DICK'S SPORTING GOODS INC (DSG.DE) Stock Fundamental Analysis
Europe - FRA:DSG - US2533931026 - Common Stock
102.42 EUR
+1.44 (+1.43%)
We assign a fundamental rating of 7 out of 10 to DSG. DSG was compared to 53 industry peers in the Specialty Retail industry. Both the health and profitability get an excellent rating, making DSG a very profitable company, without any liquidiy or solvency issues. DSG has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year DSG was profitable.
In the past year DSG had a positive cash flow from operations.
In the past 5 years DSG has always been profitable.
Each year in the past 5 years DSG had a positive operating cash flow.
1.2 Ratios
DSG has a Return On Assets of 10.83%. This is amongst the best in the industry. DSG outperforms 94.12% of its industry peers.
Looking at the Return On Equity, with a value of 38.31%, DSG belongs to the top of the industry, outperforming 96.08% of the companies in the same industry.
With an excellent Return On Invested Capital value of 14.67%, DSG belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DSG is significantly above the industry average of 8.43%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.83% | ||
| ROE | 38.31% | ||
| ROIC | 14.67% |
ROA(3y)11.75%
ROA(5y)9.48%
ROE(3y)45.44%
ROE(5y)34.06%
ROIC(3y)17.54%
ROIC(5y)14.48%
1.3 Margins
DSG's Profit Margin of 8.03% is amongst the best of the industry. DSG outperforms 92.16% of its industry peers.
In the last couple of years the Profit Margin of DSG has grown nicely.
With an excellent Operating Margin value of 10.09%, DSG belongs to the best of the industry, outperforming 90.20% of the companies in the same industry.
DSG's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 34.20%, DSG perfoms like the industry average, outperforming 50.98% of the companies in the same industry.
In the last couple of years the Gross Margin of DSG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.09% | ||
| PM (TTM) | 8.03% | ||
| GM | 34.2% |
OM growth 3Y33.68%
OM growth 5Y15.64%
PM growth 3Y35.37%
PM growth 5Y17.51%
GM growth 3Y5.87%
GM growth 5Y3.64%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DSG is creating value.
The number of shares outstanding for DSG has been increased compared to 1 year ago.
Compared to 5 years ago, DSG has less shares outstanding
DSG has a better debt/assets ratio than last year.
2.2 Solvency
DSG has an Altman-Z score of 3.69. This indicates that DSG is financially healthy and has little risk of bankruptcy at the moment.
DSG has a better Altman-Z score (3.69) than 84.31% of its industry peers.
The Debt to FCF ratio of DSG is 1.39, which is an excellent value as it means it would take DSG, only 1.39 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.39, DSG belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
A Debt/Equity ratio of 0.56 indicates that DSG is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.56, DSG is in line with its industry, outperforming 50.98% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for DSG, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 1.39 | ||
| Altman-Z | 3.69 |
ROIC/WACC1.63
WACC8.99%
2.3 Liquidity
A Current Ratio of 1.81 indicates that DSG should not have too much problems paying its short term obligations.
DSG has a better Current ratio (1.81) than 72.55% of its industry peers.
A Quick Ratio of 0.78 indicates that DSG may have some problems paying its short term obligations.
The Quick ratio of DSG (0.78) is better than 62.75% of its industry peers.
DSG does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.81 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
DSG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -12.05%.
Measured over the past years, DSG shows a very strong growth in Earnings Per Share. The EPS has been growing by 31.91% on average per year.
Looking at the last year, DSG shows a small growth in Revenue. The Revenue has grown by 5.95% in the last year.
The Revenue has been growing slightly by 7.56% on average over the past years.
EPS 1Y (TTM)-12.05%
EPS 3Y48%
EPS 5Y31.91%
EPS Q2Q%-23.37%
Revenue 1Y (TTM)5.95%
Revenue growth 3Y12.22%
Revenue growth 5Y7.56%
Sales Q2Q%3.57%
3.2 Future
The Earnings Per Share is expected to grow by 5.73% on average over the next years.
Based on estimates for the next years, DSG will show a small growth in Revenue. The Revenue will grow by 3.57% on average per year.
EPS Next Y-0.79%
EPS Next 2Y1.71%
EPS Next 3Y3.24%
EPS Next 5Y5.73%
Revenue Next Year4.88%
Revenue Next 2Y3.48%
Revenue Next 3Y3.76%
Revenue Next 5Y3.57%
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
The Price/Earnings ratio is 9.19, which indicates a very decent valuation of DSG.
Based on the Price/Earnings ratio, DSG is valued cheaper than 80.39% of the companies in the same industry.
DSG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.20.
DSG is valuated reasonably with a Price/Forward Earnings ratio of 8.65.
Based on the Price/Forward Earnings ratio, DSG is valued a bit cheaper than the industry average as 72.55% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.71. DSG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.19 | ||
| Fwd PE | 8.65 |
4.2 Price Multiples
76.47% of the companies in the same industry are more expensive than DSG, based on the Enterprise Value to EBITDA ratio.
DSG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. DSG is cheaper than 60.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.59 | ||
| EV/EBITDA | 5.33 |
4.3 Compensation for Growth
The excellent profitability rating of DSG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.29
EPS Next 2Y1.71%
EPS Next 3Y3.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.83%, DSG has a reasonable but not impressive dividend return.
DSG's Dividend Yield is a higher than the industry average which is at 3.39.
DSG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
5.2 History
The dividend of DSG is nicely growing with an annual growth rate of 24.71%!
Dividend Growth(5Y)24.71%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
26.58% of the earnings are spent on dividend by DSG. This is a low number and sustainable payout ratio.
The dividend of DSG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP26.58%
EPS Next 2Y1.71%
EPS Next 3Y3.24%
FRA:DSG (10/20/2023, 7:00:00 PM)
102.42
+1.44 (+1.43%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap8.71B
Analysts72.9
Price Target129.82 (26.75%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
Yearly Dividend2.07
Dividend Growth(5Y)24.71%
DP26.58%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-10.46%
Min EPS beat(2)-26.67%
Max EPS beat(2)5.74%
EPS beat(4)3
Avg EPS beat(4)-0.94%
Min EPS beat(4)-26.67%
Max EPS beat(4)16.42%
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)-0.51%
Min Revenue beat(2)-1.45%
Max Revenue beat(2)0.43%
Revenue beat(4)3
Avg Revenue beat(4)2.77%
Min Revenue beat(4)-1.45%
Max Revenue beat(4)8.98%
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)3.14%
PT rev (3m)-12.96%
EPS NQ rev (1m)-0.44%
EPS NQ rev (3m)-10.54%
EPS NY rev (1m)-11.87%
EPS NY rev (3m)-12.04%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)-0.4%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)0.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.19 | ||
| Fwd PE | 8.65 | ||
| P/S | 0.73 | ||
| P/FCF | 8.59 | ||
| P/OCF | 6.06 | ||
| P/B | 3.47 | ||
| P/tB | 3.94 | ||
| EV/EBITDA | 5.33 |
EPS(TTM)11.15
EY10.89%
EPS(NY)11.84
Fwd EY11.56%
FCF(TTM)11.92
FCFY11.64%
OCF(TTM)16.89
OCFY16.49%
SpS140.83
BVpS29.51
TBVpS26.01
PEG (NY)N/A
PEG (5Y)0.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.83% | ||
| ROE | 38.31% | ||
| ROCE | 19.35% | ||
| ROIC | 14.67% | ||
| ROICexc | 20.63% | ||
| ROICexgc | 22.11% | ||
| OM | 10.09% | ||
| PM (TTM) | 8.03% | ||
| GM | 34.2% | ||
| FCFM | 8.47% |
ROA(3y)11.75%
ROA(5y)9.48%
ROE(3y)45.44%
ROE(5y)34.06%
ROIC(3y)17.54%
ROIC(5y)14.48%
ROICexc(3y)27.58%
ROICexc(5y)20.65%
ROICexgc(3y)30.14%
ROICexgc(5y)22.76%
ROCE(3y)23.15%
ROCE(5y)19.11%
ROICexcg growth 3Y49.88%
ROICexcg growth 5Y10.61%
ROICexc growth 3Y50.28%
ROICexc growth 5Y12.49%
OM growth 3Y33.68%
OM growth 5Y15.64%
PM growth 3Y35.37%
PM growth 5Y17.51%
GM growth 3Y5.87%
GM growth 5Y3.64%
F-Score6
Asset Turnover1.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 1.39 | ||
| Debt/EBITDA | 0.9 | ||
| Cap/Depr | 120.22% | ||
| Cap/Sales | 3.53% | ||
| Interest Coverage | 21.78 | ||
| Cash Conversion | 92.08% | ||
| Profit Quality | 105.49% | ||
| Current Ratio | 1.81 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 3.69 |
F-Score6
WACC8.99%
ROIC/WACC1.63
Cap/Depr(3y)87.99%
Cap/Depr(5y)85.23%
Cap/Sales(3y)2.6%
Cap/Sales(5y)2.53%
Profit Quality(3y)130.04%
Profit Quality(5y)122.69%
High Growth Momentum
Growth
EPS 1Y (TTM)-12.05%
EPS 3Y48%
EPS 5Y31.91%
EPS Q2Q%-23.37%
EPS Next Y-0.79%
EPS Next 2Y1.71%
EPS Next 3Y3.24%
EPS Next 5Y5.73%
Revenue 1Y (TTM)5.95%
Revenue growth 3Y12.22%
Revenue growth 5Y7.56%
Sales Q2Q%3.57%
Revenue Next Year4.88%
Revenue Next 2Y3.48%
Revenue Next 3Y3.76%
Revenue Next 5Y3.57%
EBIT growth 1Y-26.03%
EBIT growth 3Y50.02%
EBIT growth 5Y24.39%
EBIT Next Year10.6%
EBIT Next 3Y6.42%
EBIT Next 5Y2.44%
FCF growth 1Y-24.17%
FCF growth 3Y44.26%
FCF growth 5Y15.65%
OCF growth 1Y-11.32%
OCF growth 3Y31.59%
OCF growth 5Y4.32%