DOUGLAS DYNAMICS INC (PLOW)
US25960R1059 - Common Stock
PLOW gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 131 industry peers in the Machinery industry. There are concerns on the financial health of PLOW while its profitability can be described as average. PLOW is valued quite cheap, while showing a decent growth score. This is a good combination! Finally PLOW also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
PLOW had positive earnings in the past year.
PLOW had a positive operating cash flow in the past year.
PLOW had positive earnings in 4 of the past 5 years.
Each year in the past 5 years PLOW had a positive operating cash flow.
1.2 Ratios
PLOW has a better Return On Assets (6.96%) than 66.93% of its industry peers.
Looking at the Return On Equity, with a value of 17.77%, PLOW is in the better half of the industry, outperforming 77.17% of the companies in the same industry.
PLOW's Return On Invested Capital of 5.85% is in line compared to the rest of the industry. PLOW outperforms 44.09% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PLOW is below the industry average of 11.22%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.96% | ||
| ROE | 17.77% | ||
| ROIC | 5.85% |
ROA(3y)5.28%
ROA(5y)1.55%
ROE(3y)13.61%
ROE(5y)2.61%
ROIC(3y)8.43%
ROIC(5y)8.97%
1.3 Margins
PLOW has a Profit Margin (7.07%) which is in line with its industry peers.
In the last couple of years the Profit Margin of PLOW has declined.
Looking at the Operating Margin, with a value of 6.43%, PLOW is in line with its industry, outperforming 43.31% of the companies in the same industry.
In the last couple of years the Operating Margin of PLOW has declined.
PLOW's Gross Margin of 24.36% is on the low side compared to the rest of the industry. PLOW is outperformed by 66.14% of its industry peers.
PLOW's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.43% | ||
| PM (TTM) | 7.07% | ||
| GM | 24.36% |
OM growth 3Y-10.36%
OM growth 5Y-10.83%
PM growth 3YN/A
PM growth 5Y-12.76%
GM growth 3Y-4.01%
GM growth 5Y-4.37%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PLOW is destroying value.
The number of shares outstanding for PLOW has been increased compared to 1 year ago.
The number of shares outstanding for PLOW has been increased compared to 5 years ago.
The debt/assets ratio for PLOW is higher compared to a year ago.
2.2 Solvency
PLOW has an Altman-Z score of 2.49. This is not the best score and indicates that PLOW is in the grey zone with still only limited risk for bankruptcy at the moment.
PLOW has a worse Altman-Z score (2.49) than 60.63% of its industry peers.
The Debt to FCF ratio of PLOW is 5.84, which is a neutral value as it means it would take PLOW, 5.84 years of fcf income to pay off all of its debts.
PLOW has a Debt to FCF ratio of 5.84. This is comparable to the rest of the industry: PLOW outperforms 48.82% of its industry peers.
PLOW has a Debt/Equity ratio of 0.82. This is a neutral value indicating PLOW is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.82, PLOW is not doing good in the industry: 75.59% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 5.84 | ||
| Altman-Z | 2.49 |
ROIC/WACC0.59
WACC9.84%
2.3 Liquidity
A Current Ratio of 2.14 indicates that PLOW has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.14, PLOW is in line with its industry, outperforming 51.97% of the companies in the same industry.
A Quick Ratio of 1.13 indicates that PLOW should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.13, PLOW is in line with its industry, outperforming 40.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.14 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
PLOW shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.02%.
The earnings per share for PLOW have been decreasing by -13.37% on average. This is quite bad
PLOW shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.30%.
Measured over the past years, PLOW shows a small growth in Revenue. The Revenue has been growing by 1.63% on average per year.
EPS 1Y (TTM)-6.02%
EPS 3Y-5.63%
EPS 5Y-13.37%
EPS Q2Q%-4%
Revenue 1Y (TTM)10.3%
Revenue growth 3Y5.77%
Revenue growth 5Y1.63%
Sales Q2Q%-10.2%
3.2 Future
The Earnings Per Share is expected to grow by 31.64% on average over the next years. This is a very strong growth
PLOW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.67% yearly.
EPS Next Y40.42%
EPS Next 2Y40.31%
EPS Next 3Y31.64%
EPS Next 5YN/A
Revenue Next Year-5.31%
Revenue Next 2Y0.71%
Revenue Next 3Y2.67%
Revenue Next 5YN/A
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 19.10, which indicates a rather expensive current valuation of PLOW.
Based on the Price/Earnings ratio, PLOW is valued a bit cheaper than 67.72% of the companies in the same industry.
PLOW's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.17.
PLOW is valuated correctly with a Price/Forward Earnings ratio of 12.13.
Based on the Price/Forward Earnings ratio, PLOW is valued cheaply inside the industry as 86.61% of the companies are valued more expensively.
PLOW is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.1 | ||
| Fwd PE | 12.13 |
4.2 Price Multiples
PLOW's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PLOW is cheaper than 71.65% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PLOW indicates a rather cheap valuation: PLOW is cheaper than 84.25% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.08 | ||
| EV/EBITDA | 11.1 |
4.3 Compensation for Growth
PLOW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PLOW's earnings are expected to grow with 31.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.47
PEG (5Y)N/A
EPS Next 2Y40.31%
EPS Next 3Y31.64%
5. Dividend
5.1 Amount
PLOW has a Yearly Dividend Yield of 4.99%, which is a nice return.
PLOW's Dividend Yield is rather good when compared to the industry average which is at 1.67. PLOW pays more dividend than 98.43% of the companies in the same industry.
PLOW's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.99% |
5.2 History
The dividend of PLOW has a limited annual growth rate of 2.13%.
PLOW has paid a dividend for at least 10 years, which is a reliable track record.
PLOW has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.13%
Div Incr Years13
Div Non Decr Years13
5.3 Sustainability
58.87% of the earnings are spent on dividend by PLOW. This is a bit on the high side, but may be sustainable.
The dividend of PLOW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP58.87%
EPS Next 2Y40.31%
EPS Next 3Y31.64%
DOUGLAS DYNAMICS INC
NYSE:PLOW (1/2/2025, 9:58:03 AM)
23.88
+0.25 (+1.06%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners92.74%
Inst Owner Change-2.97%
Ins Owners1.95%
Ins Owner Change2.54%
Market Cap551.39M
Analysts80
Price Target32.98 (38.11%)
Short Float %1.85%
Short Ratio2.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.99% |
Dividend Growth(5Y)2.13%
DP58.87%
Div Incr Years13
Div Non Decr Years13
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)39.79%
Min EPS beat(2)13.85%
Max EPS beat(2)65.72%
EPS beat(4)3
Avg EPS beat(4)3.83%
Min EPS beat(4)-68.43%
Max EPS beat(4)65.72%
EPS beat(8)5
Avg EPS beat(8)-38.85%
EPS beat(12)8
Avg EPS beat(12)-21.66%
EPS beat(16)11
Avg EPS beat(16)-5.8%
Revenue beat(2)1
Avg Revenue beat(2)-1.46%
Min Revenue beat(2)-10.15%
Max Revenue beat(2)7.23%
Revenue beat(4)2
Avg Revenue beat(4)-6.73%
Min Revenue beat(4)-26.53%
Max Revenue beat(4)7.23%
Revenue beat(8)3
Avg Revenue beat(8)-7.55%
Revenue beat(12)7
Avg Revenue beat(12)-2.42%
Revenue beat(16)10
Avg Revenue beat(16)0.51%
PT rev (1m)0%
PT rev (3m)-9.35%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-45.29%
EPS NY rev (1m)0%
EPS NY rev (3m)-10.99%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.1 | ||
| Fwd PE | 12.13 | ||
| P/S | 0.84 | ||
| P/FCF | 15.08 | ||
| P/OCF | 12.72 | ||
| P/B | 2.11 | ||
| P/tB | 17 | ||
| EV/EBITDA | 11.1 |
EPS(TTM)1.25
EY5.23%
EPS(NY)1.97
Fwd EY8.24%
FCF(TTM)1.58
FCFY6.63%
OCF(TTM)1.88
OCFY7.86%
SpS28.36
BVpS11.29
TBVpS1.41
PEG (NY)0.47
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.96% | ||
| ROE | 17.77% | ||
| ROCE | 8.13% | ||
| ROIC | 5.85% | ||
| ROICexc | 5.94% | ||
| ROICexgc | 9.83% | ||
| OM | 6.43% | ||
| PM (TTM) | 7.07% | ||
| GM | 24.36% | ||
| FCFM | 5.58% |
ROA(3y)5.28%
ROA(5y)1.55%
ROE(3y)13.61%
ROE(5y)2.61%
ROIC(3y)8.43%
ROIC(5y)8.97%
ROICexc(3y)8.92%
ROICexc(5y)9.54%
ROICexgc(3y)18.66%
ROICexgc(5y)22.87%
ROCE(3y)10.65%
ROCE(5y)11.21%
ROICexcg growth 3Y-12.65%
ROICexcg growth 5Y-18.66%
ROICexc growth 3Y-6.86%
ROICexc growth 5Y-6.92%
OM growth 3Y-10.36%
OM growth 5Y-10.83%
PM growth 3YN/A
PM growth 5Y-12.76%
GM growth 3Y-4.01%
GM growth 5Y-4.37%
F-Score7
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 5.84 | ||
| Debt/EBITDA | 3.46 | ||
| Cap/Depr | 34.77% | ||
| Cap/Sales | 1.04% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 70.35% | ||
| Profit Quality | 78.92% | ||
| Current Ratio | 2.14 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 2.49 |
F-Score7
WACC9.84%
ROIC/WACC0.59
Cap/Depr(3y)53.76%
Cap/Depr(5y)58.94%
Cap/Sales(3y)1.96%
Cap/Sales(5y)2.18%
Profit Quality(3y)80.46%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.02%
EPS 3Y-5.63%
EPS 5Y-13.37%
EPS Q2Q%-4%
EPS Next Y40.42%
EPS Next 2Y40.31%
EPS Next 3Y31.64%
EPS Next 5YN/A
Revenue 1Y (TTM)10.3%
Revenue growth 3Y5.77%
Revenue growth 5Y1.63%
Sales Q2Q%-10.2%
Revenue Next Year-5.31%
Revenue Next 2Y0.71%
Revenue Next 3Y2.67%
Revenue Next 5YN/A
EBIT growth 1Y-14.07%
EBIT growth 3Y-5.19%
EBIT growth 5Y-9.38%
EBIT Next Year23.19%
EBIT Next 3Y18.23%
EBIT Next 5YN/A
FCF growth 1Y598.81%
FCF growth 3Y-63.13%
FCF growth 5Y-47.42%
OCF growth 1Y683.83%
OCF growth 3Y-38.41%
OCF growth 5Y-26.51%