DXP ENTERPRISES INC (DXPE) Stock Fundamental Analysis
USA - NASDAQ:DXPE - US2333774071 - Common Stock
86.97 USD
-3.74 (-4.12%)
86.97 USD
0 (0%)
DXPE gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 50 industry peers in the Trading Companies & Distributors industry. While DXPE belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. DXPE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DXPE was profitable.
In the past year DXPE had a positive cash flow from operations.
Of the past 5 years DXPE 4 years were profitable.
In the past 5 years DXPE always reported a positive cash flow from operatings.
1.2 Ratios
DXPE has a Return On Assets of 6.13%. This is in the better half of the industry: DXPE outperforms 70.00% of its industry peers.
DXPE has a Return On Equity of 18.50%. This is in the better half of the industry: DXPE outperforms 74.00% of its industry peers.
DXPE has a Return On Invested Capital of 11.97%. This is amongst the best in the industry. DXPE outperforms 82.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DXPE is in line with the industry average of 9.31%.
The 3 year average ROIC (10.75%) for DXPE is below the current ROIC(11.97%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.13% | ||
| ROE | 18.5% | ||
| ROIC | 11.97% |
ROA(3y)5.23%
ROA(5y)2.83%
ROE(3y)15.95%
ROE(5y)8.89%
ROIC(3y)10.75%
ROIC(5y)8.08%
1.3 Margins
DXPE's Profit Margin of 4.51% is in line compared to the rest of the industry. DXPE outperforms 58.00% of its industry peers.
DXPE's Profit Margin has improved in the last couple of years.
DXPE has a better Operating Margin (8.98%) than 64.00% of its industry peers.
DXPE's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 31.40%, DXPE perfoms like the industry average, outperforming 58.00% of the companies in the same industry.
DXPE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.98% | ||
| PM (TTM) | 4.51% | ||
| GM | 31.4% |
OM growth 3Y31.56%
OM growth 5Y8.89%
PM growth 3Y38.44%
PM growth 5Y6.01%
GM growth 3Y1.53%
GM growth 5Y2.22%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DXPE is still creating some value.
DXPE has less shares outstanding than it did 1 year ago.
DXPE has less shares outstanding than it did 5 years ago.
The debt/assets ratio for DXPE is higher compared to a year ago.
2.2 Solvency
DXPE has an Altman-Z score of 3.43. This indicates that DXPE is financially healthy and has little risk of bankruptcy at the moment.
DXPE has a Altman-Z score of 3.43. This is in the better half of the industry: DXPE outperforms 66.00% of its industry peers.
DXPE has a debt to FCF ratio of 16.28. This is a negative value and a sign of low solvency as DXPE would need 16.28 years to pay back of all of its debts.
DXPE's Debt to FCF ratio of 16.28 is in line compared to the rest of the industry. DXPE outperforms 58.00% of its industry peers.
A Debt/Equity ratio of 1.33 is on the high side and indicates that DXPE has dependencies on debt financing.
DXPE's Debt to Equity ratio of 1.33 is on the low side compared to the rest of the industry. DXPE is outperformed by 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | 16.28 | ||
| Altman-Z | 3.43 |
ROIC/WACC1.22
WACC9.78%
2.3 Liquidity
DXPE has a Current Ratio of 2.79. This indicates that DXPE is financially healthy and has no problem in meeting its short term obligations.
DXPE has a better Current ratio (2.79) than 74.00% of its industry peers.
A Quick Ratio of 2.33 indicates that DXPE has no problem at all paying its short term obligations.
DXPE has a Quick ratio of 2.33. This is amongst the best in the industry. DXPE outperforms 84.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.79 | ||
| Quick Ratio | 2.33 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 35.73% over the past year.
Measured over the past years, DXPE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.63% on average per year.
Looking at the last year, DXPE shows a small growth in Revenue. The Revenue has grown by 7.35% in the last year.
DXPE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.34% yearly.
EPS 1Y (TTM)35.73%
EPS 3Y72.09%
EPS 5Y16.63%
EPS Q2Q%3.15%
Revenue 1Y (TTM)7.35%
Revenue growth 3Y17.39%
Revenue growth 5Y7.34%
Sales Q2Q%8.62%
3.2 Future
DXPE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.68% yearly.
Based on estimates for the next years, DXPE will show a small growth in Revenue. The Revenue will grow by 7.74% on average per year.
EPS Next Y32.14%
EPS Next 2Y23.51%
EPS Next 3Y19.1%
EPS Next 5Y21.68%
Revenue Next Year10.25%
Revenue Next 2Y8.44%
Revenue Next 3Y7.78%
Revenue Next 5Y7.74%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 16.47 indicates a correct valuation of DXPE.
70.00% of the companies in the same industry are more expensive than DXPE, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.56, DXPE is valued a bit cheaper.
A Price/Forward Earnings ratio of 13.48 indicates a correct valuation of DXPE.
74.00% of the companies in the same industry are more expensive than DXPE, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of DXPE to the average of the S&P500 Index (34.62), we can say DXPE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.47 | ||
| Fwd PE | 13.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DXPE indicates a somewhat cheap valuation: DXPE is cheaper than 70.00% of the companies listed in the same industry.
DXPE's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.45 | ||
| EV/EBITDA | 9 |
4.3 Compensation for Growth
DXPE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of DXPE may justify a higher PE ratio.
A more expensive valuation may be justified as DXPE's earnings are expected to grow with 19.10% in the coming years.
PEG (NY)0.51
PEG (5Y)0.99
EPS Next 2Y23.51%
EPS Next 3Y19.1%
5. Dividend
5.1 Amount
No dividends for DXPE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
86.97
-3.74 (-4.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners73.47%
Inst Owner Change-4.13%
Ins Owners18.24%
Ins Owner Change-3.28%
Market Cap1.36B
Revenue(TTM)1.80B
Net Income(TTM)86.58M
Analysts84.44
Price Target140.76 (61.85%)
Short Float %3.31%
Short Ratio2.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.01
Dividend Growth(5Y)-0.35%
DP0.1%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.92%
Min EPS beat(2)0.86%
Max EPS beat(2)2.98%
EPS beat(4)4
Avg EPS beat(4)19.25%
Min EPS beat(4)0.86%
Max EPS beat(4)42.1%
EPS beat(8)6
Avg EPS beat(8)101%
EPS beat(12)9
Avg EPS beat(12)85.32%
EPS beat(16)11
Avg EPS beat(16)119.23%
Revenue beat(2)0
Avg Revenue beat(2)-2.04%
Min Revenue beat(2)-2.05%
Max Revenue beat(2)-2.02%
Revenue beat(4)2
Avg Revenue beat(4)0.97%
Min Revenue beat(4)-2.05%
Max Revenue beat(4)4.66%
Revenue beat(8)3
Avg Revenue beat(8)-0.63%
Revenue beat(12)6
Avg Revenue beat(12)1.5%
Revenue beat(16)9
Avg Revenue beat(16)1.77%
PT rev (1m)10.4%
PT rev (3m)45.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.7%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)3.79%
Revenue NQ rev (1m)-1.84%
Revenue NQ rev (3m)-0.76%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)-0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.47 | ||
| Fwd PE | 13.48 | ||
| P/S | 0.71 | ||
| P/FCF | 35.45 | ||
| P/OCF | 16.62 | ||
| P/B | 2.92 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9 |
EPS(TTM)5.28
EY6.07%
EPS(NY)6.45
Fwd EY7.42%
FCF(TTM)2.45
FCFY2.82%
OCF(TTM)5.23
OCFY6.02%
SpS122.31
BVpS29.83
TBVpS-4.57
PEG (NY)0.51
PEG (5Y)0.99
Graham Number59.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.13% | ||
| ROE | 18.5% | ||
| ROCE | 14.77% | ||
| ROIC | 11.97% | ||
| ROICexc | 13.25% | ||
| ROICexgc | 27.16% | ||
| OM | 8.98% | ||
| PM (TTM) | 4.51% | ||
| GM | 31.4% | ||
| FCFM | 2.01% |
ROA(3y)5.23%
ROA(5y)2.83%
ROE(3y)15.95%
ROE(5y)8.89%
ROIC(3y)10.75%
ROIC(5y)8.08%
ROICexc(3y)12.37%
ROICexc(5y)9.26%
ROICexgc(3y)26.83%
ROICexgc(5y)20.35%
ROCE(3y)13.26%
ROCE(5y)9.97%
ROICexgc growth 3Y36.34%
ROICexgc growth 5Y12.66%
ROICexc growth 3Y36.72%
ROICexc growth 5Y6.29%
OM growth 3Y31.56%
OM growth 5Y8.89%
PM growth 3Y38.44%
PM growth 5Y6.01%
GM growth 3Y1.53%
GM growth 5Y2.22%
F-Score6
Asset Turnover1.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | 16.28 | ||
| Debt/EBITDA | 2.97 | ||
| Cap/Depr | 119.92% | ||
| Cap/Sales | 2.27% | ||
| Interest Coverage | 2.67 | ||
| Cash Conversion | 39.35% | ||
| Profit Quality | 44.47% | ||
| Current Ratio | 2.79 | ||
| Quick Ratio | 2.33 | ||
| Altman-Z | 3.43 |
F-Score6
WACC9.78%
ROIC/WACC1.22
Cap/Depr(3y)43.97%
Cap/Depr(5y)36.71%
Cap/Sales(3y)0.82%
Cap/Sales(5y)0.73%
Profit Quality(3y)82.79%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.73%
EPS 3Y72.09%
EPS 5Y16.63%
EPS Q2Q%3.15%
EPS Next Y32.14%
EPS Next 2Y23.51%
EPS Next 3Y19.1%
EPS Next 5Y21.68%
Revenue 1Y (TTM)7.35%
Revenue growth 3Y17.39%
Revenue growth 5Y7.34%
Sales Q2Q%8.62%
Revenue Next Year10.25%
Revenue Next 2Y8.44%
Revenue Next 3Y7.78%
Revenue Next 5Y7.74%
EBIT growth 1Y29.97%
EBIT growth 3Y54.44%
EBIT growth 5Y16.87%
EBIT Next Year57.04%
EBIT Next 3Y21.55%
EBIT Next 5Y18%
FCF growth 1Y148.37%
FCF growth 3Y35.37%
FCF growth 5Y32.07%
OCF growth 1Y239.28%
OCF growth 3Y40.19%
OCF growth 5Y19.87%
DXP ENTERPRISES INC / DXPE FAQ
What is the fundamental rating for DXPE stock?
ChartMill assigns a fundamental rating of 6 / 10 to DXPE.
Can you provide the valuation status for DXP ENTERPRISES INC?
ChartMill assigns a valuation rating of 6 / 10 to DXP ENTERPRISES INC (DXPE). This can be considered as Fairly Valued.
What is the profitability of DXPE stock?
DXP ENTERPRISES INC (DXPE) has a profitability rating of 7 / 10.
How financially healthy is DXP ENTERPRISES INC?
The financial health rating of DXP ENTERPRISES INC (DXPE) is 6 / 10.
What is the expected EPS growth for DXP ENTERPRISES INC (DXPE) stock?
The Earnings per Share (EPS) of DXP ENTERPRISES INC (DXPE) is expected to grow by 32.14% in the next year.