DHT Holdings, Inc.
DHT Holdings, Inc. Fundamental Analysis
DHT Holdings, Inc. (DHT) shows strong financial fundamentals with a PE ratio of 8.67, profit margin of 58.56%, and ROE of 29.14%. The company generates $0.6B in annual revenue with weak year-over-year growth of -13.04%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 45.8/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze DHT's fundamental strength across five key dimensions:
Efficiency Score
ExcellentDHT demonstrates superior asset utilization.
Valuation Score
ExcellentDHT trades at attractive valuation levels.
Growth Score
ModerateDHT shows steady but slowing expansion.
Financial Health Score
ExcellentDHT maintains a strong and stable balance sheet.
Profitability Score
ModerateDHT maintains healthy but balanced margins.
Key Financial Metrics
Is DHT Expensive or Cheap?
P/E Ratio
DHT trades at 8.67 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, DHT's PEG of 0.10 indicates potential undervaluation.
Price to Book
The market values DHT Holdings, Inc. at 2.33 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.54 times EBITDA. This is generally considered low.
How Well Does DHT Make Money?
Net Profit Margin
For every $100 in sales, DHT Holdings, Inc. keeps $58.56 as profit after all expenses.
Operating Margin
Core operations generate 50.08 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $29.14 in profit for every $100 of shareholder equity.
ROA
DHT Holdings, Inc. generates $18.57 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
DHT Holdings, Inc. generates strong operating cash flow of $316.20M, reflecting robust business health.
Free Cash Flow
DHT Holdings, Inc. generates weak or negative free cash flow of $-130.95M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.81 in free cash annually.
FCF Yield
DHT converts -4.53% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
8.67
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.33
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.08
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.41
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.83
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.29
vs 25 benchmark
ROA
Return on assets percentage
0.19
vs 25 benchmark
ROCE
Return on capital employed
0.17
vs 25 benchmark
How DHT Stacks Against Its Sector Peers
| Metric | DHT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 8.67 | 21.39 | Better (Cheaper) |
| ROE | 29.14% | 922.00% | Weak |
| Net Margin | 58.56% | -57637.00% (disorted) | Strong |
| Debt/Equity | 0.41 | -0.49 (disorted) | Distorted |
| Current Ratio | 1.83 | 5.04 | Neutral |
| ROA | 18.57% | -1987.00% (disorted) | Strong |
DHT outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews DHT Holdings, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-30.28%
Industry Style: Cyclical, Value, Commodity
DecliningEPS CAGR
-23.18%
Industry Style: Cyclical, Value, Commodity
DecliningFCF CAGR
-49.41%
Industry Style: Cyclical, Value, Commodity
Declining