DIVERSIFIED ENERGY CO (DEC) Fundamental Analysis & Valuation

NYSE:DEC • US25520W1071

Current stock price

17.21 USD
+0.12 (+0.7%)
Last:

This DEC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

2

1. DEC Profitability Analysis

1.1 Basic Checks

  • In the past year DEC has reported negative net income.
  • DEC had a positive operating cash flow in the past year.
  • DEC had negative earnings in 4 of the past 5 years.
  • In the past 5 years DEC always reported a positive cash flow from operatings.
DEC Yearly Net Income VS EBIT VS OCF VS FCFDEC Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M 1B

1.2 Ratios

  • DEC's Return On Assets of -2.43% is on the low side compared to the rest of the industry. DEC is outperformed by 72.73% of its industry peers.
  • With a Return On Equity value of -19.24%, DEC is not doing good in the industry: 77.03% of the companies in the same industry are doing better.
  • DEC's Return On Invested Capital of 3.54% is on the low side compared to the rest of the industry. DEC is outperformed by 63.16% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for DEC is significantly below the industry average of 23.10%.
  • The last Return On Invested Capital (3.54%) for DEC is well below the 3 year average (12.02%), which needs to be investigated, but indicates that DEC had better years and this may not be a problem.
Industry RankSector Rank
ROA -2.43%
ROE -19.24%
ROIC 3.54%
ROA(3y)1.1%
ROA(5y)-1.41%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.02%
ROIC(5y)10.21%
DEC Yearly ROA, ROE, ROICDEC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100 200 300 400

1.3 Margins

  • Looking at the Operating Margin, with a value of 18.42%, DEC is in line with its industry, outperforming 56.94% of the companies in the same industry.
  • In the last couple of years the Operating Margin of DEC has declined.
  • The Gross Margin of DEC (26.94%) is worse than 60.29% of its industry peers.
  • DEC's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 18.42%
PM (TTM) N/A
GM 26.94%
OM growth 3Y-66.91%
OM growth 5Y-41.93%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-36.76%
GM growth 5Y-17.01%
DEC Yearly Profit, Operating, Gross MarginsDEC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 60 80 100

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

1

2. DEC Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DEC is still creating some value.
  • The number of shares outstanding for DEC has been increased compared to 1 year ago.
  • DEC has less shares outstanding than it did 5 years ago.
  • DEC has a worse debt/assets ratio than last year.
DEC Yearly Shares OutstandingDEC Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M
DEC Yearly Total Debt VS Total AssetsDEC Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

2.2 Solvency

  • Based on the Altman-Z score of 0.28, we must say that DEC is in the distress zone and has some risk of bankruptcy.
  • Looking at the Altman-Z score, with a value of 0.28, DEC is doing worse than 64.11% of the companies in the same industry.
  • DEC has a debt to FCF ratio of 16.57. This is a negative value and a sign of low solvency as DEC would need 16.57 years to pay back of all of its debts.
  • DEC has a Debt to FCF ratio (16.57) which is comparable to the rest of the industry.
  • A Debt/Equity ratio of 3.52 is on the high side and indicates that DEC has dependencies on debt financing.
  • DEC's Debt to Equity ratio of 3.52 is on the low side compared to the rest of the industry. DEC is outperformed by 84.69% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.52
Debt/FCF 16.57
Altman-Z 0.28
ROIC/WACC0.48
WACC7.45%
DEC Yearly LT Debt VS Equity VS FCFDEC Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B

2.3 Liquidity

  • DEC has a Current Ratio of 0.54. This is a bad value and indicates that DEC is not financially healthy enough and could expect problems in meeting its short term obligations.
  • DEC has a worse Current ratio (0.54) than 83.25% of its industry peers.
  • A Quick Ratio of 0.54 indicates that DEC may have some problems paying its short term obligations.
  • With a Quick ratio value of 0.54, DEC is not doing good in the industry: 77.99% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.54
Quick Ratio 0.54
DEC Yearly Current Assets VS Current LiabilitesDEC Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. DEC Growth Analysis

3.1 Past

  • The earnings per share for DEC have decreased strongly by -187.88% in the last year.
  • DEC shows a strong growth in Revenue. In the last year, the Revenue has grown by 60.64%.
  • Measured over the past years, DEC shows a quite strong growth in Revenue. The Revenue has been growing by 11.45% on average per year.
EPS 1Y (TTM)-187.88%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-258.19%
Revenue 1Y (TTM)60.64%
Revenue growth 3Y-7.6%
Revenue growth 5Y11.45%
Sales Q2Q%111.04%

3.2 Future

  • Based on estimates for the next years, DEC will show a very strong growth in Earnings Per Share. The EPS will grow by 25.62% on average per year.
  • The Revenue is expected to grow by 18.84% on average over the next years. This is quite good.
EPS Next Y134.76%
EPS Next 2Y54.27%
EPS Next 3Y25.13%
EPS Next 5Y25.62%
Revenue Next Year111.3%
Revenue Next 2Y55.69%
Revenue Next 3Y28.98%
Revenue Next 5Y18.84%

3.3 Evolution

  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
DEC Yearly Revenue VS EstimatesDEC Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 500M 1B 1.5B
DEC Yearly EPS VS EstimatesDEC Yearly EPS VS EstimatesYearly EPS VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 2 4 6

More info and screens

Find the best growth stocksShow best growing peers

6

4. DEC Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings Ratio is negative for DEC. In the last year negative earnings were reported.
  • Based on the Price/Forward Earnings ratio of 5.13, the valuation of DEC can be described as very cheap.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of DEC indicates a rather cheap valuation: DEC is cheaper than 97.61% of the companies listed in the same industry.
  • When comparing the Price/Forward Earnings ratio of DEC to the average of the S&P500 Index (23.05), we can say DEC is valued rather cheaply.
Industry RankSector Rank
PE N/A
Fwd PE 5.13
DEC Price Earnings VS Forward Price EarningsDEC Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 10 20 30

4.2 Price Multiples

  • DEC's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DEC is cheaper than 66.03% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of DEC indicates a rather cheap valuation: DEC is cheaper than 92.34% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 7.86
EV/EBITDA 7.72
DEC Per share dataDEC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15

4.3 Compensation for Growth

  • DEC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • DEC's earnings are expected to grow with 25.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y54.27%
EPS Next 3Y25.13%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. DEC Dividend Analysis

5.1 Amount

  • DEC has a Yearly Dividend Yield of 6.42%, which is a nice return.
  • Compared to an average industry Dividend Yield of 3.16, DEC pays a better dividend. On top of this DEC pays more dividend than 81.82% of the companies listed in the same industry.
  • DEC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.89.
Industry RankSector Rank
Dividend Yield 6.42%

5.2 History

  • The dividend of DEC is nicely growing with an annual growth rate of 65.59%!
  • DEC has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)65.59%
Div Incr Years0
Div Non Decr Years0
DEC Yearly Dividends per shareDEC Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5

5.3 Sustainability

  • DEC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
  • The dividend of DEC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP-49.87%
EPS Next 2Y54.27%
EPS Next 3Y25.13%
DEC Yearly Income VS Free CF VS DividendDEC Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M -400M 600M -600M

More info and screens

Find the best dividend stocksShow peers with best dividend

DEC Fundamentals: All Metrics, Ratios and Statistics

DIVERSIFIED ENERGY CO

NYSE:DEC (4/6/2026, 9:56:06 AM)

17.21

+0.12 (+0.7%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)02-26
Earnings (Next)N/A
Inst Owners82.5%
Inst Owner Change0%
Ins Owners2.3%
Ins Owner Change8.24%
Market Cap1.31B
Revenue(TTM)1.20B
Net Income(TTM)-137.81M
Analysts82.86
Price Target30 (74.32%)
Short Float %3.44%
Short Ratio1.99
Dividend
Industry RankSector Rank
Dividend Yield 6.42%
Yearly Dividend1.71
Dividend Growth(5Y)65.59%
DP-49.87%
Div Incr Years0
Div Non Decr Years0
Ex-Date05-29
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)3.25%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.58%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE 5.13
P/S 1.09
P/FCF 7.86
P/OCF 2.92
P/B 1.83
P/tB 1.86
EV/EBITDA 7.72
EPS(TTM)-2.62
EYN/A
EPS(NY)3.35
Fwd EY19.48%
FCF(TTM)2.19
FCFY12.73%
OCF(TTM)5.9
OCFY34.3%
SpS15.83
BVpS9.41
TBVpS9.24
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA -2.43%
ROE -19.24%
ROCE 4.66%
ROIC 3.54%
ROICexc 3.56%
ROICexgc 3.57%
OM 18.42%
PM (TTM) N/A
GM 26.94%
FCFM 13.84%
ROA(3y)1.1%
ROA(5y)-1.41%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.02%
ROIC(5y)10.21%
ROICexc(3y)12.05%
ROICexc(5y)10.25%
ROICexgc(3y)12.15%
ROICexgc(5y)10.32%
ROCE(3y)15.83%
ROCE(5y)13.45%
ROICexgc growth 3Y-71.19%
ROICexgc growth 5Y-41.91%
ROICexc growth 3Y-71.19%
ROICexc growth 5Y-41.96%
OM growth 3Y-66.91%
OM growth 5Y-41.93%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-36.76%
GM growth 5Y-17.01%
F-Score5
Asset Turnover0.21
Health
Industry RankSector Rank
Debt/Equity 3.52
Debt/FCF 16.57
Debt/EBITDA 4.82
Cap/Depr 93.66%
Cap/Sales 23.45%
Interest Coverage 1.32
Cash Conversion 85.81%
Profit Quality N/A
Current Ratio 0.54
Quick Ratio 0.54
Altman-Z 0.28
F-Score5
WACC7.45%
ROIC/WACC0.48
Cap/Depr(3y)146.83%
Cap/Depr(5y)153.57%
Cap/Sales(3y)33.3%
Cap/Sales(5y)33.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-187.88%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-258.19%
EPS Next Y134.76%
EPS Next 2Y54.27%
EPS Next 3Y25.13%
EPS Next 5Y25.62%
Revenue 1Y (TTM)60.64%
Revenue growth 3Y-7.6%
Revenue growth 5Y11.45%
Sales Q2Q%111.04%
Revenue Next Year111.3%
Revenue Next 2Y55.69%
Revenue Next 3Y28.98%
Revenue Next 5Y18.84%
EBIT growth 1Y1231.28%
EBIT growth 3Y-69.42%
EBIT growth 5Y-35.28%
EBIT Next Year386.3%
EBIT Next 3Y62.62%
EBIT Next 5Y39.6%
FCF growth 1Y185.91%
FCF growth 3YN/A
FCF growth 5Y-54.02%
OCF growth 1Y26.35%
OCF growth 3Y2.58%
OCF growth 5Y4.36%

DIVERSIFIED ENERGY CO / DEC Fundamental Analysis FAQ

What is the ChartMill fundamental rating of DIVERSIFIED ENERGY CO (DEC) stock?

ChartMill assigns a fundamental rating of 3 / 10 to DEC.


What is the valuation status for DEC stock?

ChartMill assigns a valuation rating of 6 / 10 to DIVERSIFIED ENERGY CO (DEC). This can be considered as Fairly Valued.


How profitable is DIVERSIFIED ENERGY CO (DEC) stock?

DIVERSIFIED ENERGY CO (DEC) has a profitability rating of 2 / 10.


Can you provide the dividend sustainability for DEC stock?

The dividend rating of DIVERSIFIED ENERGY CO (DEC) is 5 / 10 and the dividend payout ratio is -49.87%.