Complete DHX Stock Valuation Analysis
Comprehensive intrinsic value analysis using 3 different methodologies
DHX DCF Analysis
DHX (DHI Group, Inc.) discounted cash flow analysis with multiple scenarios, growth assumptions, and terminal value calculations
Financial Projections
| Metrics | 2022 (Historical) | 2023 (Historical) | 2024 (Historical) | 2025 (Projected) | 2026 (Projected) | 2027 (Projected) | 2028 (Projected) | 2029 (Projected) |
|---|---|---|---|---|---|---|---|---|
| Revenue | $149.7M | $151.9M | $141.9M | $147.0M | $151.7M | $156.1M | $160.2M | $163.9M |
| Revenue Growth % | - | 1.5% | -6.6% | 3.6% | 3.2% | 2.9% | 2.6% | 2.3% |
| EBIT | $5.6M | $6.3M | $6.3M | $7.3M | $7.6M | $7.8M | $8.0M | $8.2M |
| EBIT Margin % | 3.7% | 4.1% | 4.5% | 5.0% | 5.0% | 5.0% | 5.0% | 5.0% |
| Tax Rate % | 0.0% | 3.6% | 50.0% | 20.7% | 21.2% | 21.6% | 22.0% | 22.4% |
| NOPAT | $5.6M | $6.1M | $3.2M | $5.8M | $6.0M | $6.1M | $6.2M | $6.4M |
| NOPAT Margin % | 3.7% | 4.0% | 2.2% | 4.0% | 3.9% | 3.9% | 3.9% | 3.9% |
| Capex | $18.0M | $20.3M | $13.9M | $18.1M | $17.8M | $17.4M | $16.9M | $16.4M |
| Capex / Revenue % | 12.0% | 13.3% | 9.8% | 12.3% | 11.7% | 11.1% | 10.6% | 10.0% |
| Depreciation | $17.5M | $16.9M | $18.0M | $17.4M | $17.9M | $18.5M | $18.9M | $19.4M |
| D&A / Revenue % | 11.7% | 11.1% | 12.7% | 11.8% | 11.8% | 11.8% | 11.8% | 11.8% |
| Change in NWC | $-7.3M | $8.3M | $4.9M | $-545.3K | $-450.2K | $-370.6K | $-304.2K | $-249.1K |
| NWC Change / Revenue % | -4.9% | 5.5% | 3.5% | -0.4% | -0.3% | -0.2% | -0.2% | -0.2% |
| Unlevered FCF | $12.3M | $-5.6M | $2.3M | $5.7M | $6.6M | $7.6M | $8.6M | $9.6M |
| UFCF % Chg. | - | -145.1% | 140.8% | 148.6% | 17.2% | 14.8% | 12.9% | 11.3% |
| FCF / Revenue % | 8.2% | -3.7% | 1.6% | 3.8% | 4.4% | 4.9% | 5.4% | 5.8% |
| Discount Factor | - | - | - | 0.914 | 0.836 | 0.764 | 0.699 | 0.639 |
| Present Value of FCF | - | - | - | $5.2M | $5.5M | $5.8M | $6.0M | $6.1M |
| Sum of PV of UFCF | - | - | - | $5.2M | $10.7M | $16.5M | $22.5M | $28.6M |
WACC Calculation
Weighted Average Cost of Capital used for discounting cash flows.
| WACC Calculation | Value |
|---|---|
| Cost of Debt | 7.4% |
| Tax Rate | 20.7% |
| After Tax Cost of Debt | 5.9% |
| Risk Free Rate | 4.40% |
| Market Risk Premium | 4.3% |
| Beta | 1.44 |
| Cost of Equity | 10.6% |
| Total Debt | $42.6M |
| Market Cap | $116.8M |
| Total Capital | $159.4M |
| Debt Weighting | 26.7% |
| Equity Weighting | 73.3% |
| WACC | 9.4% |
Terminal Value
Choose between perpetuity growth or exit multiple methods.
| Terminal Value Calculation | Value |
|---|---|
| Terminal Growth Rate | 2.5% |
| Final Year FCF | $9.6M |
| Terminal Value | $142.5M |
| PV of Terminal Value | $91.1M |
| Cumulative PV of UFCF | $28.6M |
| Net Debt | $38.9M |
| Equity Value | $80.8M |
| Shares Outstanding | 45.1M |
| Implied Share Price | $2 |
| Current Share Price | $2 |
| Implied Upside/(Downside) | -25.2% |
Valuation Summary
$1.79
Implied Price
$2.40
Current Price
-25.2%
Upside/Downside
9.4%
WACC
DHX Peer Valuation Analysis
Relative valuation based on comparable company trading multiples
Peer Valuation Analysis
Fair Value Range Analysis
Based on median multiples from 8 peer companies in Industrials
P/E Ratio
$-2.23
-193.2%
Peer Median: 13.4x
EV/EBITDA
$2.57
+7.3%
Peer Median: 14.0x
P/S Ratio
$3.99
+66.4%
Peer Median: 1.4x
Interpretation: Each multiple provides a different perspective on fair value. Consider which multiple is most relevant for DHX's business model and current situation.
Multiple Comparison
| Multiple | DHX Current | Peer Median | Peer Average | Premium/Discount | Assessment |
|---|---|---|---|---|---|
| P/E Ratio | -14.4x | 13.4x | 13.0x | -207.3% | Undervalued |
| EV/EBITDA | 17.5x | 14.0x | 13.3x | 24.3% | Overvalued |
| P/S Ratio | 0.8x | 1.4x | 2.0x | -39.9% | Undervalued |
Peer Companies
Click any company to view their valuation
| Company | Market Cap | P/E Ratio | EV/EBITDA | P/S Ratio |
|---|---|---|---|---|
| $0.15B | 13.4x | 8.3x | 1.8x | |
| $0.12B | 0.0x | 0.0x | 0.7x | |
| $0.11B | 0.0x | 0.0x | 4.2x | |
| $0.12B | 0.0x | 17.5x | 0.8x | |
| $0.08B | 6.5x | 0.0x | 0.4x | |
| $0.05B | 0.0x | 0.0x | 0.6x | |
| $0.05B | 0.0x | 0.0x | 1.4x | |
| $2103.66B | 19.1x | 14.0x | 5.8x |
DHX Earnings Power Value (EPV)
Normalized earnings-based valuation for sustainable earning power assessment
Earnings Normalization
| Earnings Component | Amount ($B) | Description |
|---|---|---|
| Reported Earnings | 0.0 | Base earnings from financial statements |
| Normalized Earnings | 0.0 | Final normalized earning power |
One-time Items: Remove non-recurring gains/losses
Cyclical Adjustment: Normalize for economic cycle position
EPV Result
$0.07
EPV per Share
$2.40
Current Price
-96.9%
Upside/Downside
7.6%
WACC: 7.6% (calculated from market data)
Confidence: High
Normalized earnings approach
EPV Calculation Breakdown
Enterprise Value Calculation
| Normalized Earnings | $0.0B |
| Cost of Capital | 7.6% |
| Enterprise Value | $0.0B |
Per Share Value
| Enterprise Value | $0.0B |
| Shares Outstanding | 0.0B |
| EPV per Share | $0.07 |
WACC Components
| Cost of Equity | 9.2% |
| After-Tax Cost of Debt | 3.5% |
| Equity Weight | 71.7% |
| Debt Weight | 28.3% |
| WACC | 7.6% |