DOUBLEVERIFY HOLDINGS INC (DV) Stock Fundamental Analysis
NYSE:DV - New York Stock Exchange, Inc. - US25862V1052 - Common Stock - Currency: USD
DV gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 286 industry peers in the Software industry. DV gets an excellent profitability rating and is at the same time showing great financial health properties. DV is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, DV could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year DV was profitable.
DV had a positive operating cash flow in the past year.
In the past 5 years DV has always been profitable.
In the past 5 years DV always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.02%, DV is in the better half of the industry, outperforming 76.70% of the companies in the same industry.
Looking at the Return On Equity, with a value of 5.83%, DV is in the better half of the industry, outperforming 73.48% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.90%, DV is in the better half of the industry, outperforming 73.84% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for DV is significantly below the industry average of 12.10%.
The last Return On Invested Capital (4.90%) for DV is above the 3 year average (4.10%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 5.83% | ||
| ROIC | 4.9% |
ROA(3y)4.4%
ROA(5y)4.44%
ROE(3y)5.09%
ROE(5y)5.5%
ROIC(3y)4.1%
ROIC(5y)4.56%
1.3 Margins
With a decent Profit Margin value of 10.33%, DV is doing good in the industry, outperforming 77.06% of the companies in the same industry.
In the last couple of years the Profit Margin of DV has grown nicely.
The Operating Margin of DV (12.74%) is better than 81.36% of its industry peers.
DV's Operating Margin has improved in the last couple of years.
DV's Gross Margin of 82.42% is amongst the best of the industry. DV outperforms 87.46% of its industry peers.
In the last couple of years the Gross Margin of DV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.74% | ||
| PM (TTM) | 10.33% | ||
| GM | 82.42% |
OM growth 3Y13.46%
OM growth 5Y25.08%
PM growth 3Y14.09%
PM growth 5Y32.4%
GM growth 3Y-1.58%
GM growth 5Y-0.22%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DV is destroying value.
The number of shares outstanding for DV has been increased compared to 1 year ago.
The number of shares outstanding for DV has been increased compared to 5 years ago.
The debt/assets ratio for DV is higher compared to a year ago.
2.2 Solvency
DV has an Altman-Z score of 12.93. This indicates that DV is financially healthy and has little risk of bankruptcy at the moment.
DV has a Altman-Z score of 12.93. This is amongst the best in the industry. DV outperforms 86.74% of its industry peers.
DV has a debt to FCF ratio of 0.03. This is a very positive value and a sign of high solvency as it would only need 0.03 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.03, DV belongs to the top of the industry, outperforming 80.29% of the companies in the same industry.
DV has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.00, DV is in the better half of the industry, outperforming 67.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.03 | ||
| Altman-Z | 12.93 |
ROIC/WACC0.44
WACC11.02%
2.3 Liquidity
DV has a Current Ratio of 6.57. This indicates that DV is financially healthy and has no problem in meeting its short term obligations.
DV's Current ratio of 6.57 is amongst the best of the industry. DV outperforms 92.11% of its industry peers.
DV has a Quick Ratio of 6.57. This indicates that DV is financially healthy and has no problem in meeting its short term obligations.
DV's Quick ratio of 6.57 is amongst the best of the industry. DV outperforms 92.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.57 | ||
| Quick Ratio | 6.57 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.62% over the past year.
Measured over the past years, DV shows a very strong growth in Earnings Per Share. The EPS has been growing by 83.14% on average per year.
Looking at the last year, DV shows a quite strong growth in Revenue. The Revenue has grown by 19.58% in the last year.
DV shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 40.57% yearly.
EPS 1Y (TTM)15.62%
EPS 3Y46.89%
EPS 5Y83.14%
EPS Q2Q%25%
Revenue 1Y (TTM)19.58%
Revenue growth 3Y32.9%
Revenue growth 5Y40.57%
Sales Q2Q%17.77%
3.2 Future
The Earnings Per Share is expected to grow by 34.16% on average over the next years. This is a very strong growth
DV is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.37% yearly.
EPS Next Y-6.72%
EPS Next 2Y12.62%
EPS Next 3Y12.63%
EPS Next 5Y34.16%
Revenue Next Year15.91%
Revenue Next 2Y14.25%
Revenue Next 3Y14.26%
Revenue Next 5Y14.37%
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.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 55.43, the valuation of DV can be described as expensive.
DV's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 28.28. DV is valued rather expensively when compared to this.
DV is valuated quite expensively with a Price/Forward Earnings ratio of 39.44.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DV indicates a somewhat cheap valuation: DV is cheaper than 63.08% of the companies listed in the same industry.
DV is valuated cheaply when we compare the Price/Forward Earnings ratio to 91.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 55.43 | ||
| Fwd PE | 39.44 |
4.2 Price Multiples
DV's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DV is cheaper than 79.57% of the companies in the same industry.
83.51% of the companies in the same industry are more expensive than DV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.16 | ||
| EV/EBITDA | 24.46 |
4.3 Compensation for Growth
The excellent profitability rating of DV may justify a higher PE ratio.
A more expensive valuation may be justified as DV's earnings are expected to grow with 12.63% in the coming years.
PEG (NY)N/A
PEG (5Y)0.67
EPS Next 2Y12.62%
EPS Next 3Y12.63%
5. Dividend
5.1 Amount
DV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
DOUBLEVERIFY HOLDINGS INC
NYSE:DV (1/29/2025, 8:19:52 PM)
After market: 20.51 0 (0%)20.51
-0.16 (-0.77%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners88.12%
Inst Owner Change-0.53%
Ins Owners0.58%
Ins Owner Change0.06%
Market Cap3.47B
Analysts76.77
Price Target23.27 (13.46%)
Short Float %5.58%
Short Ratio4.08
Dividend
| Industry Rank | Sector 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)1
Avg EPS beat(2)14.88%
Min EPS beat(2)-9.85%
Max EPS beat(2)39.61%
EPS beat(4)3
Avg EPS beat(4)30.76%
Min EPS beat(4)-9.85%
Max EPS beat(4)57.87%
EPS beat(8)6
Avg EPS beat(8)30.14%
EPS beat(12)10
Avg EPS beat(12)29.81%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.05%
Min Revenue beat(2)-2.5%
Max Revenue beat(2)-1.59%
Revenue beat(4)0
Avg Revenue beat(4)-1.97%
Min Revenue beat(4)-2.67%
Max Revenue beat(4)-1.12%
Revenue beat(8)2
Avg Revenue beat(8)-1.46%
Revenue beat(12)4
Avg Revenue beat(12)-0.25%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.73%
PT rev (3m)-16.25%
EPS NQ rev (1m)0%
EPS NQ rev (3m)17.16%
EPS NY rev (1m)0%
EPS NY rev (3m)19.25%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 55.43 | ||
| Fwd PE | 39.44 | ||
| P/S | 5.43 | ||
| P/FCF | 23.16 | ||
| P/OCF | 19.9 | ||
| P/B | 3.07 | ||
| P/tB | 6.05 | ||
| EV/EBITDA | 24.46 |
EPS(TTM)0.37
EY1.8%
EPS(NY)0.52
Fwd EY2.54%
FCF(TTM)0.89
FCFY4.32%
OCF(TTM)1.03
OCFY5.02%
SpS3.77
BVpS6.68
TBVpS3.39
PEG (NY)N/A
PEG (5Y)0.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 5.83% | ||
| ROCE | 6.64% | ||
| ROIC | 4.9% | ||
| ROICexc | 6.96% | ||
| ROICexgc | 19.7% | ||
| OM | 12.74% | ||
| PM (TTM) | 10.33% | ||
| GM | 82.42% | ||
| FCFM | 23.47% |
ROA(3y)4.4%
ROA(5y)4.44%
ROE(3y)5.09%
ROE(5y)5.5%
ROIC(3y)4.1%
ROIC(5y)4.56%
ROICexc(3y)5.62%
ROICexc(5y)5.56%
ROICexgc(3y)20.26%
ROICexgc(5y)26.24%
ROCE(3y)5.56%
ROCE(5y)6.19%
ROICexcg growth 3Y6.14%
ROICexcg growth 5Y18.29%
ROICexc growth 3Y21.48%
ROICexc growth 5Y47.85%
OM growth 3Y13.46%
OM growth 5Y25.08%
PM growth 3Y14.09%
PM growth 5Y32.4%
GM growth 3Y-1.58%
GM growth 5Y-0.22%
F-Score9
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.03 | ||
| Debt/EBITDA | 0.01 | ||
| Cap/Depr | 54.51% | ||
| Cap/Sales | 3.84% | ||
| Interest Coverage | 113.88 | ||
| Cash Conversion | 138.09% | ||
| Profit Quality | 227.25% | ||
| Current Ratio | 6.57 | ||
| Quick Ratio | 6.57 | ||
| Altman-Z | 12.93 |
F-Score9
WACC11.02%
ROIC/WACC0.44
Cap/Depr(3y)63.03%
Cap/Depr(5y)51.19%
Cap/Sales(3y)4.88%
Cap/Sales(5y)4.38%
Profit Quality(3y)173.61%
Profit Quality(5y)135.52%
High Growth Momentum
Growth
EPS 1Y (TTM)15.62%
EPS 3Y46.89%
EPS 5Y83.14%
EPS Q2Q%25%
EPS Next Y-6.72%
EPS Next 2Y12.62%
EPS Next 3Y12.63%
EPS Next 5Y34.16%
Revenue 1Y (TTM)19.58%
Revenue growth 3Y32.9%
Revenue growth 5Y40.57%
Sales Q2Q%17.77%
Revenue Next Year15.91%
Revenue Next 2Y14.25%
Revenue Next 3Y14.26%
Revenue Next 5Y14.37%
EBIT growth 1Y6.15%
EBIT growth 3Y50.8%
EBIT growth 5Y75.84%
EBIT Next Year179.28%
EBIT Next 3Y53.44%
EBIT Next 5Y37.61%
FCF growth 1Y193.46%
FCF growth 3Y107.67%
FCF growth 5Y58.04%
OCF growth 1Y110.85%
OCF growth 3Y78.03%
OCF growth 5Y58.26%