DESPEGAR.COM CORP (DESP)
VGG273581030 - Common Stock
DESP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 135 industry peers in the Hotels, Restaurants & Leisure industry. DESP has only an average score on both its financial health and profitability. DESP has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
DESP had positive earnings in the past year.
DESP had a positive operating cash flow in the past year.
In the past 5 years DESP always reported negative net income.
In multiple years DESP reported negative operating cash flow during the last 5 years.
1.2 Ratios
The Return On Assets of DESP (1.00%) is comparable to the rest of the industry.
With a decent Return On Equity value of 16.17%, DESP is doing good in the industry, outperforming 75.37% of the companies in the same industry.
DESP's Return On Invested Capital of 32.79% is amongst the best of the industry. DESP outperforms 97.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 16.17% | ||
| ROIC | 32.79% |
ROA(3y)-7.32%
ROA(5y)-8.31%
ROE(3y)-87.64%
ROE(5y)-67.02%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DESP has a Profit Margin (1.22%) which is comparable to the rest of the industry.
The Operating Margin of DESP (12.77%) is better than 62.69% of its industry peers.
In the last couple of years the Operating Margin of DESP has remained more or less at the same level.
DESP has a Gross Margin of 70.08%. This is amongst the best in the industry. DESP outperforms 83.58% of its industry peers.
In the last couple of years the Gross Margin of DESP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.77% | ||
| PM (TTM) | 1.22% | ||
| GM | 70.08% |
OM growth 3YN/A
OM growth 5Y1.39%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y24.66%
GM growth 5Y0%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DESP is creating value.
Compared to 1 year ago, DESP has more shares outstanding
DESP has more shares outstanding than it did 5 years ago.
DESP has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.79, we must say that DESP is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.79, DESP is not doing good in the industry: 70.90% of the companies in the same industry are doing better.
DESP has a debt to FCF ratio of 0.80. This is a very positive value and a sign of high solvency as it would only need 0.80 years to pay back of all of its debts.
The Debt to FCF ratio of DESP (0.80) is better than 90.30% of its industry peers.
A Debt/Equity ratio of 0.55 indicates that DESP is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.55, DESP is in the better half of the industry, outperforming 70.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 0.8 | ||
| Altman-Z | 0.79 |
ROIC/WACC2.67
WACC12.3%
2.3 Liquidity
DESP has a Current Ratio of 0.80. This is a bad value and indicates that DESP is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.80, DESP is in line with its industry, outperforming 41.79% of the companies in the same industry.
A Quick Ratio of 0.80 indicates that DESP may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.80, DESP is in line with its industry, outperforming 46.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 207.69% over the past year.
DESP shows a strong growth in Revenue. In the last year, the Revenue has grown by 31.23%.
The Revenue has been growing slightly by 5.88% on average over the past years.
EPS 1Y (TTM)207.69%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%118.18%
Revenue 1Y (TTM)31.23%
Revenue growth 3Y75.19%
Revenue growth 5Y5.88%
Sales Q2Q%8.86%
3.2 Future
Based on estimates for the next years, DESP will show a very strong growth in Earnings Per Share. The EPS will grow by 132.75% on average per year.
DESP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.91% yearly.
EPS Next Y1931.54%
EPS Next 2Y433.85%
EPS Next 3Y227.3%
EPS Next 5Y132.75%
Revenue Next Year10.27%
Revenue Next 2Y11.03%
Revenue Next 3Y11.77%
Revenue Next 5Y14.91%
3.3 Evolution
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
The Price/Earnings ratio is 63.05, which means the current valuation is very expensive for DESP.
The rest of the industry has a similar Price/Earnings ratio as DESP.
DESP is valuated expensively when we compare the Price/Earnings ratio to 28.81, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 16.66, the valuation of DESP can be described as correct.
DESP's Price/Forward Earnings ratio is rather cheap when compared to the industry. DESP is cheaper than 80.60% of the companies in the same industry.
DESP's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.56.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.05 | ||
| Fwd PE | 16.66 |
4.2 Price Multiples
DESP's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. DESP is cheaper than 90.30% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DESP is valued a bit cheaper than the industry average as 66.42% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.08 | ||
| EV/EBITDA | 5.55 |
4.3 Compensation for Growth
DESP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as DESP's earnings are expected to grow with 227.30% in the coming years.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y433.85%
EPS Next 3Y227.3%
5. Dividend
5.1 Amount
No dividends for DESP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DESPEGAR.COM CORP
NYSE:DESP (11/15/2024, 10:02:06 AM)
17.655
+2.8 (+18.81%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.27B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.05 | ||
| Fwd PE | 16.66 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 16.17% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 12.77% | ||
| PM (TTM) | 1.22% | ||
| GM | 70.08% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)207.69%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y1931.54%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)31.23%
Revenue growth 3Y75.19%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y