DOMAN BUILDING MATERIALS GRO (DBM.CA) Stock Fundamental Analysis
TSX:DBM - Toronto Stock Exchange - CA25703L1004 - Common Stock - Currency: CAD
Taking everything into account, DBM scores 5 out of 10 in our fundamental rating. DBM was compared to 13 industry peers in the Trading Companies & Distributors industry. DBM has a medium profitability rating, but doesn't score so well on its financial health evaluation. DBM has a decent growth rate and is not valued too expensively. Finally DBM also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year DBM was profitable.
In the past year DBM had a positive cash flow from operations.
In the past 5 years DBM has always been profitable.
DBM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DBM has a worse Return On Assets (2.69%) than 69.23% of its industry peers.
DBM's Return On Equity of 8.26% is in line compared to the rest of the industry. DBM outperforms 53.85% of its industry peers.
DBM's Return On Invested Capital of 5.71% is in line compared to the rest of the industry. DBM outperforms 46.15% of its industry peers.
DBM had an Average Return On Invested Capital over the past 3 years of 8.74%. This is in line with the industry average of 7.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.69% | ||
| ROE | 8.26% | ||
| ROIC | 5.71% |
ROA(3y)4.48%
ROA(5y)5.45%
ROE(3y)11.72%
ROE(5y)14.81%
ROIC(3y)8.74%
ROIC(5y)10%
1.3 Margins
DBM's Profit Margin of 2.03% is on the low side compared to the rest of the industry. DBM is outperformed by 69.23% of its industry peers.
DBM's Profit Margin has improved in the last couple of years.
The Operating Margin of DBM (4.44%) is comparable to the rest of the industry.
DBM's Operating Margin has improved in the last couple of years.
The Gross Margin of DBM (15.95%) is worse than 76.92% of its industry peers.
DBM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.44% | ||
| PM (TTM) | 2.03% | ||
| GM | 15.95% |
OM growth 3Y-13.05%
OM growth 5Y5.99%
PM growth 3Y-21.38%
PM growth 5Y9.56%
GM growth 3Y1.24%
GM growth 5Y2.09%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DBM is creating some value.
The number of shares outstanding for DBM has been increased compared to 1 year ago.
Compared to 5 years ago, DBM has more shares outstanding
Compared to 1 year ago, DBM has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.05 indicates that DBM is not a great score, but indicates only limited risk for bankruptcy at the moment.
DBM's Altman-Z score of 2.05 is on the low side compared to the rest of the industry. DBM is outperformed by 69.23% of its industry peers.
The Debt to FCF ratio of DBM is 12.25, which is on the high side as it means it would take DBM, 12.25 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DBM (12.25) is worse than 69.23% of its industry peers.
DBM has a Debt/Equity ratio of 1.71. This is a high value indicating a heavy dependency on external financing.
DBM's Debt to Equity ratio of 1.71 is on the low side compared to the rest of the industry. DBM is outperformed by 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.71 | ||
| Debt/FCF | 12.25 | ||
| Altman-Z | 2.05 |
ROIC/WACC0.72
WACC7.9%
2.3 Liquidity
DBM has a Current Ratio of 3.41. This indicates that DBM is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of DBM (3.41) is better than 84.62% of its industry peers.
DBM has a Quick Ratio of 1.15. This is a normal value and indicates that DBM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.15, DBM is doing good in the industry, outperforming 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.41 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
DBM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -29.89%.
Measured over the past years, DBM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.06% on average per year.
The Revenue has been growing slightly by 6.91% in the past year.
DBM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.83% yearly.
EPS 1Y (TTM)-29.89%
EPS 3Y-22.88%
EPS 5Y18.06%
EPS Q2Q%-25%
Revenue 1Y (TTM)6.91%
Revenue growth 3Y1.54%
Revenue growth 5Y14.83%
Sales Q2Q%34.22%
3.2 Future
Based on estimates for the next years, DBM will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.82% on average per year.
DBM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.01% yearly.
EPS Next Y20.16%
EPS Next 2Y20.12%
EPS Next 3Y13.51%
EPS Next 5Y8.82%
Revenue Next Year22.06%
Revenue Next 2Y13.01%
Revenue Next 3YN/A
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.28, which indicates a very decent valuation of DBM.
Compared to the rest of the industry, the Price/Earnings ratio of DBM is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 28.88. DBM is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 9.39, the valuation of DBM can be described as very reasonable.
Based on the Price/Forward Earnings ratio, DBM is valued a bit cheaper than 76.92% of the companies in the same industry.
DBM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.28 | ||
| Fwd PE | 9.39 |
4.2 Price Multiples
DBM's Enterprise Value to EBITDA ratio is in line with the industry average.
DBM's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. DBM is cheaper than 69.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.45 | ||
| EV/EBITDA | 8.83 |
4.3 Compensation for Growth
DBM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
DBM's earnings are expected to grow with 13.51% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.56
PEG (5Y)0.62
EPS Next 2Y20.12%
EPS Next 3Y13.51%
5. Dividend
5.1 Amount
DBM has a Yearly Dividend Yield of 8.30%, which is a nice return.
DBM's Dividend Yield is rather good when compared to the industry average which is at 4.22. DBM pays more dividend than 100.00% of the companies in the same industry.
DBM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.3% |
5.2 History
The dividend of DBM has a limited annual growth rate of 0.01%.
DBM has paid a dividend for at least 10 years, which is a reliable track record.
DBM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)0.01%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
90.07% of the earnings are spent on dividend by DBM. This is not a sustainable payout ratio.
The dividend of DBM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP90.07%
EPS Next 2Y20.12%
EPS Next 3Y13.51%
TSX:DBM (4/30/2025, 7:00:00 PM)
6.88
-0.01 (-0.15%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners3.79%
Inst Owner ChangeN/A
Ins Owners20.04%
Ins Owner ChangeN/A
Market Cap601.31M
Analysts81.82
Price Target10.2 (48.26%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.3% |
Yearly Dividend0.56
Dividend Growth(5Y)0.01%
DP90.07%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.54%
Min EPS beat(2)8.01%
Max EPS beat(2)29.08%
EPS beat(4)3
Avg EPS beat(4)7.5%
Min EPS beat(4)-14.49%
Max EPS beat(4)29.08%
EPS beat(8)7
Avg EPS beat(8)31.17%
EPS beat(12)10
Avg EPS beat(12)29.7%
EPS beat(16)11
Avg EPS beat(16)21.56%
Revenue beat(2)1
Avg Revenue beat(2)0.82%
Min Revenue beat(2)-2.16%
Max Revenue beat(2)3.79%
Revenue beat(4)1
Avg Revenue beat(4)-1.17%
Min Revenue beat(4)-3.62%
Max Revenue beat(4)3.79%
Revenue beat(8)1
Avg Revenue beat(8)-2.99%
Revenue beat(12)4
Avg Revenue beat(12)-0.1%
Revenue beat(16)5
Avg Revenue beat(16)-0.45%
PT rev (1m)-9.77%
PT rev (3m)-14.89%
EPS NQ rev (1m)-4.17%
EPS NQ rev (3m)-40.1%
EPS NY rev (1m)-8.52%
EPS NY rev (3m)-19.22%
Revenue NQ rev (1m)-0.66%
Revenue NQ rev (3m)-5.77%
Revenue NY rev (1m)-3.52%
Revenue NY rev (3m)-4.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.28 | ||
| Fwd PE | 9.39 | ||
| P/S | 0.23 | ||
| P/FCF | 6.45 | ||
| P/OCF | 5.6 | ||
| P/B | 0.92 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.83 |
EPS(TTM)0.61
EY8.87%
EPS(NY)0.73
Fwd EY10.65%
FCF(TTM)1.07
FCFY15.51%
OCF(TTM)1.23
OCFY17.87%
SpS30.47
BVpS7.5
TBVpS-2.08
PEG (NY)0.56
PEG (5Y)0.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.69% | ||
| ROE | 8.26% | ||
| ROCE | 6.54% | ||
| ROIC | 5.71% | ||
| ROICexc | 5.76% | ||
| ROICexgc | 10.77% | ||
| OM | 4.44% | ||
| PM (TTM) | 2.03% | ||
| GM | 15.95% | ||
| FCFM | 3.5% |
ROA(3y)4.48%
ROA(5y)5.45%
ROE(3y)11.72%
ROE(5y)14.81%
ROIC(3y)8.74%
ROIC(5y)10%
ROICexc(3y)8.9%
ROICexc(5y)10.11%
ROICexgc(3y)17.27%
ROICexgc(5y)17.89%
ROCE(3y)10.04%
ROCE(5y)11.49%
ROICexcg growth 3Y-17.81%
ROICexcg growth 5Y8.16%
ROICexc growth 3Y-20.36%
ROICexc growth 5Y2.39%
OM growth 3Y-13.05%
OM growth 5Y5.99%
PM growth 3Y-21.38%
PM growth 5Y9.56%
GM growth 3Y1.24%
GM growth 5Y2.09%
F-Score4
Asset Turnover1.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.71 | ||
| Debt/FCF | 12.25 | ||
| Debt/EBITDA | 5.72 | ||
| Cap/Depr | 18.39% | ||
| Cap/Sales | 0.53% | ||
| Interest Coverage | 3.28 | ||
| Cash Conversion | 54.95% | ||
| Profit Quality | 172.11% | ||
| Current Ratio | 3.41 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 2.05 |
F-Score4
WACC7.9%
ROIC/WACC0.72
Cap/Depr(3y)16.58%
Cap/Depr(5y)13.7%
Cap/Sales(3y)0.45%
Cap/Sales(5y)0.36%
Profit Quality(3y)201.73%
Profit Quality(5y)183.17%
High Growth Momentum
Growth
EPS 1Y (TTM)-29.89%
EPS 3Y-22.88%
EPS 5Y18.06%
EPS Q2Q%-25%
EPS Next Y20.16%
EPS Next 2Y20.12%
EPS Next 3Y13.51%
EPS Next 5Y8.82%
Revenue 1Y (TTM)6.91%
Revenue growth 3Y1.54%
Revenue growth 5Y14.83%
Sales Q2Q%34.22%
Revenue Next Year22.06%
Revenue Next 2Y13.01%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-7.56%
EBIT growth 3Y-11.71%
EBIT growth 5Y21.71%
EBIT Next Year107.07%
EBIT Next 3Y21.55%
EBIT Next 5Y20.64%
FCF growth 1Y-22.86%
FCF growth 3Y30.02%
FCF growth 5Y9%
OCF growth 1Y-20.6%
OCF growth 3Y29.67%
OCF growth 5Y9.62%