DYCOM INDUSTRIES INC (DY) Stock Fundamental Analysis
NYSE:DY - New York Stock Exchange, Inc. - US2674751019 - Common Stock - Currency: USD
Overall DY gets a fundamental rating of 6 out of 10. We evaluated DY against 49 industry peers in the Construction & Engineering industry. Both the health and profitability get an excellent rating, making DY a very profitable company, without any liquidiy or solvency issues. DY is not valued too expensively and it also shows a decent growth rate. With these ratings, DY could be worth investigating further 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.
DY had positive earnings in each of the past 5 years.
In the past 5 years DY always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of DY (7.47%) is better than 75.51% of its industry peers.
With a decent Return On Equity value of 18.32%, DY is doing good in the industry, outperforming 71.43% of the companies in the same industry.
DY has a Return On Invested Capital of 10.39%. This is in the better half of the industry: DY outperforms 73.47% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DY is significantly below the industry average of 16.67%.
| 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.
DY's Profit Margin has improved in the last couple of years.
DY has a better Operating Margin (7.07%) than 63.27% of its industry peers.
DY's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 19.90%, DY is in the better half of the industry, outperforming 61.22% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DY is destroying value.
The number of shares outstanding for DY has been reduced compared to 1 year ago.
Compared to 5 years ago, DY has less shares outstanding
Compared to 1 year ago, DY has an improved debt to assets ratio.
2.2 Solvency
DY has an Altman-Z score of 5.33. This indicates that DY is financially healthy and has little risk of bankruptcy at the moment.
DY has a Altman-Z score of 5.33. This is in the better half of the industry: DY outperforms 77.55% of its industry peers.
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.
DY has a Debt to FCF ratio (23.19) which is in line with its industry peers.
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 48.98% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 23.19 | ||
| Altman-Z | 5.33 |
ROIC/WACC0.98
WACC10.58%
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.
DY has a better Current ratio (2.89) than 95.92% of its industry peers.
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 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.
DY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 30.01% yearly.
Looking at the last year, DY shows a quite strong growth in Revenue. The Revenue has grown by 12.77% in the last year.
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.
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 3Y18.47%
EPS Next 5YN/A
Revenue Next Year15.81%
Revenue Next 2Y11.87%
Revenue Next 3Y11.49%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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 29.84, the valuation of DY can be described as expensive.
Based on the Price/Earnings ratio, DY is valued a bit cheaper than 65.31% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.51, DY is valued at the same level.
With a Price/Forward Earnings ratio of 22.24, DY is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DY indicates a somewhat cheap valuation: DY is cheaper than 61.22% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of DY to the average of the S&P500 Index (35.58), we can say DY is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.84 | ||
| Fwd PE | 22.24 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DY is valued a bit cheaper than the industry average as 65.31% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DY indicates a slightly more expensive valuation: DY is more expensive than 61.22% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 162.76 | ||
| EV/EBITDA | 15.12 |
4.3 Compensation for Growth
The 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.
DY's earnings are expected to grow with 18.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.79
PEG (5Y)0.99
EPS Next 2Y15.62%
EPS Next 3Y18.47%
5. Dividend
5.1 Amount
DY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
250.63
-3 (-1.18%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners100.95%
Inst Owner Change0%
Ins Owners1.18%
Ins Owner Change2.88%
Market Cap7.25B
Analysts85.88
Price Target267.5 (6.73%)
Short Float %2.75%
Short Ratio2.01
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)0%
PT rev (3m)21.98%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.51%
EPS NY rev (1m)2.54%
EPS NY rev (3m)2.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.35%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)2.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.84 | ||
| Fwd PE | 22.24 | ||
| P/S | 1.5 | ||
| P/FCF | 162.76 | ||
| P/OCF | 21.8 | ||
| P/B | 5.72 | ||
| P/tB | 9.96 | ||
| EV/EBITDA | 15.12 |
EPS(TTM)8.4
EY3.35%
EPS(NY)11.27
Fwd EY4.5%
FCF(TTM)1.54
FCFY0.61%
OCF(TTM)11.5
OCFY4.59%
SpS166.6
BVpS43.78
TBVpS25.17
PEG (NY)1.79
PEG (5Y)0.99
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 | 5.33 |
F-Score5
WACC10.58%
ROIC/WACC0.98
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 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 Year15.81%
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 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%