DT MIDSTREAM INC (DTM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DTM - US23345M1071 - Common Stock
118.02 USD
+0.36 (+0.31%)
118.02 USD
0 (0%)
DTM gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 210 industry peers in the Oil, Gas & Consumable Fuels industry. DTM has a medium profitability rating, but doesn't score so well on its financial health evaluation. DTM is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DTM was profitable.
DTM had a positive operating cash flow in the past year.
Each year in the past 5 years DTM has been profitable.
In the past 5 years DTM always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 4.01%, DTM perfoms like the industry average, outperforming 57.62% of the companies in the same industry.
DTM's Return On Equity of 8.57% is in line compared to the rest of the industry. DTM outperforms 57.62% of its industry peers.
DTM's Return On Invested Capital of 4.47% is on the low side compared to the rest of the industry. DTM is outperformed by 60.95% of its industry peers.
DTM had an Average Return On Invested Capital over the past 3 years of 3.99%. This is significantly below the industry average of 21.09%.
The last Return On Invested Capital (4.47%) for DTM is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.01% | ||
| ROE | 8.57% | ||
| ROIC | 4.47% |
ROA(3y)4.01%
ROA(5y)3.91%
ROE(3y)8.72%
ROE(5y)8.35%
ROIC(3y)3.99%
ROIC(5y)3.95%
1.3 Margins
With an excellent Profit Margin value of 34.30%, DTM belongs to the best of the industry, outperforming 90.95% of the companies in the same industry.
DTM's Profit Margin has declined in the last couple of years.
The Operating Margin of DTM (48.60%) is better than 91.43% of its industry peers.
DTM's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.6% | ||
| PM (TTM) | 34.3% | ||
| GM | N/A |
OM growth 3Y-0.02%
OM growth 5Y-0.84%
PM growth 3Y-0.42%
PM growth 5Y-2.27%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DTM is destroying value.
Compared to 1 year ago, DTM has more shares outstanding
The number of shares outstanding for DTM has been increased compared to 5 years ago.
The debt/assets ratio for DTM has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.76, we must say that DTM is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 1.76, DTM is doing good in the industry, outperforming 63.81% of the companies in the same industry.
DTM has a debt to FCF ratio of 7.02. This is a slightly negative value and a sign of low solvency as DTM would need 7.02 years to pay back of all of its debts.
The Debt to FCF ratio of DTM (7.02) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.71 indicates that DTM is somewhat dependend on debt financing.
DTM has a Debt to Equity ratio of 0.71. This is in the lower half of the industry: DTM underperforms 61.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 7.02 | ||
| Altman-Z | 1.76 |
ROIC/WACC0.56
WACC7.97%
2.3 Liquidity
A Current Ratio of 0.92 indicates that DTM may have some problems paying its short term obligations.
DTM's Current ratio of 0.92 is on the low side compared to the rest of the industry. DTM is outperformed by 60.00% of its industry peers.
DTM has a Quick Ratio of 0.92. This is a bad value and indicates that DTM is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.92, DTM perfoms like the industry average, outperforming 48.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
DTM shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.65%.
DTM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.26% yearly.
DTM shows a strong growth in Revenue. In the last year, the Revenue has grown by 20.39%.
The Revenue has been growing by 14.25% on average over the past years. This is quite good.
EPS 1Y (TTM)-3.65%
EPS 3Y4.31%
EPS 5Y11.26%
EPS Q2Q%25.56%
Revenue 1Y (TTM)20.39%
Revenue growth 3Y5.31%
Revenue growth 5Y14.25%
Sales Q2Q%26.61%
3.2 Future
The Earnings Per Share is expected to grow by 13.42% on average over the next years. This is quite good.
The Revenue is expected to grow by 13.78% on average over the next years. This is quite good.
EPS Next Y22.46%
EPS Next 2Y17.18%
EPS Next 3Y14.65%
EPS Next 5Y13.42%
Revenue Next Year27.29%
Revenue Next 2Y17.63%
Revenue Next 3Y14.4%
Revenue Next 5Y13.78%
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 stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 29.80, the valuation of DTM can be described as expensive.
61.90% of the companies in the same industry are cheaper than DTM, based on the Price/Earnings ratio.
DTM is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.39, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 23.88, the valuation of DTM can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as DTM.
When comparing the Price/Forward Earnings ratio of DTM to the average of the S&P500 Index (23.84), we can say DTM is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.8 | ||
| Fwd PE | 23.88 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DTM indicates a slightly more expensive valuation: DTM is more expensive than 69.05% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DTM is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.37 | ||
| EV/EBITDA | 18.98 |
4.3 Compensation for Growth
DTM'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 DTM's earnings are expected to grow with 14.65% in the coming years.
PEG (NY)1.33
PEG (5Y)2.65
EPS Next 2Y17.18%
EPS Next 3Y14.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.79%, DTM has a reasonable but not impressive dividend return.
DTM's Dividend Yield is comparable with the industry average which is at 3.95.
DTM's Dividend Yield is a higher than the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
5.2 History
DTM has been paying a dividend for over 5 years, so it has already some track record.
DTM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
77.42% of the earnings are spent on dividend by DTM. This is not a sustainable payout ratio.
DP77.42%
EPS Next 2Y17.18%
EPS Next 3Y14.65%
118.02
+0.36 (+0.31%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners89.1%
Inst Owner ChangeN/A
Ins Owners0.35%
Ins Owner Change12.03%
Market Cap12.00B
Revenue(TTM)1.18B
Net Income(TTM)403.00M
Analysts75
Price Target120.17 (1.82%)
Short Float %4.04%
Short Ratio5.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
Yearly Dividend2.83
Dividend Growth(5Y)N/A
DP77.42%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.38%
Min EPS beat(2)1.53%
Max EPS beat(2)5.24%
EPS beat(4)2
Avg EPS beat(4)-3.94%
Min EPS beat(4)-18.87%
Max EPS beat(4)5.24%
EPS beat(8)5
Avg EPS beat(8)2.7%
EPS beat(12)7
Avg EPS beat(12)0.89%
EPS beat(16)9
Avg EPS beat(16)0.13%
Revenue beat(2)2
Avg Revenue beat(2)2.26%
Min Revenue beat(2)1.31%
Max Revenue beat(2)3.21%
Revenue beat(4)3
Avg Revenue beat(4)1.21%
Min Revenue beat(4)-3.07%
Max Revenue beat(4)3.37%
Revenue beat(8)6
Avg Revenue beat(8)1.21%
Revenue beat(12)8
Avg Revenue beat(12)-0.43%
Revenue beat(16)11
Avg Revenue beat(16)-0.33%
PT rev (1m)3.47%
PT rev (3m)7.77%
EPS NQ rev (1m)1.92%
EPS NQ rev (3m)-0.19%
EPS NY rev (1m)0.92%
EPS NY rev (3m)1.23%
Revenue NQ rev (1m)0.98%
Revenue NQ rev (3m)-0.16%
Revenue NY rev (1m)1.52%
Revenue NY rev (3m)1.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.8 | ||
| Fwd PE | 23.88 | ||
| P/S | 10.21 | ||
| P/FCF | 25.37 | ||
| P/OCF | 13.98 | ||
| P/B | 2.55 | ||
| P/tB | 5.87 | ||
| EV/EBITDA | 18.98 |
EPS(TTM)3.96
EY3.36%
EPS(NY)4.94
Fwd EY4.19%
FCF(TTM)4.65
FCFY3.94%
OCF(TTM)8.44
OCFY7.15%
SpS11.56
BVpS46.25
TBVpS20.1
PEG (NY)1.33
PEG (5Y)2.65
Graham Number64.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.01% | ||
| ROE | 8.57% | ||
| ROCE | 5.88% | ||
| ROIC | 4.47% | ||
| ROICexc | 4.51% | ||
| ROICexgc | 6.24% | ||
| OM | 48.6% | ||
| PM (TTM) | 34.3% | ||
| GM | N/A | ||
| FCFM | 40.26% |
ROA(3y)4.01%
ROA(5y)3.91%
ROE(3y)8.72%
ROE(5y)8.35%
ROIC(3y)3.99%
ROIC(5y)3.95%
ROICexc(3y)4.01%
ROICexc(5y)3.98%
ROICexgc(3y)5.61%
ROICexgc(5y)5.69%
ROCE(3y)5.38%
ROCE(5y)5.91%
ROICexgc growth 3Y-3.85%
ROICexgc growth 5Y4.27%
ROICexc growth 3Y-1.72%
ROICexc growth 5Y7.01%
OM growth 3Y-0.02%
OM growth 5Y-0.84%
PM growth 3Y-0.42%
PM growth 5Y-2.27%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 7.02 | ||
| Debt/EBITDA | 4.14 | ||
| Cap/Depr | 166.67% | ||
| Cap/Sales | 32.77% | ||
| Interest Coverage | 4.23 | ||
| Cash Conversion | 106.98% | ||
| Profit Quality | 117.37% | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | 1.76 |
F-Score4
WACC7.97%
ROIC/WACC0.56
Cap/Depr(3y)263.49%
Cap/Depr(5y)243.12%
Cap/Sales(3y)52.05%
Cap/Sales(5y)48.3%
Profit Quality(3y)76.01%
Profit Quality(5y)78.81%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.65%
EPS 3Y4.31%
EPS 5Y11.26%
EPS Q2Q%25.56%
EPS Next Y22.46%
EPS Next 2Y17.18%
EPS Next 3Y14.65%
EPS Next 5Y13.42%
Revenue 1Y (TTM)20.39%
Revenue growth 3Y5.31%
Revenue growth 5Y14.25%
Sales Q2Q%26.61%
Revenue Next Year27.29%
Revenue Next 2Y17.63%
Revenue Next 3Y14.4%
Revenue Next 5Y13.78%
EBIT growth 1Y15.12%
EBIT growth 3Y5.28%
EBIT growth 5Y13.29%
EBIT Next Year99.67%
EBIT Next 3Y31.71%
EBIT Next 5Y22.13%
FCF growth 1Y2250%
FCF growth 3Y-1.49%
FCF growth 5Y18.2%
OCF growth 1Y12.16%
OCF growth 3Y10.08%
OCF growth 5Y14.36%
DT MIDSTREAM INC / DTM FAQ
What is the ChartMill fundamental rating of DT MIDSTREAM INC (DTM) stock?
ChartMill assigns a fundamental rating of 4 / 10 to DTM.
Can you provide the valuation status for DT MIDSTREAM INC?
ChartMill assigns a valuation rating of 2 / 10 to DT MIDSTREAM INC (DTM). This can be considered as Overvalued.
Can you provide the profitability details for DT MIDSTREAM INC?
DT MIDSTREAM INC (DTM) has a profitability rating of 5 / 10.
What is the earnings growth outlook for DT MIDSTREAM INC?
The Earnings per Share (EPS) of DT MIDSTREAM INC (DTM) is expected to grow by 22.46% in the next year.
How sustainable is the dividend of DT MIDSTREAM INC (DTM) stock?
The dividend rating of DT MIDSTREAM INC (DTM) is 3 / 10 and the dividend payout ratio is 77.42%.