DEXTERRA GROUP INC (DXT.CA) Stock Fundamental Analysis
TSX:DXT - Toronto Stock Exchange - CA2523711091 - Common Stock - Currency: CAD
We assign a fundamental rating of 5 out of 10 to DXT. DXT was compared to 24 industry peers in the Commercial Services & Supplies industry. DXT has only an average score on both its financial health and profitability. DXT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
DXT had positive earnings in the past year.
DXT had a positive operating cash flow in the past year.
Of the past 5 years DXT 4 years were profitable.
Each year in the past 5 years DXT had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 1.94%, DXT perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
Looking at the Return On Equity, with a value of 4.60%, DXT is in line with its industry, outperforming 54.17% of the companies in the same industry.
With an excellent Return On Invested Capital value of 9.18%, DXT belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 4.6% | ||
| ROIC | 9.18% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 1.24%, DXT is in line with its industry, outperforming 58.33% of the companies in the same industry.
DXT's Profit Margin has declined in the last couple of years.
DXT has a Operating Margin of 5.24%. This is in the better half of the industry: DXT outperforms 62.50% of its industry peers.
In the last couple of years the Operating Margin of DXT has grown nicely.
The Gross Margin of DXT (13.99%) is worse than 79.17% of its industry peers.
DXT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.24% | ||
| PM (TTM) | 1.24% | ||
| GM | 13.99% |
OM growth 3Y25.32%
OM growth 5YN/A
PM growth 3Y-44.02%
PM growth 5YN/A
GM growth 3Y0.09%
GM growth 5Y26.4%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DXT is still creating some value.
There is no outstanding debt for DXT. 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
DXT has an Altman-Z score of 2.80. This is not the best score and indicates that DXT is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.80, DXT is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
DXT has a debt to FCF ratio of 3.02. This is a good value and a sign of high solvency as DXT would need 3.02 years to pay back of all of its debts.
DXT's Debt to FCF ratio of 3.02 is amongst the best of the industry. DXT outperforms 83.33% of its industry peers.
DXT has a Debt/Equity ratio of 0.50. This is a neutral value indicating DXT is somewhat dependend on debt financing.
The Debt to Equity ratio of DXT (0.50) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 3.02 | ||
| Altman-Z | 2.8 |
ROIC/WACC1.01
WACC9.09%
2.3 Liquidity
A Current Ratio of 1.39 indicates that DXT should not have too much problems paying its short term obligations.
DXT has a Current ratio (1.39) which is in line with its industry peers.
DXT has a Quick Ratio of 1.30. This is a normal value and indicates that DXT is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.30, DXT is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
DXT shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.71%.
The earnings per share for DXT have been decreasing by -30.96% on average. This is quite bad
DXT shows a decrease in Revenue. In the last year, the revenue decreased by -6.81%.
The Revenue has been growing by 23.16% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-5.71%
EPS 3Y-30.96%
EPS 5YN/A
EPS Q2Q%-42.86%
Revenue 1Y (TTM)-6.81%
Revenue growth 3Y33.34%
Revenue growth 5Y23.16%
Sales Q2Q%-13.2%
3.2 Future
Based on estimates for the next years, DXT will show a very strong growth in Earnings Per Share. The EPS will grow by 26.41% on average per year.
The Revenue is expected to grow by 0.47% on average over the next years.
EPS Next Y-12.89%
EPS Next 2Y31.99%
EPS Next 3Y26.41%
EPS Next 5YN/A
Revenue Next Year-9.66%
Revenue Next 2Y-2.11%
Revenue Next 3Y0.47%
Revenue Next 5YN/A
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 accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 22.27, which indicates a rather expensive current valuation of DXT.
70.83% of the companies in the same industry are more expensive than DXT, based on the Price/Earnings ratio.
DXT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.35.
A Price/Forward Earnings ratio of 10.55 indicates a reasonable valuation of DXT.
Based on the Price/Forward Earnings ratio, DXT is valued cheaper than 87.50% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, DXT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.27 | ||
| Fwd PE | 10.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DXT is valued cheaper than 87.50% of the companies in the same industry.
79.17% of the companies in the same industry are more expensive than DXT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.67 | ||
| EV/EBITDA | 6.79 |
4.3 Compensation for Growth
DXT's earnings are expected to grow with 26.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y31.99%
EPS Next 3Y26.41%
5. Dividend
5.1 Amount
DXT has a Yearly Dividend Yield of 4.68%, which is a nice return.
DXT's Dividend Yield is rather good when compared to the industry average which is at 2.38. DXT pays more dividend than 95.83% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, DXT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.68% |
5.2 History
The dividend of DXT decreases each year by -2.70%.
DXT has paid a dividend for at least 10 years, which is a reliable track record.
DXT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-2.7%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
DXT pays out 177.13% of its income as dividend. This is not a sustainable payout ratio.
DP177.13%
EPS Next 2Y31.99%
EPS Next 3Y26.41%
TSX:DXT (3/7/2025, 7:00:00 PM)
7.35
-0.13 (-1.74%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners13.14%
Inst Owner ChangeN/A
Ins Owners1.94%
Ins Owner ChangeN/A
Market Cap462.54M
Analysts78
Price Target10.62 (44.49%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.68% |
Yearly Dividend0.35
Dividend Growth(5Y)-2.7%
DP177.13%
Div Incr Years1
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.09%
Min EPS beat(2)-39.84%
Max EPS beat(2)54.02%
EPS beat(4)1
Avg EPS beat(4)-26.07%
Min EPS beat(4)-100%
Max EPS beat(4)54.02%
EPS beat(8)3
Avg EPS beat(8)-23.62%
EPS beat(12)3
Avg EPS beat(12)-34.29%
EPS beat(16)5
Avg EPS beat(16)-1.12%
Revenue beat(2)0
Avg Revenue beat(2)-0.42%
Min Revenue beat(2)-0.59%
Max Revenue beat(2)-0.26%
Revenue beat(4)0
Avg Revenue beat(4)-3.95%
Min Revenue beat(4)-14.62%
Max Revenue beat(4)-0.26%
Revenue beat(8)4
Avg Revenue beat(8)0.18%
Revenue beat(12)8
Avg Revenue beat(12)1.52%
Revenue beat(16)11
Avg Revenue beat(16)1.38%
PT rev (1m)5.05%
PT rev (3m)15.22%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.17%
EPS NY rev (1m)0%
EPS NY rev (3m)1.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.27 | ||
| Fwd PE | 10.55 | ||
| P/S | 0.45 | ||
| P/FCF | 9.67 | ||
| P/OCF | 6.73 | ||
| P/B | 1.67 | ||
| P/tB | 5.1 | ||
| EV/EBITDA | 6.79 |
EPS(TTM)0.33
EY4.49%
EPS(NY)0.7
Fwd EY9.48%
FCF(TTM)0.76
FCFY10.34%
OCF(TTM)1.09
OCFY14.86%
SpS16.3
BVpS4.39
TBVpS1.44
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 4.6% | ||
| ROCE | 12.09% | ||
| ROIC | 9.18% | ||
| ROICexc | 9.18% | ||
| ROICexgc | 15.75% | ||
| OM | 5.24% | ||
| PM (TTM) | 1.24% | ||
| GM | 13.99% | ||
| FCFM | 4.66% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y25.32%
OM growth 5YN/A
PM growth 3Y-44.02%
PM growth 5YN/A
GM growth 3Y0.09%
GM growth 5Y26.4%
F-Score6
Asset Turnover1.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 3.02 | ||
| Debt/EBITDA | 1.56 | ||
| Cap/Depr | 58.69% | ||
| Cap/Sales | 2.04% | ||
| Interest Coverage | 3.89 | ||
| Cash Conversion | 76.86% | ||
| Profit Quality | 376.12% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 2.8 |
F-Score6
WACC9.09%
ROIC/WACC1.01
Cap/Depr(3y)30.09%
Cap/Depr(5y)49.85%
Cap/Sales(3y)1.21%
Cap/Sales(5y)3.81%
Profit Quality(3y)704.73%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.71%
EPS 3Y-30.96%
EPS 5YN/A
EPS Q2Q%-42.86%
EPS Next Y-12.89%
EPS Next 2Y31.99%
EPS Next 3Y26.41%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.81%
Revenue growth 3Y33.34%
Revenue growth 5Y23.16%
Sales Q2Q%-13.2%
Revenue Next Year-9.66%
Revenue Next 2Y-2.11%
Revenue Next 3Y0.47%
Revenue Next 5YN/A
EBIT growth 1Y15.31%
EBIT growth 3Y67.1%
EBIT growth 5YN/A
EBIT Next Year65.43%
EBIT Next 3Y23.86%
EBIT Next 5YN/A
FCF growth 1Y-8.89%
FCF growth 3Y-4.05%
FCF growth 5Y43.33%
OCF growth 1Y18.87%
OCF growth 3Y3.43%
OCF growth 5Y14.57%