DAYFORCE INC (DAY.CA) Stock Fundamental Analysis
Canada - TSX:DAY - US15677J1088 - Common Stock
95.52 CAD
+0.09 (+0.09%)
We assign a fundamental rating of 4 out of 10 to DAY. DAY was compared to 6 industry peers in the Professional Services industry. Both the profitability and financial health of DAY have multiple concerns. DAY has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
DAY had positive earnings in the past year.
In the past year DAY had a positive cash flow from operations.
In multiple years DAY reported negative net income over the last 5 years.
Of the past 5 years DAY 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of DAY (0.58%) is worse than 66.67% of its industry peers.
With a Return On Equity value of 1.81%, DAY is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
DAY has a Return On Invested Capital of 2.02%. This is in the lower half of the industry: DAY underperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 1.81% | ||
| ROIC | 2.02% |
ROA(3y)-0.02%
ROA(5y)-0.23%
ROE(3y)-0.16%
ROE(5y)-0.81%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DAY has a Profit Margin of 2.65%. This is comparable to the rest of the industry: DAY outperforms 50.00% of its industry peers.
DAY's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 7.02%, DAY is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
DAY's Operating Margin has been stable in the last couple of years.
DAY has a Gross Margin of 48.65%. This is amongst the best in the industry. DAY outperforms 83.33% of its industry peers.
DAY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.02% | ||
| PM (TTM) | 2.65% | ||
| GM | 48.65% |
OM growth 3YN/A
OM growth 5Y0.19%
PM growth 3YN/A
PM growth 5Y-35.96%
GM growth 3Y7.32%
GM growth 5Y0.65%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DAY is destroying value.
The number of shares outstanding for DAY has been increased compared to 1 year ago.
Compared to 5 years ago, DAY has more shares outstanding
DAY has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.36, we must say that DAY is in the distress zone and has some risk of bankruptcy.
DAY's Altman-Z score of 1.36 is in line compared to the rest of the industry. DAY outperforms 50.00% of its industry peers.
DAY has a debt to FCF ratio of 5.42. This is a neutral value as DAY would need 5.42 years to pay back of all of its debts.
DAY has a Debt to FCF ratio (5.42) which is comparable to the rest of the industry.
DAY has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.23, DAY is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 5.42 | ||
| Altman-Z | 1.36 |
ROIC/WACC0.25
WACC8.2%
2.3 Liquidity
DAY has a Current Ratio of 1.04. This is a normal value and indicates that DAY is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.04, DAY perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
DAY has a Quick Ratio of 1.04. This is a normal value and indicates that DAY is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.04, DAY perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.97% over the past year.
DAY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 34.49% yearly.
The Revenue has grown by 13.46% in the past year. This is quite good.
The Revenue has been growing by 16.39% on average over the past years. This is quite good.
EPS 1Y (TTM)26.97%
EPS 3Y96.74%
EPS 5Y34.49%
EPS Q2Q%27.08%
Revenue 1Y (TTM)13.46%
Revenue growth 3Y19.78%
Revenue growth 5Y16.39%
Sales Q2Q%9.78%
3.2 Future
The Earnings Per Share is expected to grow by 3.60% on average over the next years.
DAY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.69% yearly.
EPS Next Y23.81%
EPS Next 2Y17.94%
EPS Next 3Y18.3%
EPS Next 5Y3.6%
Revenue Next Year11.14%
Revenue Next 2Y11.35%
Revenue Next 3Y11.68%
Revenue Next 5Y9.69%
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
A Price/Earnings ratio of 30.52 indicates a quite expensive valuation of DAY.
83.33% of the companies in the same industry are more expensive than DAY, based on the Price/Earnings ratio.
DAY is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 25.04, the valuation of DAY can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DAY indicates a rather cheap valuation: DAY is cheaper than 83.33% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.73. DAY is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.52 | ||
| Fwd PE | 25.04 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DAY.
DAY's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.55 | ||
| EV/EBITDA | 33.02 |
4.3 Compensation for Growth
DAY's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as DAY's earnings are expected to grow with 18.30% in the coming years.
PEG (NY)1.28
PEG (5Y)0.88
EPS Next 2Y17.94%
EPS Next 3Y18.3%
5. Dividend
5.1 Amount
No dividends for DAY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:DAY (9/12/2025, 7:00:00 PM)
95.52
+0.09 (+0.09%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners112.51%
Inst Owner ChangeN/A
Ins Owners1.31%
Ins Owner ChangeN/A
Market Cap15.07B
Analysts71.43
Price Target96.23 (0.74%)
Short Float %N/A
Short RatioN/A
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)10.13%
Min EPS beat(2)4.47%
Max EPS beat(2)15.78%
EPS beat(4)4
Avg EPS beat(4)14.92%
Min EPS beat(4)4.47%
Max EPS beat(4)30.69%
EPS beat(8)8
Avg EPS beat(8)21.19%
EPS beat(12)11
Avg EPS beat(12)27.08%
EPS beat(16)15
Avg EPS beat(16)36.85%
Revenue beat(2)2
Avg Revenue beat(2)0.28%
Min Revenue beat(2)0.06%
Max Revenue beat(2)0.51%
Revenue beat(4)4
Avg Revenue beat(4)0.87%
Min Revenue beat(4)0.06%
Max Revenue beat(4)1.71%
Revenue beat(8)7
Avg Revenue beat(8)0.53%
Revenue beat(12)11
Avg Revenue beat(12)0.96%
Revenue beat(16)15
Avg Revenue beat(16)0.94%
PT rev (1m)-1.07%
PT rev (3m)0.39%
EPS NQ rev (1m)-0.88%
EPS NQ rev (3m)-4.96%
EPS NY rev (1m)6.04%
EPS NY rev (3m)4.25%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-0.52%
Revenue NY rev (1m)0.51%
Revenue NY rev (3m)0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.52 | ||
| Fwd PE | 25.04 | ||
| P/S | 5.88 | ||
| P/FCF | 48.55 | ||
| P/OCF | 32.48 | ||
| P/B | 4.03 | ||
| P/tB | 61.53 | ||
| EV/EBITDA | 33.02 |
EPS(TTM)3.13
EY3.28%
EPS(NY)3.81
Fwd EY3.99%
FCF(TTM)1.97
FCFY2.06%
OCF(TTM)2.94
OCFY3.08%
SpS16.25
BVpS23.71
TBVpS1.55
PEG (NY)1.28
PEG (5Y)0.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 1.81% | ||
| ROCE | 3.84% | ||
| ROIC | 2.02% | ||
| ROICexc | 2.48% | ||
| ROICexgc | 29.43% | ||
| OM | 7.02% | ||
| PM (TTM) | 2.65% | ||
| GM | 48.65% | ||
| FCFM | 12.11% |
ROA(3y)-0.02%
ROA(5y)-0.23%
ROE(3y)-0.16%
ROE(5y)-0.81%
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 5Y-2.73%
ROICexc growth 3YN/A
ROICexc growth 5Y10.24%
OM growth 3YN/A
OM growth 5Y0.19%
PM growth 3YN/A
PM growth 5Y-35.96%
GM growth 3Y7.32%
GM growth 5Y0.65%
F-Score8
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 5.42 | ||
| Debt/EBITDA | 1.82 | ||
| Cap/Depr | 50.99% | ||
| Cap/Sales | 5.99% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.43% | ||
| Profit Quality | 457.55% | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 1.36 |
F-Score8
WACC8.2%
ROIC/WACC0.25
Cap/Depr(3y)81.59%
Cap/Depr(5y)88.48%
Cap/Sales(3y)7.12%
Cap/Sales(5y)6.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)26.97%
EPS 3Y96.74%
EPS 5Y34.49%
EPS Q2Q%27.08%
EPS Next Y23.81%
EPS Next 2Y17.94%
EPS Next 3Y18.3%
EPS Next 5Y3.6%
Revenue 1Y (TTM)13.46%
Revenue growth 3Y19.78%
Revenue growth 5Y16.39%
Sales Q2Q%9.78%
Revenue Next Year11.14%
Revenue Next 2Y11.35%
Revenue Next 3Y11.68%
Revenue Next 5Y9.69%
EBIT growth 1Y-2.69%
EBIT growth 3YN/A
EBIT growth 5Y16.61%
EBIT Next Year52.33%
EBIT Next 3Y28.95%
EBIT Next 5Y16.58%
FCF growth 1Y187.07%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y79.29%
OCF growth 3Y79.26%
OCF growth 5Y40.91%