DT MIDSTREAM INC (DTM) Stock Fundamental Analysis
NYSE:DTM - New York Stock Exchange, Inc. - US23345M1071 - Common Stock - Currency: USD
Overall DTM gets a fundamental rating of 4 out of 10. We evaluated DTM against 209 industry peers in the Oil, Gas & Consumable Fuels industry. DTM has a medium profitability rating, but doesn't score so well on its financial health evaluation. DTM is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
DTM had positive earnings in the past year.
DTM had a positive operating cash flow in the past year.
DTM had positive earnings in each of the past 5 years.
DTM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DTM has a Return On Assets (3.78%) which is in line with its industry peers.
DTM has a Return On Equity (8.05%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 4.24%, DTM is doing worse than 62.68% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DTM is significantly below the industry average of 23.54%.
The last Return On Invested Capital (4.24%) for DTM is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.78% | ||
| ROE | 8.05% | ||
| ROIC | 4.24% |
ROA(3y)4.01%
ROA(5y)3.91%
ROE(3y)8.72%
ROE(5y)8.35%
ROIC(3y)3.99%
ROIC(5y)3.95%
1.3 Margins
With an excellent Profit Margin value of 33.90%, DTM belongs to the best of the industry, outperforming 88.04% of the companies in the same industry.
DTM's Profit Margin has declined in the last couple of years.
DTM has a better Operating Margin (48.51%) than 90.43% of its industry peers.
DTM's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.51% | ||
| PM (TTM) | 33.9% | ||
| GM | N/A |
OM growth 3Y-0.02%
OM growth 5Y-0.84%
PM growth 3Y-0.42%
PM growth 5Y-2.27%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DTM is destroying value.
Compared to 1 year ago, DTM has more shares outstanding
DTM has more shares outstanding than it did 5 years ago.
The debt/assets ratio for DTM has been reduced compared to a year ago.
2.2 Solvency
DTM has an Altman-Z score of 1.57. This is a bad value and indicates that DTM is not financially healthy and even has some risk of bankruptcy.
DTM has a Altman-Z score of 1.57. This is comparable to the rest of the industry: DTM outperforms 57.42% of its industry peers.
The Debt to FCF ratio of DTM is 7.18, which is on the high side as it means it would take DTM, 7.18 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.18, DTM is in line with its industry, outperforming 55.98% of the companies in the same industry.
DTM has a Debt/Equity ratio of 0.72. This is a neutral value indicating DTM is somewhat dependend on debt financing.
DTM has a Debt to Equity ratio of 0.72. This is in the lower half of the industry: DTM underperforms 61.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 7.18 | ||
| Altman-Z | 1.57 |
ROIC/WACC0.5
WACC8.39%
2.3 Liquidity
DTM has a Current Ratio of 0.88. This is a bad value and indicates that DTM is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.88, DTM is not doing good in the industry: 63.16% of the companies in the same industry are doing better.
A Quick Ratio of 0.88 indicates that DTM may have some problems paying its short term obligations.
DTM has a Quick ratio of 0.88. This is comparable to the rest of the industry: DTM outperforms 45.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
The earnings per share for DTM have decreased strongly by -10.12% in the last year.
Measured over the past years, DTM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.26% on average per year.
The Revenue has grown by 15.28% in the past year. This is quite good.
Measured over the past years, DTM shows a quite strong growth in Revenue. The Revenue has been growing by 14.25% on average per year.
EPS 1Y (TTM)-10.12%
EPS 3Y4.31%
EPS 5Y11.26%
EPS Q2Q%6.12%
Revenue 1Y (TTM)15.28%
Revenue growth 3Y5.31%
Revenue growth 5Y14.25%
Sales Q2Q%26.64%
3.2 Future
The Earnings Per Share is expected to grow by 9.53% on average over the next years. This is quite good.
Based on estimates for the next years, DTM will show a quite strong growth in Revenue. The Revenue will grow by 12.79% on average per year.
EPS Next Y22.39%
EPS Next 2Y16.63%
EPS Next 3Y14.51%
EPS Next 5Y9.53%
Revenue Next Year23.37%
Revenue Next 2Y15.38%
Revenue Next 3Y12.79%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 27.33, DTM can be considered very expensive at the moment.
Based on the Price/Earnings ratio, DTM is valued a bit more expensive than 61.24% of the companies in the same industry.
DTM is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.82, which is the current average of the S&P500 Index.
DTM is valuated rather expensively with a Price/Forward Earnings ratio of 20.82.
60.77% of the companies in the same industry are cheaper than DTM, based on the Price/Forward Earnings ratio.
DTM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 35.24, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.33 | ||
| Fwd PE | 20.82 |
4.2 Price Multiples
DTM's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. DTM is more expensive than 68.42% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DTM is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.23 | ||
| EV/EBITDA | 17.26 |
4.3 Compensation for Growth
DTM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as DTM's earnings are expected to grow with 14.51% in the coming years.
PEG (NY)1.22
PEG (5Y)2.43
EPS Next 2Y16.63%
EPS Next 3Y14.51%
5. Dividend
5.1 Amount
DTM has a Yearly Dividend Yield of 3.08%.
DTM's Dividend Yield is comparable with the industry average which is at 6.28.
Compared to an average S&P500 Dividend Yield of 2.36, DTM pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
5.2 History
DTM has been paying a dividend for over 5 years, so it has already some track record.
DTM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
79.79% of the earnings are spent on dividend by DTM. This is not a sustainable payout ratio.
DP79.79%
EPS Next 2Y16.63%
EPS Next 3Y14.51%
101.95
-1.46 (-1.41%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners85.78%
Inst Owner ChangeN/A
Ins Owners0.3%
Ins Owner Change35.37%
Market Cap10.36B
Analysts73.68
Price Target110.88 (8.76%)
Short Float %4.02%
Short Ratio4.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
Yearly Dividend2.83
Dividend Growth(5Y)N/A
DP79.79%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.07%
Min EPS beat(2)-3.67%
Max EPS beat(2)1.53%
EPS beat(4)1
Avg EPS beat(4)-6.33%
Min EPS beat(4)-18.87%
Max EPS beat(4)1.53%
EPS beat(8)5
Avg EPS beat(8)2.44%
EPS beat(12)7
Avg EPS beat(12)0.63%
EPS beat(16)8
Avg EPS beat(16)-0.41%
Revenue beat(2)2
Avg Revenue beat(2)3.29%
Min Revenue beat(2)3.21%
Max Revenue beat(2)3.37%
Revenue beat(4)3
Avg Revenue beat(4)1.4%
Min Revenue beat(4)-3.07%
Max Revenue beat(4)3.37%
Revenue beat(8)6
Avg Revenue beat(8)1.29%
Revenue beat(12)8
Avg Revenue beat(12)-0.34%
Revenue beat(16)10
Avg Revenue beat(16)-0.41%
PT rev (1m)1%
PT rev (3m)3.44%
EPS NQ rev (1m)-2.52%
EPS NQ rev (3m)1.91%
EPS NY rev (1m)0%
EPS NY rev (3m)0.44%
Revenue NQ rev (1m)0.84%
Revenue NQ rev (3m)-0.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.33 | ||
| Fwd PE | 20.82 | ||
| P/S | 9.34 | ||
| P/FCF | 22.23 | ||
| P/OCF | 13.13 | ||
| P/B | 2.22 | ||
| P/tB | 5.18 | ||
| EV/EBITDA | 17.26 |
EPS(TTM)3.73
EY3.66%
EPS(NY)4.9
Fwd EY4.8%
FCF(TTM)4.59
FCFY4.5%
OCF(TTM)7.77
OCFY7.62%
SpS10.92
BVpS46
TBVpS19.69
PEG (NY)1.22
PEG (5Y)2.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.78% | ||
| ROE | 8.05% | ||
| ROCE | 5.59% | ||
| ROIC | 4.24% | ||
| ROICexc | 4.27% | ||
| ROICexgc | 5.92% | ||
| OM | 48.51% | ||
| PM (TTM) | 33.9% | ||
| GM | N/A | ||
| FCFM | 42.02% |
ROA(3y)4.01%
ROA(5y)3.91%
ROE(3y)8.72%
ROE(5y)8.35%
ROIC(3y)3.99%
ROIC(5y)3.95%
ROICexc(3y)4.01%
ROICexc(5y)3.98%
ROICexgc(3y)5.61%
ROICexgc(5y)5.69%
ROCE(3y)5.38%
ROCE(5y)5.91%
ROICexcg growth 3Y-3.85%
ROICexcg growth 5Y4.27%
ROICexc growth 3Y-1.72%
ROICexc growth 5Y7.01%
OM growth 3Y-0.02%
OM growth 5Y-0.84%
PM growth 3Y-0.42%
PM growth 5Y-2.27%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 7.18 | ||
| Debt/EBITDA | 4.25 | ||
| Cap/Depr | 129.2% | ||
| Cap/Sales | 29.13% | ||
| Interest Coverage | 3.79 | ||
| Cash Conversion | 100.13% | ||
| Profit Quality | 123.94% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 1.57 |
F-Score6
WACC8.39%
ROIC/WACC0.5
Cap/Depr(3y)246.34%
Cap/Depr(5y)232.83%
Cap/Sales(3y)52.05%
Cap/Sales(5y)48.3%
Profit Quality(3y)76.01%
Profit Quality(5y)78.81%
High Growth Momentum
Growth
EPS 1Y (TTM)-10.12%
EPS 3Y4.31%
EPS 5Y11.26%
EPS Q2Q%6.12%
EPS Next Y22.39%
EPS Next 2Y16.63%
EPS Next 3Y14.51%
EPS Next 5Y9.53%
Revenue 1Y (TTM)15.28%
Revenue growth 3Y5.31%
Revenue growth 5Y14.25%
Sales Q2Q%26.64%
Revenue Next Year23.37%
Revenue Next 2Y15.38%
Revenue Next 3Y12.79%
Revenue Next 5YN/A
EBIT growth 1Y8.25%
EBIT growth 3Y5.28%
EBIT growth 5Y13.29%
EBIT Next Year96.02%
EBIT Next 3Y30.63%
EBIT Next 5Y21.53%
FCF growth 1Y1403.23%
FCF growth 3Y-1.49%
FCF growth 5Y18.2%
OCF growth 1Y7.35%
OCF growth 3Y10.08%
OCF growth 5Y14.36%