DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) Stock Fundamental Analysis
Canada - TSX:DRT - CA25490H1064 - Common Stock
0.94 CAD
+0.01 (+1.08%)
Taking everything into account, DRT scores 5 out of 10 in our fundamental rating. DRT was compared to 4 industry peers in the Building Products industry. DRT has only an average score on both its financial health and profitability. DRT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DRT was profitable.
In the past year DRT had a positive cash flow from operations.
DRT had negative earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: DRT reported negative operating cash flow in multiple years.
1.2 Ratios
DRT has a Return On Assets of 3.53%. This is amongst the best in the industry. DRT outperforms 100.00% of its industry peers.
DRT has a better Return On Equity (11.21%) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 11.21% | ||
| ROIC | N/A |
ROA(3y)-12.5%
ROA(5y)-14.12%
ROE(3y)-158.75%
ROE(5y)-113.03%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of DRT (2.24%) is better than 100.00% of its industry peers.
DRT's Operating Margin has improved in the last couple of years.
DRT's Gross Margin of 34.62% is amongst the best of the industry. DRT outperforms 100.00% of its industry peers.
In the last couple of years the Gross Margin of DRT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 2.24% | ||
| GM | 34.62% |
OM growth 3YN/A
OM growth 5Y31.76%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y32.37%
GM growth 5Y1.15%
2. Health
2.1 Basic Checks
DRT does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, DRT has more shares outstanding
Compared to 5 years ago, DRT has more shares outstanding
DRT has a better debt/assets ratio than last year.
2.2 Solvency
DRT has an Altman-Z score of 0.60. This is a bad value and indicates that DRT is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.60, DRT is doing worse than 75.00% of the companies in the same industry.
The Debt to FCF ratio of DRT is 5.59, which is a neutral value as it means it would take DRT, 5.59 years of fcf income to pay off all of its debts.
DRT's Debt to FCF ratio of 5.59 is fine compared to the rest of the industry. DRT outperforms 75.00% of its industry peers.
A Debt/Equity ratio of 0.32 indicates that DRT is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.32, DRT belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 5.59 | ||
| Altman-Z | 0.6 |
ROIC/WACCN/A
WACC9.08%
2.3 Liquidity
DRT has a Current Ratio of 1.48. This is a normal value and indicates that DRT is financially healthy and should not expect problems in meeting its short term obligations.
DRT has a better Current ratio (1.48) than 75.00% of its industry peers.
DRT has a Quick Ratio of 1.10. This is a normal value and indicates that DRT is financially healthy and should not expect problems in meeting its short term obligations.
DRT's Quick ratio of 1.10 is fine compared to the rest of the industry. DRT outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 140.00% over the past year.
Measured over the past years, DRT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.80% on average per year.
Looking at the last year, DRT shows a decrease in Revenue. The Revenue has decreased by -5.50% in the last year.
DRT shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.79% yearly.
EPS 1Y (TTM)140%
EPS 3YN/A
EPS 5Y17.8%
EPS Q2Q%-906.98%
Revenue 1Y (TTM)-5.5%
Revenue growth 3Y5.7%
Revenue growth 5Y-6.79%
Sales Q2Q%-5.53%
3.2 Future
DRT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.65% yearly.
The Revenue is expected to grow by 6.01% on average over the next years.
EPS Next Y-27.86%
EPS Next 2Y12.36%
EPS Next 3Y25.65%
EPS Next 5YN/A
Revenue Next Year3.16%
Revenue Next 2Y6.45%
Revenue Next 3Y6.01%
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
The Price/Earnings ratio is 47.00, which means the current valuation is very expensive for DRT.
75.00% of the companies in the same industry are more expensive than DRT, based on the Price/Earnings ratio.
DRT is valuated expensively when we compare the Price/Earnings ratio to 26.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.48 indicates a reasonable valuation of DRT.
DRT's Price/Forward Earnings ratio is rather cheap when compared to the industry. DRT is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of DRT to the average of the S&P500 Index (22.99), we can say DRT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47 | ||
| Fwd PE | 9.48 |
4.2 Price Multiples
DRT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DRT is cheaper than 75.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DRT is valued a bit cheaper than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.47 | ||
| EV/EBITDA | 19.94 |
4.3 Compensation for Growth
DRT's earnings are expected to grow with 25.65% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)2.64
EPS Next 2Y12.36%
EPS Next 3Y25.65%
5. Dividend
5.1 Amount
DRT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:DRT (10/24/2025, 7:00:00 PM)
0.94
+0.01 (+1.08%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners31.79%
Inst Owner ChangeN/A
Ins Owners2.72%
Ins Owner ChangeN/A
Market Cap180.07M
Revenue(TTM)172.48M
Net Income(TTM)3.87M
Analysts80
Price Target1.22 (29.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
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)0%
PT rev (3m)-27.27%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-300%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-11.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47 | ||
| Fwd PE | 9.48 | ||
| P/S | 0.74 | ||
| P/FCF | 30.47 | ||
| P/OCF | 17.1 | ||
| P/B | 3.72 | ||
| P/tB | 4.09 | ||
| EV/EBITDA | 19.94 |
EPS(TTM)0.02
EY2.13%
EPS(NY)0.1
Fwd EY10.55%
FCF(TTM)0.03
FCFY3.28%
OCF(TTM)0.05
OCFY5.85%
SpS1.26
BVpS0.25
TBVpS0.23
PEG (NY)N/A
PEG (5Y)2.64
Graham Number0.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 11.21% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 2.24% | ||
| GM | 34.62% | ||
| FCFM | 2.44% |
ROA(3y)-12.5%
ROA(5y)-14.12%
ROE(3y)-158.75%
ROE(5y)-113.03%
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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y31.76%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y32.37%
GM growth 5Y1.15%
F-Score7
Asset Turnover1.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 5.59 | ||
| Debt/EBITDA | 1.73 | ||
| Cap/Depr | 50.28% | ||
| Cap/Sales | 1.91% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 116.17% | ||
| Profit Quality | 109% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 0.6 |
F-Score7
WACC9.08%
ROIC/WACCN/A
Cap/Depr(3y)38.92%
Cap/Depr(5y)77.85%
Cap/Sales(3y)2.11%
Cap/Sales(5y)5.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)140%
EPS 3YN/A
EPS 5Y17.8%
EPS Q2Q%-906.98%
EPS Next Y-27.86%
EPS Next 2Y12.36%
EPS Next 3Y25.65%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.5%
Revenue growth 3Y5.7%
Revenue growth 5Y-6.79%
Sales Q2Q%-5.53%
Revenue Next Year3.16%
Revenue Next 2Y6.45%
Revenue Next 3Y6.01%
Revenue Next 5YN/A
EBIT growth 1Y-101.28%
EBIT growth 3YN/A
EBIT growth 5Y22.82%
EBIT Next Year50.59%
EBIT Next 3Y37.51%
EBIT Next 5YN/A
FCF growth 1Y150.23%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y261.42%
OCF growth 3YN/A
OCF growth 5Y-11.28%
DIRTT ENVIRONMENTAL SOLUTION / DRT.CA FAQ
What is the fundamental rating for DRT stock?
ChartMill assigns a fundamental rating of 5 / 10 to DRT.CA.
What is the valuation status for DRT stock?
ChartMill assigns a valuation rating of 5 / 10 to DIRTT ENVIRONMENTAL SOLUTION (DRT.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for DIRTT ENVIRONMENTAL SOLUTION?
DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) has a profitability rating of 5 / 10.
What is the expected EPS growth for DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) stock?
The Earnings per Share (EPS) of DIRTT ENVIRONMENTAL SOLUTION (DRT.CA) is expected to decline by -27.86% in the next year.