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DESWELL INDUSTRIES INC (DSWL) Stock Fundamental Analysis

USA - Nasdaq - NASDAQ:DSWL - VG2506391011 - Common Stock

3.6607 USD
-0.04 (-1.2%)
Last: 11/26/2025, 8:27:30 PM
Fundamental Rating

6

DSWL gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 123 industry peers in the Electronic Equipment, Instruments & Components industry. DSWL has an excellent financial health rating, but there are some minor concerns on its profitability. DSWL has a valuation in line with the averages, but it does not seem to be growing. DSWL also has an excellent dividend rating. These ratings could make DSWL a good candidate for dividend investing.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

DSWL had positive earnings in the past year.
In the past year DSWL had a positive cash flow from operations.
In the past 5 years DSWL has always been profitable.
Of the past 5 years DSWL 4 years had a positive operating cash flow.
DSWL Yearly Net Income VS EBIT VS OCF VS FCFDSWL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5M -5M 10M

1.2 Ratios

The Return On Assets of DSWL (9.27%) is better than 87.80% of its industry peers.
DSWL's Return On Equity of 10.91% is fine compared to the rest of the industry. DSWL outperforms 73.98% of its industry peers.
DSWL has a Return On Invested Capital (2.55%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for DSWL is significantly below the industry average of 9.11%.
Industry RankSector Rank
ROA 9.27%
ROE 10.91%
ROIC 2.55%
ROA(3y)6.04%
ROA(5y)6.56%
ROE(3y)7.15%
ROE(5y)8.01%
ROIC(3y)2.65%
ROIC(5y)2.63%
DSWL Yearly ROA, ROE, ROICDSWL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 -5 10

1.3 Margins

The Profit Margin of DSWL (16.47%) is better than 93.50% of its industry peers.
DSWL's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 4.90%, DSWL is doing good in the industry, outperforming 63.41% of the companies in the same industry.
DSWL's Operating Margin has improved in the last couple of years.
DSWL has a Gross Margin of 20.18%. This is in the lower half of the industry: DSWL underperforms 67.48% of its industry peers.
In the last couple of years the Gross Margin of DSWL has grown nicely.
Industry RankSector Rank
OM 4.9%
PM (TTM) 16.47%
GM 20.18%
OM growth 3Y7.95%
OM growth 5Y16.94%
PM growth 3Y19.99%
PM growth 5YN/A
GM growth 3Y7.42%
GM growth 5Y2.09%
DSWL Yearly Profit, Operating, Gross MarginsDSWL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20

8

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DSWL is destroying value.
Compared to 1 year ago, DSWL has about the same amount of shares outstanding.
Compared to 5 years ago, DSWL has more shares outstanding
There is no outstanding debt for DSWL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
DSWL Yearly Shares OutstandingDSWL Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M
DSWL Yearly Total Debt VS Total AssetsDSWL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M

2.2 Solvency

DSWL has an Altman-Z score of 3.82. This indicates that DSWL is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of DSWL (3.82) is comparable to the rest of the industry.
There is no outstanding debt for DSWL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 3.82
ROIC/WACC0.28
WACC9.19%
DSWL Yearly LT Debt VS Equity VS FCFDSWL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20M 40M 60M 80M 100M

2.3 Liquidity

A Current Ratio of 5.45 indicates that DSWL has no problem at all paying its short term obligations.
DSWL has a better Current ratio (5.45) than 82.93% of its industry peers.
DSWL has a Quick Ratio of 4.91. This indicates that DSWL is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of DSWL (4.91) is better than 84.55% of its industry peers.
Industry RankSector Rank
Current Ratio 5.45
Quick Ratio 4.91
DSWL Yearly Current Assets VS Current LiabilitesDSWL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M

3

3. Growth

3.1 Past

DSWL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 45.73%, which is quite impressive.
The Earnings Per Share has been growing by 11.04% on average over the past years. This is quite good.
Looking at the last year, DSWL shows a decrease in Revenue. The Revenue has decreased by -2.53% in the last year.
The Revenue has been growing slightly by 0.67% on average over the past years.
EPS 1Y (TTM)45.73%
EPS 3Y11.04%
EPS 5YN/A
EPS Q2Q%19.68%
Revenue 1Y (TTM)-2.53%
Revenue growth 3Y-7.71%
Revenue growth 5Y0.67%
Sales Q2Q%2.52%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
DSWL Yearly Revenue VS EstimatesDSWL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M

5

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 5.23, the valuation of DSWL can be described as very cheap.
Based on the Price/Earnings ratio, DSWL is valued cheaply inside the industry as 97.56% of the companies are valued more expensively.
DSWL is valuated cheaply when we compare the Price/Earnings ratio to 26.15, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 5.23
Fwd PE N/A
DSWL Price Earnings VS Forward Price EarningsDSWL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 0 0 0 0

4.2 Price Multiples

Compared to the rest of the industry, the Price/Free Cash Flow ratio of DSWL indicates a rather cheap valuation: DSWL is cheaper than 97.56% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 4.42
EV/EBITDA -9.33
DSWL Per share dataDSWL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6

4.3 Compensation for Growth

The decent profitability rating of DSWL may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A

8

5. Dividend

5.1 Amount

DSWL has a Yearly Dividend Yield of 5.41%, which is a nice return.
Compared to an average industry Dividend Yield of 2.44, DSWL pays a better dividend. On top of this DSWL pays more dividend than 98.37% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, DSWL pays a better dividend.
Industry RankSector Rank
Dividend Yield 5.41%

5.2 History

The dividend of DSWL has a limited annual growth rate of 5.89%.
DSWL has been paying a dividend for at least 10 years, so it has a reliable track record.
As DSWL did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)5.89%
Div Incr Years0
Div Non Decr Years7
DSWL Yearly Dividends per shareDSWL Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.05 0.1 0.15 0.2

5.3 Sustainability

28.62% of the earnings are spent on dividend by DSWL. This is a low number and sustainable payout ratio.
DP28.62%
EPS Next 2YN/A
EPS Next 3YN/A
DSWL Yearly Income VS Free CF VS DividendDSWL Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5M 10M
DSWL Dividend Payout.DSWL Dividend Payout, showing the Payout Ratio.DSWL Dividend Payout.PayoutRetained Earnings

DESWELL INDUSTRIES INC

NASDAQ:DSWL (11/26/2025, 8:27:30 PM)

3.6607

-0.04 (-1.2%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)N/A N/A
Earnings (Next)N/A N/A
Inst Owners3.05%
Inst Owner Change-15.99%
Ins Owners71.21%
Ins Owner ChangeN/A
Market Cap58.35M
Revenue(TTM)67.61M
Net Income(TTM)11.14M
Analysts0
Price TargetN/A
Short Float %0.13%
Short Ratio0.34
Dividend
Industry RankSector Rank
Dividend Yield 5.41%
Yearly Dividend0.2
Dividend Growth(5Y)5.89%
DP28.62%
Div Incr Years0
Div Non Decr Years7
Ex-Date12-02 2025-12-02 (0.1)
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)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
Industry RankSector Rank
PE 5.23
Fwd PE N/A
P/S 0.86
P/FCF 4.42
P/OCF 4.31
P/B 0.57
P/tB 0.57
EV/EBITDA -9.33
EPS(TTM)0.7
EY19.12%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)0.83
FCFY22.62%
OCF(TTM)0.85
OCFY23.19%
SpS4.24
BVpS6.41
TBVpS6.41
PEG (NY)N/A
PEG (5Y)N/A
Graham Number10.05
Profitability
Industry RankSector Rank
ROA 9.27%
ROE 10.91%
ROCE 3.23%
ROIC 2.55%
ROICexc 9.7%
ROICexgc 9.7%
OM 4.9%
PM (TTM) 16.47%
GM 20.18%
FCFM 19.53%
ROA(3y)6.04%
ROA(5y)6.56%
ROE(3y)7.15%
ROE(5y)8.01%
ROIC(3y)2.65%
ROIC(5y)2.63%
ROICexc(3y)7.45%
ROICexc(5y)6.56%
ROICexgc(3y)7.45%
ROICexgc(5y)6.56%
ROCE(3y)3.35%
ROCE(5y)3.34%
ROICexgc growth 3Y20.29%
ROICexgc growth 5Y26.32%
ROICexc growth 3Y20.29%
ROICexc growth 5Y26.32%
OM growth 3Y7.95%
OM growth 5Y16.94%
PM growth 3Y19.99%
PM growth 5YN/A
GM growth 3Y7.42%
GM growth 5Y2.09%
F-Score7
Asset Turnover0.56
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 21.86%
Cap/Sales 0.49%
Interest Coverage 250
Cash Conversion 280.03%
Profit Quality 118.53%
Current Ratio 5.45
Quick Ratio 4.91
Altman-Z 3.82
F-Score7
WACC9.19%
ROIC/WACC0.28
Cap/Depr(3y)31.02%
Cap/Depr(5y)42.11%
Cap/Sales(3y)0.69%
Cap/Sales(5y)0.93%
Profit Quality(3y)288.78%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)45.73%
EPS 3Y11.04%
EPS 5YN/A
EPS Q2Q%19.68%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.53%
Revenue growth 3Y-7.71%
Revenue growth 5Y0.67%
Sales Q2Q%2.52%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-12.4%
EBIT growth 3Y-0.37%
EBIT growth 5Y17.72%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y2.92%
FCF growth 3YN/A
FCF growth 5Y0.92%
OCF growth 1Y2.47%
OCF growth 3YN/A
OCF growth 5Y0.62%

DESWELL INDUSTRIES INC / DSWL FAQ

What is the ChartMill fundamental rating of DESWELL INDUSTRIES INC (DSWL) stock?

ChartMill assigns a fundamental rating of 6 / 10 to DSWL.


Can you provide the valuation status for DESWELL INDUSTRIES INC?

ChartMill assigns a valuation rating of 5 / 10 to DESWELL INDUSTRIES INC (DSWL). This can be considered as Fairly Valued.


What is the profitability of DSWL stock?

DESWELL INDUSTRIES INC (DSWL) has a profitability rating of 6 / 10.


Can you provide the dividend sustainability for DSWL stock?

The dividend rating of DESWELL INDUSTRIES INC (DSWL) is 8 / 10 and the dividend payout ratio is 28.62%.