DYCOM INDUSTRIES INC (DY) Stock Fundamental Analysis
NYSE:DY - New York Stock Exchange, Inc. - US2674751019 - Common Stock - Currency: USD
Taking everything into account, DY scores 6 out of 10 in our fundamental rating. DY was compared to 49 industry peers in the Construction & Engineering industry. DY gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, DY is valued expensive at the moment. This makes DY very considerable for quality investing!
1. Profitability
1.1 Basic Checks
DY had positive earnings in the past year.
In the past year DY had a positive cash flow from operations.
DY had positive earnings in each of the past 5 years.
DY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 7.47%, DY is doing good in the industry, outperforming 77.55% of the companies in the same industry.
The Return On Equity of DY (18.32%) is better than 73.47% of its industry peers.
The Return On Invested Capital of DY (10.39%) is better than 71.43% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DY is significantly below the industry average of 16.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.47% | ||
| ROE | 18.32% | ||
| ROIC | 10.39% |
ROA(3y)7.59%
ROA(5y)5.37%
ROE(3y)18.65%
ROE(5y)13.32%
ROIC(3y)10.49%
ROIC(5y)8.23%
1.3 Margins
DY has a Profit Margin of 4.81%. This is in the better half of the industry: DY outperforms 67.35% of its industry peers.
In the last couple of years the Profit Margin of DY has grown nicely.
DY's Operating Margin of 7.07% is fine compared to the rest of the industry. DY outperforms 63.27% of its industry peers.
In the last couple of years the Operating Margin of DY has grown nicely.
DY's Gross Margin of 19.90% is fine compared to the rest of the industry. DY outperforms 63.27% of its industry peers.
In the last couple of years the Gross Margin of DY has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.07% | ||
| PM (TTM) | 4.81% | ||
| GM | 19.9% |
OM growth 3Y40.01%
OM growth 5Y15.19%
PM growth 3Y47.32%
PM growth 5Y23.72%
GM growth 3Y7.71%
GM growth 5Y3.41%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DY is destroying value.
The number of shares outstanding for DY has been reduced compared to 1 year ago.
DY has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, DY has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.48 indicates that DY is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.48, DY is in the better half of the industry, outperforming 79.59% of the companies in the same industry.
DY has a debt to FCF ratio of 23.19. This is a negative value and a sign of low solvency as DY would need 23.19 years to pay back of all of its debts.
DY's Debt to FCF ratio of 23.19 is in line compared to the rest of the industry. DY outperforms 42.86% of its industry peers.
A Debt/Equity ratio of 0.80 indicates that DY is somewhat dependend on debt financing.
The Debt to Equity ratio of DY (0.80) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 23.19 | ||
| Altman-Z | 5.48 |
ROIC/WACC0.95
WACC10.94%
2.3 Liquidity
A Current Ratio of 2.89 indicates that DY has no problem at all paying its short term obligations.
The Current ratio of DY (2.89) is better than 95.92% of its industry peers.
DY has a Quick Ratio of 2.68. This indicates that DY is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.68, DY belongs to the top of the industry, outperforming 95.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.89 | ||
| Quick Ratio | 2.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.25% over the past year.
Measured over the past years, DY shows a very strong growth in Earnings Per Share. The EPS has been growing by 30.01% on average per year.
The Revenue has grown by 12.77% in the past year. This is quite good.
Measured over the past years, DY shows a small growth in Revenue. The Revenue has been growing by 7.08% on average per year.
EPS 1Y (TTM)8.25%
EPS 3Y80.65%
EPS 5Y30.01%
EPS Q2Q%-1.42%
Revenue 1Y (TTM)12.77%
Revenue growth 3Y14.52%
Revenue growth 5Y7.08%
Sales Q2Q%10.17%
3.2 Future
Based on estimates for the next years, DY will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.77% on average per year.
DY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.49% yearly.
EPS Next Y16.64%
EPS Next 2Y15.62%
EPS Next 3Y16.77%
EPS Next 5YN/A
Revenue Next Year15.81%
Revenue Next 2Y11.87%
Revenue Next 3Y11.49%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
Based on the Price/Earnings ratio of 32.07, the valuation of DY can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of DY is on the same level as its industry peers.
DY's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.87.
With a Price/Forward Earnings ratio of 23.90, DY is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as DY.
When comparing the Price/Forward Earnings ratio of DY to the average of the S&P500 Index (35.34), we can say DY is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.07 | ||
| Fwd PE | 23.9 |
4.2 Price Multiples
61.22% of the companies in the same industry are more expensive than DY, based on the Enterprise Value to EBITDA ratio.
DY's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. DY is more expensive than 61.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 174.93 | ||
| EV/EBITDA | 15.94 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DY does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of DY may justify a higher PE ratio.
DY's earnings are expected to grow with 16.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.93
PEG (5Y)1.07
EPS Next 2Y15.62%
EPS Next 3Y16.77%
5. Dividend
5.1 Amount
DY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
269.36
+1.4 (+0.52%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners100.32%
Inst Owner Change-5.54%
Ins Owners1.18%
Ins Owner Change2.9%
Market Cap7.79B
Analysts85.88
Price Target280.88 (4.28%)
Short Float %2.9%
Short Ratio2.19
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)2
Avg EPS beat(2)24.4%
Min EPS beat(2)22.52%
Max EPS beat(2)26.28%
EPS beat(4)4
Avg EPS beat(4)16.34%
Min EPS beat(4)5.78%
Max EPS beat(4)26.28%
EPS beat(8)7
Avg EPS beat(8)19.51%
EPS beat(12)11
Avg EPS beat(12)75.75%
EPS beat(16)14
Avg EPS beat(16)83.72%
Revenue beat(2)2
Avg Revenue beat(2)2.47%
Min Revenue beat(2)2.33%
Max Revenue beat(2)2.6%
Revenue beat(4)3
Avg Revenue beat(4)0.7%
Min Revenue beat(4)-2.43%
Max Revenue beat(4)2.6%
Revenue beat(8)5
Avg Revenue beat(8)0.09%
Revenue beat(12)9
Avg Revenue beat(12)1.92%
Revenue beat(16)12
Avg Revenue beat(16)1.92%
PT rev (1m)5%
PT rev (3m)30.59%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.51%
EPS NY rev (1m)0%
EPS NY rev (3m)2.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.35%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.07 | ||
| Fwd PE | 23.9 | ||
| P/S | 1.62 | ||
| P/FCF | 174.93 | ||
| P/OCF | 23.43 | ||
| P/B | 6.15 | ||
| P/tB | 10.7 | ||
| EV/EBITDA | 15.94 |
EPS(TTM)8.4
EY3.12%
EPS(NY)11.27
Fwd EY4.18%
FCF(TTM)1.54
FCFY0.57%
OCF(TTM)11.5
OCFY4.27%
SpS166.6
BVpS43.78
TBVpS25.17
PEG (NY)1.93
PEG (5Y)1.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.47% | ||
| ROE | 18.32% | ||
| ROCE | 13.78% | ||
| ROIC | 10.39% | ||
| ROICexc | 10.46% | ||
| ROICexgc | 13.39% | ||
| OM | 7.07% | ||
| PM (TTM) | 4.81% | ||
| GM | 19.9% | ||
| FCFM | 0.92% |
ROA(3y)7.59%
ROA(5y)5.37%
ROE(3y)18.65%
ROE(5y)13.32%
ROIC(3y)10.49%
ROIC(5y)8.23%
ROICexc(3y)11.25%
ROICexc(5y)8.85%
ROICexgc(3y)14.58%
ROICexgc(5y)11.6%
ROCE(3y)13.92%
ROCE(5y)10.91%
ROICexcg growth 3Y36.19%
ROICexcg growth 5Y18%
ROICexc growth 3Y37.4%
ROICexc growth 5Y18.32%
OM growth 3Y40.01%
OM growth 5Y15.19%
PM growth 3Y47.32%
PM growth 5Y23.72%
GM growth 3Y7.71%
GM growth 5Y3.41%
F-Score5
Asset Turnover1.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 23.19 | ||
| Debt/EBITDA | 1.84 | ||
| Cap/Depr | 136% | ||
| Cap/Sales | 5.98% | ||
| Interest Coverage | 5.76 | ||
| Cash Conversion | 60.19% | ||
| Profit Quality | 19.2% | ||
| Current Ratio | 2.89 | ||
| Quick Ratio | 2.68 | ||
| Altman-Z | 5.48 |
F-Score5
WACC10.94%
ROIC/WACC0.95
Cap/Depr(3y)133.16%
Cap/Depr(5y)107.06%
Cap/Sales(3y)5.28%
Cap/Sales(5y)4.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.25%
EPS 3Y80.65%
EPS 5Y30.01%
EPS Q2Q%-1.42%
EPS Next Y16.64%
EPS Next 2Y15.62%
EPS Next 3Y16.77%
EPS Next 5YN/A
Revenue 1Y (TTM)12.77%
Revenue growth 3Y14.52%
Revenue growth 5Y7.08%
Sales Q2Q%10.17%
Revenue Next Year15.81%
Revenue Next 2Y11.87%
Revenue Next 3Y11.49%
Revenue Next 5YN/A
EBIT growth 1Y2.77%
EBIT growth 3Y60.34%
EBIT growth 5Y23.35%
EBIT Next Year99.23%
EBIT Next 3Y33.51%
EBIT Next 5YN/A
FCF growth 1Y173.14%
FCF growth 3Y-13.37%
FCF growth 5YN/A
OCF growth 1Y129.99%
OCF growth 3Y4.18%
OCF growth 5Y43.19%