DMC GLOBAL INC Stock Analysis, Valuation (NASDAQ:BOOM)

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$41.75 $0.45 (1.09%) BOOM stock closing price Aug 17, 2018 (Closing)

Watch the robo advisor video of DMC GLOBAL INC stock analysis on Amigobulls. This is our analyst opinion covering the buy and sell arguments for BOOM stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

DMC GLOBAL INC Stock Rating 1.6/5

Amigobulls BOOM stock analysis takes into account various financial ratios like relative valuation, DMC GLOBAL INC revenue, growth and return on equity based on latest quarter 2018 Q2 financial statements. We also check DMC GLOBAL INC dividend performance. DMC GLOBAL INC valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. DMC GLOBAL INC stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy BOOM stock?

  • DMC GLOBAL INC's revenue growth came in at 71.5% in 2018-06.
  • The company saw a significant growth in revenue with a 5 year CAGR of 4.3.
  • With a debt/equity ratio of 0.3, DMC GLOBAL INC is comparatively less leveraged than its peers in the Industrial Products sector.

Should you sell BOOM stock?

  • DMC GLOBAL INC had an unimpressive average operating margin of 1.41 during the Last Twelve Months (LTM).
  • DMC GLOBAL INC registered an average TTM Net loss of -2.2%.
  • Cash flow from operations is 0.2198 times net income which is a negative signal.
  • Trading at a PE ratio of 33.4, BOOM stock is overvalued in comparison to sector average multiple of 20.5.
  • The company is trading at a price to sales multiple of 2.4, which is overvalued in comparison to the Industrial Products sector average multiple of 1.4.
  • -24.2's negative ROIC of -24.2 indicates operational inefficiency.
  • DMC GLOBAL INC has a negative return on equity of -5.2. This indicates that the firm is inefficient at generating profits.
  • The company has negative Free Cash Flows (FCF), with a negative FCF margin of -11.8.

Comments on this video and DMC GLOBAL INC stock

Investors can make use of the Amigobulls DMC GLOBAL INC stock analysis to ascertain how BOOM stock fares in fundamental analysis investment criteria. Fundamentals of a company give detailed information which helps in making invesment decisions.

Among the financials of the company, DMC GLOBAL INC revenue growth along with the profit or net income give a clear picture of the financial health. One can also combine technical analysis and fundamental analysis to get a holistic picture about BOOM stock.