DYCOM INDUSTRIES INC (DY) Stock Fundamental Analysis
NYSE:DY - New York Stock Exchange, Inc. - US2674751019 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to DY. DY was compared to 52 industry peers in the Construction & Engineering industry. DY gets an excellent profitability rating and is at the same time showing great financial health properties. DY has a decent growth rate and is not valued too expensively. These ratings would make DY suitable for quality investing!
1. Profitability
1.1 Basic Checks
DY had positive earnings in the past year.
DY had a positive operating cash flow in the past year.
Each year in the past 5 years DY has been profitable.
In the past 5 years DY always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 7.47%, DY is doing good in the industry, outperforming 76.92% of the companies in the same industry.
DY has a Return On Equity of 18.32%. This is in the better half of the industry: DY outperforms 73.08% of its industry peers.
DY has a Return On Invested Capital of 10.39%. This is in the better half of the industry: DY outperforms 75.00% 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 16.60%.
| 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's Profit Margin of 4.81% is fine compared to the rest of the industry. DY outperforms 69.23% of its industry peers.
DY's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 7.07%, DY is in the better half of the industry, outperforming 65.38% of the companies in the same industry.
DY's Operating Margin has improved in the last couple of years.
DY has a better Gross Margin (19.90%) than 63.46% 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 just above the Cost of Capital (WACC), so DY is still creating some value.
Compared to 1 year ago, DY has less shares outstanding
Compared to 5 years ago, DY has less shares outstanding
DY has a better debt/assets ratio than last year.
2.2 Solvency
DY has an Altman-Z score of 5.15. This indicates that DY is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 5.15, DY is doing good in the industry, outperforming 73.08% of the companies in the same industry.
The Debt to FCF ratio of DY is 23.19, which is on the high side as it means it would take DY, 23.19 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DY (23.19) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.80 indicates that DY is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.80, DY perfoms like the industry average, outperforming 44.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 23.19 | ||
| Altman-Z | 5.15 |
ROIC/WACC1.03
WACC10.08%
2.3 Liquidity
DY has a Current Ratio of 2.89. This indicates that DY is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.89, DY belongs to the top of the industry, outperforming 96.15% of the companies in the same industry.
A Quick Ratio of 2.68 indicates that DY has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.68, DY belongs to the top of the industry, outperforming 96.15% 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.
The Earnings Per Share has been growing by 30.01% on average over the past years. This is a very strong growth
DY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.77%.
DY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.08% yearly.
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 18.47% on average per year.
Based on estimates for the next years, DY will show a quite strong growth in Revenue. The Revenue will grow by 11.49% on average per year.
EPS Next Y16.6%
EPS Next 2Y15.34%
EPS Next 3Y18.47%
EPS Next 5YN/A
Revenue Next Year15.79%
Revenue Next 2Y11.71%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 27.86 indicates a quite expensive valuation of DY.
Compared to the rest of the industry, the Price/Earnings ratio of DY indicates a somewhat cheap valuation: DY is cheaper than 65.38% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.34. DY is around the same levels.
With a Price/Forward Earnings ratio of 20.87, DY is valued on the expensive side.
Based on the Price/Forward Earnings ratio, DY is valued a bit cheaper than the industry average as 61.54% of the companies are valued more expensively.
DY is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.03, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.86 | ||
| Fwd PE | 20.87 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DY is valued a bit cheaper than 67.31% of the companies in the same industry.
DY's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 151.96 | ||
| EV/EBITDA | 14.09 |
4.3 Compensation for Growth
DY's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of DY may justify a higher PE ratio.
A more expensive valuation may be justified as DY's earnings are expected to grow with 18.47% in the coming years.
PEG (NY)1.68
PEG (5Y)0.93
EPS Next 2Y15.34%
EPS Next 3Y18.47%
5. Dividend
5.1 Amount
DY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
234
+1.17 (+0.5%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners100.95%
Inst Owner Change2.63%
Ins Owners1.18%
Ins Owner Change2.64%
Market Cap6.77B
Analysts85.88
Price Target267.5 (14.32%)
Short Float %2.14%
Short Ratio1.37
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)24.36%
PT rev (3m)21.57%
EPS NQ rev (1m)2.17%
EPS NQ rev (3m)3.87%
EPS NY rev (1m)2.5%
EPS NY rev (3m)2.28%
Revenue NQ rev (1m)1.19%
Revenue NQ rev (3m)3.2%
Revenue NY rev (1m)2.67%
Revenue NY rev (3m)2.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.86 | ||
| Fwd PE | 20.87 | ||
| P/S | 1.4 | ||
| P/FCF | 151.96 | ||
| P/OCF | 20.35 | ||
| P/B | 5.34 | ||
| P/tB | 9.3 | ||
| EV/EBITDA | 14.09 |
EPS(TTM)8.4
EY3.59%
EPS(NY)11.21
Fwd EY4.79%
FCF(TTM)1.54
FCFY0.66%
OCF(TTM)11.5
OCFY4.91%
SpS166.6
BVpS43.78
TBVpS25.17
PEG (NY)1.68
PEG (5Y)0.93
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 | 5.15 |
F-Score5
WACC10.08%
ROIC/WACC1.03
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 Y16.6%
EPS Next 2Y15.34%
EPS Next 3Y18.47%
EPS Next 5YN/A
Revenue 1Y (TTM)12.77%
Revenue growth 3Y14.52%
Revenue growth 5Y7.08%
Sales Q2Q%10.17%
Revenue Next Year15.79%
Revenue Next 2Y11.71%
Revenue Next 3Y11.49%
Revenue Next 5YN/A
EBIT growth 1Y2.77%
EBIT growth 3Y60.34%
EBIT growth 5Y23.35%
EBIT Next Year96.65%
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%