Davide Campari-Milano N.V.
Davide Campari-Milano N.V. Fundamental Analysis
Davide Campari-Milano N.V. (DVCMY) shows weak financial fundamentals with a PE ratio of 157.75, profit margin of 1.53%, and ROE of 1.24%. The company generates $3.0B in annual revenue with moderate year-over-year growth of 5.18%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 31.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze DVCMY's fundamental strength across five key dimensions:
Efficiency Score
WeakDVCMY struggles to generate sufficient returns from assets.
Valuation Score
ModerateDVCMY shows balanced valuation metrics.
Growth Score
ModerateDVCMY shows steady but slowing expansion.
Financial Health Score
ExcellentDVCMY maintains a strong and stable balance sheet.
Profitability Score
ModerateDVCMY maintains healthy but balanced margins.
Key Financial Metrics
Is DVCMY Expensive or Cheap?
P/E Ratio
DVCMY trades at 157.75 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, DVCMY's PEG of 0.55 indicates potential undervaluation.
Price to Book
The market values Davide Campari-Milano N.V. at 1.91 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.73 times EBITDA. This is generally considered low.
How Well Does DVCMY Make Money?
Net Profit Margin
For every $100 in sales, Davide Campari-Milano N.V. keeps $1.53 as profit after all expenses.
Operating Margin
Core operations generate 18.60 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.24 in profit for every $100 of shareholder equity.
ROA
Davide Campari-Milano N.V. generates $0.58 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Davide Campari-Milano N.V. produces operating cash flow of $623.89M, showing steady but balanced cash generation.
Free Cash Flow
Davide Campari-Milano N.V. produces free cash flow of $293.02M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.24 in free cash annually.
FCF Yield
DVCMY converts 3.97% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
157.75
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.55
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.91
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.42
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.66
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.22
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.01
vs 25 benchmark
ROA
Return on assets percentage
0.006
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How DVCMY Stacks Against Its Sector Peers
| Metric | DVCMY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 157.75 | 22.53 | Worse (Expensive) |
| ROE | 1.24% | 1238.00% | Weak |
| Net Margin | 1.53% | -6235.00% (disorted) | Weak |
| Debt/Equity | 0.66 | 1.25 | Strong (Low Leverage) |
| Current Ratio | 2.22 | 2.41 | Strong Liquidity |
| ROA | 0.58% | -157319.00% (disorted) | Weak |
DVCMY outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Davide Campari-Milano N.V.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
58.83%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
-37.68%
Industry Style: Defensive, Dividend, Low Volatility
DecliningFCF CAGR
76.09%
Industry Style: Defensive, Dividend, Low Volatility
High Growth