DESWELL INDUSTRIES INC (DSWL) Fundamental Analysis & Valuation
NASDAQ:DSWL • VG2506391011
3.32 USD
-0.05 (-1.48%)
Last: Mar 6, 2026, 08:12 PM
This DSWL fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
DSWL gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 124 industry peers in the Electronic Equipment, Instruments & Components industry. DSWL has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DSWL has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally DSWL also has an excellent dividend rating. This makes DSWL very considerable for dividend investing!
1. DSWL Profitability Analysis
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.
1.2 Ratios
- With an excellent Return On Assets value of 9.73%, DSWL belongs to the best of the industry, outperforming 91.13% of the companies in the same industry.
- DSWL has a better Return On Equity (11.54%) than 76.61% of its industry peers.
- DSWL's Return On Invested Capital of 2.92% is in line compared to the rest of the industry. DSWL outperforms 55.65% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for DSWL is significantly below the industry average of 8.86%.
- The 3 year average ROIC (2.65%) for DSWL is below the current ROIC(2.92%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.73% | ||
| ROE | 11.54% | ||
| ROIC | 2.92% |
ROA(3y)6.04%
ROA(5y)6.56%
ROE(3y)7.15%
ROE(5y)8.01%
ROIC(3y)2.65%
ROIC(5y)2.63%
1.3 Margins
- Looking at the Profit Margin, with a value of 18.99%, DSWL belongs to the top of the industry, outperforming 96.77% of the companies in the same industry.
- DSWL's Profit Margin has improved in the last couple of years.
- DSWL's Operating Margin of 6.10% is fine compared to the rest of the industry. DSWL outperforms 69.35% of its industry peers.
- DSWL's Operating Margin has improved in the last couple of years.
- DSWL has a Gross Margin of 22.18%. This is in the lower half of the industry: DSWL underperforms 62.90% of its industry peers.
- In the last couple of years the Gross Margin of DSWL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.1% | ||
| PM (TTM) | 18.99% | ||
| GM | 22.18% |
OM growth 3Y7.95%
OM growth 5Y16.94%
PM growth 3Y19.99%
PM growth 5YN/A
GM growth 3Y7.42%
GM growth 5Y2.09%
2. DSWL Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DSWL is destroying value.
- DSWL has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for DSWL has been increased compared to 5 years ago.
- 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.
2.2 Solvency
- An Altman-Z score of 3.49 indicates that DSWL is not in any danger for bankruptcy at the moment.
- DSWL's Altman-Z score of 3.49 is fine compared to the rest of the industry. DSWL outperforms 61.29% of its industry peers.
- 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 Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.49 |
ROIC/WACC0.32
WACC9.06%
2.3 Liquidity
- DSWL has a Current Ratio of 5.28. This indicates that DSWL is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Current ratio value of 5.28, DSWL belongs to the best of the industry, outperforming 82.26% of the companies in the same industry.
- DSWL has a Quick Ratio of 4.77. This indicates that DSWL is financially healthy and has no problem in meeting its short term obligations.
- DSWL's Quick ratio of 4.77 is amongst the best of the industry. DSWL outperforms 84.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.28 | ||
| Quick Ratio | 4.77 |
3. DSWL Growth Analysis
3.1 Past
- DSWL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.83%, which is quite impressive.
- DSWL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.04% yearly.
- The Revenue has decreased by -1.72% in the past year.
- Measured over the past years, DSWL shows a small growth in Revenue. The Revenue has been growing by 0.67% on average per year.
EPS 1Y (TTM)20.83%
EPS 3Y11.04%
EPS 5YN/A
EPS Q2Q%21.59%
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y-7.71%
Revenue growth 5Y0.67%
Sales Q2Q%-5.53%
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.
4. DSWL Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 4.26, the valuation of DSWL can be described as very cheap.
- 98.39% of the companies in the same industry are more expensive than DSWL, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 26.29, DSWL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.26 | ||
| Fwd PE | N/A |
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 96.77% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.59 | ||
| EV/EBITDA | -11.08 |
4.3 Compensation for Growth
- DSWL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. DSWL Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 5.41%, DSWL is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.44, DSWL pays a better dividend. On top of this DSWL pays more dividend than 99.19% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, DSWL pays a better dividend.
| Industry Rank | Sector 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
5.3 Sustainability
- 25.56% of the earnings are spent on dividend by DSWL. This is a low number and sustainable payout ratio.
DP25.56%
EPS Next 2YN/A
EPS Next 3YN/A
DSWL Fundamentals: All Metrics, Ratios and Statistics
NASDAQ:DSWL (3/6/2026, 8:12:50 PM)
3.32
-0.05 (-1.48%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)N/A N/A
Earnings (Next)N/A N/A
Inst Owners2.86%
Inst Owner Change110.34%
Ins Owners71.21%
Ins Owner ChangeN/A
Market Cap52.92M
Revenue(TTM)65.66M
Net Income(TTM)12.47M
Analysts0
Price TargetN/A
Short Float %0.28%
Short Ratio1.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.41% |
Yearly Dividend0.2
Dividend Growth(5Y)5.89%
DP25.56%
Div Incr Years0
Div Non Decr Years7
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)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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.26 | ||
| Fwd PE | N/A | ||
| P/S | 0.81 | ||
| P/FCF | 4.59 | ||
| P/OCF | 4.39 | ||
| P/B | 0.49 | ||
| P/tB | 0.49 | ||
| EV/EBITDA | -11.08 |
EPS(TTM)0.78
EY23.49%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)0.72
FCFY21.79%
OCF(TTM)0.76
OCFY22.79%
SpS4.12
BVpS6.78
TBVpS6.78
PEG (NY)N/A
PEG (5Y)N/A
Graham Number10.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.73% | ||
| ROE | 11.54% | ||
| ROCE | 3.7% | ||
| ROIC | 2.92% | ||
| ROICexc | 11.04% | ||
| ROICexgc | 11.04% | ||
| OM | 6.1% | ||
| PM (TTM) | 18.99% | ||
| GM | 22.18% | ||
| FCFM | 17.56% |
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-Score6
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 35.34% | ||
| Cap/Sales | 0.81% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 219.06% | ||
| Profit Quality | 92.45% | ||
| Current Ratio | 5.28 | ||
| Quick Ratio | 4.77 | ||
| Altman-Z | 3.49 |
F-Score6
WACC9.06%
ROIC/WACC0.32
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)20.83%
EPS 3Y11.04%
EPS 5YN/A
EPS Q2Q%21.59%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y-7.71%
Revenue growth 5Y0.67%
Sales Q2Q%-5.53%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y21.34%
EBIT growth 3Y-0.37%
EBIT growth 5Y17.72%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-13.83%
FCF growth 3YN/A
FCF growth 5Y0.92%
OCF growth 1Y-13.8%
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.
What is the valuation status for DSWL stock?
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 7 / 10.
What is the financial health of DESWELL INDUSTRIES INC (DSWL) stock?
The financial health rating of DESWELL INDUSTRIES INC (DSWL) is 8 / 10.