AIM:DX.

Stock Analysis Report

Executive Summary

DX (Group) plc, through its subsidiaries, provides parcel, freight, mail, and logistic services in the United Kingdom and the Republic of Ireland.

Snowflake

Fundamentals

Reasonable growth potential with mediocre balance sheet.

Share Price & News

How has DX (Group)'s share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.2%

DX.

2.9%

GB Logistics

1.1%

GB Market


1 Year Return

21.8%

DX.

4.6%

GB Logistics

2.7%

GB Market

Return vs Industry: DX. exceeded the UK Logistics industry which returned 4.6% over the past year.

Return vs Market: DX. exceeded the UK Market which returned 2.7% over the past year.


Shareholder returns

DX.IndustryMarket
7 Day-4.2%2.9%1.1%
30 Day-2.6%-3.3%-1.7%
90 Day-8.0%-1.0%-2.7%
1 Year21.8%21.8%7.8%4.6%7.8%2.7%
3 Year-29.3%-34.7%25.1%14.1%19.3%4.7%
5 Year-84.7%-87.6%57.2%35.5%38.0%8.1%

Price Volatility Vs. Market

How volatile is DX (Group)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is DX (Group) undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: DX. (£0.12) is trading below our estimate of fair value (£0.36)

Significantly Undervalued: DX. is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: DX. is unprofitable, so we can't compare its PE Ratio to the Logistics industry average.

PE vs Market: DX. is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate DX.'s PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: DX. is overvalued based on its PB Ratio (2.9x) compared to the XE Logistics industry average (2.4x).


Next Steps

Future Growth

How is DX (Group) forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

77.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DX. is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.2%).

Earnings vs Market: DX. is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: DX.'s loss is forecast to worsen by 0% next year.

Revenue vs Market: DX.'s revenue (3.2% per year) is forecast to grow slower than the UK market (3.8% per year).

High Growth Revenue: DX.'s revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: DX.'s Return on Equity is forecast to be high in 3 years time (23.2%)


Next Steps

Past Performance

How has DX (Group) performed over the past 5 years?

10.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: DX. is unprofitable, but has reduced losses over the past 5 years at a rate of 10.6% per year.

Accelerating Growth: Unable to compare DX.'s earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: DX. is unprofitable, making it difficult to compare its past year earnings growth to the Logistics industry (11.2%).


Return on Equity

High ROE: DX. has a negative Return on Equity (-10.59%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: DX. is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: DX. is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is DX (Group)'s financial position?


Financial Position Analysis

Short Term Liabilities: DX.'s short term assets (£45.0M) do not cover its short term liabilities (£59.4M)

Long Term Liabilities: DX.'s short term assets (45.0M) exceeds its long term liabilities (5.0M)


Debt to Equity History and Analysis

Debt Level: DX.'s debt to equity ratio (13.1%) is considered satisfactory

Reducing Debt: DX.'s debt to equity ratio has increased from 7.1% to 13.1% over the past 5 years.


Balance Sheet

Inventory Level: DX. has a low level of unsold assets or inventory.

Debt Coverage by Assets: DX.'s debt is covered by short term assets (assets are 14.516120x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: DX. has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: DX. has less than a year of cash runway if free cash flow continues to reduce at historical rates of -42.2% each year


Next Steps

Dividend

What is DX (Group)'s current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%2.0%markettop25%5.4%industryaverage3.0%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate DX.'s dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate DX.'s dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if DX.'s dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DX.'s dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: DX. is not paying a notable dividend for .


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DX.'s dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

What is the CEO of DX (Group)'s salary, the management and board of directors tenure and is there insider trading?

2.0yrs

Average management tenure


CEO

Lloyd J. Dunn 0

2yrs

Tenure

UK£321,282

Compensation

Mr. Lloyd J. C. Dunn has been Chief Executive Officer at DX (Group) plc since October 9, 2017. Mr. Dunn has 38 years of experience in the transportation industry. He joined as a founding member of Nightfre ...


CEO Compensation Analysis

Compensation vs. Market: Lloyd J. has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the UK market.

Compensation vs Earnings: Insufficient data to compare Lloyd J.'s compensation with company performance.


Management Age and Tenure

2.0yrs

Average Tenure

57.5yo

Average Age

Experienced Management: DX.'s management team is considered experienced (2 years average tenure).


Board Age and Tenure

2.0yrs

Average Tenure

Experienced Board: DX.'s board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUK£59,10303 Jul 19
Paul Goodson
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares500,000
Max PriceUK£0.12
BuyUK£39,90016 Apr 19
David Black
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares285,000
Max PriceUK£0.14

Ownership Breakdown


Management Team

  • Paul Murray (62yo)

    Consultant

    • Tenure: 2yrs
    • Compensation: UK£20.00k
  • David Mulligan (49yo)

    CFO, Company Secretary & Director

    • Tenure: 1.5yrs
    • Compensation: UK£232.72k
  • Keith Eden

    Chief Compliance Officer

    • Tenure: 0yrs
  • Ron Series (68yo)

    Executive Chairman

    • Tenure: 2yrs
    • Compensation: UK£264.95k
  • Lloyd J. Dunn

    CEO & Director

    • Tenure: 2yrs
    • Compensation: UK£321.28k
  • Daljit Basi (53yo)

    Finance Director

    • Tenure: 0yrs
  • Hugh Owens

    Chief People Officer

    • Tenure: 3.1yrs
  • Martin Illidge

    Managing Director of DX Express

    • Tenure: 0yrs
  • Zoe Pepper

    Chief Legal Officer & Company Secretary

    • Tenure: 0yrs
  • Paul Ibbetson

    Managing Director - DX Freight

    • Tenure: 0yrs

Board Members

  • Paul Goodson

    Independent Non-Executive Director

    • Tenure: 2yrs
    • Compensation: UK£29.00k
  • David Mulligan (49yo)

    CFO, Company Secretary & Director

    • Tenure: 1.5yrs
    • Compensation: UK£232.72k
  • Ron Series (68yo)

    Executive Chairman

    • Tenure: 2yrs
    • Compensation: UK£264.95k
  • Ian Gray

    Independent Non-Executive Director

    • Tenure: 2.3yrs
    • Compensation: UK£141.00k
  • Lloyd J. Dunn

    CEO & Director

    • Tenure: 2yrs
    • Compensation: UK£321.28k
  • David Black

    Independent Non-Executive Director

    • Tenure: 2yrs
    • Compensation: UK£29.00k

Company Information

DX (Group) plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: DX (Group) plc
  • Ticker: DX.
  • Exchange: AIM
  • Founded: 1975
  • Industry: Air Freight and Logistics
  • Sector: Transportation
  • Market Cap: UK£68.842m
  • Shares outstanding: 573.68m
  • Website: https://www.dxdelivery.com

Number of Employees


Location

  • DX (Group) plc
  • Ditton Park
  • Riding Court Road
  • Datchet
  • Berkshire
  • SL3 9LL
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DX.AIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPFeb 2014
4DXDB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 2014

Biography

DX (Group) plc, through its subsidiaries, provides parcel, freight, mail, and logistic services in the United Kingdom and the Republic of Ireland. It operates through two divisions, DX Freight and DX Expre ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 21:32
End of Day Share Price2019/10/14 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.