DIEBOLD NIXDORF INC (DBD) Stock Fundamental Analysis
NYSE:DBD - New York Stock Exchange, Inc. - US2536512021 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to DBD. DBD was compared to 32 industry peers in the Technology Hardware, Storage & Peripherals industry. DBD has only an average score on both its financial health and profitability. DBD has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year DBD was profitable.
In the past year DBD had a positive cash flow from operations.
In the past 5 years DBD reported 4 times negative net income.
In multiple years DBD reported negative operating cash flow during the last 5 years.
1.2 Ratios
DBD has a Return On Assets (-0.28%) which is in line with its industry peers.
The Return On Equity of DBD (-1.04%) is better than 68.75% of its industry peers.
With a decent Return On Invested Capital value of 9.30%, DBD is doing good in the industry, outperforming 65.63% of the companies in the same industry.
DBD had an Average Return On Invested Capital over the past 3 years of 5.12%. This is significantly below the industry average of 16.14%.
The last Return On Invested Capital (9.30%) for DBD is above the 3 year average (5.12%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.28% | ||
| ROE | -1.04% | ||
| ROIC | 9.3% |
ROA(3y)4.54%
ROA(5y)0.8%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.12%
ROIC(5y)5.58%
1.3 Margins
Looking at the Operating Margin, with a value of 7.46%, DBD is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
In the last couple of years the Operating Margin of DBD has grown nicely.
Looking at the Gross Margin, with a value of 25.30%, DBD is doing worse than 62.50% of the companies in the same industry.
DBD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.46% | ||
| PM (TTM) | N/A | ||
| GM | 25.3% |
OM growth 3Y20.78%
OM growth 5Y40.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.32%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DBD is destroying value.
Compared to 1 year ago, DBD has about the same amount of shares outstanding.
DBD has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, DBD has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.88 indicates that DBD is not a great score, but indicates only limited risk for bankruptcy at the moment.
DBD has a Altman-Z score of 1.88. This is comparable to the rest of the industry: DBD outperforms 50.00% of its industry peers.
The Debt to FCF ratio of DBD is 5.47, which is a neutral value as it means it would take DBD, 5.47 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DBD (5.47) is better than 71.88% of its industry peers.
A Debt/Equity ratio of 0.94 indicates that DBD is somewhat dependend on debt financing.
DBD has a Debt to Equity ratio of 0.94. This is in the lower half of the industry: DBD underperforms 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 5.47 | ||
| Altman-Z | 1.88 |
ROIC/WACC0.78
WACC11.91%
2.3 Liquidity
A Current Ratio of 1.35 indicates that DBD should not have too much problems paying its short term obligations.
DBD's Current ratio of 1.35 is in line compared to the rest of the industry. DBD outperforms 40.63% of its industry peers.
DBD has a Quick Ratio of 1.35. This is a bad value and indicates that DBD is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of DBD (0.91) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
DBD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 88.82%, which is quite impressive.
Measured over the past years, DBD shows a very strong growth in Earnings Per Share. The EPS has been growing by 69.69% on average per year.
The Revenue has decreased by -2.66% in the past year.
Measured over the past years, DBD shows a decrease in Revenue. The Revenue has been decreasing by -3.18% on average per year.
EPS 1Y (TTM)88.82%
EPS 3Y69.69%
EPS 5YN/A
EPS Q2Q%-68.91%
Revenue 1Y (TTM)-2.66%
Revenue growth 3Y-1.33%
Revenue growth 5Y-3.18%
Sales Q2Q%-6.06%
3.2 Future
The Earnings Per Share is expected to grow by 9.73% on average over the next years. This is quite good.
DBD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.37% yearly.
EPS Next Y-8.16%
EPS Next 2Y10.15%
EPS Next 3Y9.73%
EPS Next 5YN/A
Revenue Next Year1.03%
Revenue Next 2Y1.49%
Revenue Next 3Y2.37%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
With a Price/Earnings ratio of 18.71, DBD is valued on the expensive side.
Based on the Price/Earnings ratio, DBD is valued a bit cheaper than 68.75% of the companies in the same industry.
When comparing the Price/Earnings ratio of DBD to the average of the S&P500 Index (27.21), we can say DBD is valued slightly cheaper.
A Price/Forward Earnings ratio of 12.15 indicates a correct valuation of DBD.
65.63% of the companies in the same industry are more expensive than DBD, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of DBD to the average of the S&P500 Index (21.70), we can say DBD is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.71 | ||
| Fwd PE | 12.15 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DBD indicates a rather cheap valuation: DBD is cheaper than 96.88% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, DBD is valued cheaper than 90.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.48 | ||
| EV/EBITDA | 6.54 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y10.15%
EPS Next 3Y9.73%
5. Dividend
5.1 Amount
DBD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
56.89
+1.49 (+2.69%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners104.84%
Inst Owner Change2.76%
Ins Owners1.75%
Ins Owner Change2.94%
Market Cap2.12B
Analysts82.86
Price Target73.78 (29.69%)
Short Float %2.42%
Short Ratio4.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.58%
Min EPS beat(2)-8.92%
Max EPS beat(2)1.76%
EPS beat(4)2
Avg EPS beat(4)-12.72%
Min EPS beat(4)-52.17%
Max EPS beat(4)8.44%
EPS beat(8)5
Avg EPS beat(8)24.37%
EPS beat(12)7
Avg EPS beat(12)-62.7%
EPS beat(16)7
Avg EPS beat(16)-98.89%
Revenue beat(2)0
Avg Revenue beat(2)-1.11%
Min Revenue beat(2)-1.34%
Max Revenue beat(2)-0.88%
Revenue beat(4)1
Avg Revenue beat(4)-0.4%
Min Revenue beat(4)-1.34%
Max Revenue beat(4)1.85%
Revenue beat(8)3
Avg Revenue beat(8)-0.61%
Revenue beat(12)3
Avg Revenue beat(12)-1.61%
Revenue beat(16)3
Avg Revenue beat(16)-2.7%
PT rev (1m)0%
PT rev (3m)3.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-21.17%
EPS NY rev (1m)0%
EPS NY rev (3m)-12.74%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.71 | ||
| Fwd PE | 12.15 | ||
| P/S | 0.57 | ||
| P/FCF | 12.48 | ||
| P/OCF | 11.25 | ||
| P/B | 2.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.54 |
EPS(TTM)3.04
EY5.34%
EPS(NY)4.68
Fwd EY8.23%
FCF(TTM)4.56
FCFY8.01%
OCF(TTM)5.06
OCFY8.89%
SpS99.22
BVpS26.41
TBVpS-10.84
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.28% | ||
| ROE | -1.04% | ||
| ROCE | 11.77% | ||
| ROIC | 9.3% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 34.04% | ||
| OM | 7.46% | ||
| PM (TTM) | N/A | ||
| GM | 25.3% | ||
| FCFM | 4.59% |
ROA(3y)4.54%
ROA(5y)0.8%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.12%
ROIC(5y)5.58%
ROICexc(3y)6.13%
ROICexc(5y)6.88%
ROICexgc(3y)21.8%
ROICexgc(5y)29.05%
ROCE(3y)6.48%
ROCE(5y)7.06%
ROICexcg growth 3Y-11.73%
ROICexcg growth 5Y37.89%
ROICexc growth 3Y4.77%
ROICexc growth 5Y35.34%
OM growth 3Y20.78%
OM growth 5Y40.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.32%
GM growth 5Y0.68%
F-Score5
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 5.47 | ||
| Debt/EBITDA | 2.27 | ||
| Cap/Depr | 14% | ||
| Cap/Sales | 0.5% | ||
| Interest Coverage | 2.11 | ||
| Cash Conversion | 46.12% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 1.88 |
F-Score5
WACC11.91%
ROIC/WACC0.78
Cap/Depr(3y)16.93%
Cap/Depr(5y)15.92%
Cap/Sales(3y)0.61%
Cap/Sales(5y)0.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)88.82%
EPS 3Y69.69%
EPS 5YN/A
EPS Q2Q%-68.91%
EPS Next Y-8.16%
EPS Next 2Y10.15%
EPS Next 3Y9.73%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.66%
Revenue growth 3Y-1.33%
Revenue growth 5Y-3.18%
Sales Q2Q%-6.06%
Revenue Next Year1.03%
Revenue Next 2Y1.49%
Revenue Next 3Y2.37%
Revenue Next 5YN/A
EBIT growth 1Y39.83%
EBIT growth 3Y19.17%
EBIT growth 5Y36.19%
EBIT Next Year24.02%
EBIT Next 3Y13.05%
EBIT Next 5YN/A
FCF growth 1Y160.17%
FCF growth 3Y8.67%
FCF growth 5Y113.09%
OCF growth 1Y173.57%
OCF growth 3Y6.68%
OCF growth 5Y26.59%