Dorchester Minerals, L.P. Fundamental Analysis (NASDAQ: DMLP)
Dorchester Minerals, L.P. Fundamental Analysis (NASDAQ: DMLP)
Dorchester Minerals, L.P. (NASDAQ: DMLP) shows moderate financial fundamentals with a PE ratio of 15.39, profit margin of 45.68%, and ROE of 28.25%. The company generates $0.2B in annual revenue with weak year-over-year growth of -5.38%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 64.4/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze DMLP's fundamental strength across five key dimensions:
Efficiency Score
ExcellentDMLP demonstrates superior asset utilization.
Valuation Score
ModerateDMLP shows balanced valuation metrics.
Growth Score
WeakDMLP faces weak or negative growth trends.
Financial Health Score
ExcellentDMLP maintains a strong and stable balance sheet.
Profitability Score
ExcellentDMLP achieves industry-leading margins.
Key Financial Metrics
Is DMLP Expensive or Cheap?
P/E Ratio
DMLP trades at 15.39 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, DMLP's PEG of 6.81 indicates potential overvaluation.
Price to Book
The market values Dorchester Minerals, L.P. at 4.43 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 8.89 times EBITDA. This is generally considered low.
How Well Does DMLP Make Money?
Net Profit Margin
For every $100 in sales, Dorchester Minerals, L.P. keeps $45.68 as profit after all expenses.
Operating Margin
Core operations generate 54.29 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $28.25 in profit for every $100 of shareholder equity.
ROA
Dorchester Minerals, L.P. generates $27.96 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Dorchester Minerals, L.P. generates strong operating cash flow of $156.69M, reflecting robust business health.
Free Cash Flow
Dorchester Minerals, L.P. generates strong free cash flow of $156.69M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.25 in free cash annually.
FCF Yield
DMLP converts 11.69% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.39
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
6.81
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.43
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.99
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.01
vs 25 benchmark
Current Ratio
Current assets to current liabilities
13.85
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.28
vs 25 benchmark
ROA
Return on assets percentage
0.28
vs 25 benchmark
ROCE
Return on capital employed
0.34
vs 25 benchmark
How DMLP Stacks Against Its Sector Peers
| Metric | DMLP Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.39 | 21.78 | Better (Cheaper) |
| ROE | 28.25% | 1231.00% | Weak |
| Net Margin | 45.68% | 1251.00% | Weak |
| Debt/Equity | 0.01 | 2.78 | Strong (Low Leverage) |
| Current Ratio | 13.85 | 5.46 | Strong Liquidity |
| ROA | 27.96% | 4417.00% | Weak |
DMLP outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Dorchester Minerals, L.P.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
137.01%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
90.87%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
144.67%
Industry Style: Cyclical, Value, Commodity
High Growth