DIGITAL VALUE SPA (DGV.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:DGV - IT0005347429 - Common Stock
28.1 EUR
0 (0%)
DGV gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 72 industry peers in the IT Services industry. DGV has only an average score on both its financial health and profitability. 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.
DGV had a positive operating cash flow in the past year.
Each year in the past 5 years DGV has been profitable.
Of the past 5 years DGV 4 years had a positive operating cash flow.
1.2 Ratios
DGV's Return On Assets of 3.23% is in line compared to the rest of the industry. DGV outperforms 41.67% of its industry peers.
DGV has a Return On Equity (8.46%) which is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 8.59%, DGV is in line with its industry, outperforming 50.00% of the companies in the same industry.
DGV had an Average Return On Invested Capital over the past 3 years of 14.48%. This is above the industry average of 11.90%.
The last Return On Invested Capital (8.59%) for DGV is well below the 3 year average (14.48%), which needs to be investigated, but indicates that DGV had better years and this may not be a problem.
| 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
DGV has a Profit Margin of 2.82%. This is comparable to the rest of the industry: DGV outperforms 45.83% of its industry peers.
In the last couple of years the Profit Margin of DGV has declined.
DGV has a Operating Margin of 5.31%. This is comparable to the rest of the industry: DGV outperforms 43.06% 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 86.11% of its industry peers.
In the last couple of years the Gross Margin of DGV has grown nicely.
| 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
The debt/assets ratio for DGV is higher compared to a year ago.
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.
DGV has a Altman-Z score of 2.62. This is comparable to the rest of the industry: DGV outperforms 48.61% of its industry peers.
The Debt to FCF ratio of DGV is 1.42, which is an excellent value as it means it would take DGV, only 1.42 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.42, DGV belongs to the top of the industry, outperforming 80.56% of the companies in the same industry.
A Debt/Equity ratio of 0.16 indicates that DGV is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.16, DGV belongs to the best of the industry, outperforming 81.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.42 | ||
| Altman-Z | 2.62 |
ROIC/WACC1.24
WACC6.9%
2.3 Liquidity
DGV has a Current Ratio of 1.61. 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 Current ratio of 1.61. This is in the better half of the industry: DGV outperforms 76.39% of its industry peers.
A Quick Ratio of 1.23 indicates that DGV should not have too much problems paying its short term obligations.
DGV has a Quick ratio of 1.23. This is comparable to the rest of the industry: DGV outperforms 58.33% of its industry peers.
| 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.
Measured over the past years, DGV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.47% on average per year.
DGV shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.28%.
The Revenue has been growing by 17.53% on average over the past years. This is quite good.
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
DGV is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -25.99% yearly.
The Revenue is expected to decrease by -15.12% on average over the next years. This is quite bad
EPS Next Y-57.5%
EPS Next 2Y-33.63%
EPS Next 3Y-25.99%
EPS Next 5YN/A
Revenue Next Year-27.46%
Revenue Next 2Y-15.12%
Revenue Next 3YN/A
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 15.44.
DGV's Price/Earnings ratio is a bit cheaper when compared to the industry. DGV is cheaper than 75.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.31. DGV is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 15.04 indicates a correct valuation of DGV.
DGV's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, DGV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.44 | ||
| Fwd PE | 15.04 |
4.2 Price Multiples
97.22% of the companies in the same industry are more expensive than DGV, based on the Enterprise Value to EBITDA ratio.
93.06% of the companies in the same industry are more expensive than DGV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.01 | ||
| EV/EBITDA | 3.05 |
4.3 Compensation for Growth
A cheap valuation may be justified as DGV's earnings are expected to decrease with -25.99% in the coming years.
PEG (NY)N/A
PEG (5Y)1.24
EPS Next 2Y-33.63%
EPS Next 3Y-25.99%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.85%, DGV has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.92, DGV pays a bit more dividend than its industry peers.
DGV's Dividend Yield is comparable with the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.85% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DGV pays out 50.13% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP50.13%
EPS Next 2Y-33.63%
EPS Next 3Y-25.99%
BIT:DGV (11/28/2025, 7:00:00 PM)
28.1
0 (0%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners5.52%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap286.06M
Revenue(TTM)666.51M
Net Income(TTM)18.79M
Analysts84
Price Target81.6 (190.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.85% |
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)-66.19%
EPS NY rev (3m)-66.19%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-50.43%
Revenue NY rev (3m)-50.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.44 | ||
| Fwd PE | 15.04 | ||
| P/S | 0.43 | ||
| P/FCF | 6.01 | ||
| P/OCF | 4 | ||
| P/B | 1.29 | ||
| P/tB | 1.5 | ||
| EV/EBITDA | 3.05 |
EPS(TTM)1.82
EY6.48%
EPS(NY)1.87
Fwd EY6.65%
FCF(TTM)4.67
FCFY16.64%
OCF(TTM)7.02
OCFY24.97%
SpS65.47
BVpS21.82
TBVpS18.69
PEG (NY)N/A
PEG (5Y)1.24
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
WACC6.9%
ROIC/WACC1.24
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-57.5%
EPS Next 2Y-33.63%
EPS Next 3Y-25.99%
EPS Next 5YN/A
Revenue 1Y (TTM)-24.28%
Revenue growth 3Y13.59%
Revenue growth 5Y17.53%
Sales Q2Q%-32.98%
Revenue Next Year-27.46%
Revenue Next 2Y-15.12%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-47.62%
EBIT growth 3Y9.18%
EBIT growth 5Y16.25%
EBIT Next Year99.9%
EBIT Next 3YN/A
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 5 / 10 to DGV.MI.
Can you provide the valuation status for DIGITAL VALUE SPA?
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 financial health of DIGITAL VALUE SPA (DGV.MI) stock?
The financial health rating of DIGITAL VALUE SPA (DGV.MI) is 6 / 10.
Is the dividend of DIGITAL VALUE SPA sustainable?
The dividend rating of DIGITAL VALUE SPA (DGV.MI) is 3 / 10 and the dividend payout ratio is 50.13%.