DHH SPA (DHH.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:DHH - IT0005203622 - Common Stock
22.7 EUR
-0.6 (-2.58%)
Overall DHH gets a fundamental rating of 5 out of 10. We evaluated DHH against 76 industry peers in the IT Services industry. While DHH has a great profitability rating, there are some minor concerns on its financial health. DHH is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DHH was profitable.
In the past year DHH had a positive cash flow from operations.
In the past 5 years DHH has always been profitable.
Each year in the past 5 years DHH had a positive operating cash flow.
1.2 Ratios
DHH's Return On Assets of 5.26% is fine compared to the rest of the industry. DHH outperforms 63.16% of its industry peers.
DHH has a Return On Equity of 12.73%. This is comparable to the rest of the industry: DHH outperforms 55.26% of its industry peers.
DHH's Return On Invested Capital of 8.08% is in line compared to the rest of the industry. DHH outperforms 46.05% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DHH is significantly below the industry average of 26.78%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 12.73% | ||
| ROIC | 8.08% |
ROA(3y)3.93%
ROA(5y)4.47%
ROE(3y)8.68%
ROE(5y)9.26%
ROIC(3y)8.73%
ROIC(5y)7.32%
1.3 Margins
The Profit Margin of DHH (10.05%) is better than 89.47% of its industry peers.
DHH's Profit Margin has improved in the last couple of years.
DHH's Operating Margin of 18.89% is amongst the best of the industry. DHH outperforms 94.74% of its industry peers.
In the last couple of years the Operating Margin of DHH has grown nicely.
With an excellent Gross Margin value of 93.24%, DHH belongs to the best of the industry, outperforming 92.11% of the companies in the same industry.
DHH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.89% | ||
| PM (TTM) | 10.05% | ||
| GM | 93.24% |
OM growth 3Y-2.06%
OM growth 5Y54.36%
PM growth 3Y-14.91%
PM growth 5Y46.79%
GM growth 3Y-0.79%
GM growth 5Y-1.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DHH is creating some value.
The number of shares outstanding for DHH has been increased compared to 1 year ago.
Compared to 5 years ago, DHH has more shares outstanding
DHH has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.21 indicates that DHH is not in any danger for bankruptcy at the moment.
The Altman-Z score of DHH (3.21) is better than 67.11% of its industry peers.
DHH has a debt to FCF ratio of 3.64. This is a good value and a sign of high solvency as DHH would need 3.64 years to pay back of all of its debts.
DHH's Debt to FCF ratio of 3.64 is in line compared to the rest of the industry. DHH outperforms 52.63% of its industry peers.
DHH has a Debt/Equity ratio of 0.51. This is a neutral value indicating DHH is somewhat dependend on debt financing.
DHH's Debt to Equity ratio of 0.51 is in line compared to the rest of the industry. DHH outperforms 47.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.64 | ||
| Altman-Z | 3.21 |
ROIC/WACC1.08
WACC7.47%
2.3 Liquidity
A Current Ratio of 1.29 indicates that DHH should not have too much problems paying its short term obligations.
DHH has a Current ratio (1.29) which is in line with its industry peers.
A Quick Ratio of 1.26 indicates that DHH should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.26, DHH is doing good in the industry, outperforming 63.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
The earnings per share for DHH have decreased by -5.53% in the last year.
The Earnings Per Share has been growing by 62.49% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 6.82% in the past year.
DHH shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 39.65% yearly.
EPS 1Y (TTM)-5.53%
EPS 3Y3.98%
EPS 5Y62.49%
EPS Q2Q%3.55%
Revenue 1Y (TTM)6.82%
Revenue growth 3Y22.43%
Revenue growth 5Y39.65%
Sales Q2Q%9.01%
3.2 Future
DHH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.50% yearly.
DHH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.56% yearly.
EPS Next Y8.76%
EPS Next 2Y11.64%
EPS Next 3Y12.5%
EPS Next 5YN/A
Revenue Next Year15.35%
Revenue Next 2Y10.64%
Revenue Next 3Y9.18%
Revenue Next 5Y7.56%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
A Price/Earnings ratio of 29.87 indicates a quite expensive valuation of DHH.
DHH's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.61. DHH is around the same levels.
Based on the Price/Forward Earnings ratio of 21.84, the valuation of DHH can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as DHH.
DHH's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.01.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.87 | ||
| Fwd PE | 21.84 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DHH.
The rest of the industry has a similar Price/Free Cash Flow ratio as DHH.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.44 | ||
| EV/EBITDA | 9.76 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
DHH has a very decent profitability rating, which may justify a higher PE ratio.
DHH's earnings are expected to grow with 12.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.41
PEG (5Y)0.48
EPS Next 2Y11.64%
EPS Next 3Y12.5%
5. Dividend
5.1 Amount
DHH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:DHH (12/22/2025, 7:00:00 PM)
22.7
-0.6 (-2.58%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners3.21%
Inst Owner ChangeN/A
Ins Owners68.88%
Ins Owner ChangeN/A
Market Cap118.95M
Revenue(TTM)37.51M
Net Income(TTM)3.77M
Analysts83.33
Price Target34.6 (52.42%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
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)16.86%
PT rev (3m)16.86%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)1.13%
EPS NY rev (3m)-10.11%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)2.54%
Revenue NY rev (3m)-0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.87 | ||
| Fwd PE | 21.84 | ||
| P/S | 3.17 | ||
| P/FCF | 20.44 | ||
| P/OCF | 9.68 | ||
| P/B | 4.02 | ||
| P/tB | 17.13 | ||
| EV/EBITDA | 9.76 |
EPS(TTM)0.76
EY3.35%
EPS(NY)1.04
Fwd EY4.58%
FCF(TTM)1.11
FCFY4.89%
OCF(TTM)2.34
OCFY10.33%
SpS7.16
BVpS5.65
TBVpS1.32
PEG (NY)3.41
PEG (5Y)0.48
Graham Number9.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 12.73% | ||
| ROCE | 13.66% | ||
| ROIC | 8.08% | ||
| ROICexc | 11.87% | ||
| ROICexgc | 33.1% | ||
| OM | 18.89% | ||
| PM (TTM) | 10.05% | ||
| GM | 93.24% | ||
| FCFM | 15.51% |
ROA(3y)3.93%
ROA(5y)4.47%
ROE(3y)8.68%
ROE(5y)9.26%
ROIC(3y)8.73%
ROIC(5y)7.32%
ROICexc(3y)12.23%
ROICexc(5y)10.48%
ROICexgc(3y)26.87%
ROICexgc(5y)29.48%
ROCE(3y)15.07%
ROCE(5y)12.92%
ROICexgc growth 3Y-10.28%
ROICexgc growth 5YN/A
ROICexc growth 3Y6.52%
ROICexc growth 5Y53.67%
OM growth 3Y-2.06%
OM growth 5Y54.36%
PM growth 3Y-14.91%
PM growth 5Y46.79%
GM growth 3Y-0.79%
GM growth 5Y-1.44%
F-Score5
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.64 | ||
| Debt/EBITDA | 1.2 | ||
| Cap/Depr | 116.31% | ||
| Cap/Sales | 17.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.15% | ||
| Profit Quality | 154.41% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 3.21 |
F-Score5
WACC7.47%
ROIC/WACC1.08
Cap/Depr(3y)89.93%
Cap/Depr(5y)88.5%
Cap/Sales(3y)13.53%
Cap/Sales(5y)12.57%
Profit Quality(3y)392.65%
Profit Quality(5y)477.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.53%
EPS 3Y3.98%
EPS 5Y62.49%
EPS Q2Q%3.55%
EPS Next Y8.76%
EPS Next 2Y11.64%
EPS Next 3Y12.5%
EPS Next 5YN/A
Revenue 1Y (TTM)6.82%
Revenue growth 3Y22.43%
Revenue growth 5Y39.65%
Sales Q2Q%9.01%
Revenue Next Year15.35%
Revenue Next 2Y10.64%
Revenue Next 3Y9.18%
Revenue Next 5Y7.56%
EBIT growth 1Y-0.33%
EBIT growth 3Y19.91%
EBIT growth 5Y115.56%
EBIT Next Year89.59%
EBIT Next 3Y31.31%
EBIT Next 5YN/A
FCF growth 1Y-12.19%
FCF growth 3Y-4.43%
FCF growth 5Y23.86%
OCF growth 1Y2.95%
OCF growth 3Y15.1%
OCF growth 5Y55.96%
DHH SPA / DHH.MI FAQ
What is the fundamental rating for DHH stock?
ChartMill assigns a fundamental rating of 5 / 10 to DHH.MI.
Can you provide the valuation status for DHH SPA?
ChartMill assigns a valuation rating of 3 / 10 to DHH SPA (DHH.MI). This can be considered as Overvalued.
How profitable is DHH SPA (DHH.MI) stock?
DHH SPA (DHH.MI) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for DHH stock?
The Earnings per Share (EPS) of DHH SPA (DHH.MI) is expected to grow by 8.76% in the next year.
How sustainable is the dividend of DHH SPA (DHH.MI) stock?
The dividend rating of DHH SPA (DHH.MI) is 0 / 10 and the dividend payout ratio is 0%.