DT MIDSTREAM INC (DTM) Stock Fundamental Analysis
USA - NYSE:DTM - US23345M1071 - Common Stock
114.49 USD
+1.13 (+1%)
114.49 USD
0 (0%)
Taking everything into account, DTM scores 4 out of 10 in our fundamental rating. DTM was compared to 211 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of DTM while its profitability can be described as average. While showing a medium growth rate, DTM is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year DTM was profitable.
DTM had a positive operating cash flow in the past year.
DTM had positive earnings in each of the past 5 years.
Each year in the past 5 years DTM had a positive operating cash flow.
1.2 Ratios
DTM has a Return On Assets (3.78%) which is comparable to the rest of the industry.
DTM has a Return On Equity of 8.05%. This is comparable to the rest of the industry: DTM outperforms 54.03% of its industry peers.
With a Return On Invested Capital value of 4.24%, DTM is not doing good in the industry: 60.66% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for DTM is significantly below the industry average of 21.71%.
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
The Profit Margin of DTM (33.90%) is better than 89.10% of its industry peers.
In the last couple of years the Profit Margin of DTM has declined.
DTM has a Operating Margin of 48.51%. This is amongst the best in the industry. DTM outperforms 91.47% of its industry peers.
In the last couple of years the Operating Margin of DTM has remained more or less at the same level.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DTM is destroying value.
Compared to 1 year ago, DTM has more shares outstanding
Compared to 5 years ago, DTM has more shares outstanding
Compared to 1 year ago, DTM has an improved debt to assets ratio.
2.2 Solvency
DTM has an Altman-Z score of 1.71. 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 (1.71) which is in line with its industry peers.
DTM has a debt to FCF ratio of 7.18. This is a slightly negative value and a sign of low solvency as DTM would need 7.18 years to pay back of 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 55.92% of the companies in the same industry.
A Debt/Equity ratio of 0.72 indicates that DTM is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.72, DTM is not doing good in the industry: 60.66% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 7.18 | ||
| Altman-Z | 1.71 |
ROIC/WACC0.53
WACC8%
2.3 Liquidity
A Current Ratio of 0.88 indicates that DTM may have some problems paying its short term obligations.
DTM has a worse Current ratio (0.88) than 61.61% of its industry peers.
DTM has a Quick 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 Quick ratio value of 0.88, DTM perfoms like the industry average, outperforming 46.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
DTM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.12%.
DTM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.26% yearly.
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
Based on estimates for the next years, DTM will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.53% on average per year.
DTM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.94% yearly.
EPS Next Y21.44%
EPS Next 2Y16.01%
EPS Next 3Y14.7%
EPS Next 5Y9.53%
Revenue Next Year25.38%
Revenue Next 2Y16.55%
Revenue Next 3Y13.94%
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
DTM is valuated quite expensively with a Price/Earnings ratio of 30.69.
Based on the Price/Earnings ratio, DTM is valued a bit more expensive than the industry average as 60.66% of the companies are valued more cheaply.
DTM is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.86, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 23.63 indicates a rather expensive valuation of DTM.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DTM indicates a slightly more expensive valuation: DTM is more expensive than 60.19% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.32. DTM is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.69 | ||
| Fwd PE | 23.63 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DTM indicates a slightly more expensive valuation: DTM is more expensive than 68.25% of the companies listed 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 | 24.96 | ||
| EV/EBITDA | 19.55 |
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 14.70% in the coming years.
PEG (NY)1.43
PEG (5Y)2.73
EPS Next 2Y16.01%
EPS Next 3Y14.7%
5. Dividend
5.1 Amount
DTM has a Yearly Dividend Yield of 2.82%.
Compared to an average industry Dividend Yield of 6.08, DTM has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, DTM has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
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
DTM pays out 79.79% of its income as dividend. This is not a sustainable payout ratio.
DP79.79%
EPS Next 2Y16.01%
EPS Next 3Y14.7%
114.49
+1.13 (+1%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners87.59%
Inst Owner ChangeN/A
Ins Owners0.35%
Ins Owner Change12.5%
Market Cap11.63B
Analysts73.68
Price Target111.35 (-2.74%)
Short Float %4.77%
Short Ratio6.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
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)0.08%
PT rev (3m)1.44%
EPS NQ rev (1m)-0.28%
EPS NQ rev (3m)-2.71%
EPS NY rev (1m)0.38%
EPS NY rev (3m)-0.82%
Revenue NQ rev (1m)-0.22%
Revenue NQ rev (3m)1.23%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)1.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.69 | ||
| Fwd PE | 23.63 | ||
| P/S | 10.49 | ||
| P/FCF | 24.96 | ||
| P/OCF | 14.74 | ||
| P/B | 2.49 | ||
| P/tB | 5.82 | ||
| EV/EBITDA | 19.55 |
EPS(TTM)3.73
EY3.26%
EPS(NY)4.85
Fwd EY4.23%
FCF(TTM)4.59
FCFY4.01%
OCF(TTM)7.77
OCFY6.78%
SpS10.92
BVpS46
TBVpS19.69
PEG (NY)1.43
PEG (5Y)2.73
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 | 4.4 | ||
| Cap/Depr | 144.84% | ||
| Cap/Sales | 29.13% | ||
| Interest Coverage | 3.79 | ||
| Cash Conversion | 103.68% | ||
| Profit Quality | 123.94% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 1.71 |
F-Score6
WACC8%
ROIC/WACC0.53
Cap/Depr(3y)263.49%
Cap/Depr(5y)243.12%
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 Y21.44%
EPS Next 2Y16.01%
EPS Next 3Y14.7%
EPS Next 5Y9.53%
Revenue 1Y (TTM)15.28%
Revenue growth 3Y5.31%
Revenue growth 5Y14.25%
Sales Q2Q%26.64%
Revenue Next Year25.38%
Revenue Next 2Y16.55%
Revenue Next 3Y13.94%
Revenue Next 5YN/A
EBIT growth 1Y8.25%
EBIT growth 3Y5.28%
EBIT growth 5Y13.29%
EBIT Next Year99.49%
EBIT Next 3Y31.64%
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%