ADF GROUP INC (DRX.CA) Stock Fundamental Analysis
TSX:DRX • CA00089N1033
9.74 CAD
+0.04 (+0.41%)
Last: Feb 13, 2026, 07:00 PM
We assign a fundamental rating of 7 out of 10 to DRX. DRX was compared to 807 industry peers in the Metals & Mining industry. DRX has an excellent profitability rating, but there are some minor concerns on its financial health. DRX has a bad growth rate and is valued cheaply. These ratings would make DRX suitable for value investing!
1. Profitability
1.1 Basic Checks
- In the past year DRX was profitable.
- In the past year DRX had a positive cash flow from operations.
- In the past 5 years DRX has always been profitable.
- DRX had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- DRX has a better Return On Assets (9.14%) than 91.82% of its industry peers.
- With an excellent Return On Equity value of 16.03%, DRX belongs to the best of the industry, outperforming 93.93% of the companies in the same industry.
- DRX has a better Return On Invested Capital (14.59%) than 96.53% of its industry peers.
- DRX had an Average Return On Invested Capital over the past 3 years of 18.23%. This is significantly above the industry average of 12.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.14% | ||
| ROE | 16.03% | ||
| ROIC | 14.59% |
ROA(3y)11.8%
ROA(5y)8.76%
ROE(3y)22.9%
ROE(5y)16.89%
ROIC(3y)18.23%
ROIC(5y)13.62%
1.3 Margins
- Looking at the Profit Margin, with a value of 11.29%, DRX belongs to the top of the industry, outperforming 92.07% of the companies in the same industry.
- DRX's Profit Margin has improved in the last couple of years.
- The Operating Margin of DRX (17.56%) is better than 91.45% of its industry peers.
- In the last couple of years the Operating Margin of DRX has grown nicely.
- DRX has a better Gross Margin (25.97%) than 89.96% of its industry peers.
- In the last couple of years the Gross Margin of DRX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.56% | ||
| PM (TTM) | 11.29% | ||
| GM | 25.97% |
OM growth 3Y76.93%
OM growth 5Y146%
PM growth 3Y69.95%
PM growth 5YN/A
GM growth 3Y53.12%
GM growth 5Y28.02%
2. Health
2.1 Basic Checks
- DRX 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 DRX has been reduced compared to 1 year ago.
- Compared to 5 years ago, DRX has less shares outstanding
- The debt/assets ratio for DRX has been reduced compared to a year ago.
2.2 Solvency
- DRX has an Altman-Z score of 2.81. This is not the best score and indicates that DRX is in the grey zone with still only limited risk for bankruptcy at the moment.
- DRX has a Altman-Z score (2.81) which is in line with its industry peers.
- DRX has a debt to FCF ratio of 8.57. This is a slightly negative value and a sign of low solvency as DRX would need 8.57 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 8.57, DRX belongs to the best of the industry, outperforming 90.09% of the companies in the same industry.
- DRX has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
- DRX's Debt to Equity ratio of 0.21 is on the low side compared to the rest of the industry. DRX is outperformed by 66.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 8.57 | ||
| Altman-Z | 2.81 |
ROIC/WACC1.44
WACC10.13%
2.3 Liquidity
- A Current Ratio of 2.27 indicates that DRX has no problem at all paying its short term obligations.
- DRX has a Current ratio (2.27) which is in line with its industry peers.
- DRX has a Quick Ratio of 2.03. This indicates that DRX is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 2.03, DRX is in line with its industry, outperforming 53.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.27 | ||
| Quick Ratio | 2.03 |
3. Growth
3.1 Past
- The earnings per share for DRX have decreased strongly by -45.92% in the last year.
- DRX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 84.52% yearly.
- DRX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -26.61%.
- The Revenue has been growing by 13.58% on average over the past years. This is quite good.
EPS 1Y (TTM)-45.92%
EPS 3Y84.52%
EPS 5YN/A
EPS Q2Q%-34.55%
Revenue 1Y (TTM)-26.61%
Revenue growth 3Y6.55%
Revenue growth 5Y13.58%
Sales Q2Q%-10.68%
3.2 Future
- Based on estimates for the next years, DRX will show a decrease in Earnings Per Share. The EPS will decrease by -4.83% on average per year.
- The Revenue is expected to grow by 4.74% on average over the next years.
EPS Next Y-40.72%
EPS Next 2Y-4.83%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-24.78%
Revenue Next 2Y4.74%
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
- A Price/Earnings ratio of 5.29 indicates a rather cheap valuation of DRX.
- Based on the Price/Earnings ratio, DRX is valued cheaply inside the industry as 97.65% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of DRX to the average of the S&P500 Index (26.68), we can say DRX is valued rather cheaply.
- A Price/Forward Earnings ratio of 5.84 indicates a rather cheap valuation of DRX.
- Based on the Price/Forward Earnings ratio, DRX is valued cheaply inside the industry as 96.90% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, DRX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.29 | ||
| Fwd PE | 5.84 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DRX indicates a rather cheap valuation: DRX is cheaper than 99.26% of the companies listed in the same industry.
- DRX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DRX is cheaper than 94.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.17 | ||
| EV/EBITDA | 3.3 |
4.3 Compensation for Growth
- DRX has an outstanding profitability rating, which may justify a higher PE ratio.
- DRX's earnings are expected to decrease with -4.83% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.83%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- DRX has a yearly dividend return of 0.41%, which is pretty low.
- DRX's Dividend Yield is rather good when compared to the industry average which is at 0.40. DRX pays more dividend than 95.54% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.84, DRX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.41% |
5.2 History
- On average, the dividend of DRX grows each year by 8.48%, which is quite nice.
- DRX has paid a dividend for at least 10 years, which is a reliable track record.
- DRX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.48%
Div Incr Years1
Div Non Decr Years13
5.3 Sustainability
- DRX pays out 3.95% of its income as dividend. This is a sustainable payout ratio.
DP3.95%
EPS Next 2Y-4.83%
EPS Next 3YN/A
TSX:DRX (2/13/2026, 7:00:00 PM)
9.74
+0.04 (+0.41%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)12-11 2025-12-11/bmo
Earnings (Next)04-08 2026-04-08
Inst Owners3.34%
Inst Owner ChangeN/A
Ins Owners0.61%
Ins Owner ChangeN/A
Market Cap160.52M
Revenue(TTM)257.34M
Net Income(TTM)29.05M
Analysts84
Price Target13.26 (36.14%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.41% |
Yearly Dividend0.03
Dividend Growth(5Y)8.48%
DP3.95%
Div Incr Years1
Div Non Decr Years13
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-11.92%
Min EPS beat(2)-85.86%
Max EPS beat(2)62.02%
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)1
Avg Revenue beat(2)-3.23%
Min Revenue beat(2)-9.83%
Max Revenue beat(2)3.37%
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)8.33%
PT rev (3m)8.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)13.89%
EPS NY rev (1m)0%
EPS NY rev (3m)27.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.29 | ||
| Fwd PE | 5.84 | ||
| P/S | 0.62 | ||
| P/FCF | 32.17 | ||
| P/OCF | 10.59 | ||
| P/B | 0.89 | ||
| P/tB | 0.92 | ||
| EV/EBITDA | 3.3 |
EPS(TTM)1.84
EY18.89%
EPS(NY)1.67
Fwd EY17.11%
FCF(TTM)0.3
FCFY3.11%
OCF(TTM)0.92
OCFY9.44%
SpS15.62
BVpS10.99
TBVpS10.56
PEG (NY)N/A
PEG (5Y)N/A
Graham Number21.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.14% | ||
| ROE | 16.03% | ||
| ROCE | 19% | ||
| ROIC | 14.59% | ||
| ROICexc | 16.91% | ||
| ROICexgc | 17.53% | ||
| OM | 17.56% | ||
| PM (TTM) | 11.29% | ||
| GM | 25.97% | ||
| FCFM | 1.94% |
ROA(3y)11.8%
ROA(5y)8.76%
ROE(3y)22.9%
ROE(5y)16.89%
ROIC(3y)18.23%
ROIC(5y)13.62%
ROICexc(3y)24.54%
ROICexc(5y)17.69%
ROICexgc(3y)25.17%
ROICexgc(5y)18.15%
ROCE(3y)23.75%
ROCE(5y)17.74%
ROICexgc growth 3Y78.34%
ROICexgc growth 5Y166.39%
ROICexc growth 3Y78.21%
ROICexc growth 5Y166.39%
OM growth 3Y76.93%
OM growth 5Y146%
PM growth 3Y69.95%
PM growth 5YN/A
GM growth 3Y53.12%
GM growth 5Y28.02%
F-Score5
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 8.57 | ||
| Debt/EBITDA | 0.73 | ||
| Cap/Depr | 156.46% | ||
| Cap/Sales | 3.95% | ||
| Interest Coverage | 23.59 | ||
| Cash Conversion | 29.32% | ||
| Profit Quality | 17.18% | ||
| Current Ratio | 2.27 | ||
| Quick Ratio | 2.03 | ||
| Altman-Z | 2.81 |
F-Score5
WACC10.13%
ROIC/WACC1.44
Cap/Depr(3y)162.65%
Cap/Depr(5y)192.31%
Cap/Sales(3y)3.16%
Cap/Sales(5y)3.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-45.92%
EPS 3Y84.52%
EPS 5YN/A
EPS Q2Q%-34.55%
EPS Next Y-40.72%
EPS Next 2Y-4.83%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-26.61%
Revenue growth 3Y6.55%
Revenue growth 5Y13.58%
Sales Q2Q%-10.68%
Revenue Next Year-24.78%
Revenue Next 2Y4.74%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-44.56%
EBIT growth 3Y88.52%
EBIT growth 5Y179.4%
EBIT Next Year31.14%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-82.54%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-57.23%
OCF growth 3Y174.25%
OCF growth 5YN/A
ADF GROUP INC / DRX.CA FAQ
What is the fundamental rating for DRX stock?
ChartMill assigns a fundamental rating of 7 / 10 to DRX.CA.
What is the valuation status of ADF GROUP INC (DRX.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to ADF GROUP INC (DRX.CA). This can be considered as Undervalued.
What is the profitability of DRX stock?
ADF GROUP INC (DRX.CA) has a profitability rating of 9 / 10.
What is the valuation of ADF GROUP INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ADF GROUP INC (DRX.CA) is 5.29 and the Price/Book (PB) ratio is 0.89.
What is the earnings growth outlook for ADF GROUP INC?
The Earnings per Share (EPS) of ADF GROUP INC (DRX.CA) is expected to decline by -40.72% in the next year.