DENNY'S CORP (DENN) Stock Fundamental Analysis
NASDAQ:DENN - Nasdaq - US24869P1049 - Common Stock - Currency: USD
Taking everything into account, DENN scores 3 out of 10 in our fundamental rating. DENN was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. DENN has a medium profitability rating, but doesn't score so well on its financial health evaluation. DENN has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
In the past year DENN was profitable.
In the past year DENN had a positive cash flow from operations.
Of the past 5 years DENN 4 years were profitable.
In multiple years DENN reported negative operating cash flow during the last 5 years.
1.2 Ratios
With a decent Return On Assets value of 3.83%, DENN is doing good in the industry, outperforming 60.31% of the companies in the same industry.
DENN's Return On Invested Capital of 10.01% is fine compared to the rest of the industry. DENN outperforms 71.76% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DENN is in line with the industry average of 10.79%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.83% | ||
| ROE | N/A | ||
| ROIC | 10.01% |
ROA(3y)7.88%
ROA(5y)8.08%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)11.02%
ROIC(5y)9.42%
1.3 Margins
DENN has a Profit Margin (3.90%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of DENN has declined.
With a Operating Margin value of 11.18%, DENN perfoms like the industry average, outperforming 54.96% of the companies in the same industry.
In the last couple of years the Operating Margin of DENN has declined.
DENN has a Gross Margin of 62.35%. This is in the better half of the industry: DENN outperforms 74.81% of its industry peers.
DENN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.18% | ||
| PM (TTM) | 3.9% | ||
| GM | 62.35% |
OM growth 3Y-11.51%
OM growth 5Y-6.04%
PM growth 3Y-37.59%
PM growth 5Y-26.13%
GM growth 3Y-21.9%
GM growth 5Y-11.65%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DENN is creating some value.
DENN has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, DENN has less shares outstanding
The debt/assets ratio for DENN has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.49, we must say that DENN is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.49, DENN perfoms like the industry average, outperforming 46.56% of the companies in the same industry.
DENN has a debt to FCF ratio of 13.54. This is a negative value and a sign of low solvency as DENN would need 13.54 years to pay back of all of its debts.
DENN has a Debt to FCF ratio of 13.54. This is comparable to the rest of the industry: DENN outperforms 51.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 13.54 | ||
| Altman-Z | 1.49 |
ROIC/WACC1.18
WACC8.48%
2.3 Liquidity
A Current Ratio of 0.39 indicates that DENN may have some problems paying its short term obligations.
With a Current ratio value of 0.39, DENN is not doing good in the industry: 82.44% of the companies in the same industry are doing better.
A Quick Ratio of 0.37 indicates that DENN may have some problems paying its short term obligations.
With a Quick ratio value of 0.37, DENN is not doing good in the industry: 78.63% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
The earnings per share for DENN have decreased strongly by -10.34% in the last year.
Measured over the past years, DENN shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.55% on average per year.
Looking at the last year, DENN shows a decrease in Revenue. The Revenue has decreased by -2.50% in the last year.
DENN shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.53% yearly.
EPS 1Y (TTM)-10.34%
EPS 3Y0.65%
EPS 5Y-7.55%
EPS Q2Q%0%
Revenue 1Y (TTM)-2.5%
Revenue growth 3Y4.34%
Revenue growth 5Y-3.53%
Sales Q2Q%-0.59%
3.2 Future
Based on estimates for the next years, DENN will show a small growth in Earnings Per Share. The EPS will grow by 2.55% on average per year.
Based on estimates for the next years, DENN will show a small growth in Revenue. The Revenue will grow by 2.66% on average per year.
EPS Next Y2.55%
EPS Next 2Y2.55%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.99%
Revenue Next 2Y3.31%
Revenue Next 3Y3.59%
Revenue Next 5Y2.66%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.23 indicates a reasonable valuation of DENN.
DENN's Price/Earnings ratio is rather cheap when compared to the industry. DENN is cheaper than 96.18% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.63. DENN is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 9.98, the valuation of DENN can be described as reasonable.
DENN's Price/Forward Earnings ratio is rather cheap when compared to the industry. DENN is cheaper than 95.42% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.68. DENN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.23 | ||
| Fwd PE | 9.98 |
4.2 Price Multiples
DENN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. DENN is cheaper than 82.44% of the companies in the same industry.
90.84% of the companies in the same industry are more expensive than DENN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.6 | ||
| EV/EBITDA | 8.1 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)4.02
PEG (5Y)N/A
EPS Next 2Y2.55%
EPS Next 3YN/A
5. Dividend
5.1 Amount
DENN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
5.32
+0.21 (+4.11%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners88.7%
Inst Owner Change3.29%
Ins Owners3.36%
Ins Owner Change6.25%
Market Cap273.08M
Analysts78.67
Price Target7.94 (49.25%)
Short Float %4.79%
Short Ratio2.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.33
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-20.71%
Min EPS beat(2)-32.79%
Max EPS beat(2)-8.63%
EPS beat(4)0
Avg EPS beat(4)-21.58%
Min EPS beat(4)-32.79%
Max EPS beat(4)-8.63%
EPS beat(8)2
Avg EPS beat(8)-10.59%
EPS beat(12)2
Avg EPS beat(12)-12.26%
EPS beat(16)4
Avg EPS beat(16)-12.98%
Revenue beat(2)0
Avg Revenue beat(2)-4.79%
Min Revenue beat(2)-5.1%
Max Revenue beat(2)-4.48%
Revenue beat(4)0
Avg Revenue beat(4)-4.55%
Min Revenue beat(4)-6.37%
Max Revenue beat(4)-2.23%
Revenue beat(8)1
Avg Revenue beat(8)-3.58%
Revenue beat(12)3
Avg Revenue beat(12)-2.79%
Revenue beat(16)5
Avg Revenue beat(16)-2.44%
PT rev (1m)1.8%
PT rev (3m)-15.67%
EPS NQ rev (1m)0.52%
EPS NQ rev (3m)0.52%
EPS NY rev (1m)-0.79%
EPS NY rev (3m)-0.79%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)0.39%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.23 | ||
| Fwd PE | 9.98 | ||
| P/S | 0.6 | ||
| P/FCF | 13.6 | ||
| P/OCF | 6.46 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.1 |
EPS(TTM)0.52
EY9.77%
EPS(NY)0.53
Fwd EY10.02%
FCF(TTM)0.39
FCFY7.35%
OCF(TTM)0.82
OCFY15.48%
SpS8.83
BVpS-1.06
TBVpS-4.15
PEG (NY)4.02
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.83% | ||
| ROE | N/A | ||
| ROCE | 13.55% | ||
| ROIC | 10.01% | ||
| ROICexc | 10.13% | ||
| ROICexgc | 17.73% | ||
| OM | 11.18% | ||
| PM (TTM) | 3.9% | ||
| GM | 62.35% | ||
| FCFM | 4.43% |
ROA(3y)7.88%
ROA(5y)8.08%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)11.02%
ROIC(5y)9.42%
ROICexc(3y)11.17%
ROICexc(5y)9.78%
ROICexgc(3y)19.46%
ROICexgc(5y)15.98%
ROCE(3y)14.91%
ROCE(5y)12.74%
ROICexcg growth 3Y-10.6%
ROICexcg growth 5Y-7.39%
ROICexc growth 3Y-15.52%
ROICexc growth 5Y-11.26%
OM growth 3Y-11.51%
OM growth 5Y-6.04%
PM growth 3Y-37.59%
PM growth 5Y-26.13%
GM growth 3Y-21.9%
GM growth 5Y-11.65%
F-Score5
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 13.54 | ||
| Debt/EBITDA | 4.16 | ||
| Cap/Depr | 153.84% | ||
| Cap/Sales | 4.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.96% | ||
| Profit Quality | 113.62% | ||
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 1.49 |
F-Score5
WACC8.48%
ROIC/WACC1.18
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.34%
EPS 3Y0.65%
EPS 5Y-7.55%
EPS Q2Q%0%
EPS Next Y2.55%
EPS Next 2Y2.55%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.5%
Revenue growth 3Y4.34%
Revenue growth 5Y-3.53%
Sales Q2Q%-0.59%
Revenue Next Year3.99%
Revenue Next 2Y3.31%
Revenue Next 3Y3.59%
Revenue Next 5Y2.66%
EBIT growth 1Y-22.79%
EBIT growth 3Y-7.67%
EBIT growth 5Y-9.36%
EBIT Next Year81.45%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-65.43%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-35.26%
OCF growth 3YN/A
OCF growth 5YN/A