DINE BRANDS GLOBAL INC (DIN) Stock Fundamental Analysis
NYSE:DIN - New York Stock Exchange, Inc. - US2544231069 - Common Stock - Currency: USD
Overall DIN gets a fundamental rating of 4 out of 10. We evaluated DIN against 135 industry peers in the Hotels, Restaurants & Leisure industry. There are concerns on the financial health of DIN while its profitability can be described as average. DIN has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
DIN had positive earnings in the past year.
DIN had a positive operating cash flow in the past year.
DIN had positive earnings in 4 of the past 5 years.
DIN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DIN's Return On Assets of 5.31% is fine compared to the rest of the industry. DIN outperforms 70.99% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.96%, DIN is in the better half of the industry, outperforming 74.05% of the companies in the same industry.
DIN had an Average Return On Invested Capital over the past 3 years of 10.32%. This is in line with the industry average of 10.79%.
The 3 year average ROIC (10.32%) for DIN is below the current ROIC(10.96%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.31% | ||
| ROE | N/A | ||
| ROIC | 10.96% |
ROA(3y)4.81%
ROA(5y)2.86%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.32%
ROIC(5y)8.98%
1.3 Margins
DIN has a Profit Margin of 11.09%. This is in the better half of the industry: DIN outperforms 77.10% of its industry peers.
In the last couple of years the Profit Margin of DIN has grown nicely.
With an excellent Operating Margin value of 22.44%, DIN belongs to the best of the industry, outperforming 82.44% of the companies in the same industry.
DIN's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 47.73%, DIN perfoms like the industry average, outperforming 48.85% of the companies in the same industry.
DIN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.44% | ||
| PM (TTM) | 11.09% | ||
| GM | 47.73% |
OM growth 3Y18.74%
OM growth 5Y0.01%
PM growth 3YN/A
PM growth 5Y2.81%
GM growth 3Y9.78%
GM growth 5Y1.09%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DIN is still creating some value.
DIN has less shares outstanding than it did 1 year ago.
DIN has less shares outstanding than it did 5 years ago.
DIN has a better debt/assets ratio than last year.
2.2 Solvency
DIN has an Altman-Z score of 1.07. This is a bad value and indicates that DIN is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.07, DIN is not doing good in the industry: 66.41% of the companies in the same industry are doing better.
The Debt to FCF ratio of DIN is 10.99, which is on the high side as it means it would take DIN, 10.99 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 10.99, DIN perfoms like the industry average, outperforming 58.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 10.99 | ||
| Altman-Z | 1.07 |
ROIC/WACC1.56
WACC7.03%
2.3 Liquidity
DIN has a Current Ratio of 0.86. This is a bad value and indicates that DIN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.86, DIN perfoms like the industry average, outperforming 46.56% of the companies in the same industry.
A Quick Ratio of 0.86 indicates that DIN may have some problems paying its short term obligations.
DIN's Quick ratio of 0.86 is in line compared to the rest of the industry. DIN outperforms 49.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
The earnings per share for DIN have decreased strongly by -10.77% in the last year.
DIN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.37% yearly.
The Revenue has decreased by -2.28% in the past year.
Measured over the past years, DIN shows a small growth in Revenue. The Revenue has been growing by 1.25% on average per year.
EPS 1Y (TTM)-10.77%
EPS 3Y55.46%
EPS 5Y4.37%
EPS Q2Q%-1.37%
Revenue 1Y (TTM)-2.28%
Revenue growth 3Y6.43%
Revenue growth 5Y1.25%
Sales Q2Q%-3.73%
3.2 Future
The Earnings Per Share is expected to decrease by -1.53% on average over the next years.
DIN is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.36% yearly.
EPS Next Y-11.48%
EPS Next 2Y-5.39%
EPS Next 3Y-1.53%
EPS Next 5YN/A
Revenue Next Year-2.73%
Revenue Next 2Y-1.08%
Revenue Next 3Y-0.36%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
A Price/Earnings ratio of 4.38 indicates a rather cheap valuation of DIN.
DIN's Price/Earnings ratio is rather cheap when compared to the industry. DIN is cheaper than 98.47% of the companies in the same industry.
When comparing the Price/Earnings ratio of DIN to the average of the S&P500 Index (29.63), we can say DIN is valued rather cheaply.
With a Price/Forward Earnings ratio of 4.33, the valuation of DIN can be described as very cheap.
Based on the Price/Forward Earnings ratio, DIN is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.68, DIN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.38 | ||
| Fwd PE | 4.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DIN is valued cheaper than 87.79% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DIN is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.44 | ||
| EV/EBITDA | 6.68 |
4.3 Compensation for Growth
The decent profitability rating of DIN may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1
EPS Next 2Y-5.39%
EPS Next 3Y-1.53%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.68%, DIN is a good candidate for dividend investing.
The stock price of DIN dropped by -21.84% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 3.08, DIN pays a better dividend. On top of this DIN pays more dividend than 96.95% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, DIN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.68% |
5.2 History
The dividend of DIN decreases each year by -6.52%.
DIN has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of DIN decreased in the last 3 years.
Dividend Growth(5Y)-6.52%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
26.08% of the earnings are spent on dividend by DIN. This is a low number and sustainable payout ratio.
DIN's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP26.08%
EPS Next 2Y-5.39%
EPS Next 3Y-1.53%
25.76
-0.79 (-2.98%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners96.63%
Inst Owner Change-89.97%
Ins Owners2.23%
Ins Owner Change0.02%
Market Cap392.84M
Analysts71.43
Price Target38.76 (50.47%)
Short Float %13.69%
Short Ratio3.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.68% |
Yearly Dividend2.05
Dividend Growth(5Y)-6.52%
DP26.08%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.76%
Min EPS beat(2)3.3%
Max EPS beat(2)6.22%
EPS beat(4)3
Avg EPS beat(4)3.33%
Min EPS beat(4)-16.23%
Max EPS beat(4)20.04%
EPS beat(8)7
Avg EPS beat(8)7.62%
EPS beat(12)10
Avg EPS beat(12)7.97%
EPS beat(16)13
Avg EPS beat(16)11.1%
Revenue beat(2)0
Avg Revenue beat(2)-2.92%
Min Revenue beat(2)-3.09%
Max Revenue beat(2)-2.75%
Revenue beat(4)0
Avg Revenue beat(4)-2.41%
Min Revenue beat(4)-3.09%
Max Revenue beat(4)-0.92%
Revenue beat(8)1
Avg Revenue beat(8)-1.85%
Revenue beat(12)2
Avg Revenue beat(12)-1.57%
Revenue beat(16)6
Avg Revenue beat(16)-0.95%
PT rev (1m)-8.28%
PT rev (3m)-8.28%
EPS NQ rev (1m)-0.3%
EPS NQ rev (3m)-0.3%
EPS NY rev (1m)0.15%
EPS NY rev (3m)0.22%
Revenue NQ rev (1m)-0.27%
Revenue NQ rev (3m)-0.27%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.38 | ||
| Fwd PE | 4.33 | ||
| P/S | 0.48 | ||
| P/FCF | 3.44 | ||
| P/OCF | 3.03 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.68 |
EPS(TTM)5.88
EY22.83%
EPS(NY)5.95
Fwd EY23.11%
FCF(TTM)7.48
FCFY29.03%
OCF(TTM)8.49
OCFY32.97%
SpS53.37
BVpS-14.21
TBVpS-68.79
PEG (NY)N/A
PEG (5Y)1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.31% | ||
| ROE | N/A | ||
| ROCE | 13.91% | ||
| ROIC | 10.96% | ||
| ROICexc | 12.59% | ||
| ROICexgc | 46.33% | ||
| OM | 22.44% | ||
| PM (TTM) | 11.09% | ||
| GM | 47.73% | ||
| FCFM | 14.01% |
ROA(3y)4.81%
ROA(5y)2.86%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.32%
ROIC(5y)8.98%
ROICexc(3y)12.53%
ROICexc(5y)10.69%
ROICexgc(3y)44.33%
ROICexgc(5y)34.31%
ROCE(3y)13.09%
ROCE(5y)11.39%
ROICexcg growth 3Y54.97%
ROICexcg growth 5Y7.18%
ROICexc growth 3Y33.71%
ROICexc growth 5Y4.41%
OM growth 3Y18.74%
OM growth 5Y0.01%
PM growth 3YN/A
PM growth 5Y2.81%
GM growth 3Y9.78%
GM growth 5Y1.09%
F-Score8
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 10.99 | ||
| Debt/EBITDA | 5.19 | ||
| Cap/Depr | 40.22% | ||
| Cap/Sales | 1.9% | ||
| Interest Coverage | 2.3 | ||
| Cash Conversion | 58.59% | ||
| Profit Quality | 126.41% | ||
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 1.07 |
F-Score8
WACC7.03%
ROIC/WACC1.56
Cap/Depr(3y)79.78%
Cap/Depr(5y)62.09%
Cap/Sales(3y)3.41%
Cap/Sales(5y)2.79%
Profit Quality(3y)118.25%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.77%
EPS 3Y55.46%
EPS 5Y4.37%
EPS Q2Q%-1.37%
EPS Next Y-11.48%
EPS Next 2Y-5.39%
EPS Next 3Y-1.53%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.28%
Revenue growth 3Y6.43%
Revenue growth 5Y1.25%
Sales Q2Q%-3.73%
Revenue Next Year-2.73%
Revenue Next 2Y-1.08%
Revenue Next 3Y-0.36%
Revenue Next 5YN/A
EBIT growth 1Y3.11%
EBIT growth 3Y26.38%
EBIT growth 5Y1.26%
EBIT Next Year23.58%
EBIT Next 3Y7.5%
EBIT Next 5YN/A
FCF growth 1Y33.71%
FCF growth 3Y3.16%
FCF growth 5Y-5.7%
OCF growth 1Y13.93%
OCF growth 3Y10.77%
OCF growth 5Y-1.34%