Darktrace plc
Darktrace plc Fundamental Analysis
Darktrace plc (DRKTF) shows moderate financial fundamentals with a PE ratio of 33.60, profit margin of 10.24%, and ROE of 20.38%. The company generates $0.6B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 65.2/100 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 DRKTF's fundamental strength across five key dimensions:
Efficiency Score
WeakDRKTF struggles to generate sufficient returns from assets.
Valuation Score
ModerateDRKTF shows balanced valuation metrics.
Growth Score
ModerateDRKTF shows steady but slowing expansion.
Financial Health Score
ExcellentDRKTF maintains a strong and stable balance sheet.
Profitability Score
ModerateDRKTF maintains healthy but balanced margins.
Key Financial Metrics
Is DRKTF Expensive or Cheap?
P/E Ratio
DRKTF trades at 33.60 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, DRKTF's PEG of 0.34 indicates potential undervaluation.
Price to Book
The market values Darktrace plc at 7.53 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 27.35 times EBITDA. This signals the market has high growth expectations.
How Well Does DRKTF Make Money?
Net Profit Margin
For every $100 in sales, Darktrace plc keeps $10.24 as profit after all expenses.
Operating Margin
Core operations generate 6.60 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $20.38 in profit for every $100 of shareholder equity.
ROA
Darktrace plc generates $7.85 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Darktrace plc generates strong operating cash flow of $145.34M, reflecting robust business health.
Free Cash Flow
Darktrace plc generates strong free cash flow of $118.62M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.19 in free cash annually.
FCF Yield
DRKTF converts 6.37% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
33.60
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.34
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.53
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.34
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.22
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.28
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.20
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How DRKTF Stacks Against Its Sector Peers
| Metric | DRKTF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 33.60 | 35.62 | Neutral |
| ROE | 20.38% | 1160.00% | Weak |
| Net Margin | 10.24% | -136515.00% (disorted) | Strong |
| Debt/Equity | 0.22 | 0.39 | Strong (Low Leverage) |
| Current Ratio | 1.28 | 4.79 | Neutral |
| ROA | 7.85% | -311498.00% (disorted) | Weak |
DRKTF outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Darktrace plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Growth, Innovation, High Beta
EPS CAGR
N/A
Industry Style: Growth, Innovation, High Beta
FCF CAGR
N/A
Industry Style: Growth, Innovation, High Beta