DEFINITIVE HEALTHCARE CORP (DH)
US24477E1038 - Common Stock
We assign a fundamental rating of 4 out of 10 to DH. DH was compared to 37 industry peers in the Health Care Technology industry. While DH seems to be doing ok healthwise, there are quite some concerns on its profitability. DH scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year DH was profitable.
DH had a positive operating cash flow in the past year.
DH had negative earnings in each of the past 5 years.
Each year in the past 5 years DH had a positive operating cash flow.
1.2 Ratios
DH has a Return On Assets (-30.83%) which is comparable to the rest of the industry.
DH's Return On Equity of -71.92% is in line compared to the rest of the industry. DH outperforms 42.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -30.83% | ||
| ROE | -71.92% | ||
| ROIC | N/A |
ROA(3y)-4.09%
ROA(5y)-3.46%
ROE(3y)-8.77%
ROE(5y)-6.71%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DH has a better Gross Margin (79.46%) than 85.71% of its industry peers.
DH's Gross Margin has improved in the last couple of years.
The Profit Margin and Operating Margin are not available for DH so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 79.46% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.01%
GM growth 5YN/A
2. Health
2.1 Basic Checks
DH does not have a ROIC to compare to the WACC, probably because it is not profitable.
DH has about the same amout of shares outstanding than it did 1 year ago.
DH has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.30, we must say that DH is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of DH (0.30) is comparable to the rest of the industry.
The Debt to FCF ratio of DH is 4.67, which is a neutral value as it means it would take DH, 4.67 years of fcf income to pay off all of its debts.
DH has a better Debt to FCF ratio (4.67) than 68.57% of its industry peers.
DH has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
DH's Debt to Equity ratio of 0.46 is on the low side compared to the rest of the industry. DH is outperformed by 62.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 4.67 | ||
| Altman-Z | 0.3 |
ROIC/WACCN/A
WACC9.16%
2.3 Liquidity
DH has a Current Ratio of 2.49. This indicates that DH is financially healthy and has no problem in meeting its short term obligations.
DH has a better Current ratio (2.49) than 65.71% of its industry peers.
DH has a Quick Ratio of 2.49. This indicates that DH is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 2.49, DH is doing good in the industry, outperforming 65.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.49 | ||
| Quick Ratio | 2.49 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.33% over the past year.
The Revenue has been growing slightly by 3.96% in the past year.
The Revenue has been growing by 28.57% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)13.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%11.11%
Revenue 1Y (TTM)3.96%
Revenue growth 3Y28.57%
Revenue growth 5YN/A
Sales Q2Q%-4.02%
3.2 Future
DH is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.80% yearly.
DH is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.20% yearly.
EPS Next Y18.28%
EPS Next 2Y0.64%
EPS Next 3Y3.8%
EPS Next 5YN/A
Revenue Next Year-0.44%
Revenue Next 2Y-2.09%
Revenue Next 3Y-0.2%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.82, which indicates a correct valuation of DH.
Based on the Price/Earnings ratio, DH is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.41, DH is valued rather cheaply.
DH is valuated correctly with a Price/Forward Earnings ratio of 14.35.
91.43% of the companies in the same industry are more expensive than DH, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of DH to the average of the S&P500 Index (23.69), we can say DH is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 14.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DH is valued cheaply inside the industry as 91.43% of the companies are valued more expensively.
82.86% of the companies in the same industry are more expensive than DH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.81 | ||
| EV/EBITDA | 13.52 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.7
PEG (5Y)N/A
EPS Next 2Y0.64%
EPS Next 3Y3.8%
5. Dividend
5.1 Amount
DH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DEFINITIVE HEALTHCARE CORP
NASDAQ:DH (1/3/2025, 8:00:01 PM)
After market: 4.36 0 (0%)4.36
+0.24 (+5.83%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners44.82%
Inst Owner Change-6.23%
Ins Owners3.2%
Ins Owner Change4.24%
Market Cap675.71M
Analysts75.45
Price Target5.38 (23.39%)
Short Float %5.03%
Short Ratio5.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.29%
Min EPS beat(2)0.72%
Max EPS beat(2)21.86%
EPS beat(4)2
Avg EPS beat(4)1.68%
Min EPS beat(4)-11.07%
Max EPS beat(4)21.86%
EPS beat(8)6
Avg EPS beat(8)23.21%
EPS beat(12)9
Avg EPS beat(12)21.26%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-1.74%
Min Revenue beat(2)-2.09%
Max Revenue beat(2)-1.38%
Revenue beat(4)0
Avg Revenue beat(4)-2.55%
Min Revenue beat(4)-3.69%
Max Revenue beat(4)-1.38%
Revenue beat(8)1
Avg Revenue beat(8)-1.65%
Revenue beat(12)3
Avg Revenue beat(12)-1.24%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-9.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-27.65%
EPS NY rev (1m)0%
EPS NY rev (3m)6.27%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.23%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 14.35 | ||
| P/S | 2.64 | ||
| P/FCF | 12.81 | ||
| P/OCF | 12.34 | ||
| P/B | 1.33 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.52 |
EPS(TTM)0.34
EY7.8%
EPS(NY)0.3
Fwd EY6.97%
FCF(TTM)0.34
FCFY7.8%
OCF(TTM)0.35
OCFY8.11%
SpS1.65
BVpS3.27
TBVpS-1.8
PEG (NY)0.7
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -30.83% | ||
| ROE | -71.92% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 79.46% | ||
| FCFM | 20.61% |
ROA(3y)-4.09%
ROA(5y)-3.46%
ROE(3y)-8.77%
ROE(5y)-6.71%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.01%
GM growth 5YN/A
F-Score3
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 4.67 | ||
| Debt/EBITDA | 7.01 | ||
| Cap/Depr | 3.96% | ||
| Cap/Sales | 0.8% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 164.95% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.49 | ||
| Quick Ratio | 2.49 | ||
| Altman-Z | 0.3 |
F-Score3
WACC9.16%
ROIC/WACCN/A
Cap/Depr(3y)10.54%
Cap/Depr(5y)7.93%
Cap/Sales(3y)2.99%
Cap/Sales(5y)2.48%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%11.11%
EPS Next Y18.28%
EPS Next 2Y0.64%
EPS Next 3Y3.8%
EPS Next 5YN/A
Revenue 1Y (TTM)3.96%
Revenue growth 3Y28.57%
Revenue growth 5YN/A
Sales Q2Q%-4.02%
Revenue Next Year-0.44%
Revenue Next 2Y-2.09%
Revenue Next 3Y-0.2%
Revenue Next 5YN/A
EBIT growth 1Y45.33%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year13.84%
EBIT Next 3Y1.92%
EBIT Next 5YN/A
FCF growth 1Y33.53%
FCF growth 3Y20.54%
FCF growth 5YN/A
OCF growth 1Y24.42%
OCF growth 3Y21.05%
OCF growth 5YN/A