DECISIVE DIVIDEND CORP (DE.CA) Stock Fundamental Analysis
TSX-V:DE - TSX Venture Exchange - CA24345T1003 - Common Stock - Currency: CAD
Overall DE gets a fundamental rating of 5 out of 10. We evaluated DE against 4 industry peers in the Industrial Conglomerates industry. While DE has a great profitability rating, there are some minor concerns on its financial health. DE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
DE had positive earnings in the past year.
DE had a positive operating cash flow in the past year.
DE had positive earnings in 4 of the past 5 years.
DE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DE has a better Return On Assets (1.55%) than 75.00% of its industry peers.
With a Return On Equity value of 4.54%, DE is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
DE's Return On Invested Capital of 4.56% is amongst the best of the industry. DE outperforms 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DE is above the industry average of 4.33%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 4.54% | ||
| ROIC | 4.56% |
ROA(3y)4.47%
ROA(5y)2.67%
ROE(3y)12.22%
ROE(5y)7.34%
ROIC(3y)7.56%
ROIC(5y)6.24%
1.3 Margins
DE's Profit Margin of 2.04% is amongst the best of the industry. DE outperforms 100.00% of its industry peers.
DE's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 6.90%, DE is doing good in the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Operating Margin of DE has grown nicely.
The Gross Margin of DE (37.34%) is better than 100.00% of its industry peers.
In the last couple of years the Gross Margin of DE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.9% | ||
| PM (TTM) | 2.04% | ||
| GM | 37.34% |
OM growth 3Y21.29%
OM growth 5Y32.36%
PM growth 3YN/A
PM growth 5Y33.67%
GM growth 3Y0.96%
GM growth 5Y2.34%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DE is creating some value.
Compared to 1 year ago, DE has more shares outstanding
The number of shares outstanding for DE has been increased compared to 5 years ago.
The debt/assets ratio for DE has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.61, we must say that DE is in the distress zone and has some risk of bankruptcy.
With an excellent Altman-Z score value of 1.61, DE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Debt to FCF ratio of DE is 6.97, which is on the high side as it means it would take DE, 6.97 years of fcf income to pay off all of its debts.
DE has a Debt to FCF ratio of 6.97. This is amongst the best in the industry. DE outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 1.22 is on the high side and indicates that DE has dependencies on debt financing.
The Debt to Equity ratio of DE (1.22) is better than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 6.97 | ||
| Altman-Z | 1.61 |
ROIC/WACC0.64
WACC7.15%
2.3 Liquidity
A Current Ratio of 1.80 indicates that DE should not have too much problems paying its short term obligations.
DE has a Current ratio of 1.80. This is in the better half of the industry: DE outperforms 75.00% of its industry peers.
A Quick Ratio of 0.93 indicates that DE may have some problems paying its short term obligations.
With a Quick ratio value of 0.93, DE perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
The earnings per share for DE have decreased strongly by -74.51% in the last year.
Measured over the past years, DE shows a very strong growth in Earnings Per Share. The EPS has been growing by 50.00% on average per year.
Looking at the last year, DE shows a decrease in Revenue. The Revenue has decreased by -3.10% in the last year.
The Revenue has been growing by 28.84% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-74.51%
EPS 3YN/A
EPS 5Y50%
EPS Q2Q%-64.29%
Revenue 1Y (TTM)-3.1%
Revenue growth 3Y40.67%
Revenue growth 5Y28.84%
Sales Q2Q%-16.53%
3.2 Future
DE is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.40% yearly.
The Revenue is expected to grow by 9.93% on average over the next years. This is quite good.
EPS Next Y-69.86%
EPS Next 2Y-16.61%
EPS Next 3Y-2.4%
EPS Next 5YN/A
Revenue Next Year-9.96%
Revenue Next 2Y-0.04%
Revenue Next 3Y1.41%
Revenue Next 5Y9.93%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 47.77, DE can be considered very expensive at the moment.
Based on the Price/Earnings ratio, DE is valued a bit cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.63, DE is valued quite expensively.
DE is valuated rather expensively with a Price/Forward Earnings ratio of 20.29.
100.00% of the companies in the same industry are more expensive than DE, based on the Price/Forward Earnings ratio.
DE's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.77 | ||
| Fwd PE | 20.29 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DE is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, DE is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.91 | ||
| EV/EBITDA | 10.34 |
4.3 Compensation for Growth
DE has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as DE's earnings are expected to decrease with -2.40% in the coming years.
PEG (NY)N/A
PEG (5Y)0.96
EPS Next 2Y-16.61%
EPS Next 3Y-2.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.67%, DE is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.66, DE pays a better dividend. On top of this DE pays more dividend than 100.00% of the companies listed in the same industry.
DE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.67% |
5.2 History
The dividend of DE decreases each year by -3.37%.
DE has been paying a dividend for at least 10 years, so it has a reliable track record.
DE has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-3.37%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
DE pays out 295.56% of its income as dividend. This is not a sustainable payout ratio.
DE's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP295.56%
EPS Next 2Y-16.61%
EPS Next 3Y-2.4%
TSX-V:DE (2/21/2025, 7:00:00 PM)
6.21
+0.06 (+0.98%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryIndustrial Conglomerates
Earnings (Last)
Earnings (Next)
Inst Owners17.47%
Inst Owner ChangeN/A
Ins Owners10.2%
Ins Owner ChangeN/A
Market Cap122.40M
Analysts76
Price Target7.59 (22.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.67% |
Yearly Dividend0.31
Dividend Growth(5Y)-3.37%
DP295.56%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-304.25%
Min EPS beat(2)-590.2%
Max EPS beat(2)-18.3%
EPS beat(4)0
Avg EPS beat(4)-178.89%
Min EPS beat(4)-590.2%
Max EPS beat(4)-15.97%
EPS beat(8)3
Avg EPS beat(8)-78.52%
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)0
Avg Revenue beat(2)-7.2%
Min Revenue beat(2)-11.22%
Max Revenue beat(2)-3.18%
Revenue beat(4)0
Avg Revenue beat(4)-11.18%
Min Revenue beat(4)-18.32%
Max Revenue beat(4)-3.18%
Revenue beat(8)3
Avg Revenue beat(8)-4.3%
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)3.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-35.72%
EPS NY rev (1m)-7.14%
EPS NY rev (3m)-7.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-16.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.77 | ||
| Fwd PE | 20.29 | ||
| P/S | 0.97 | ||
| P/FCF | 11.91 | ||
| P/OCF | 7.82 | ||
| P/B | 2.17 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.34 |
EPS(TTM)0.13
EY2.09%
EPS(NY)0.31
Fwd EY4.93%
FCF(TTM)0.52
FCFY8.4%
OCF(TTM)0.79
OCFY12.79%
SpS6.39
BVpS2.87
TBVpS-1.31
PEG (NY)N/A
PEG (5Y)0.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 4.54% | ||
| ROCE | 6.4% | ||
| ROIC | 4.56% | ||
| ROICexc | 4.66% | ||
| ROICexgc | 12.2% | ||
| OM | 6.9% | ||
| PM (TTM) | 2.04% | ||
| GM | 37.34% | ||
| FCFM | 8.16% |
ROA(3y)4.47%
ROA(5y)2.67%
ROE(3y)12.22%
ROE(5y)7.34%
ROIC(3y)7.56%
ROIC(5y)6.24%
ROICexc(3y)7.91%
ROICexc(5y)6.52%
ROICexgc(3y)21.97%
ROICexgc(5y)18.41%
ROCE(3y)10.59%
ROCE(5y)8.74%
ROICexcg growth 3Y20.02%
ROICexcg growth 5Y37.15%
ROICexc growth 3Y23.53%
ROICexc growth 5Y33.99%
OM growth 3Y21.29%
OM growth 5Y32.36%
PM growth 3YN/A
PM growth 5Y33.67%
GM growth 3Y0.96%
GM growth 5Y2.34%
F-Score4
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 6.97 | ||
| Debt/EBITDA | 3.75 | ||
| Cap/Depr | 55.44% | ||
| Cap/Sales | 4.27% | ||
| Interest Coverage | 1.71 | ||
| Cash Conversion | 85.13% | ||
| Profit Quality | 400.31% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 1.61 |
F-Score4
WACC7.15%
ROIC/WACC0.64
Cap/Depr(3y)47.91%
Cap/Depr(5y)36.42%
Cap/Sales(3y)2.68%
Cap/Sales(5y)2.15%
Profit Quality(3y)128.95%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-74.51%
EPS 3YN/A
EPS 5Y50%
EPS Q2Q%-64.29%
EPS Next Y-69.86%
EPS Next 2Y-16.61%
EPS Next 3Y-2.4%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.1%
Revenue growth 3Y40.67%
Revenue growth 5Y28.84%
Sales Q2Q%-16.53%
Revenue Next Year-9.96%
Revenue Next 2Y-0.04%
Revenue Next 3Y1.41%
Revenue Next 5Y9.93%
EBIT growth 1Y-32.82%
EBIT growth 3Y70.61%
EBIT growth 5Y70.54%
EBIT Next Year14.22%
EBIT Next 3Y32.85%
EBIT Next 5Y22.32%
FCF growth 1Y104.46%
FCF growth 3Y5.9%
FCF growth 5Y62.27%
OCF growth 1Y112.2%
OCF growth 3Y13.68%
OCF growth 5Y61.98%