DAYFORCE INC (DAY)
US15677J1088 - Common Stock
DAY gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 80 industry peers in the Professional Services industry. DAY has a bad profitability rating. Also its financial health evaluation is rather negative. DAY shows excellent growth, but is valued quite expensive already.
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.
DAY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of 0.65%, DAY is not doing good in the industry: 64.56% of the companies in the same industry are doing better.
The Return On Equity of DAY (2.07%) is worse than 62.03% of its industry peers.
DAY has a worse Return On Invested Capital (2.54%) than 63.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 2.07% | ||
| ROIC | 2.54% |
ROA(3y)-0.44%
ROA(5y)-0.02%
ROE(3y)-1.53%
ROE(5y)-0.12%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DAY has a Profit Margin (3.12%) which is in line with its industry peers.
With a Operating Margin value of 7.28%, DAY perfoms like the industry average, outperforming 58.23% of the companies in the same industry.
DAY's Operating Margin has improved in the last couple of years.
DAY has a Gross Margin of 45.05%. This is comparable to the rest of the industry: DAY outperforms 51.90% of its industry peers.
In the last couple of years the Gross Margin of DAY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.28% | ||
| PM (TTM) | 3.12% | ||
| GM | 45.05% |
OM growth 3Y164.31%
OM growth 5Y9.17%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.78%
GM growth 5Y0.09%
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
Compared to 1 year ago, DAY has an improved debt to assets ratio.
2.2 Solvency
DAY has an Altman-Z score of 1.65. This is a bad value and indicates that DAY is not financially healthy and even has some risk of bankruptcy.
DAY has a Altman-Z score of 1.65. This is in the lower half of the industry: DAY underperforms 69.62% of its industry peers.
DAY has a debt to FCF ratio of 6.72. This is a slightly negative value and a sign of low solvency as DAY would need 6.72 years to pay back of all of its debts.
DAY has a Debt to FCF ratio (6.72) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.47 indicates that DAY is not too dependend on debt financing.
DAY has a Debt to Equity ratio of 0.47. This is comparable to the rest of the industry: DAY outperforms 44.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 6.72 | ||
| Altman-Z | 1.65 |
ROIC/WACC0.3
WACC8.57%
2.3 Liquidity
A Current Ratio of 1.15 indicates that DAY should not have too much problems paying its short term obligations.
With a Current ratio value of 1.15, DAY is not doing good in the industry: 65.82% of the companies in the same industry are doing better.
A Quick Ratio of 1.15 indicates that DAY should not have too much problems paying its short term obligations.
DAY has a worse Quick ratio (1.15) than 65.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 52.85% over the past year.
The Earnings Per Share has been growing by 45.20% on average over the past years. This is a very strong growth
DAY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.85%.
DAY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.37% yearly.
EPS 1Y (TTM)52.85%
EPS 3Y45.2%
EPS 5YN/A
EPS Q2Q%27.03%
Revenue 1Y (TTM)16.85%
Revenue growth 3Y21.57%
Revenue growth 5Y15.37%
Sales Q2Q%16.56%
3.2 Future
The Earnings Per Share is expected to grow by 28.14% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 17.14% on average over the next years. This is quite good.
EPS Next Y23.45%
EPS Next 2Y22.14%
EPS Next 3Y22.3%
EPS Next 5Y28.14%
Revenue Next Year15.63%
Revenue Next 2Y13.91%
Revenue Next 3Y13.63%
Revenue Next 5Y17.14%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 42.44, the valuation of DAY can be described as expensive.
70.89% of the companies in the same industry are cheaper than DAY, based on the Price/Earnings ratio.
DAY is valuated rather expensively when we compare the Price/Earnings ratio to 29.29, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 35.66 indicates a quite expensive valuation of DAY.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DAY indicates a slightly more expensive valuation: DAY is more expensive than 67.09% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of DAY to the average of the S&P500 Index (24.01), we can say DAY is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.44 | ||
| Fwd PE | 35.66 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DAY indicates a slightly more expensive valuation: DAY is more expensive than 74.68% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, DAY is valued a bit more expensive than the industry average as 63.29% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 69.48 | ||
| EV/EBITDA | 41.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as DAY's earnings are expected to grow with 22.30% in the coming years.
PEG (NY)1.81
PEG (5Y)N/A
EPS Next 2Y22.14%
EPS Next 3Y22.3%
5. Dividend
5.1 Amount
No dividends for DAY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DAYFORCE INC
NYSE:DAY (11/22/2024, 8:04:01 PM)
After market: 79.79 0 (0%)79.79
+1.09 (+1.39%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap12.58B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.44 | ||
| Fwd PE | 35.66 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.81
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 2.07% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.28% | ||
| PM (TTM) | 3.12% | ||
| GM | 45.05% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)52.85%
EPS 3Y45.2%
EPS 5Y
EPS Q2Q%
EPS Next Y23.45%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)16.85%
Revenue growth 3Y21.57%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y