DHL GROUP (DPW.DE) Stock Fundamental Analysis
FRA:DPW - Deutsche Boerse Ag - DE0005552004 - Common Stock - Currency: EUR
DPW gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 14 industry peers in the Air Freight & Logistics industry. While DPW belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. DPW is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
DPW had positive earnings in the past year.
In the past year DPW had a positive cash flow from operations.
DPW had positive earnings in each of the past 5 years.
In the past 5 years DPW always reported a positive cash flow from operatings.
1.2 Ratios
DPW's Return On Assets of 7.30% is amongst the best of the industry. DPW outperforms 84.62% of its industry peers.
DPW has a better Return On Equity (20.74%) than 76.92% of its industry peers.
DPW has a Return On Invested Capital of 12.57%. This is amongst the best in the industry. DPW outperforms 84.62% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DPW is significantly above the industry average of 6.95%.
The 3 year average ROIC (12.21%) for DPW is below the current ROIC(12.57%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.3% | ||
| ROE | 20.74% | ||
| ROIC | 12.57% |
ROA(3y)7.06%
ROA(5y)6.06%
ROE(3y)23.74%
ROE(5y)21.02%
ROIC(3y)12.21%
ROIC(5y)10.19%
1.3 Margins
DPW has a Profit Margin of 5.30%. This is in the better half of the industry: DPW outperforms 76.92% of its industry peers.
In the last couple of years the Profit Margin of DPW has grown nicely.
With a decent Operating Margin value of 8.57%, DPW is doing good in the industry, outperforming 69.23% of the companies in the same industry.
DPW's Operating Margin has improved in the last couple of years.
DPW has a Gross Margin of 44.71%. This is in the lower half of the industry: DPW underperforms 61.54% of its industry peers.
DPW's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.57% | ||
| PM (TTM) | 5.3% | ||
| GM | 44.71% |
OM growth 3Y15.09%
OM growth 5Y8.22%
PM growth 3Y11.07%
PM growth 5Y4.8%
GM growth 3Y-4.07%
GM growth 5Y-0.56%
2. Health
2.1 Basic Checks
DPW has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, DPW has less shares outstanding
The debt/assets ratio for DPW is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.99 indicates that DPW is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.99, DPW is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
The Debt to FCF ratio of DPW is 3.06, which is a good value as it means it would take DPW, 3.06 years of fcf income to pay off all of its debts.
DPW has a Debt to FCF ratio of 3.06. This is in the better half of the industry: DPW outperforms 76.92% of its industry peers.
DPW has a Debt/Equity ratio of 0.73. This is a neutral value indicating DPW is somewhat dependend on debt financing.
DPW has a Debt to Equity ratio of 0.73. This is in the better half of the industry: DPW outperforms 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 3.06 | ||
| Altman-Z | 2.99 |
ROIC/WACC2.22
WACC5.66%
2.3 Liquidity
DPW has a Current Ratio of 1.03. This is a normal value and indicates that DPW is financially healthy and should not expect problems in meeting its short term obligations.
DPW has a Current ratio of 1.03. This is comparable to the rest of the industry: DPW outperforms 53.85% of its industry peers.
DPW has a Quick Ratio of 1.03. This is a bad value and indicates that DPW is not financially healthy enough and could expect problems in meeting its short term obligations.
DPW has a worse Quick ratio (0.98) than 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The earnings per share for DPW have decreased by -4.28% in the last year.
DPW shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.71% yearly.
Looking at the last year, DPW shows a quite strong growth in Revenue. The Revenue has grown by 8.52% in the last year.
The Revenue has been growing by 9.33% on average over the past years. This is quite good.
EPS 1Y (TTM)-4.28%
EPS 3Y27.87%
EPS 5Y14.71%
EPS Q2Q%-30.91%
Revenue 1Y (TTM)8.52%
Revenue growth 3Y14.24%
Revenue growth 5Y9.33%
Sales Q2Q%-7.41%
3.2 Future
Based on estimates for the next years, DPW will show a small growth in Earnings Per Share. The EPS will grow by 0.18% on average per year.
DPW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.75% yearly.
EPS Next Y-22.12%
EPS Next 2Y-7.1%
EPS Next 3Y-0.91%
EPS Next 5Y0.18%
Revenue Next Year-8.79%
Revenue Next 2Y-3.26%
Revenue Next 3Y-1.16%
Revenue Next 5Y0.75%
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.
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
Based on the Price/Earnings ratio of 11.17, the valuation of DPW can be described as reasonable.
DPW's Price/Earnings ratio is a bit cheaper when compared to the industry. DPW is cheaper than 69.23% of the companies in the same industry.
DPW's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.64.
With a Price/Forward Earnings ratio of 11.94, the valuation of DPW can be described as very reasonable.
Based on the Price/Forward Earnings ratio, DPW is valued a bit cheaper than 69.23% of the companies in the same industry.
DPW is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.17 | ||
| Fwd PE | 11.94 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DPW.
DPW's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.77 | ||
| EV/EBITDA | 5.67 |
4.3 Compensation for Growth
The excellent profitability rating of DPW may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.76
EPS Next 2Y-7.1%
EPS Next 3Y-0.91%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.21%, DPW is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.68, DPW pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.52, DPW pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
5.2 History
On average, the dividend of DPW grows each year by 13.96%, which is quite nice.
Dividend Growth(5Y)13.96%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
DPW's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DPN/A
EPS Next 2Y-7.1%
EPS Next 3Y-0.91%
FRA:DPW (7/3/2023, 5:29:55 PM)
45.01
+0.28 (+0.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryAir Freight & Logistics
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap53.96B
Analysts79.26
Price Target51.37 (14.13%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
Yearly Dividend1.85
Dividend Growth(5Y)13.96%
DPN/A
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.53%
Min EPS beat(2)2.45%
Max EPS beat(2)6.6%
EPS beat(4)3
Avg EPS beat(4)4.98%
Min EPS beat(4)-5.49%
Max EPS beat(4)16.37%
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)0
Avg Revenue beat(2)-1.63%
Min Revenue beat(2)-2.33%
Max Revenue beat(2)-0.93%
Revenue beat(4)2
Avg Revenue beat(4)2.57%
Min Revenue beat(4)-2.33%
Max Revenue beat(4)8.33%
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)0%
PT rev (3m)1.97%
EPS NQ rev (1m)8.3%
EPS NQ rev (3m)8.88%
EPS NY rev (1m)0.99%
EPS NY rev (3m)-1.76%
Revenue NQ rev (1m)2.16%
Revenue NQ rev (3m)1.24%
Revenue NY rev (1m)0.99%
Revenue NY rev (3m)0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.17 | ||
| Fwd PE | 11.94 | ||
| P/S | 0.58 | ||
| P/FCF | 7.77 | ||
| P/OCF | 4.94 | ||
| P/B | 2.27 | ||
| P/tB | 5.57 | ||
| EV/EBITDA | 5.67 |
EPS(TTM)4.03
EY8.95%
EPS(NY)3.77
Fwd EY8.38%
FCF(TTM)5.79
FCFY12.87%
OCF(TTM)9.12
OCFY20.25%
SpS77.38
BVpS19.79
TBVpS8.08
PEG (NY)N/A
PEG (5Y)0.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.3% | ||
| ROE | 20.74% | ||
| ROCE | N/A | ||
| ROIC | 12.57% | ||
| ROICexc | 14.29% | ||
| ROICexgc | 21.84% | ||
| OM | 8.57% | ||
| PM (TTM) | 5.3% | ||
| GM | 44.71% | ||
| FCFM | N/A |
ROA(3y)7.06%
ROA(5y)6.06%
ROE(3y)23.74%
ROE(5y)21.02%
ROIC(3y)12.21%
ROIC(5y)10.19%
ROICexc(3y)14.18%
ROICexc(5y)11.71%
ROICexgc(3y)21.71%
ROICexgc(5y)18.22%
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y19.63%
ROICexcg growth 5Y-5.23%
ROICexc growth 3Y21.39%
ROICexc growth 5Y3.22%
OM growth 3Y15.09%
OM growth 5Y8.22%
PM growth 3Y11.07%
PM growth 5Y4.8%
GM growth 3Y-4.07%
GM growth 5Y-0.56%
F-Score5
Asset Turnover1.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 3.06 | ||
| Debt/EBITDA | 1.74 | ||
| Cap/Depr | 93.94% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 141.19% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 2.99 |
F-Score5
WACC5.66%
ROIC/WACC2.22
Cap/Depr(3y)89.7%
Cap/Depr(5y)89.52%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)138.57%
Profit Quality(5y)131.99%
High Growth Momentum
Growth
EPS 1Y (TTM)-4.28%
EPS 3Y27.87%
EPS 5Y14.71%
EPS Q2Q%-30.91%
EPS Next Y-22.12%
EPS Next 2Y-7.1%
EPS Next 3Y-0.91%
EPS Next 5Y0.18%
Revenue 1Y (TTM)8.52%
Revenue growth 3Y14.24%
Revenue growth 5Y9.33%
Sales Q2Q%-7.41%
Revenue Next Year-8.79%
Revenue Next 2Y-3.26%
Revenue Next 3Y-1.16%
Revenue Next 5Y0.75%
EBIT growth 1Y-2.98%
EBIT growth 3Y31.47%
EBIT growth 5Y18.33%
EBIT Next Year30.22%
EBIT Next 3Y14.18%
EBIT Next 5Y11.82%
FCF growth 1Y8.3%
FCF growth 3Y41.81%
FCF growth 5Y45.13%
OCF growth 1Y15.73%
OCF growth 3Y21.68%
OCF growth 5Y27.15%