Logo image of DRVN

DRIVEN BRANDS HOLDINGS INC (DRVN) Stock Fundamental Analysis

NASDAQ:DRVN - Nasdaq - US26210V1026 - Common Stock - Currency: USD

15.77  -0.53 (-3.25%)

After market: 15.77 0 (0%)

Fundamental Rating

3

Overall DRVN gets a fundamental rating of 3 out of 10. We evaluated DRVN against 83 industry peers in the Commercial Services & Supplies industry. DRVN has a bad profitability rating. Also its financial health evaluation is rather negative. DRVN is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

Quickly go to:

3

1. Profitability

1.1 Basic Checks

DRVN had positive earnings in the past year.
DRVN had a positive operating cash flow in the past year.
In multiple years DRVN reported negative net income over the last 5 years.
Each year in the past 5 years DRVN had a positive operating cash flow.
DRVN Yearly Net Income VS EBIT VS OCF VS FCFDRVN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2018 2019 2020 2021 2022 2023 2024 0 200M -200M -400M -600M

1.2 Ratios

Looking at the Return On Assets, with a value of -5.56%, DRVN is doing worse than 69.88% of the companies in the same industry.
The Return On Equity of DRVN (-48.16%) is worse than 78.31% of its industry peers.
DRVN has a Return On Invested Capital (4.10%) which is comparable to the rest of the industry.
DRVN had an Average Return On Invested Capital over the past 3 years of 4.37%. This is significantly below the industry average of 10.74%.
Industry RankSector Rank
ROA -5.56%
ROE -48.16%
ROIC 4.1%
ROA(3y)-5.83%
ROA(5y)-3.48%
ROE(3y)-42.59%
ROE(5y)-25.51%
ROIC(3y)4.37%
ROIC(5y)3.76%
DRVN Yearly ROA, ROE, ROICDRVN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2018 2019 2020 2021 2022 2023 2024 0 -20 -40 -60 -80

1.3 Margins

DRVN's Operating Margin of 10.71% is fine compared to the rest of the industry. DRVN outperforms 74.70% of its industry peers.
In the last couple of years the Operating Margin of DRVN has declined.
The Gross Margin of DRVN (46.40%) is better than 77.11% of its industry peers.
In the last couple of years the Gross Margin of DRVN has declined.
Industry RankSector Rank
OM 10.71%
PM (TTM) N/A
GM 46.4%
OM growth 3Y-13.67%
OM growth 5Y-4.77%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.08%
GM growth 5Y-4.39%
DRVN Yearly Profit, Operating, Gross MarginsDRVN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 60

More info and screens

2

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DRVN is destroying value.
The number of shares outstanding for DRVN remains at a similar level compared to 1 year ago.
The number of shares outstanding for DRVN has been reduced compared to 5 years ago.
The debt/assets ratio for DRVN is higher compared to a year ago.
DRVN Yearly Shares OutstandingDRVN Yearly Shares OutstandingYearly Shares Outstanding 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M
DRVN Yearly Total Debt VS Total AssetsDRVN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

2.2 Solvency

DRVN has an Altman-Z score of 0.73. This is a bad value and indicates that DRVN is not financially healthy and even has some risk of bankruptcy.
DRVN has a Altman-Z score of 0.73. This is in the lower half of the industry: DRVN underperforms 78.31% of its industry peers.
A Debt/Equity ratio of 4.38 is on the high side and indicates that DRVN has dependencies on debt financing.
DRVN has a worse Debt to Equity ratio (4.38) than 85.54% of its industry peers.
Industry RankSector Rank
Debt/Equity 4.38
Debt/FCF N/A
Altman-Z 0.73
ROIC/WACC0.56
WACC7.35%
DRVN Yearly LT Debt VS Equity VS FCFDRVN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2018 2019 2020 2021 2022 2023 2024 0 1B 2B

2.3 Liquidity

A Current Ratio of 1.52 indicates that DRVN should not have too much problems paying its short term obligations.
The Current ratio of DRVN (1.52) is comparable to the rest of the industry.
A Quick Ratio of 1.36 indicates that DRVN should not have too much problems paying its short term obligations.
The Quick ratio of DRVN (1.36) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 1.52
Quick Ratio 1.36
DRVN Yearly Current Assets VS Current LiabilitesDRVN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

More info and screens

6

3. Growth

3.1 Past

DRVN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.58%, which is quite impressive.
DRVN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.01% yearly.
The Revenue has been growing slightly by 1.54% in the past year.
DRVN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 31.27% yearly.
EPS 1Y (TTM)22.58%
EPS 3Y9.01%
EPS 5YN/A
EPS Q2Q%57.89%
Revenue 1Y (TTM)1.54%
Revenue growth 3Y16.83%
Revenue growth 5Y31.27%
Sales Q2Q%1.9%

3.2 Future

DRVN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 18.94% yearly.
The Revenue is expected to grow by 5.45% on average over the next years.
EPS Next Y8.1%
EPS Next 2Y16.79%
EPS Next 3Y17.94%
EPS Next 5Y18.94%
Revenue Next Year-9.47%
Revenue Next 2Y-0.71%
Revenue Next 3Y4.46%
Revenue Next 5Y5.45%

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 accelerating.
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.
DRVN Yearly Revenue VS EstimatesDRVN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 1B 2B 3B
DRVN Yearly EPS VS EstimatesDRVN Yearly EPS VS EstimatesYearly EPS VS Estimates 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 0.5 1 1.5 2 2.5

More info and screens

4

4. Valuation

4.1 Price/Earnings Ratio

DRVN is valuated correctly with a Price/Earnings ratio of 13.83.
Based on the Price/Earnings ratio, DRVN is valued a bit cheaper than the industry average as 75.90% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of DRVN to the average of the S&P500 Index (28.29), we can say DRVN is valued rather cheaply.
DRVN is valuated correctly with a Price/Forward Earnings ratio of 12.80.
DRVN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. DRVN is cheaper than 77.11% of the companies in the same industry.
DRVN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.32.
Industry RankSector Rank
PE 13.83
Fwd PE 12.8
DRVN Price Earnings VS Forward Price EarningsDRVN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as DRVN.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 11.85
DRVN Per share dataDRVN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10

4.3 Compensation for Growth

DRVN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as DRVN's earnings are expected to grow with 17.94% in the coming years.
PEG (NY)1.71
PEG (5Y)N/A
EPS Next 2Y16.79%
EPS Next 3Y17.94%

More info and screens

0

5. Dividend

5.1 Amount

DRVN does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

DRIVEN BRANDS HOLDINGS INC

NASDAQ:DRVN (4/21/2025, 4:30:02 PM)

After market: 15.77 0 (0%)

15.77

-0.53 (-3.25%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)02-25 2025-02-25/bmo
Earnings (Next)04-23 2025-04-23/bmo
Inst Owners40.35%
Inst Owner Change0.06%
Ins Owners2.36%
Ins Owner Change0.1%
Market Cap2.59B
Analysts78.95
Price Target20.6 (30.63%)
Short Float %9.52%
Short Ratio13.49
Dividend
Industry RankSector 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)2
Avg EPS beat(2)40.74%
Min EPS beat(2)17.26%
Max EPS beat(2)64.23%
EPS beat(4)4
Avg EPS beat(4)30.72%
Min EPS beat(4)17.26%
Max EPS beat(4)64.23%
EPS beat(8)6
Avg EPS beat(8)16.35%
EPS beat(12)10
Avg EPS beat(12)16%
EPS beat(16)14
Avg EPS beat(16)29.93%
Revenue beat(2)0
Avg Revenue beat(2)-3.2%
Min Revenue beat(2)-3.33%
Max Revenue beat(2)-3.07%
Revenue beat(4)0
Avg Revenue beat(4)-3.77%
Min Revenue beat(4)-4.68%
Max Revenue beat(4)-3.07%
Revenue beat(8)1
Avg Revenue beat(8)-2.51%
Revenue beat(12)4
Avg Revenue beat(12)-1.03%
Revenue beat(16)8
Avg Revenue beat(16)1.39%
PT rev (1m)3.59%
PT rev (3m)6.32%
EPS NQ rev (1m)6.28%
EPS NQ rev (3m)-22.05%
EPS NY rev (1m)-2.06%
EPS NY rev (3m)-3.04%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)-18.01%
Revenue NY rev (1m)-3.9%
Revenue NY rev (3m)-16.12%
Valuation
Industry RankSector Rank
PE 13.83
Fwd PE 12.8
P/S 1.11
P/FCF N/A
P/OCF 10.73
P/B 4.27
P/tB N/A
EV/EBITDA 11.85
EPS(TTM)1.14
EY7.23%
EPS(NY)1.23
Fwd EY7.81%
FCF(TTM)-0.29
FCFYN/A
OCF(TTM)1.47
OCFY9.32%
SpS14.24
BVpS3.7
TBVpS-8.9
PEG (NY)1.71
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -5.56%
ROE -48.16%
ROCE 5.19%
ROIC 4.1%
ROICexc 4.25%
ROICexgc 7.64%
OM 10.71%
PM (TTM) N/A
GM 46.4%
FCFM N/A
ROA(3y)-5.83%
ROA(5y)-3.48%
ROE(3y)-42.59%
ROE(5y)-25.51%
ROIC(3y)4.37%
ROIC(5y)3.76%
ROICexc(3y)4.53%
ROICexc(5y)3.95%
ROICexgc(3y)8.5%
ROICexgc(5y)8.05%
ROCE(3y)5.53%
ROCE(5y)4.76%
ROICexcg growth 3Y-5.36%
ROICexcg growth 5Y-30.27%
ROICexc growth 3Y2.34%
ROICexc growth 5Y1.97%
OM growth 3Y-13.67%
OM growth 5Y-4.77%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.08%
GM growth 5Y-4.39%
F-Score5
Asset Turnover0.44
Health
Industry RankSector Rank
Debt/Equity 4.38
Debt/FCF N/A
Debt/EBITDA 6.06
Cap/Depr 153.15%
Cap/Sales 12.33%
Interest Coverage 1.7
Cash Conversion 55.02%
Profit Quality N/A
Current Ratio 1.52
Quick Ratio 1.36
Altman-Z 0.73
F-Score5
WACC7.35%
ROIC/WACC0.56
Cap/Depr(3y)263.25%
Cap/Depr(5y)203.37%
Cap/Sales(3y)19.89%
Cap/Sales(5y)15.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)22.58%
EPS 3Y9.01%
EPS 5YN/A
EPS Q2Q%57.89%
EPS Next Y8.1%
EPS Next 2Y16.79%
EPS Next 3Y17.94%
EPS Next 5Y18.94%
Revenue 1Y (TTM)1.54%
Revenue growth 3Y16.83%
Revenue growth 5Y31.27%
Sales Q2Q%1.9%
Revenue Next Year-9.47%
Revenue Next 2Y-0.71%
Revenue Next 3Y4.46%
Revenue Next 5Y5.45%
EBIT growth 1Y-19.34%
EBIT growth 3Y0.86%
EBIT growth 5Y25%
EBIT Next Year37.14%
EBIT Next 3Y21.19%
EBIT Next 5Y16.78%
FCF growth 1Y86.98%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y2.67%
OCF growth 3Y-5.24%
OCF growth 5Y42.29%