DANAOS CORP (DAC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DAC - MHY1968P1218 - Common Stock
94.18 USD
+0.21 (+0.22%)
94.18 USD
0 (0%)
Overall DAC gets a fundamental rating of 7 out of 10. We evaluated DAC against 35 industry peers in the Marine Transportation industry. Both the health and profitability get an excellent rating, making DAC a very profitable company, without any liquidiy or solvency issues. DAC has a bad growth rate and is valued cheaply. This makes DAC very considerable for value investing!
1. Profitability
1.1 Basic Checks
DAC had positive earnings in the past year.
In the past year DAC had a positive cash flow from operations.
Each year in the past 5 years DAC has been profitable.
DAC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.12%, DAC belongs to the top of the industry, outperforming 88.57% of the companies in the same industry.
DAC has a better Return On Equity (12.59%) than 77.14% of its industry peers.
DAC has a Return On Invested Capital of 8.98%. This is in the better half of the industry: DAC outperforms 80.00% of its industry peers.
DAC had an Average Return On Invested Capital over the past 3 years of 12.84%. This is significantly above the industry average of 6.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.12% | ||
| ROE | 12.59% | ||
| ROIC | 8.98% |
ROA(3y)14.61%
ROA(5y)15.7%
ROE(3y)18.56%
ROE(5y)24.19%
ROIC(3y)12.84%
ROIC(5y)10.69%
1.3 Margins
DAC has a better Profit Margin (45.16%) than 85.71% of its industry peers.
In the last couple of years the Profit Margin of DAC has grown nicely.
DAC has a better Operating Margin (48.62%) than 88.57% of its industry peers.
DAC's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 74.00%, DAC belongs to the top of the industry, outperforming 88.57% of the companies in the same industry.
In the last couple of years the Gross Margin of DAC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.62% | ||
| PM (TTM) | 45.16% | ||
| GM | 74% |
OM growth 3Y0.35%
OM growth 5Y3.15%
PM growth 3Y-31.16%
PM growth 5Y11.15%
GM growth 3Y-0.61%
GM growth 5Y0.24%
2. Health
2.1 Basic Checks
DAC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
DAC has less shares outstanding than it did 1 year ago.
DAC has less shares outstanding than it did 5 years ago.
The debt/assets ratio for DAC is higher compared to a year ago.
2.2 Solvency
DAC has an Altman-Z score of 2.87. This is not the best score and indicates that DAC is in the grey zone with still only limited risk for bankruptcy at the moment.
DAC has a Altman-Z score of 2.87. This is in the better half of the industry: DAC outperforms 77.14% of its industry peers.
DAC has a debt to FCF ratio of 2.18. This is a good value and a sign of high solvency as DAC would need 2.18 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 2.18, DAC belongs to the best of the industry, outperforming 88.57% of the companies in the same industry.
DAC has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of DAC (0.18) is better than 65.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.18 | ||
| Altman-Z | 2.87 |
ROIC/WACC1.14
WACC7.86%
2.3 Liquidity
A Current Ratio of 4.62 indicates that DAC has no problem at all paying its short term obligations.
With an excellent Current ratio value of 4.62, DAC belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
A Quick Ratio of 4.51 indicates that DAC has no problem at all paying its short term obligations.
DAC's Quick ratio of 4.51 is amongst the best of the industry. DAC outperforms 82.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.62 | ||
| Quick Ratio | 4.51 |
3. Growth
3.1 Past
The earnings per share for DAC have decreased by -4.89% in the last year.
DAC shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.25% yearly.
Looking at the last year, DAC shows a small growth in Revenue. The Revenue has grown by 2.90% in the last year.
DAC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.79% yearly.
EPS 1Y (TTM)-4.89%
EPS 3Y15.86%
EPS 5Y24.25%
EPS Q2Q%3.85%
Revenue 1Y (TTM)2.9%
Revenue growth 3Y13.72%
Revenue growth 5Y17.79%
Sales Q2Q%9.01%
3.2 Future
The Earnings Per Share is expected to decrease by -9.85% on average over the next years.
The Revenue is expected to decrease by -2.34% on average over the next years.
EPS Next Y-3.46%
EPS Next 2Y-2.05%
EPS Next 3Y-9.85%
EPS Next 5YN/A
Revenue Next Year-1.96%
Revenue Next 2Y-0.34%
Revenue Next 3Y-2.34%
Revenue Next 5YN/A
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 3.61, the valuation of DAC can be described as very cheap.
DAC's Price/Earnings ratio is a bit cheaper when compared to the industry. DAC is cheaper than 80.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.51. DAC is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 3.59, the valuation of DAC can be described as very cheap.
Based on the Price/Forward Earnings ratio, DAC is valued cheaper than 88.57% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.13. DAC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.61 | ||
| Fwd PE | 3.59 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DAC is valued a bit cheaper than 80.00% of the companies in the same industry.
82.86% of the companies in the same industry are more expensive than DAC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.01 | ||
| EV/EBITDA | 2.48 |
4.3 Compensation for Growth
DAC has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as DAC's earnings are expected to decrease with -9.85% in the coming years.
PEG (NY)N/A
PEG (5Y)0.15
EPS Next 2Y-2.05%
EPS Next 3Y-9.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.80%, DAC has a reasonable but not impressive dividend return.
DAC's Dividend Yield is a higher than the industry average which is at 5.65.
DAC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.8% |
5.2 History
The dividend of DAC decreases each year by -33.95%.
DAC has been paying a dividend for over 5 years, so it has already some track record.
DAC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-33.95%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
DAC pays out 13.56% of its income as dividend. This is a sustainable payout ratio.
DAC's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP13.56%
EPS Next 2Y-2.05%
EPS Next 3Y-9.85%
94.18
+0.21 (+0.22%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners20.39%
Inst Owner Change2.01%
Ins Owners1.41%
Ins Owner ChangeN/A
Market Cap1.72B
Revenue(TTM)1.03B
Net Income(TTM)467.13M
Analysts80
Price Target106.08 (12.64%)
Short Float %5.52%
Short Ratio6.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.8% |
Yearly Dividend3.27
Dividend Growth(5Y)-33.95%
DP13.56%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.67%
Min EPS beat(2)-5.88%
Max EPS beat(2)-5.47%
EPS beat(4)1
Avg EPS beat(4)-3.76%
Min EPS beat(4)-7.07%
Max EPS beat(4)3.36%
EPS beat(8)1
Avg EPS beat(8)-5.93%
EPS beat(12)3
Avg EPS beat(12)-2.68%
EPS beat(16)7
Avg EPS beat(16)8.63%
Revenue beat(2)2
Avg Revenue beat(2)2.59%
Min Revenue beat(2)0.17%
Max Revenue beat(2)5%
Revenue beat(4)2
Avg Revenue beat(4)0.03%
Min Revenue beat(4)-2.79%
Max Revenue beat(4)5%
Revenue beat(8)3
Avg Revenue beat(8)-0.69%
Revenue beat(12)7
Avg Revenue beat(12)1.56%
Revenue beat(16)11
Avg Revenue beat(16)3.86%
PT rev (1m)2.46%
PT rev (3m)2.46%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.05%
EPS NY rev (1m)-0.82%
EPS NY rev (3m)-1.18%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.59%
Revenue NY rev (1m)-0.49%
Revenue NY rev (3m)-0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.61 | ||
| Fwd PE | 3.59 | ||
| P/S | 1.67 | ||
| P/FCF | 5.01 | ||
| P/OCF | 2.77 | ||
| P/B | 0.46 | ||
| P/tB | 0.46 | ||
| EV/EBITDA | 2.48 |
EPS(TTM)26.08
EY27.69%
EPS(NY)26.25
Fwd EY27.87%
FCF(TTM)18.81
FCFY19.98%
OCF(TTM)33.97
OCFY36.06%
SpS56.49
BVpS202.65
TBVpS202.65
PEG (NY)N/A
PEG (5Y)0.15
Graham Number344.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.12% | ||
| ROE | 12.59% | ||
| ROCE | 11.36% | ||
| ROIC | 8.98% | ||
| ROICexc | 10.7% | ||
| ROICexgc | 10.7% | ||
| OM | 48.62% | ||
| PM (TTM) | 45.16% | ||
| GM | 74% | ||
| FCFM | 33.3% |
ROA(3y)14.61%
ROA(5y)15.7%
ROE(3y)18.56%
ROE(5y)24.19%
ROIC(3y)12.84%
ROIC(5y)10.69%
ROICexc(3y)14.28%
ROICexc(5y)11.66%
ROICexgc(3y)14.28%
ROICexgc(5y)11.66%
ROCE(3y)16.25%
ROCE(5y)13.53%
ROICexgc growth 3Y8.88%
ROICexgc growth 5Y10.92%
ROICexc growth 3Y8.88%
ROICexc growth 5Y10.92%
OM growth 3Y0.35%
OM growth 5Y3.15%
PM growth 3Y-31.16%
PM growth 5Y11.15%
GM growth 3Y-0.61%
GM growth 5Y0.24%
F-Score6
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.18 | ||
| Debt/EBITDA | 1.02 | ||
| Cap/Depr | 170.97% | ||
| Cap/Sales | 26.82% | ||
| Interest Coverage | 14.1 | ||
| Cash Conversion | 93.49% | ||
| Profit Quality | 73.74% | ||
| Current Ratio | 4.62 | ||
| Quick Ratio | 4.51 | ||
| Altman-Z | 2.87 |
F-Score6
WACC7.86%
ROIC/WACC1.14
Cap/Depr(3y)266.68%
Cap/Depr(5y)220.86%
Cap/Sales(3y)37.53%
Cap/Sales(5y)32.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.89%
EPS 3Y15.86%
EPS 5Y24.25%
EPS Q2Q%3.85%
EPS Next Y-3.46%
EPS Next 2Y-2.05%
EPS Next 3Y-9.85%
EPS Next 5YN/A
Revenue 1Y (TTM)2.9%
Revenue growth 3Y13.72%
Revenue growth 5Y17.79%
Sales Q2Q%9.01%
Revenue Next Year-1.96%
Revenue Next 2Y-0.34%
Revenue Next 3Y-2.34%
Revenue Next 5YN/A
EBIT growth 1Y-6.41%
EBIT growth 3Y14.12%
EBIT growth 5Y21.5%
EBIT Next Year30.29%
EBIT Next 3Y5.33%
EBIT Next 5YN/A
FCF growth 1Y0.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y8.04%
OCF growth 3Y13.25%
OCF growth 5Y23.11%
DANAOS CORP / DAC FAQ
What is the fundamental rating for DAC stock?
ChartMill assigns a fundamental rating of 7 / 10 to DAC.
What is the valuation status for DAC stock?
ChartMill assigns a valuation rating of 7 / 10 to DANAOS CORP (DAC). This can be considered as Undervalued.
Can you provide the profitability details for DANAOS CORP?
DANAOS CORP (DAC) has a profitability rating of 8 / 10.
Can you provide the financial health for DAC stock?
The financial health rating of DANAOS CORP (DAC) is 8 / 10.
How sustainable is the dividend of DANAOS CORP (DAC) stock?
The dividend rating of DANAOS CORP (DAC) is 5 / 10 and the dividend payout ratio is 13.56%.