DYNEX CAPITAL INC (DX) Stock Fundamental Analysis
NYSE:DX - US26817Q8868 - REIT
12.46 USD
+0.03 (+0.24%)
12.45 USD
-0.01 (-0.08%)
DX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 67 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. DX may be in some trouble as it scores bad on both profitability and health. DX is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
In the past year DX was profitable.
In the past year DX had a positive cash flow from operations.
Of the past 5 years DX 4 years were profitable.
Each year in the past 5 years DX had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.50%, DX is in the better half of the industry, outperforming 68.66% of the companies in the same industry.
DX has a Return On Equity of 3.54%. This is in the better half of the industry: DX outperforms 62.69% of its industry peers.
DX's Return On Invested Capital of 0.04% is on the low side compared to the rest of the industry. DX is outperformed by 68.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.5% | ||
| ROE | 3.54% | ||
| ROIC | 0.04% |
ROA(3y)1.61%
ROA(5y)2.5%
ROE(3y)7.47%
ROE(5y)11.89%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DX has a better Profit Margin (15.04%) than 79.10% of its industry peers.
DX's Profit Margin has declined in the last couple of years.
DX's Operating Margin of 1.50% is on the low side compared to the rest of the industry. DX is outperformed by 68.66% of its industry peers.
The Gross Margin of DX (12.68%) is worse than 68.66% of its industry peers.
In the last couple of years the Gross Margin of DX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.5% | ||
| PM (TTM) | 15.04% | ||
| GM | 12.68% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-37.42%
PM growth 5YN/A
GM growth 3Y-75.33%
GM growth 5Y-47.03%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DX is destroying value.
Compared to 1 year ago, DX has more shares outstanding
Compared to 5 years ago, DX has more shares outstanding
DX has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.92, we must say that DX is in the distress zone and has some risk of bankruptcy.
DX has a Altman-Z score of -0.92. This is in the lower half of the industry: DX underperforms 77.61% of its industry peers.
DX has a debt to FCF ratio of 168.78. This is a negative value and a sign of low solvency as DX would need 168.78 years to pay back of all of its debts.
The Debt to FCF ratio of DX (168.78) is comparable to the rest of the industry.
DX has a Debt/Equity ratio of 5.36. This is a high value indicating a heavy dependency on external financing.
DX has a Debt to Equity ratio (5.36) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.36 | ||
| Debt/FCF | 168.78 | ||
| Altman-Z | -0.92 |
ROIC/WACC0.01
WACC5.87%
2.3 Liquidity
DX has a Current Ratio of 0.05. This is a bad value and indicates that DX is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of DX (0.05) is worse than 86.57% of its industry peers.
DX has a Quick Ratio of 0.05. This is a bad value and indicates that DX is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.05, DX is not doing good in the industry: 86.57% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 |
3. Growth
3.1 Past
DX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 145.74%, which is quite impressive.
Measured over the past years, DX shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -18.72% on average per year.
DX shows a strong growth in Revenue. In the last year, the Revenue has grown by 35.01%.
DX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.32% yearly.
EPS 1Y (TTM)145.74%
EPS 3Y-18.72%
EPS 5YN/A
EPS Q2Q%283.33%
Revenue 1Y (TTM)35.01%
Revenue growth 3Y68.26%
Revenue growth 5Y13.32%
Sales Q2Q%1697.05%
3.2 Future
DX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 73.39% yearly.
The Revenue is expected to grow by 242.96% on average over the next years. This is a very strong growth
EPS Next Y389.03%
EPS Next 2Y135.28%
EPS Next 3Y73.39%
EPS Next 5YN/A
Revenue Next Year654.32%
Revenue Next 2Y242.96%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 28.98 indicates a quite expensive valuation of DX.
The rest of the industry has a similar Price/Earnings ratio as DX.
The average S&P500 Price/Earnings ratio is at 27.24. DX is around the same levels.
A Price/Forward Earnings ratio of 8.39 indicates a reasonable valuation of DX.
65.67% of the companies in the same industry are more expensive than DX, based on the Price/Forward Earnings ratio.
DX is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.98 | ||
| Fwd PE | 8.39 |
4.2 Price Multiples
DX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DX is cheaper than 68.66% of the companies in the same industry.
61.19% of the companies in the same industry are cheaper than DX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.55 | ||
| EV/EBITDA | 157.24 |
4.3 Compensation for Growth
DX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
DX's earnings are expected to grow with 73.39% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.07
PEG (5Y)N/A
EPS Next 2Y135.28%
EPS Next 3Y73.39%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 16.41%, DX is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 12.07, DX pays a better dividend. On top of this DX pays more dividend than 94.03% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, DX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 16.41% |
5.2 History
The dividend of DX decreases each year by -11.72%.
DX has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-11.72%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
288.22% of the earnings are spent on dividend by DX. This is not a sustainable payout ratio.
DP288.22%
EPS Next 2Y135.28%
EPS Next 3Y73.39%
12.46
+0.03 (+0.24%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners43.11%
Inst Owner Change45.54%
Ins Owners0.9%
Ins Owner Change10.58%
Market Cap1.56B
Analysts84
Price Target14.11 (13.24%)
Short Float %4.95%
Short Ratio1.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 16.41% |
Yearly Dividend1.67
Dividend Growth(5Y)-11.72%
DP288.22%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-22.33%
Min EPS beat(2)-31.42%
Max EPS beat(2)-13.24%
EPS beat(4)1
Avg EPS beat(4)-62.16%
Min EPS beat(4)-246.74%
Max EPS beat(4)42.78%
EPS beat(8)2
Avg EPS beat(8)-77.17%
EPS beat(12)2
Avg EPS beat(12)-166.27%
EPS beat(16)3
Avg EPS beat(16)-125.15%
Revenue beat(2)0
Avg Revenue beat(2)-13.38%
Min Revenue beat(2)-24.66%
Max Revenue beat(2)-2.1%
Revenue beat(4)0
Avg Revenue beat(4)-40.51%
Min Revenue beat(4)-83.68%
Max Revenue beat(4)-2.1%
Revenue beat(8)3
Avg Revenue beat(8)-83.91%
Revenue beat(12)5
Avg Revenue beat(12)-50.42%
Revenue beat(16)6
Avg Revenue beat(16)-38.31%
PT rev (1m)3.11%
PT rev (3m)3.11%
EPS NQ rev (1m)-2.69%
EPS NQ rev (3m)21.57%
EPS NY rev (1m)0%
EPS NY rev (3m)4.3%
Revenue NQ rev (1m)7.37%
Revenue NQ rev (3m)34.41%
Revenue NY rev (1m)5.15%
Revenue NY rev (3m)2.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.98 | ||
| Fwd PE | 8.39 | ||
| P/S | 4.12 | ||
| P/FCF | 30.55 | ||
| P/OCF | 30.55 | ||
| P/B | 0.97 | ||
| P/tB | 0.97 | ||
| EV/EBITDA | 157.24 |
EPS(TTM)0.43
EY3.45%
EPS(NY)1.48
Fwd EY11.92%
FCF(TTM)0.41
FCFY3.27%
OCF(TTM)0.41
OCFY3.27%
SpS3.02
BVpS12.84
TBVpS12.84
PEG (NY)0.07
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.5% | ||
| ROE | 3.54% | ||
| ROCE | 0.34% | ||
| ROIC | 0.04% | ||
| ROICexc | 0.05% | ||
| ROICexgc | 0.05% | ||
| OM | 1.5% | ||
| PM (TTM) | 15.04% | ||
| GM | 12.68% | ||
| FCFM | 13.5% |
ROA(3y)1.61%
ROA(5y)2.5%
ROE(3y)7.47%
ROE(5y)11.89%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-37.42%
PM growth 5YN/A
GM growth 3Y-75.33%
GM growth 5Y-47.03%
F-Score5
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.36 | ||
| Debt/FCF | 168.78 | ||
| Debt/EBITDA | 1130.7 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.02 | ||
| Cash Conversion | 669.93% | ||
| Profit Quality | 89.78% | ||
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 | ||
| Altman-Z | -0.92 |
F-Score5
WACC5.87%
ROIC/WACC0.01
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)145.74%
EPS 3Y-18.72%
EPS 5YN/A
EPS Q2Q%283.33%
EPS Next Y389.03%
EPS Next 2Y135.28%
EPS Next 3Y73.39%
EPS Next 5YN/A
Revenue 1Y (TTM)35.01%
Revenue growth 3Y68.26%
Revenue growth 5Y13.32%
Sales Q2Q%1697.05%
Revenue Next Year654.32%
Revenue Next 2Y242.96%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y112.92%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-43.71%
FCF growth 3Y-53.91%
FCF growth 5Y-39.34%
OCF growth 1Y-43.71%
OCF growth 3Y-53.91%
OCF growth 5Y-39.34%