DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) has a profitability rating of 5 / 10.
What is the expected EPS growth for DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) stock?
The Earnings per Share (EPS) of DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) is expected to decline by -27.86% in the next year.