DINE BRANDS GLOBAL INC (DIN) Stock Fundamental Analysis
USA - NYSE:DIN - US2544231069 - Common Stock
24.35 USD
+0.32 (+1.33%)
24.49 USD
+0.14 (+0.57%)
We assign a fundamental rating of 4 out of 10 to DIN. DIN was compared to 133 industry peers in the Hotels, Restaurants & Leisure industry. DIN has a medium profitability rating, but doesn't score so well on its financial health evaluation. DIN is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year DIN was profitable.
In the past year DIN had a positive cash flow from operations.
Of the past 5 years DIN 4 years were profitable.
DIN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.49%, DIN is in line with its industry, outperforming 47.37% of the companies in the same industry.
DIN's Return On Invested Capital of 8.84% is fine compared to the rest of the industry. DIN outperforms 69.92% of its industry peers.
DIN had an Average Return On Invested Capital over the past 3 years of 10.53%. This is significantly below the industry average of 15.68%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | N/A | ||
| ROIC | 8.84% |
ROA(3y)4.39%
ROA(5y)2.58%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.53%
ROIC(5y)9.11%
1.3 Margins
With a Profit Margin value of 5.27%, DIN perfoms like the industry average, outperforming 56.39% of the companies in the same industry.
DIN's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 17.81%, DIN is doing good in the industry, outperforming 75.94% of the companies in the same industry.
In the last couple of years the Operating Margin of DIN has declined.
With a Gross Margin value of 42.72%, DIN perfoms like the industry average, outperforming 40.60% of the companies in the same industry.
In the last couple of years the Gross Margin of DIN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.81% | ||
| PM (TTM) | 5.27% | ||
| GM | 42.72% |
OM growth 3Y-1.33%
OM growth 5Y-2.03%
PM growth 3Y-10.09%
PM growth 5Y-6.88%
GM growth 3Y3.34%
GM growth 5Y1.9%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DIN is creating some value.
The number of shares outstanding for DIN has been reduced compared to 1 year ago.
Compared to 5 years ago, DIN has less shares outstanding
DIN has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.97, we must say that DIN is in the distress zone and has some risk of bankruptcy.
DIN's Altman-Z score of 0.97 is on the low side compared to the rest of the industry. DIN is outperformed by 69.17% of its industry peers.
DIN has a debt to FCF ratio of 13.51. This is a negative value and a sign of low solvency as DIN would need 13.51 years to pay back of all of its debts.
DIN's Debt to FCF ratio of 13.51 is in line compared to the rest of the industry. DIN outperforms 51.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 13.51 | ||
| Altman-Z | 0.97 |
ROIC/WACC1.18
WACC7.49%
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.
The Current ratio of DIN (0.86) is comparable to the rest of the industry.
A Quick Ratio of 0.86 indicates that DIN may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.86, DIN is in line with its industry, outperforming 52.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
DIN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.56%.
The Earnings Per Share has been decreasing by -5.07% on average over the past years.
DIN shows a small growth in Revenue. In the last year, the Revenue has grown by 2.92%.
Measured over the past years, DIN shows a decrease in Revenue. The Revenue has been decreasing by -2.25% on average per year.
EPS 1Y (TTM)-23.56%
EPS 3Y-6.57%
EPS 5Y-5.07%
EPS Q2Q%-31.58%
Revenue 1Y (TTM)2.92%
Revenue growth 3Y-3.22%
Revenue growth 5Y-2.25%
Sales Q2Q%11.89%
3.2 Future
Based on estimates for the next years, DIN will show a small growth in Earnings Per Share. The EPS will grow by 0.46% on average per year.
The Revenue is expected to grow by 5.14% on average over the next years.
EPS Next Y-17.47%
EPS Next 2Y-5.5%
EPS Next 3Y0.46%
EPS Next 5YN/A
Revenue Next Year10.74%
Revenue Next 2Y6.34%
Revenue Next 3Y5.14%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 5.40, the valuation of DIN can be described as very cheap.
DIN's Price/Earnings ratio is rather cheap when compared to the industry. DIN is cheaper than 96.99% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.20, DIN is valued rather cheaply.
With a Price/Forward Earnings ratio of 5.10, the valuation of DIN can be described as very cheap.
DIN's Price/Forward Earnings ratio is rather cheap when compared to the industry. DIN is cheaper than 96.99% of the companies in the same industry.
DIN is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.4 | ||
| Fwd PE | 5.1 |
4.2 Price Multiples
83.46% of the companies in the same industry are more expensive than DIN, based on the Enterprise Value to EBITDA ratio.
DIN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DIN is cheaper than 99.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.05 | ||
| EV/EBITDA | 7.48 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.5%
EPS Next 3Y0.46%
5. Dividend
5.1 Amount
DIN has a Yearly Dividend Yield of 8.43%, which is a nice return.
Compared to an average industry Dividend Yield of 3.93, DIN pays a better dividend. On top of this DIN pays more dividend than 96.24% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, DIN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.43% |
5.2 History
The dividend of DIN decreases each year by -5.76%.
DIN has been paying a dividend for at least 10 years, so it has a reliable track record.
DIN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-5.76%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
DIN pays out 70.34% of its income as dividend. This is not a sustainable payout ratio.
DP70.34%
EPS Next 2Y-5.5%
EPS Next 3Y0.46%
24.35
+0.32 (+1.33%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners85.77%
Inst Owner Change-11.04%
Ins Owners3.07%
Ins Owner Change0.38%
Market Cap374.50M
Analysts68.33
Price Target24.23 (-0.49%)
Short Float %17.83%
Short Ratio5.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.43% |
Yearly Dividend2.04
Dividend Growth(5Y)-5.76%
DP70.34%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.8%
Min EPS beat(2)-20.21%
Max EPS beat(2)-17.39%
EPS beat(4)1
Avg EPS beat(4)-16.83%
Min EPS beat(4)-35.97%
Max EPS beat(4)6.22%
EPS beat(8)4
Avg EPS beat(8)-6.2%
EPS beat(12)8
Avg EPS beat(12)1.11%
EPS beat(16)11
Avg EPS beat(16)2.17%
Revenue beat(2)1
Avg Revenue beat(2)-0.11%
Min Revenue beat(2)-2.26%
Max Revenue beat(2)2.03%
Revenue beat(4)2
Avg Revenue beat(4)-0.47%
Min Revenue beat(4)-2.75%
Max Revenue beat(4)2.03%
Revenue beat(8)2
Avg Revenue beat(8)-1.26%
Revenue beat(12)4
Avg Revenue beat(12)-1.07%
Revenue beat(16)5
Avg Revenue beat(16)-1.04%
PT rev (1m)-15.68%
PT rev (3m)-13.64%
EPS NQ rev (1m)-6.92%
EPS NQ rev (3m)-13.96%
EPS NY rev (1m)-10.78%
EPS NY rev (3m)-10.94%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)1.7%
Revenue NY rev (1m)2.45%
Revenue NY rev (3m)2.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.4 | ||
| Fwd PE | 5.1 | ||
| P/S | 0.44 | ||
| P/FCF | 4.05 | ||
| P/OCF | 3.43 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.48 |
EPS(TTM)4.51
EY18.52%
EPS(NY)4.78
Fwd EY19.62%
FCF(TTM)6.02
FCFY24.71%
OCF(TTM)7.09
OCFY29.13%
SpS54.97
BVpS-13.82
TBVpS-67.07
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | N/A | ||
| ROCE | 11.08% | ||
| ROIC | 8.84% | ||
| ROICexc | 10.31% | ||
| ROICexgc | 34.75% | ||
| OM | 17.81% | ||
| PM (TTM) | 5.27% | ||
| GM | 42.72% | ||
| FCFM | 10.95% |
ROA(3y)4.39%
ROA(5y)2.58%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.53%
ROIC(5y)9.11%
ROICexc(3y)12.35%
ROICexc(5y)11.02%
ROICexgc(3y)46.45%
ROICexgc(5y)37.65%
ROCE(3y)13.2%
ROCE(5y)11.43%
ROICexcg growth 3Y4.35%
ROICexcg growth 5Y9.6%
ROICexc growth 3Y-2.66%
ROICexc growth 5Y1.84%
OM growth 3Y-1.33%
OM growth 5Y-2.03%
PM growth 3Y-10.09%
PM growth 5Y-6.88%
GM growth 3Y3.34%
GM growth 5Y1.9%
F-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 13.51 | ||
| Debt/EBITDA | 5.98 | ||
| Cap/Depr | 40.79% | ||
| Cap/Sales | 1.96% | ||
| Interest Coverage | 1.9 | ||
| Cash Conversion | 57.06% | ||
| Profit Quality | 207.55% | ||
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 0.97 |
F-Score6
WACC7.49%
ROIC/WACC1.18
Cap/Depr(3y)77.72%
Cap/Depr(5y)60.15%
Cap/Sales(3y)3.36%
Cap/Sales(5y)2.71%
Profit Quality(3y)105.64%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-23.56%
EPS 3Y-6.57%
EPS 5Y-5.07%
EPS Q2Q%-31.58%
EPS Next Y-17.47%
EPS Next 2Y-5.5%
EPS Next 3Y0.46%
EPS Next 5YN/A
Revenue 1Y (TTM)2.92%
Revenue growth 3Y-3.22%
Revenue growth 5Y-2.25%
Sales Q2Q%11.89%
Revenue Next Year10.74%
Revenue Next 2Y6.34%
Revenue Next 3Y5.14%
Revenue Next 5YN/A
EBIT growth 1Y-17.89%
EBIT growth 3Y-4.51%
EBIT growth 5Y-4.23%
EBIT Next Year21.79%
EBIT Next 3Y8.74%
EBIT Next 5YN/A
FCF growth 1Y63.2%
FCF growth 3Y-19.3%
FCF growth 5Y-7.08%
OCF growth 1Y6.84%
OCF growth 3Y-17.95%
OCF growth 5Y-6.97%