DHH SPA (DHH.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:DHH - IT0005203622 - Common Stock
21.3 EUR
+0.1 (+0.47%)
DHH gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 75 industry peers in the IT Services industry. While DHH has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, DHH is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
DHH had positive earnings in the past year.
DHH had a positive operating cash flow in the past year.
DHH had positive earnings in each of the past 5 years.
Each year in the past 5 years DHH had a positive operating cash flow.
1.2 Ratios
The Return On Assets of DHH (5.26%) is better than 61.64% of its industry peers.
DHH has a Return On Equity (12.73%) which is in line with its industry peers.
The Return On Invested Capital of DHH (8.08%) is comparable to the rest of the industry.
DHH had an Average Return On Invested Capital over the past 3 years of 8.73%. This is significantly below the industry average of 26.58%.
| 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
DHH has a better Profit Margin (10.05%) than 87.67% 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 94.52% of its industry peers.
DHH's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 93.24%, DHH belongs to the top of the industry, outperforming 91.78% 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DHH is destroying value.
Compared to 1 year ago, DHH has more shares outstanding
The number of shares outstanding for DHH has been increased compared to 5 years ago.
DHH has a better debt/assets ratio than last year.
2.2 Solvency
DHH has an Altman-Z score of 3.11. This indicates that DHH is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.11, DHH is doing good in the industry, outperforming 68.49% of the companies in the same industry.
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 52.05% 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 has a Debt to Equity ratio (0.51) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 3.64 | ||
| Altman-Z | 3.11 |
ROIC/WACC0.6
WACC13.47%
2.3 Liquidity
A Current Ratio of 1.29 indicates that DHH should not have too much problems paying its short term obligations.
DHH's Current ratio of 1.29 is in line compared to the rest of the industry. DHH outperforms 54.79% of its industry peers.
DHH has a Quick Ratio of 1.26. This is a normal value and indicates that DHH is financially healthy and should not expect problems in meeting its short term obligations.
DHH has a Quick ratio of 1.26. This is in the better half of the industry: DHH outperforms 64.38% of its industry peers.
| 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.
Measured over the past years, DHH shows a very strong growth in Earnings Per Share. The EPS has been growing by 62.49% on average per year.
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.
The Revenue is expected to grow by 7.56% on average over the next years.
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.
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
Based on the Price/Earnings ratio of 28.03, the valuation of DHH can be described as expensive.
DHH's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.55. DHH is around the same levels.
With a Price/Forward Earnings ratio of 20.49, DHH is valued on the expensive side.
DHH's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of DHH to the average of the S&P500 Index (23.78), we can say DHH is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.03 | ||
| Fwd PE | 20.49 |
4.2 Price Multiples
DHH's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as DHH.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.18 | ||
| EV/EBITDA | 9.18 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of DHH 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)3.2
PEG (5Y)0.45
EPS Next 2Y11.64%
EPS Next 3Y12.5%
5. Dividend
5.1 Amount
No dividends for DHH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:DHH (11/25/2025, 7:00:00 PM)
21.3
+0.1 (+0.47%)
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 Cap111.61M
Revenue(TTM)37.51M
Net Income(TTM)3.77M
Analysts83.33
Price Target34.6 (62.44%)
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 | 28.03 | ||
| Fwd PE | 20.49 | ||
| P/S | 2.98 | ||
| P/FCF | 19.18 | ||
| P/OCF | 9.08 | ||
| P/B | 3.77 | ||
| P/tB | 16.08 | ||
| EV/EBITDA | 9.18 |
EPS(TTM)0.76
EY3.57%
EPS(NY)1.04
Fwd EY4.88%
FCF(TTM)1.11
FCFY5.21%
OCF(TTM)2.34
OCFY11.01%
SpS7.16
BVpS5.65
TBVpS1.32
PEG (NY)3.2
PEG (5Y)0.45
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 | 3.11 |
F-Score5
WACC13.47%
ROIC/WACC0.6
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%.