DIGITAL VALUE SPA (DGV.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:DGV - IT0005347429 - Common Stock
28.55 EUR
+0.1 (+0.35%)
We assign a fundamental rating of 4 out of 10 to DGV. DGV was compared to 68 industry peers in the IT Services industry. DGV has an average financial health and profitability rating. DGV has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year DGV was profitable.
In the past year DGV had a positive cash flow from operations.
Each year in the past 5 years DGV has been profitable.
DGV had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
DGV's Return On Assets of 3.23% is in line compared to the rest of the industry. DGV outperforms 41.18% of its industry peers.
The Return On Equity of DGV (8.46%) is comparable to the rest of the industry.
DGV has a Return On Invested Capital (8.59%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for DGV is above the industry average of 11.04%.
The 3 year average ROIC (14.48%) for DGV is well above the current ROIC(8.59%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 8.46% | ||
| ROIC | 8.59% |
ROA(3y)5.1%
ROA(5y)5.44%
ROE(3y)19.28%
ROE(5y)21.59%
ROIC(3y)14.48%
ROIC(5y)15.05%
1.3 Margins
The Profit Margin of DGV (2.82%) is comparable to the rest of the industry.
DGV's Profit Margin has declined in the last couple of years.
DGV has a Operating Margin of 5.31%. This is comparable to the rest of the industry: DGV outperforms 47.06% of its industry peers.
DGV's Operating Margin has been stable in the last couple of years.
DGV has a Gross Margin of 16.60%. This is amonst the worse of the industry: DGV underperforms 82.35% of its industry peers.
DGV's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.31% | ||
| PM (TTM) | 2.82% | ||
| GM | 16.6% |
OM growth 3Y-3.88%
OM growth 5Y-1.1%
PM growth 3Y-7.22%
PM growth 5Y-3.69%
GM growth 3Y2.93%
GM growth 5Y4.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DGV is creating value.
The number of shares outstanding for DGV has been increased compared to 1 year ago.
Compared to 5 years ago, DGV has more shares outstanding
DGV has a worse debt/assets ratio than last year.
2.2 Solvency
DGV has an Altman-Z score of 2.62. This is not the best score and indicates that DGV is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of DGV (2.62) is comparable to the rest of the industry.
DGV has a debt to FCF ratio of 1.42. This is a very positive value and a sign of high solvency as it would only need 1.42 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 1.42, DGV is doing good in the industry, outperforming 76.47% of the companies in the same industry.
A Debt/Equity ratio of 0.16 indicates that DGV is not too dependend on debt financing.
DGV has a Debt to Equity ratio of 0.16. This is in the better half of the industry: DGV outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.42 | ||
| Altman-Z | 2.62 |
ROIC/WACC1.23
WACC6.96%
2.3 Liquidity
A Current Ratio of 1.61 indicates that DGV should not have too much problems paying its short term obligations.
The Current ratio of DGV (1.61) is better than 73.53% of its industry peers.
DGV has a Quick Ratio of 1.23. This is a normal value and indicates that DGV is financially healthy and should not expect problems in meeting its short term obligations.
DGV has a Quick ratio (1.23) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The earnings per share for DGV have decreased strongly by -58.28% in the last year.
DGV shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.47% yearly.
DGV shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.28%.
DGV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.53% yearly.
EPS 1Y (TTM)-58.28%
EPS 3Y4.51%
EPS 5Y12.47%
EPS Q2Q%-74.36%
Revenue 1Y (TTM)-24.28%
Revenue growth 3Y13.59%
Revenue growth 5Y17.53%
Sales Q2Q%-32.98%
3.2 Future
The Earnings Per Share is expected to decrease by -29.13% on average over the next years. This is quite bad
DGV is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -6.51% yearly.
EPS Next Y-57.62%
EPS Next 2Y-27.71%
EPS Next 3Y-29.13%
EPS Next 5YN/A
Revenue Next Year-26.92%
Revenue Next 2Y-13.54%
Revenue Next 3Y-6.51%
Revenue Next 5YN/A
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
DGV is valuated correctly with a Price/Earnings ratio of 15.69.
Based on the Price/Earnings ratio, DGV is valued a bit cheaper than 75.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of DGV to the average of the S&P500 Index (26.51), we can say DGV is valued slightly cheaper.
With a Price/Forward Earnings ratio of 12.88, DGV is valued correctly.
DGV's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. DGV is cheaper than 73.53% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, DGV is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.69 | ||
| Fwd PE | 12.88 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DGV is valued cheaply inside the industry as 97.06% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, DGV is valued cheaper than 89.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.11 | ||
| EV/EBITDA | 3.13 |
4.3 Compensation for Growth
DGV's earnings are expected to decrease with -29.13% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.26
EPS Next 2Y-27.71%
EPS Next 3Y-29.13%
5. Dividend
5.1 Amount
DGV has a Yearly Dividend Yield of 2.82%. Purely for dividend investing, there may be better candidates out there.
DGV's Dividend Yield is a higher than the industry average which is at 2.41.
DGV's Dividend Yield is a higher than the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
50.13% of the earnings are spent on dividend by DGV. This is a bit on the high side, but may be sustainable.
DP50.13%
EPS Next 2Y-27.71%
EPS Next 3Y-29.13%
BIT:DGV (12/30/2025, 7:00:00 PM)
28.55
+0.1 (+0.35%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners7.03%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap290.64M
Revenue(TTM)666.51M
Net Income(TTM)18.79M
Analysts84
Price Target81.6 (185.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
Yearly Dividend0.94
Dividend Growth(5Y)N/A
DP50.13%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.28%
EPS NY rev (3m)-66.29%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.74%
Revenue NY rev (3m)-50.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.69 | ||
| Fwd PE | 12.88 | ||
| P/S | 0.44 | ||
| P/FCF | 6.11 | ||
| P/OCF | 4.07 | ||
| P/B | 1.31 | ||
| P/tB | 1.53 | ||
| EV/EBITDA | 3.13 |
EPS(TTM)1.82
EY6.37%
EPS(NY)2.22
Fwd EY7.77%
FCF(TTM)4.67
FCFY16.37%
OCF(TTM)7.02
OCFY24.58%
SpS65.47
BVpS21.82
TBVpS18.69
PEG (NY)N/A
PEG (5Y)1.26
Graham Number29.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 8.46% | ||
| ROCE | 12.54% | ||
| ROIC | 8.59% | ||
| ROICexc | 20.34% | ||
| ROICexgc | 27.77% | ||
| OM | 5.31% | ||
| PM (TTM) | 2.82% | ||
| GM | 16.6% | ||
| FCFM | 7.14% |
ROA(3y)5.1%
ROA(5y)5.44%
ROE(3y)19.28%
ROE(5y)21.59%
ROIC(3y)14.48%
ROIC(5y)15.05%
ROICexc(3y)28.11%
ROICexc(5y)30.75%
ROICexgc(3y)36.03%
ROICexgc(5y)40.18%
ROCE(3y)21.29%
ROCE(5y)22.07%
ROICexgc growth 3Y-17.68%
ROICexgc growth 5Y-43.18%
ROICexc growth 3Y-14.37%
ROICexc growth 5Y-26.6%
OM growth 3Y-3.88%
OM growth 5Y-1.1%
PM growth 3Y-7.22%
PM growth 5Y-3.69%
GM growth 3Y2.93%
GM growth 5Y4.49%
F-Score6
Asset Turnover1.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.42 | ||
| Debt/EBITDA | 0.56 | ||
| Cap/Depr | 88.35% | ||
| Cap/Sales | 3.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 114.5% | ||
| Profit Quality | 253.3% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 2.62 |
F-Score6
WACC6.96%
ROIC/WACC1.23
Cap/Depr(3y)140.58%
Cap/Depr(5y)153.89%
Cap/Sales(3y)4.61%
Cap/Sales(5y)4.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-58.28%
EPS 3Y4.51%
EPS 5Y12.47%
EPS Q2Q%-74.36%
EPS Next Y-57.62%
EPS Next 2Y-27.71%
EPS Next 3Y-29.13%
EPS Next 5YN/A
Revenue 1Y (TTM)-24.28%
Revenue growth 3Y13.59%
Revenue growth 5Y17.53%
Sales Q2Q%-32.98%
Revenue Next Year-26.92%
Revenue Next 2Y-13.54%
Revenue Next 3Y-6.51%
Revenue Next 5YN/A
EBIT growth 1Y-47.62%
EBIT growth 3Y9.18%
EBIT growth 5Y16.25%
EBIT Next Year-7.2%
EBIT Next 3Y6.16%
EBIT Next 5YN/A
FCF growth 1Y588.62%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y44.86%
OCF growth 3YN/A
OCF growth 5YN/A
DIGITAL VALUE SPA / DGV.MI FAQ
What is the ChartMill fundamental rating of DIGITAL VALUE SPA (DGV.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to DGV.MI.
What is the valuation status for DGV stock?
ChartMill assigns a valuation rating of 5 / 10 to DIGITAL VALUE SPA (DGV.MI). This can be considered as Fairly Valued.
Can you provide the profitability details for DIGITAL VALUE SPA?
DIGITAL VALUE SPA (DGV.MI) has a profitability rating of 5 / 10.
What is the valuation of DIGITAL VALUE SPA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DIGITAL VALUE SPA (DGV.MI) is 15.69 and the Price/Book (PB) ratio is 1.31.
Can you provide the financial health for DGV stock?
The financial health rating of DIGITAL VALUE SPA (DGV.MI) is 5 / 10.