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Danieli & C. Officine Meccaniche

BIT:DAN
Snowflake Description

Good value with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
DAN
BIT
€1B
Market Cap
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Last updated 2019/07/16 20:42
Company description

Danieli & C. Officine Meccaniche S.p.A. designs, constructs, and sells plants for the iron and steel industry worldwide. The last earnings update was 132 days ago. More info.

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DAN Share Price and Events
7 Day Returns
-1.8%
BIT:DAN
-2.7%
IT Machinery
0.7%
IT Market
1 Year Returns
-27%
BIT:DAN
-19.8%
IT Machinery
-0.3%
IT Market
DAN Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Danieli & C. Officine Meccaniche (DAN) -1.8% -2.9% -10% -27% -3.7% -24.1%
IT Machinery -2.7% -1.2% -8.9% -19.8% 53.2% 63.3%
IT Market 0.7% 5.5% 0% -0.3% 8.9% -29.4%
1 Year Return vs Industry and Market
  • DAN underperformed the Machinery industry which returned -19.8% over the past year.
  • DAN underperformed the Market in Italy which returned -0.3% over the past year.
Price Volatility
DAN
Industry
5yr Volatility vs Market

Value

 Is Danieli & C. Officine Meccaniche undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Danieli & C. Officine Meccaniche to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Danieli & C. Officine Meccaniche.

BIT:DAN Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 6 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 15.1%
Perpetual Growth Rate 10-Year IT Government Bond Rate 2.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BIT:DAN
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IT Govt Bond Rate 2.9%
Equity Risk Premium S&P Global 9%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.09
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.085 (1 + (1- 24%) (51.93%)) 		1.344
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)		 1.34
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.93% + (1.344 * 9.02%) 		15.06%

Discounted Cash Flow Calculation for BIT:DAN using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Danieli & C. Officine Meccaniche is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

BIT:DAN DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 15.06%)
2020 48.00 Analyst x2 41.72
2021 125.48 Analyst x4 94.78
2022 183.81 Est @ 46.49% 120.67
2023 245.25 Est @ 33.42% 139.93
2024 304.78 Est @ 24.28% 151.14
2025 359.26 Est @ 17.87% 154.84
2026 407.37 Est @ 13.39% 152.60
2027 449.15 Est @ 10.25% 146.23
2028 485.34 Est @ 8.06% 137.33
2029 516.99 Est @ 6.52% 127.14
Present value of next 10 years cash flows €1,266.39
BIT:DAN DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= €516.99 × (1 + 2.93%) ÷ (15.06% – 2.93%) 		€4,389.02
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €4,389.02 ÷ (1 + 15.06%)10 		€1,079.37
BIT:DAN Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €1,266.39 + €1,079.37 		€2,345.76
Equity Value per Share
(EUR)		 = Total value / Shares Outstanding
= €2,345.76 / 74.40 		€31.53
BIT:DAN Discount to Share Price
Calculation Result
Value per share (EUR) From above. €31.53
Current discount Discount to share price of €16.02
= -1 x (€16.02 - €31.53) / €31.53 		49.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Danieli & C. Officine Meccaniche is available for.
Intrinsic value
49%
Share price is €16.02 vs Future cash flow value of €31.53
Current Discount Checks
For Danieli & C. Officine Meccaniche to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Danieli & C. Officine Meccaniche's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Danieli & C. Officine Meccaniche's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Danieli & C. Officine Meccaniche's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Danieli & C. Officine Meccaniche's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BIT:DAN PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in EUR €0.93
BIT:DAN Share Price ** BIT (2019-07-16) in EUR €16.02
Italy Machinery Industry PE Ratio Median Figure of 16 Publicly-Listed Machinery Companies 15.99x
Italy Market PE Ratio Median Figure of 240 Publicly-Listed Companies 16.05x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Danieli & C. Officine Meccaniche.

BIT:DAN PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BIT:DAN Share Price ÷ EPS (both in EUR)

= 16.02 ÷ 0.93

 17.18x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Danieli & C. Officine Meccaniche is overvalued based on earnings compared to the IT Machinery industry average.
  • Danieli & C. Officine Meccaniche is overvalued based on earnings compared to the Italy market.
Price based on expected Growth
Does Danieli & C. Officine Meccaniche's expected growth come at a high price?
Raw Data
BIT:DAN PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 17.18x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts		 19.8%per year
Italy Machinery Industry PEG Ratio Median Figure of 13 Publicly-Listed Machinery Companies 0.8x
Italy Market PEG Ratio Median Figure of 161 Publicly-Listed Companies 1.35x

*Line of best fit is calculated by linear regression .

BIT:DAN PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 17.18x ÷ 19.8%

 0.87x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Danieli & C. Officine Meccaniche is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Danieli & C. Officine Meccaniche's assets?
Raw Data
BIT:DAN PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in EUR €24.99
BIT:DAN Share Price * BIT (2019-07-16) in EUR €16.02
Italy Machinery Industry PB Ratio Median Figure of 22 Publicly-Listed Machinery Companies 1.6x
Italy Market PB Ratio Median Figure of 324 Publicly-Listed Companies 1.5x
BIT:DAN PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BIT:DAN Share Price ÷ Book Value per Share (both in EUR)

= 16.02 ÷ 24.99

 0.64x

* Primary Listing of Danieli & C. Officine Meccaniche.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Danieli & C. Officine Meccaniche is good value based on assets compared to the IT Machinery industry average.
Show me more potentially undervalued companies in the Machinery industry
X
Value checks
We assess Danieli & C. Officine Meccaniche's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
    5. Danieli & C. Officine Meccaniche has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Danieli & C. Officine Meccaniche expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
19.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Danieli & C. Officine Meccaniche expected to grow at an attractive rate?
  • Danieli & C. Officine Meccaniche's earnings growth is expected to exceed the low risk savings rate of 2.9%.
Growth vs Market Checks
  • Danieli & C. Officine Meccaniche's earnings growth is expected to exceed the Italy market average.
  • Danieli & C. Officine Meccaniche's revenue growth is expected to exceed the Italy market average.
Annual Growth Rates Comparison
Raw Data
BIT:DAN Future Growth Rates Data Sources
Data Point Source Value (per year)
BIT:DAN Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts 19.8%
BIT:DAN Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 5.8%
Italy Machinery Industry Earnings Growth Rate Market Cap Weighted Average 12.4%
Italy Machinery Industry Revenue Growth Rate Market Cap Weighted Average 5.8%
Italy Market Earnings Growth Rate Market Cap Weighted Average 8.9%
Italy Market Revenue Growth Rate Market Cap Weighted Average 3.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BIT:DAN Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BIT:DAN Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-06-30 3,156 239 121 5
2020-06-30 3,000 234 109 6
2019-06-30 2,883 211 85 6
BIT:DAN Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2018-12-31 2,503 78 69
2018-09-30 2,555 48 64
2018-06-30 2,607 19 58
2018-03-31 2,636 48 46
2017-12-31 2,665 77 33
2017-09-30 2,647 82 42
2017-06-30 2,630 87 51
2017-03-31 3,707 132 79
2016-12-31 3,437 117 82
2016-09-30 3,383 100 85
2016-06-30 3,275 53 88
2016-03-31 2,484 18 94

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Danieli & C. Officine Meccaniche's earnings are expected to grow by 19.8% yearly, however this is not considered high growth (20% yearly).
  • Danieli & C. Officine Meccaniche's revenue is expected to grow by 5.8% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BIT:DAN Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below

All data from Danieli & C. Officine Meccaniche Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BIT:DAN Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-06-30 1.52 1.92 1.10 4.00
2020-06-30 1.44 1.85 0.97 6.00
2019-06-30 1.09 1.28 0.86 6.00
BIT:DAN Past Financials Data
Date (Data in EUR Millions) EPS *
2018-12-31 0.93
2018-09-30 0.86
2018-06-30 0.78
2018-03-31 0.62
2017-12-31 0.45
2017-09-30 0.56
2017-06-30 0.68
2017-03-31 1.06
2016-12-31 1.10
2016-09-30 1.15
2016-06-30 1.19
2016-03-31 1.26

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Danieli & C. Officine Meccaniche is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Show me more growth companies in the Machinery industry
X
Future performance checks
We assess Danieli & C. Officine Meccaniche's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Italy market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Italy market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Danieli & C. Officine Meccaniche has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Danieli & C. Officine Meccaniche performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Danieli & C. Officine Meccaniche's growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Danieli & C. Officine Meccaniche's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Danieli & C. Officine Meccaniche's 1-year earnings growth exceeds its 5-year average (109.2% vs -27.2%)
  • Danieli & C. Officine Meccaniche's earnings growth has exceeded the IT Machinery industry average in the past year (109.2% vs 4.3%).
Earnings and Revenue History
Danieli & C. Officine Meccaniche's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Danieli & C. Officine Meccaniche Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BIT:DAN Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 2,502.55 69.39 484.92
2018-09-30 2,554.79 63.88 476.67
2018-06-30 2,607.03 58.37 468.42
2018-03-31 2,635.77 45.77 462.18
2017-12-31 2,664.54 33.17 455.94
2017-09-30 2,647.04 41.86 453.01
2017-06-30 2,629.54 50.54 450.07
2017-03-31 3,707.10 78.69 462.18
2016-12-31 3,436.83 82.10 451.28
2016-09-30 3,382.52 85.29 465.97
2016-06-30 3,275.35 88.31 467.93
2016-03-31 2,484.09 93.65 470.68
2015-12-31 2,493.54 140.83 480.16
2015-09-30 2,587.25 130.41 474.30
2015-06-30 2,731.49 161.80 466.94
2015-03-31 2,962.35 181.88 467.29
2014-12-31 3,073.89 156.62 448.22
2014-09-30 3,062.85 185.83 449.64
2014-06-30 2,986.99 153.46 437.09
2014-03-31 2,903.01 151.00 423.01
2013-12-31 2,797.06 148.12 439.98
2013-09-30 2,964.15 150.03 427.27
2013-06-30 2,937.69 162.52 428.56
2013-03-31 2,596.49 177.57 416.65
2012-12-31 2,512.06 171.90 404.49
2012-09-30 2,311.71 185.25 405.14

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Danieli & C. Officine Meccaniche has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Danieli & C. Officine Meccaniche used its assets less efficiently than the IT Machinery industry average last year based on Return on Assets.
  • Danieli & C. Officine Meccaniche's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Danieli & C. Officine Meccaniche's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Danieli & C. Officine Meccaniche has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Danieli & C. Officine Meccaniche's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Danieli & C. Officine Meccaniche's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Danieli & C. Officine Meccaniche is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Danieli & C. Officine Meccaniche's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Danieli & C. Officine Meccaniche's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 7.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Danieli & C. Officine Meccaniche Company Filings, last reported 6 months ago.

BIT:DAN Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 1,858.99 521.91 1,417.08
2018-09-30 1,858.99 521.91 1,417.08
2018-06-30 1,853.02 475.63 1,384.93
2018-03-31 1,853.02 475.63 1,384.93
2017-12-31 1,825.23 553.92 1,504.43
2017-09-30 1,825.23 553.92 1,504.43
2017-06-30 1,817.83 501.29 1,631.56
2017-03-31 1,817.83 501.29 1,631.56
2016-12-31 1,815.54 578.05 1,769.75
2016-09-30 1,815.54 578.05 1,769.75
2016-06-30 1,777.16 566.47 1,841.86
2016-03-31 1,743.89 581.95 1,562.34
2015-12-31 1,742.23 510.87 1,548.62
2015-09-30 1,727.04 495.95 1,584.59
2015-06-30 1,713.74 459.83 1,687.07
2015-03-31 1,681.08 516.80 1,664.94
2014-12-31 1,599.22 463.17 1,597.19
2014-09-30 1,613.89 406.20 1,680.32
2014-06-30 1,548.40 392.91 1,634.58
2014-03-31 1,491.41 387.57 1,641.92
2013-12-31 1,459.46 401.96 1,660.24
2013-09-30 1,441.49 413.59 1,844.44
2013-06-30 1,427.27 437.81 1,834.04
2013-03-31 1,366.78 365.11 1,641.78
2012-12-31 1,330.88 340.69 1,688.68
2012-09-30 1,321.59 361.24 1,771.33
  • Danieli & C. Officine Meccaniche's level of debt (28.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (27.5% vs 28.1% today).
  • Debt is not well covered by operating cash flow (14.9%, less than 20% of total debt).
  • Danieli & C. Officine Meccaniche earns more interest than it pays, coverage of interest payments is not a concern.
Show me more healthy companies in the Machinery industry
X
Financial health checks
We assess Danieli & C. Officine Meccaniche's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
    7. Danieli & C. Officine Meccaniche has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Danieli & C. Officine Meccaniche's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.62%
Current annual income from Danieli & C. Officine Meccaniche dividends. Estimated to be 1.06% next year.
If you bought €2,000 of Danieli & C. Officine Meccaniche shares you are expected to receive €12 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Danieli & C. Officine Meccaniche's pays a lower dividend yield than the bottom 25% of dividend payers in Italy (2.07%).
  • Danieli & C. Officine Meccaniche's dividend is below the markets top 25% of dividend payers in Italy (4.43%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BIT:DAN Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
Italy Machinery Industry Average Dividend Yield Market Cap Weighted Average of 11 Stocks 2.1%
Italy Market Average Dividend Yield Market Cap Weighted Average of 185 Stocks 4%
Italy Minimum Threshold Dividend Yield 10th Percentile 1%
Italy Bottom 25% Dividend Yield 25th Percentile 2.1%
Italy Top 25% Dividend Yield 75th Percentile 4.4%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BIT:DAN Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2021-06-30 0.16 5.00
2020-06-30 0.18 6.00
2019-06-30 0.12 5.00
BIT:DAN Past Annualized Dividends Data
Date (Data in €) Dividend per share (annual) Avg. Yield (%)
2018-10-05 0.100 0.595
2018-09-25 0.100 0.436
2017-10-06 0.100 0.467
2017-09-26 0.100 0.457
2016-10-06 0.100 0.491
2016-09-27 0.100 0.578
2015-10-02 0.100 0.559
2015-09-24 0.100 0.576
2014-10-06 0.300 1.507
2014-09-25 0.300 1.469
2013-10-04 0.300 1.280
2013-09-25 0.300 1.410
2012-10-03 0.330 1.604
2012-09-24 0.330 1.678
2011-10-05 0.330 1.831
2011-09-27 0.330 2.107
2010-09-27 0.330 1.667
2009-10-16 0.225 1.329
2009-09-25 0.225 1.219
2008-10-17 0.250 2.739
2008-10-07 0.250 2.033
2008-09-26 0.250 1.805

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Danieli & C. Officine Meccaniche is not paying a notable dividend for Italy, therefore no need to check if the payments are stable.
  • Danieli & C. Officine Meccaniche is not paying a notable dividend for Italy, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Danieli & C. Officine Meccaniche's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Danieli & C. Officine Meccaniche's dividends as it is not paying a notable one for Italy.
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (9x coverage).
X
Income/ dividend checks
We assess Danieli & C. Officine Meccaniche's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Danieli & C. Officine Meccaniche afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
    7. Danieli & C. Officine Meccaniche has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Danieli & C. Officine Meccaniche's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Gianpietro Benedetti
COMPENSATION €664,000
AGE 77
CEO Bio

Mr. Gianpietro Benedetti serves as Chairman of Group Executive Board, Chairman of the Board and Chief Executive Officer at Danieli & C. Officine Meccaniche S.p.A. and has been its Member of Managing Board since October 27, 2006. Mr. Benedetti served as President and General Manager of Danieli & C. Officine Meccaniche S.p.A. He serves as an Independent Director of Banca Popolare Friuladria SpA and served as an Independent Director at Crédit Agricole FriulAdria SpA until December 13, 2018. He was a Director of Crédit Agricole FriulAdria SpA since April 20, 2013.

CEO Compensation
  • Gianpietro's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Gianpietro's remuneration is higher than average for companies of similar size in Italy.
Management Team

Gianpietro Benedetti

TITLE
Chairman
COMPENSATION
€664K
AGE
77

Giacomo Danieli

TITLE
CEO, Member of Group Executive Board & Director
COMPENSATION
€14K
AGE
39
TENURE
2.5 yrs

Carla de Colle

TITLE
Deputy Chairman of Group Executive Board & Director
COMPENSATION
€14K
AGE
76

Alessandro Trivillin

TITLE
CEO, Member of Group Executive Board & Director

Luca Ferraresi

TITLE
Chief Group Controller & Member of Group Executive Board

Alessandro Brussi

TITLE
Member of Group Executive Board & Director

Rolando Paolone

TITLE
Member of Group Executive Board

Antonello Mordeglia

TITLE
Member of Group Executive Board
TENURE
1.2 yrs
Board of Directors Tenure

Average tenure and age of the Danieli & C. Officine Meccaniche board of directors in years:

10.5
Average Tenure
59
Average Age
  • The average tenure for the Danieli & C. Officine Meccaniche board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Gianpietro Benedetti

TITLE
Chairman
COMPENSATION
€664K
AGE
77

Giacomo Danieli

TITLE
CEO, Member of Group Executive Board & Director
COMPENSATION
€14K
AGE
39
TENURE
10.5 yrs

Carla de Colle

TITLE
Deputy Chairman of Group Executive Board & Director
COMPENSATION
€14K
AGE
76
TENURE
16.5 yrs

Alessandro Trivillin

TITLE
CEO, Member of Group Executive Board & Director

Camilla Benedetti

TITLE
Deputy Chairman

Alessandro Brussi

TITLE
Member of Group Executive Board & Director

Davide Barbieri

TITLE
President of Board of Statutory Auditors
TENURE
1.5 yrs

Chiara Mio

TITLE
Director
COMPENSATION
€35K
AGE
55

Giulio Capocaccia

TITLE
Director

Gaetano Terrin

TITLE
Standing Auditor
COMPENSATION
€35K
AGE
59
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Danieli & C. Officine Meccaniche's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
    5. Danieli & C. Officine Meccaniche has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is There An Opportunity With Danieli & C. Officine Meccaniche S.p.A.'s (BIT:DAN) 49% Undervaluation?

A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 10-year free cash flow (FCF) estimate 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF (€, Millions) €48.0m €125.5m €183.8m €245.2m €304.8m €359.3m €407.4m €449.1m €485.3m €517.0m Growth Rate Estimate Source Analyst x2 Analyst x4 Est @ 46.49% Est @ 33.42% Est @ 24.28% Est @ 17.87% Est @ 13.39% Est @ 10.25% Est @ 8.06% Est @ 6.52% Present Value (€, Millions) Discounted @ 15.01% €41.7 €94.9 €120.8 €140.2 €151.5 €155.2 €153.0 €146.7 €137.8 €127.7 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= €1.3b After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 10-year government bond rate of 2.9%. … BIT:DAN Intrinsic value, July 9th 2019 Important assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St - –

Does Danieli & C. Officine Meccaniche S.p.A.'s (BIT:DAN) June Stock Price Reflect Its Future Growth?

Officine Meccaniche S.p.A.’s (BIT:DAN) fundamentals some investors are wondering if its last closing price of €16.22 represents a good value for money for this high growth stock. … Officine Meccaniche is trading at price-to-earnings (PE) ratio of 17.39x, which tells us the stock is overvalued based on current earnings compared to the Machinery industry average of 15.09x , and overvalued compared to the IT market average ratio of 15.7x. … Officine Meccaniche, we must incorporate its earnings growth in our valuation.

Simply Wall St - –

Why Danieli & C. Officine Meccaniche S.p.A.’s (BIT:DAN) Use Of Investor Capital Doesn’t Look Great

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Danieli & C. … Officine Meccaniche's Current Liabilities Impact Its ROCE Current liabilities include invoices, such as supplier payments, short-term debt, or a tax bill, that need to be paid within 12 months. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.

Simply Wall St - –

One Thing To Remember About The Danieli & C. Officine Meccaniche S.p.A. (BIT:DAN) Share Price

Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market. … Officine Meccaniche tends to moves up when the market is going up, and down when it's going down, potential investors may wish to reflect on the overall market, when considering the stock.

Simply Wall St - –

A Look At Danieli & C. Officine Meccaniche S.p.A.'s (BIT:DAN) Exceptional Fundamentals

Want to participate in a short research study? … Help shape the future of investing tools and you could win a $250 gift card! … Building up an investment case requires looking at a stock holistically.

Simply Wall St - –

Should You Think About Buying Danieli & C. Officine Meccaniche S.p.A. (BIT:DAN) Now?

saw a decent share price growth in the teens level on the BIT over the last few months. … With many analysts covering the stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price? … However, could the stock still be trading at a relatively cheap price.

Simply Wall St - –

Is It Too Late To Buy Danieli & C. Officine Meccaniche S.p.A. (BIT:DAN) At Its March Price?

Officine Meccaniche S.p.A. … Officine Meccaniche? … Officine Meccaniche is poised for extremely high earnings growth in the near future

Simply Wall St - –

Should Danieli & C. Officine Meccaniche S.p.A.’s (BIT:DAN) Weak Investment Returns Worry You?

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … What is Return On Capital Employed (ROCE)? … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.

Simply Wall St - –

Investors Who Bought Danieli & C. Officine Meccaniche Shares Five Years Ago Are Now Down 32%

(BIT:DAN) shareholders should be happy to see the share price up 11% in the last quarter. … In fact, the share price is down 32%, which falls well short of the return you could get by buying an index fund. … By comparing earnings per share (EPS) and and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time.

Simply Wall St - –

What Should Investors Know About Danieli & C. Officine Meccaniche S.p.A.'s (BIT:DAN) Future?

Want to participate in a short research study? … Help shape the future of investing tools and you could win a $250 gift card! … the consensus outlook from analysts appear highly confident,

Simply Wall St - –

Company Info

Description

Danieli & C. Officine Meccaniche S.p.A. designs, constructs, and sells plants for the iron and steel industry worldwide. It operates in two segments, Plant Making and Steel Making. The company designs and builds plants for various process areas, including mines; pellet production plants; blast furnaces; direct reduction; scrap shredders; steelworks for production of liquid steel; and continuous casting for blooms and billets, slabs, and thin slabs. It also designs and builds rolling mills for long products and seamless tubes; lines for welded tubes; hot and cold rolling mills for flat products; process lines for flat products; and plants for dimensional checking and for non-destructive quality control, and conditioning plants. In addition, the company offers plants for secondary processing, such as peeling, straightening, 2-roll reeling, and drawing machines; forging presses and manipulators, and forging plants; extrusion presses for ferrous and non-ferrous materials; plants for longitudinal cutting and for transversal cutting; plant automation systems; and cranes and lifting equipment. Further, it is involved in the production and sale of special steel comprising ingots, blooms, billets, and forged and rolled products; and structural steel comprising high carbon steel, as well as case-hardened, hardened and tempered, and surface hardened steel for use in various engineering components. The company was founded in 1914 and is headquartered in Buttrio, Italy.

Details
Name: Danieli & C. Officine Meccaniche S.p.A.
DAN
Exchange: BIT
Founded: 1914
€1,005,079,889
74,397,990
Website: http://www.danieli.com
Address: Danieli & C. Officine Meccaniche S.p.A.
Via Nazionale, 41,
Buttrio,
Udine, 33042,
Italy
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BIT DAN Ordinary Shares Borsa Italiana IT EUR 01. Jan 1992
DB DAS Ordinary Shares Deutsche Boerse AG DE EUR 01. Jan 1992
LSE 0APM Ordinary Shares London Stock Exchange GB EUR 01. Jan 1992
BATS-CHIXE DANM Ordinary Shares BATS 'Chi-X Europe' GB EUR 01. Jan 1992
OTCPK DNIY.Y ADR RPSTG 1 SH Pink Sheets LLC US USD 16. Apr 2010
BIT DANR Saving Shares Borsa Italiana IT EUR 02. Jan 1992
LSE 0N4I Saving Shares London Stock Exchange GB EUR 02. Jan 1992
BATS-CHIXE DANRM Saving Shares BATS 'Chi-X Europe' GB EUR 02. Jan 1992
Number of employees
Current staff
Staff numbers
9,562
Danieli & C. Officine Meccaniche employees.
Industry
Industrial Machinery
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/16 20:42
End of day share price update: 2019/07/16 00:00
Last estimates confirmation: 2019/07/08
Last earnings filing: 2019/03/06
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.

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