DE'LONGHI SPA (DLG.MI) Stock Fundamental Analysis
BIT:DLG - Euronext Milan - IT0003115950 - Common Stock - Currency: EUR
We assign a fundamental rating of 6 out of 10 to DLG. DLG was compared to 30 industry peers in the Household Durables industry. DLG has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DLG has a decent growth rate and is not valued too expensively. This makes DLG very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year DLG was profitable.
DLG had a positive operating cash flow in the past year.
In the past 5 years DLG has always been profitable.
DLG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DLG has a Return On Assets of 9.91%. This is amongst the best in the industry. DLG outperforms 90.00% of its industry peers.
The Return On Equity of DLG (20.69%) is better than 86.67% of its industry peers.
DLG has a Return On Invested Capital of 14.93%. This is amongst the best in the industry. DLG outperforms 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.91% | ||
| ROE | 20.69% | ||
| ROIC | 14.93% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DLG has a better Profit Margin (8.66%) than 83.33% of its industry peers.
DLG's Profit Margin has improved in the last couple of years.
The Operating Margin of DLG (12.17%) is better than 83.33% of its industry peers.
In the last couple of years the Operating Margin of DLG has grown nicely.
Looking at the Gross Margin, with a value of 56.55%, DLG is in the better half of the industry, outperforming 76.67% of the companies in the same industry.
In the last couple of years the Gross Margin of DLG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.17% | ||
| PM (TTM) | 8.66% | ||
| GM | 56.55% |
OM growth 3Y-1.37%
OM growth 5Y4.22%
PM growth 3Y-2.74%
PM growth 5Y3%
GM growth 3Y-0.27%
GM growth 5Y1.35%
2. Health
2.1 Basic Checks
DLG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
DLG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
DLG has an Altman-Z score of 3.57. This indicates that DLG is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.57, DLG is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
DLG has a debt to FCF ratio of 1.30. This is a very positive value and a sign of high solvency as it would only need 1.30 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.30, DLG belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
DLG has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
DLG has a better Debt to Equity ratio (0.18) than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 1.3 | ||
| Altman-Z | 3.57 |
ROIC/WACC1.81
WACC8.27%
2.3 Liquidity
A Current Ratio of 1.70 indicates that DLG should not have too much problems paying its short term obligations.
DLG has a Current ratio (1.70) which is comparable to the rest of the industry.
A Quick Ratio of 1.23 indicates that DLG should not have too much problems paying its short term obligations.
The Quick ratio of DLG (1.23) is better than 76.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.31% over the past year.
Measured over the past years, DLG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.13% on average per year.
DLG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.91%.
Measured over the past years, DLG shows a quite strong growth in Revenue. The Revenue has been growing by 10.73% on average per year.
EPS 1Y (TTM)21.31%
EPS 3Y0.39%
EPS 5Y14.13%
EPS Q2Q%13.08%
Revenue 1Y (TTM)13.91%
Revenue growth 3Y2.78%
Revenue growth 5Y10.73%
Sales Q2Q%14.63%
3.2 Future
The Earnings Per Share is expected to grow by 6.13% on average over the next years.
Based on estimates for the next years, DLG will show a small growth in Revenue. The Revenue will grow by 5.59% on average per year.
EPS Next Y5.39%
EPS Next 2Y6.06%
EPS Next 3Y6.13%
EPS Next 5YN/A
Revenue Next Year6.33%
Revenue Next 2Y5.78%
Revenue Next 3Y5.59%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
With a Price/Earnings ratio of 10.19, the valuation of DLG can be described as very reasonable.
Based on the Price/Earnings ratio, DLG is valued a bit cheaper than the industry average as 63.33% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.45. DLG is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 12.49, which indicates a correct valuation of DLG.
Based on the Price/Forward Earnings ratio, DLG is valued a bit more expensive than the industry average as 70.00% of the companies are valued more cheaply.
DLG is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.90, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.19 | ||
| Fwd PE | 12.49 |
4.2 Price Multiples
70.00% of the companies in the same industry are more expensive than DLG, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DLG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.64 | ||
| EV/EBITDA | 5.1 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DLG does not grow enough to justify the current Price/Earnings ratio.
DLG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.89
PEG (5Y)0.72
EPS Next 2Y6.06%
EPS Next 3Y6.13%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.86%, DLG has a reasonable but not impressive dividend return.
DLG's Dividend Yield is comparable with the industry average which is at 4.71.
DLG's Dividend Yield is comparable with the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
23.51% of the earnings are spent on dividend by DLG. This is a low number and sustainable payout ratio.
DP23.51%
EPS Next 2Y6.06%
EPS Next 3Y6.13%
BIT:DLG (7/4/2025, 7:00:00 PM)
29.46
+0.42 (+1.45%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners32.82%
Inst Owner ChangeN/A
Ins Owners53.5%
Ins Owner ChangeN/A
Market Cap4.46B
Analysts80
Price Target37.66 (27.83%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP23.51%
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)1.07%
PT rev (3m)-7.13%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-3.04%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.19 | ||
| Fwd PE | 12.49 | ||
| P/S | 0.9 | ||
| P/FCF | 11.64 | ||
| P/OCF | 9.16 | ||
| P/B | 2.15 | ||
| P/tB | 5.92 | ||
| EV/EBITDA | 5.1 |
EPS(TTM)2.89
EY9.81%
EPS(NY)2.36
Fwd EY8.01%
FCF(TTM)2.53
FCFY8.59%
OCF(TTM)3.21
OCFY10.91%
SpS32.8
BVpS13.73
TBVpS4.98
PEG (NY)1.89
PEG (5Y)0.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.91% | ||
| ROE | 20.69% | ||
| ROCE | 19.98% | ||
| ROIC | 14.93% | ||
| ROICexc | 23.12% | ||
| ROICexgc | 69.24% | ||
| OM | 12.17% | ||
| PM (TTM) | 8.66% | ||
| GM | 56.55% | ||
| FCFM | 7.72% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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 3Y-1.37%
OM growth 5Y4.22%
PM growth 3Y-2.74%
PM growth 5Y3%
GM growth 3Y-0.27%
GM growth 5Y1.35%
F-Score6
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 1.3 | ||
| Debt/EBITDA | 0.51 | ||
| Cap/Depr | 87.98% | ||
| Cap/Sales | 2.09% | ||
| Interest Coverage | 24.62 | ||
| Cash Conversion | 67.42% | ||
| Profit Quality | 89.12% | ||
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 3.57 |
F-Score6
WACC8.27%
ROIC/WACC1.81
Cap/Depr(3y)99.29%
Cap/Depr(5y)111.04%
Cap/Sales(3y)3.38%
Cap/Sales(5y)3.65%
Profit Quality(3y)110.5%
Profit Quality(5y)127.48%
High Growth Momentum
Growth
EPS 1Y (TTM)21.31%
EPS 3Y0.39%
EPS 5Y14.13%
EPS Q2Q%13.08%
EPS Next Y5.39%
EPS Next 2Y6.06%
EPS Next 3Y6.13%
EPS Next 5YN/A
Revenue 1Y (TTM)13.91%
Revenue growth 3Y2.78%
Revenue growth 5Y10.73%
Sales Q2Q%14.63%
Revenue Next Year6.33%
Revenue Next 2Y5.78%
Revenue Next 3Y5.59%
Revenue Next 5YN/A
EBIT growth 1Y30.82%
EBIT growth 3Y1.37%
EBIT growth 5Y15.4%
EBIT Next Year35.85%
EBIT Next 3Y15.3%
EBIT Next 5YN/A
FCF growth 1Y-21.7%
FCF growth 3Y1.38%
FCF growth 5Y16.68%
OCF growth 1Y-16.76%
OCF growth 3Y-1.09%
OCF growth 5Y13.79%