30.36 USD
+0.34 (+1.13%)
30.36 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to DSGR. DSGR was compared to 50 industry peers in the Trading Companies & Distributors industry. DSGR may be in some trouble as it scores bad on both profitability and health. DSGR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
DSGR had positive earnings in the past year.
DSGR had a positive operating cash flow in the past year.
In multiple years DSGR reported negative net income over the last 5 years.
DSGR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of DSGR (-0.63%) is worse than 68.00% of its industry peers.
DSGR has a worse Return On Equity (-1.71%) than 66.00% of its industry peers.
DSGR has a Return On Invested Capital (4.90%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for DSGR is significantly below the industry average of 9.63%.
The 3 year average ROIC (3.48%) for DSGR is below the current ROIC(4.90%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.63% | ||
| ROE | -1.71% | ||
| ROIC | 4.9% |
ROA(3y)-0.13%
ROA(5y)1.83%
ROE(3y)-0.4%
ROE(5y)3.64%
ROIC(3y)3.48%
ROIC(5y)5.17%
1.3 Margins
The Operating Margin of DSGR (4.58%) is worse than 62.00% of its industry peers.
In the last couple of years the Operating Margin of DSGR has grown nicely.
DSGR's Gross Margin of 33.57% is fine compared to the rest of the industry. DSGR outperforms 62.00% of its industry peers.
In the last couple of years the Gross Margin of DSGR has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.58% | ||
| PM (TTM) | N/A | ||
| GM | 33.57% |
OM growth 3Y2.59%
OM growth 5Y4.79%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-13.45%
GM growth 5Y-8.57%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DSGR is destroying value.
The number of shares outstanding for DSGR has been increased compared to 1 year ago.
DSGR has more shares outstanding than it did 5 years ago.
DSGR has a worse debt/assets ratio than last year.
2.2 Solvency
DSGR has an Altman-Z score of 2.33. This is not the best score and indicates that DSGR is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of DSGR (2.33) is comparable to the rest of the industry.
DSGR has a debt to FCF ratio of 11.88. This is a negative value and a sign of low solvency as DSGR would need 11.88 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.88, DSGR is in line with its industry, outperforming 56.00% of the companies in the same industry.
DSGR has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
DSGR's Debt to Equity ratio of 1.02 is on the low side compared to the rest of the industry. DSGR is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 11.88 | ||
| Altman-Z | 2.33 |
ROIC/WACC0.49
WACC10.1%
2.3 Liquidity
DSGR has a Current Ratio of 2.50. This indicates that DSGR is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.50, DSGR is in the better half of the industry, outperforming 68.00% of the companies in the same industry.
A Quick Ratio of 1.38 indicates that DSGR should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.38, DSGR is in line with its industry, outperforming 56.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.35% over the past year.
Measured over the past years, DSGR shows a very strong growth in Earnings Per Share. The EPS has been growing by 30.88% on average per year.
Looking at the last year, DSGR shows a quite strong growth in Revenue. The Revenue has grown by 14.46% in the last year.
The Revenue has been growing by 37.22% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)19.35%
EPS 3Y11.46%
EPS 5Y30.88%
EPS Q2Q%8.11%
Revenue 1Y (TTM)14.46%
Revenue growth 3Y62.85%
Revenue growth 5Y37.22%
Sales Q2Q%10.67%
3.2 Future
DSGR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.02% yearly.
Based on estimates for the next years, DSGR will show a small growth in Revenue. The Revenue will grow by 6.64% on average per year.
EPS Next Y-2.25%
EPS Next 2Y9.84%
EPS Next 3Y10.02%
EPS Next 5YN/A
Revenue Next Year11.63%
Revenue Next 2Y7.86%
Revenue Next 3Y6.64%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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
With a Price/Earnings ratio of 20.51, DSGR is valued on the expensive side.
Based on the Price/Earnings ratio, DSGR is valued a bit cheaper than 68.00% of the companies in the same industry.
DSGR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.30.
Based on the Price/Forward Earnings ratio of 17.47, the valuation of DSGR can be described as rather expensive.
Based on the Price/Forward Earnings ratio, DSGR is valued a bit cheaper than the industry average as 72.00% of the companies are valued more expensively.
DSGR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.51 | ||
| Fwd PE | 17.47 |
4.2 Price Multiples
62.00% of the companies in the same industry are more expensive than DSGR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, DSGR is valued a bit cheaper than the industry average as 76.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.5 | ||
| EV/EBITDA | 11.85 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.66
EPS Next 2Y9.84%
EPS Next 3Y10.02%
5. Dividend
5.1 Amount
DSGR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
30.36
+0.34 (+1.13%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners93.27%
Inst Owner ChangeN/A
Ins Owners1%
Ins Owner Change0%
Market Cap1.40B
Revenue(TTM)1.98B
Net Income(TTM)-11.21M
Analysts84.44
Price Target39.27 (29.35%)
Short Float %1%
Short Ratio6.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.49%
Min EPS beat(2)-1.96%
Max EPS beat(2)2.94%
EPS beat(4)3
Avg EPS beat(4)7.63%
Min EPS beat(4)-1.96%
Max EPS beat(4)23.53%
EPS beat(8)5
Avg EPS beat(8)11.24%
EPS beat(12)6
Avg EPS beat(12)3.12%
EPS beat(16)8
Avg EPS beat(16)2.82%
Revenue beat(2)2
Avg Revenue beat(2)1.47%
Min Revenue beat(2)1.25%
Max Revenue beat(2)1.68%
Revenue beat(4)3
Avg Revenue beat(4)-0.31%
Min Revenue beat(4)-5.73%
Max Revenue beat(4)1.68%
Revenue beat(8)3
Avg Revenue beat(8)-1.52%
Revenue beat(12)5
Avg Revenue beat(12)-1.12%
Revenue beat(16)8
Avg Revenue beat(16)12.84%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.26%
EPS NY rev (1m)0%
EPS NY rev (3m)0.98%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.92%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.51 | ||
| Fwd PE | 17.47 | ||
| P/S | 0.71 | ||
| P/FCF | 23.5 | ||
| P/OCF | 12.46 | ||
| P/B | 2.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.85 |
EPS(TTM)1.48
EY4.87%
EPS(NY)1.74
Fwd EY5.72%
FCF(TTM)1.29
FCFY4.26%
OCF(TTM)2.44
OCFY8.02%
SpS42.81
BVpS14.14
TBVpS-1.09
PEG (NY)N/A
PEG (5Y)0.66
Graham Number21.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.63% | ||
| ROE | -1.71% | ||
| ROCE | 6.2% | ||
| ROIC | 4.9% | ||
| ROICexc | 5.14% | ||
| ROICexgc | 10.42% | ||
| OM | 4.58% | ||
| PM (TTM) | N/A | ||
| GM | 33.57% | ||
| FCFM | 3.02% |
ROA(3y)-0.13%
ROA(5y)1.83%
ROE(3y)-0.4%
ROE(5y)3.64%
ROIC(3y)3.48%
ROIC(5y)5.17%
ROICexc(3y)3.63%
ROICexc(5y)5.74%
ROICexgc(3y)7.96%
ROICexgc(5y)10.53%
ROCE(3y)4.4%
ROCE(5y)6.55%
ROICexgc growth 3Y-3.32%
ROICexgc growth 5Y0.21%
ROICexc growth 3Y-15.6%
ROICexc growth 5Y-8.94%
OM growth 3Y2.59%
OM growth 5Y4.79%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-13.45%
GM growth 5Y-8.57%
F-Score5
Asset Turnover1.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 11.88 | ||
| Debt/EBITDA | 3.89 | ||
| Cap/Depr | 65.69% | ||
| Cap/Sales | 2.67% | ||
| Interest Coverage | 1.65 | ||
| Cash Conversion | 65.81% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 2.33 |
F-Score5
WACC10.1%
ROIC/WACC0.49
Cap/Depr(3y)45.26%
Cap/Depr(5y)51.84%
Cap/Sales(3y)1.83%
Cap/Sales(5y)1.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.35%
EPS 3Y11.46%
EPS 5Y30.88%
EPS Q2Q%8.11%
EPS Next Y-2.25%
EPS Next 2Y9.84%
EPS Next 3Y10.02%
EPS Next 5YN/A
Revenue 1Y (TTM)14.46%
Revenue growth 3Y62.85%
Revenue growth 5Y37.22%
Sales Q2Q%10.67%
Revenue Next Year11.63%
Revenue Next 2Y7.86%
Revenue Next 3Y6.64%
Revenue Next 5YN/A
EBIT growth 1Y137.84%
EBIT growth 3Y67.07%
EBIT growth 5Y43.8%
EBIT Next Year22.18%
EBIT Next 3Y12.82%
EBIT Next 5YN/A
FCF growth 1Y6.37%
FCF growth 3YN/A
FCF growth 5Y19.41%
OCF growth 1Y36.84%
OCF growth 3Y117.99%
OCF growth 5Y43.74%
DISTRIBUTION SOLUTIONS GROUP / DSGR FAQ
What is the fundamental rating for DSGR stock?
ChartMill assigns a fundamental rating of 4 / 10 to DSGR.
Can you provide the valuation status for DISTRIBUTION SOLUTIONS GROUP?
ChartMill assigns a valuation rating of 4 / 10 to DISTRIBUTION SOLUTIONS GROUP (DSGR). This can be considered as Fairly Valued.
Can you provide the profitability details for DISTRIBUTION SOLUTIONS GROUP?
DISTRIBUTION SOLUTIONS GROUP (DSGR) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for DSGR stock?
The Price/Earnings (PE) ratio for DISTRIBUTION SOLUTIONS GROUP (DSGR) is 20.51 and the Price/Book (PB) ratio is 2.15.
Can you provide the expected EPS growth for DSGR stock?
The Earnings per Share (EPS) of DISTRIBUTION SOLUTIONS GROUP (DSGR) is expected to decline by -2.25% in the next year.