DATA COMMUNICATIONS MANAGEME (DCM.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:DCM - CA23761M1023 - Common Stock
1.91 CAD
+0.09 (+4.95%)
Overall DCM gets a fundamental rating of 6 out of 10. We evaluated DCM against 24 industry peers in the Commercial Services & Supplies industry. DCM has an excellent profitability rating, but there are concerns on its financial health. DCM is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year DCM was profitable.
In the past year DCM had a positive cash flow from operations.
Of the past 5 years DCM 4 years were profitable.
DCM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 2.86%, DCM is doing good in the industry, outperforming 62.50% of the companies in the same industry.
DCM has a better Return On Equity (26.86%) than 91.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.84%, DCM belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DCM is significantly above the industry average of 5.81%.
The last Return On Invested Capital (8.84%) for DCM is well below the 3 year average (13.16%), which needs to be investigated, but indicates that DCM had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 26.86% | ||
| ROIC | 8.84% |
ROA(3y)2.16%
ROA(5y)2.92%
ROE(3y)4.98%
ROE(5y)29.88%
ROIC(3y)13.16%
ROIC(5y)12.14%
1.3 Margins
DCM has a Profit Margin (2.31%) which is in line with its industry peers.
DCM's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 8.41%, DCM is doing good in the industry, outperforming 70.83% of the companies in the same industry.
In the last couple of years the Operating Margin of DCM has grown nicely.
DCM has a Gross Margin (26.53%) which is in line with its industry peers.
DCM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.41% | ||
| PM (TTM) | 2.31% | ||
| GM | 26.53% |
OM growth 3Y13.19%
OM growth 5Y62.33%
PM growth 3Y3.8%
PM growth 5YN/A
GM growth 3Y-2.84%
GM growth 5Y2.04%
2. Health
2.1 Basic Checks
DCM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, DCM has more shares outstanding
Compared to 5 years ago, DCM has more shares outstanding
The debt/assets ratio for DCM is higher compared to a year ago.
2.2 Solvency
DCM has an Altman-Z score of 1.02. This is a bad value and indicates that DCM is not financially healthy and even has some risk of bankruptcy.
DCM has a Altman-Z score of 1.02. This is comparable to the rest of the industry: DCM outperforms 41.67% of its industry peers.
The Debt to FCF ratio of DCM is 19.50, which is on the high side as it means it would take DCM, 19.50 years of fcf income to pay off all of its debts.
DCM's Debt to FCF ratio of 19.50 is in line compared to the rest of the industry. DCM outperforms 41.67% of its industry peers.
A Debt/Equity ratio of 6.09 is on the high side and indicates that DCM has dependencies on debt financing.
With a Debt to Equity ratio value of 6.09, DCM is not doing good in the industry: 70.83% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.09 | ||
| Debt/FCF | 19.5 | ||
| Altman-Z | 1.02 |
ROIC/WACC1.39
WACC6.37%
2.3 Liquidity
DCM has a Current Ratio of 1.76. This is a normal value and indicates that DCM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.76, DCM is doing good in the industry, outperforming 70.83% of the companies in the same industry.
DCM has a Quick Ratio of 1.47. This is a normal value and indicates that DCM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.47, DCM is doing good in the industry, outperforming 70.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
DCM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 362.27%, which is quite impressive.
The Earnings Per Share has been growing by 22.16% on average over the past years. This is a very strong growth
The Revenue has decreased by -7.01% in the past year.
DCM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.15% yearly.
EPS 1Y (TTM)362.27%
EPS 3Y22.16%
EPS 5YN/A
EPS Q2Q%137.2%
Revenue 1Y (TTM)-7.01%
Revenue growth 3Y26.82%
Revenue growth 5Y11.15%
Sales Q2Q%-3.09%
3.2 Future
Based on estimates for the next years, DCM will show a very strong growth in Earnings Per Share. The EPS will grow by 38.29% on average per year.
Based on estimates for the next years, DCM will show a small growth in Revenue. The Revenue will grow by 0.13% on average per year.
EPS Next Y-1.81%
EPS Next 2Y7.25%
EPS Next 3Y13.42%
EPS Next 5Y38.29%
Revenue Next Year-5.46%
Revenue Next 2Y-1.74%
Revenue Next 3Y-0.31%
Revenue Next 5Y0.13%
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.55, the valuation of DCM can be described as reasonable.
100.00% of the companies in the same industry are more expensive than DCM, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of DCM to the average of the S&P500 Index (27.17), we can say DCM is valued rather cheaply.
The Price/Forward Earnings ratio is 9.22, which indicates a very decent valuation of DCM.
Based on the Price/Forward Earnings ratio, DCM is valued cheaply inside the industry as 95.83% of the companies are valued more expensively.
DCM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.55 | ||
| Fwd PE | 9.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DCM is valued cheaply inside the industry as 95.83% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DCM indicates a rather cheap valuation: DCM is cheaper than 91.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.85 | ||
| EV/EBITDA | 5.54 |
4.3 Compensation for Growth
DCM has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as DCM's earnings are expected to grow with 13.42% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.25%
EPS Next 3Y13.42%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.10%, DCM is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.04, DCM pays a better dividend. On top of this DCM pays more dividend than 100.00% of the companies listed in the same industry.
DCM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.1% |
5.2 History
DCM has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y7.25%
EPS Next 3Y13.42%
TSX:DCM (1/6/2026, 7:00:00 PM)
1.91
+0.09 (+4.95%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners13.36%
Inst Owner ChangeN/A
Ins Owners22.66%
Ins Owner ChangeN/A
Market Cap104.97M
Revenue(TTM)459.06M
Net Income(TTM)10.59M
Analysts85.71
Price Target3.23 (69.11%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.1% |
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)143.56%
Min EPS beat(2)109.9%
Max EPS beat(2)177.23%
EPS beat(4)3
Avg EPS beat(4)80.29%
Min EPS beat(4)-0.99%
Max EPS beat(4)177.23%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-2.11%
Min Revenue beat(2)-5.08%
Max Revenue beat(2)0.86%
Revenue beat(4)2
Avg Revenue beat(4)-1.2%
Min Revenue beat(4)-5.08%
Max Revenue beat(4)0.86%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-111.05%
EPS NY rev (1m)0%
EPS NY rev (3m)-61.54%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-10.34%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-16.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.55 | ||
| Fwd PE | 9.22 | ||
| P/S | 0.23 | ||
| P/FCF | 7.85 | ||
| P/OCF | 5.38 | ||
| P/B | 2.66 | ||
| P/tB | 11.29 | ||
| EV/EBITDA | 5.54 |
EPS(TTM)0.2
EY10.47%
EPS(NY)0.21
Fwd EY10.84%
FCF(TTM)0.24
FCFY12.74%
OCF(TTM)0.35
OCFY18.58%
SpS8.35
BVpS0.72
TBVpS0.17
PEG (NY)N/A
PEG (5Y)N/A
Graham Number1.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 26.86% | ||
| ROCE | 12.98% | ||
| ROIC | 8.84% | ||
| ROICexc | 8.95% | ||
| ROICexgc | 9.97% | ||
| OM | 8.41% | ||
| PM (TTM) | 2.31% | ||
| GM | 26.53% | ||
| FCFM | 2.91% |
ROA(3y)2.16%
ROA(5y)2.92%
ROE(3y)4.98%
ROE(5y)29.88%
ROIC(3y)13.16%
ROIC(5y)12.14%
ROICexc(3y)13.81%
ROICexc(5y)12.57%
ROICexgc(3y)17.33%
ROICexgc(5y)16.43%
ROCE(3y)19.36%
ROCE(5y)17.85%
ROICexgc growth 3Y-13.71%
ROICexgc growth 5Y51.61%
ROICexc growth 3Y-7.55%
ROICexc growth 5Y56.86%
OM growth 3Y13.19%
OM growth 5Y62.33%
PM growth 3Y3.8%
PM growth 5YN/A
GM growth 3Y-2.84%
GM growth 5Y2.04%
F-Score6
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.09 | ||
| Debt/FCF | 19.5 | ||
| Debt/EBITDA | 3.67 | ||
| Cap/Depr | 22.89% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 29.83% | ||
| Profit Quality | 126.3% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 1.02 |
F-Score6
WACC6.37%
ROIC/WACC1.39
Cap/Depr(3y)27.37%
Cap/Depr(5y)21.71%
Cap/Sales(3y)1.39%
Cap/Sales(5y)1.17%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)362.27%
EPS 3Y22.16%
EPS 5YN/A
EPS Q2Q%137.2%
EPS Next Y-1.81%
EPS Next 2Y7.25%
EPS Next 3Y13.42%
EPS Next 5Y38.29%
Revenue 1Y (TTM)-7.01%
Revenue growth 3Y26.82%
Revenue growth 5Y11.15%
Sales Q2Q%-3.09%
Revenue Next Year-5.46%
Revenue Next 2Y-1.74%
Revenue Next 3Y-0.31%
Revenue Next 5Y0.13%
EBIT growth 1Y7.49%
EBIT growth 3Y43.54%
EBIT growth 5Y80.43%
EBIT Next Year122.56%
EBIT Next 3Y33.87%
EBIT Next 5Y35.26%
FCF growth 1Y-57.13%
FCF growth 3Y-20.16%
FCF growth 5YN/A
OCF growth 1Y-43.08%
OCF growth 3Y-2.81%
OCF growth 5YN/A
DATA COMMUNICATIONS MANAGEME / DCM.CA FAQ
Can you provide the ChartMill fundamental rating for DATA COMMUNICATIONS MANAGEME?
ChartMill assigns a fundamental rating of 6 / 10 to DCM.CA.
Can you provide the valuation status for DATA COMMUNICATIONS MANAGEME?
ChartMill assigns a valuation rating of 8 / 10 to DATA COMMUNICATIONS MANAGEME (DCM.CA). This can be considered as Undervalued.
How profitable is DATA COMMUNICATIONS MANAGEME (DCM.CA) stock?
DATA COMMUNICATIONS MANAGEME (DCM.CA) has a profitability rating of 8 / 10.
What is the earnings growth outlook for DATA COMMUNICATIONS MANAGEME?
The Earnings per Share (EPS) of DATA COMMUNICATIONS MANAGEME (DCM.CA) is expected to decline by -1.81% in the next year.