DOUBLEVERIFY HOLDINGS INC (DV) Stock Fundamental Analysis
USA - NYSE:DV - US25862V1052 - Common Stock
13.02 USD
-0.93 (-6.67%)
13.05 USD
+0.03 (+0.23%)
Taking everything into account, DV scores 6 out of 10 in our fundamental rating. DV was compared to 99 industry peers in the Media industry. While DV has a great health rating, its profitability is only average at the moment. DV is valued quite expensively, but it does show have an excellent growth rating. These ratings would make DV suitable for growth investing!
1. Profitability
1.1 Basic Checks
DV had positive earnings in the past year.
DV had a positive operating cash flow in the past year.
In the past 5 years DV has always been profitable.
Each year in the past 5 years DV had a positive operating cash flow.
1.2 Ratios
DV has a better Return On Assets (4.06%) than 74.75% of its industry peers.
DV has a better Return On Equity (4.84%) than 65.66% of its industry peers.
DV has a Return On Invested Capital of 4.98%. This is in the better half of the industry: DV outperforms 61.62% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DV is below the industry average of 8.87%.
The last Return On Invested Capital (4.98%) for DV is above the 3 year average (4.71%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 4.84% | ||
| ROIC | 4.98% |
ROA(3y)4.78%
ROA(5y)4.32%
ROE(3y)5.59%
ROE(5y)5.07%
ROIC(3y)4.71%
ROIC(5y)3.99%
1.3 Margins
The Profit Margin of DV (7.38%) is better than 74.75% of its industry peers.
DV's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 12.07%, DV is in the better half of the industry, outperforming 65.66% of the companies in the same industry.
DV's Operating Margin has declined in the last couple of years.
DV's Gross Margin of 82.10% is amongst the best of the industry. DV outperforms 93.94% of its industry peers.
In the last couple of years the Gross Margin of DV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.07% | ||
| PM (TTM) | 7.38% | ||
| GM | 82.1% |
OM growth 3Y16.07%
OM growth 5Y-10.13%
PM growth 3Y-0.94%
PM growth 5Y-7.66%
GM growth 3Y-0.57%
GM growth 5Y-0.97%
2. Health
2.1 Basic Checks
DV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
DV has less shares outstanding than it did 1 year ago.
DV has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, DV has an improved debt to assets ratio.
2.2 Solvency
DV has an Altman-Z score of 7.57. This indicates that DV is financially healthy and has little risk of bankruptcy at the moment.
DV has a better Altman-Z score (7.57) than 88.89% of its industry peers.
DV has a debt to FCF ratio of 0.11. This is a very positive value and a sign of high solvency as it would only need 0.11 years to pay back of all of its debts.
DV has a better Debt to FCF ratio (0.11) than 90.91% of its industry peers.
A Debt/Equity ratio of 0.01 indicates that DV is not too dependend on debt financing.
The Debt to Equity ratio of DV (0.01) is better than 82.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.11 | ||
| Altman-Z | 7.57 |
ROIC/WACC0.57
WACC8.7%
2.3 Liquidity
DV has a Current Ratio of 4.41. This indicates that DV is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 4.41, DV belongs to the best of the industry, outperforming 94.95% of the companies in the same industry.
A Quick Ratio of 4.41 indicates that DV has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 4.41, DV belongs to the best of the industry, outperforming 94.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.41 | ||
| Quick Ratio | 4.41 |
3. Growth
3.1 Past
The earnings per share for DV have decreased strongly by -11.43% in the last year.
The Earnings Per Share has been growing by 16.45% on average over the past years. This is quite good.
The Revenue has grown by 16.54% in the past year. This is quite good.
The Revenue has been growing by 29.17% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-11.43%
EPS 3Y21.14%
EPS 5Y16.45%
EPS Q2Q%50%
Revenue 1Y (TTM)16.54%
Revenue growth 3Y25.45%
Revenue growth 5Y29.17%
Sales Q2Q%21.25%
3.2 Future
DV is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 47.38% yearly.
Based on estimates for the next years, DV will show a quite strong growth in Revenue. The Revenue will grow by 12.83% on average per year.
EPS Next Y6.68%
EPS Next 2Y23%
EPS Next 3Y20.76%
EPS Next 5Y47.38%
Revenue Next Year14.06%
Revenue Next 2Y13%
Revenue Next 3Y12.78%
Revenue Next 5Y12.83%
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 estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
DV is valuated quite expensively with a Price/Earnings ratio of 42.00.
DV's Price/Earnings is on the same level as the industry average.
DV is valuated expensively when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
DV is valuated quite expensively with a Price/Forward Earnings ratio of 26.90.
DV's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of DV to the average of the S&P500 Index (22.73), we can say DV is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42 | ||
| Fwd PE | 26.9 |
4.2 Price Multiples
DV's Enterprise Value to EBITDA ratio is in line with the industry average.
DV's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. DV is cheaper than 68.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.21 | ||
| EV/EBITDA | 14.09 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
DV has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as DV's earnings are expected to grow with 20.76% in the coming years.
PEG (NY)6.29
PEG (5Y)2.55
EPS Next 2Y23%
EPS Next 3Y20.76%
5. Dividend
5.1 Amount
No dividends for DV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
13.02
-0.93 (-6.67%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners83.68%
Inst Owner Change0.36%
Ins Owners0.7%
Ins Owner Change0.12%
Market Cap2.13B
Analysts74.48
Price Target19.64 (50.84%)
Short Float %7.57%
Short Ratio4.76
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)1
Avg EPS beat(2)-24.68%
Min EPS beat(2)-56.48%
Max EPS beat(2)7.12%
EPS beat(4)2
Avg EPS beat(4)-8.8%
Min EPS beat(4)-56.48%
Max EPS beat(4)39.61%
EPS beat(8)5
Avg EPS beat(8)8.98%
EPS beat(12)8
Avg EPS beat(12)14.82%
EPS beat(16)11
Avg EPS beat(16)16.61%
Revenue beat(2)2
Avg Revenue beat(2)3.22%
Min Revenue beat(2)1.7%
Max Revenue beat(2)4.75%
Revenue beat(4)2
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-6%
Max Revenue beat(4)4.75%
Revenue beat(8)3
Avg Revenue beat(8)-0.86%
Revenue beat(12)4
Avg Revenue beat(12)-0.95%
Revenue beat(16)6
Avg Revenue beat(16)-0.26%
PT rev (1m)5.32%
PT rev (3m)7.28%
EPS NQ rev (1m)-0.04%
EPS NQ rev (3m)-21.45%
EPS NY rev (1m)5.01%
EPS NY rev (3m)1.98%
Revenue NQ rev (1m)0.31%
Revenue NQ rev (3m)-0.18%
Revenue NY rev (1m)2.21%
Revenue NY rev (3m)4.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42 | ||
| Fwd PE | 26.9 | ||
| P/S | 2.98 | ||
| P/FCF | 14.21 | ||
| P/OCF | 11.88 | ||
| P/B | 1.95 | ||
| P/tB | 4.66 | ||
| EV/EBITDA | 14.09 |
EPS(TTM)0.31
EY2.38%
EPS(NY)0.48
Fwd EY3.72%
FCF(TTM)0.92
FCFY7.04%
OCF(TTM)1.1
OCFY8.42%
SpS4.37
BVpS6.66
TBVpS2.8
PEG (NY)6.29
PEG (5Y)2.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 4.84% | ||
| ROCE | 7.23% | ||
| ROIC | 4.98% | ||
| ROICexc | 6.09% | ||
| ROICexgc | 17.34% | ||
| OM | 12.07% | ||
| PM (TTM) | 7.38% | ||
| GM | 82.1% | ||
| FCFM | 20.98% |
ROA(3y)4.78%
ROA(5y)4.32%
ROE(3y)5.59%
ROE(5y)5.07%
ROIC(3y)4.71%
ROIC(5y)3.99%
ROICexc(3y)6.45%
ROICexc(5y)5.25%
ROICexgc(3y)19.19%
ROICexgc(5y)18.51%
ROCE(3y)6.84%
ROCE(5y)5.79%
ROICexcg growth 3Y1.44%
ROICexcg growth 5Y-18.15%
ROICexc growth 3Y30%
ROICexc growth 5Y0.7%
OM growth 3Y16.07%
OM growth 5Y-10.13%
PM growth 3Y-0.94%
PM growth 5Y-7.66%
GM growth 3Y-0.57%
GM growth 5Y-0.97%
F-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.11 | ||
| Debt/EBITDA | 0.06 | ||
| Cap/Depr | 58.38% | ||
| Cap/Sales | 4.12% | ||
| Interest Coverage | 137.02 | ||
| Cash Conversion | 131.29% | ||
| Profit Quality | 284.3% | ||
| Current Ratio | 4.41 | ||
| Quick Ratio | 4.41 | ||
| Altman-Z | 7.57 |
F-Score5
WACC8.7%
ROIC/WACC0.57
Cap/Depr(3y)72.7%
Cap/Depr(5y)57.75%
Cap/Sales(3y)5.31%
Cap/Sales(5y)4.55%
Profit Quality(3y)168.72%
Profit Quality(5y)162.49%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.43%
EPS 3Y21.14%
EPS 5Y16.45%
EPS Q2Q%50%
EPS Next Y6.68%
EPS Next 2Y23%
EPS Next 3Y20.76%
EPS Next 5Y47.38%
Revenue 1Y (TTM)16.54%
Revenue growth 3Y25.45%
Revenue growth 5Y29.17%
Sales Q2Q%21.25%
Revenue Next Year14.06%
Revenue Next 2Y13%
Revenue Next 3Y12.78%
Revenue Next 5Y12.83%
EBIT growth 1Y16.81%
EBIT growth 3Y45.6%
EBIT growth 5Y16.08%
EBIT Next Year179.83%
EBIT Next 3Y54.76%
EBIT Next 5Y37.43%
FCF growth 1Y125.62%
FCF growth 3Y21.79%
FCF growth 5Y41.34%
OCF growth 1Y78.45%
OCF growth 3Y24.49%
OCF growth 5Y40.24%