DCO

DucommunNYSE:DCO Stock Report

Market Cap

US$587.3m

7D

-2.8%

1Y

36.7%

Updated

16 Sep, 2021

Data

Company Financials +
DCO fundamental analysis
Snowflake Score
Valuation5/6
Future Growth3/6
Past Performance4/6
Financial Health4/6
Dividends0/6

DCO Overview

Ducommun Incorporated provides engineering and manufacturing products and services primarily to the aerospace and defense, industrial, medical, and other industries in the United States.

Ducommun Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Ducommun
Historical stock prices
Current Share PriceUS$49.27
52 Week HighUS$30.76
52 Week LowUS$65.40
Beta1.63
1 Month Change-7.27%
3 Month Change-6.35%
1 Year Change36.67%
3 Year Change25.98%
5 Year Change114.03%
Change since IPO1,807.23%

Recent News & Updates

Jun 13
At US$56.35, Is Ducommun Incorporated (NYSE:DCO) Worth Looking At Closely?

At US$56.35, Is Ducommun Incorporated (NYSE:DCO) Worth Looking At Closely?

Ducommun Incorporated ( NYSE:DCO ), is not the largest company out there, but it saw a double-digit share price rise of...

Jun 10

Ducommun (DCO) Presents At UBS Global Industrials and Transportation Conference - Slideshow

The following slide deck was published by Ducommun Incorporated in conjunction with this event.

May 31
Calculating The Fair Value Of Ducommun Incorporated (NYSE:DCO)

Calculating The Fair Value Of Ducommun Incorporated (NYSE:DCO)

Today we will run through one way of estimating the intrinsic value of Ducommun Incorporated ( NYSE:DCO ) by taking the...

Shareholder Returns

DCOUS Aerospace & DefenseUS Market
7D-2.8%-1.0%-0.6%
1Y36.7%17.7%33.7%

Return vs Industry: DCO exceeded the US Aerospace & Defense industry which returned 17.7% over the past year.

Return vs Market: DCO exceeded the US Market which returned 33.7% over the past year.

Price Volatility

Is DCO's price volatile compared to industry and market?
DCO volatility
DCO Beta1.63
Industry Beta1.06
Market Beta1

Stable Share Price: DCO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: DCO's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18492,450Steve Oswaldhttps://www.ducommun.com

Ducommun Incorporated provides engineering and manufacturing products and services primarily to the aerospace and defense, industrial, medical, and other industries in the United States. It operates through two segments, Electronic Systems and Structural Systems. The Electronic Systems segment provides cable assemblies and interconnect systems; printed circuit board assemblies; higher-level electronic, electromechanical, and mechanical components and assemblies, as well as lightning diversion systems; and radar enclosures, aircraft avionics racks, shipboard communications and control enclosures, shipboard communications and control enclosures, wire harnesses, surge suppressors, conformal shields, and other assemblies.

Valuation

Is Ducommun undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DCO ($49.27) is trading below our estimate of fair value ($251.25)

Significantly Below Fair Value: DCO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: DCO is good value based on its PE Ratio (18.8x) compared to the US Aerospace & Defense industry average (19.6x).

PE vs Market: DCO is poor value based on its PE Ratio (18.8x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: DCO is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: DCO is good value based on its PB Ratio (1.7x) compared to the US Aerospace & Defense industry average (3.1x).


Future Growth

How is Ducommun forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

22.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DCO's forecast earnings growth (22.1% per year) is above the savings rate (2%).

Earnings vs Market: DCO's earnings (22.1% per year) are forecast to grow faster than the US market (14.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: DCO's revenue (7.1% per year) is forecast to grow slower than the US market (9.7% per year).

High Growth Revenue: DCO's revenue (7.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if DCO's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Ducommun performed over the past 5 years?

39.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DCO has high quality earnings.

Growing Profit Margin: DCO's current net profit margins (5%) are higher than last year (4.4%).


Past Earnings Growth Analysis

Earnings Trend: DCO has become profitable over the past 5 years, growing earnings by 39.9% per year.

Accelerating Growth: DCO's earnings growth over the past year (4%) is below its 5-year average (39.9% per year).

Earnings vs Industry: DCO earnings growth over the past year (4%) exceeded the Aerospace & Defense industry 2.5%.


Return on Equity

High ROE: DCO's Return on Equity (9.1%) is considered low.


Financial Health

How is Ducommun's financial position?


Financial Position Analysis

Short Term Liabilities: DCO's short term assets ($410.6M) exceed its short term liabilities ($133.6M).

Long Term Liabilities: DCO's short term assets ($410.6M) exceed its long term liabilities ($350.0M).


Debt to Equity History and Analysis

Debt Level: DCO's debt to equity ratio (88.2%) is considered high.

Reducing Debt: DCO's debt to equity ratio has reduced from 90.5% to 88.2% over the past 5 years.

Debt Coverage: DCO's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: DCO's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


Dividend

What is Ducommun current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: DCO is not paying a notable dividend for the US market.


Future Payout to Shareholders

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


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure


CEO

Steve Oswald (57 yo)

4.67yrs

Tenure

US$4,977,507

Compensation

Mr. Stephen G. Oswald, also known as Steve, has been Chief Executive Officer and President at Ducommun Incorporated since January 23, 2017 and Chairman of the Board since May 2, 2018. Mr. Oswald served as...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD4.98M) is above average for companies of similar size in the US market ($USD1.69M).

Compensation vs Earnings: Steve's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: DCO's management team is considered experienced (4.3 years average tenure).


Board Members

Experienced Board: DCO's board of directors are considered experienced (3.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: DCO insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2%.


Top Shareholders

Company Information

Ducommun Incorporated's employee growth, exchange listings and data sources


Key Information

  • Name: Ducommun Incorporated
  • Ticker: DCO
  • Exchange: NYSE
  • Founded: 1849
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: US$587.314m
  • Shares outstanding: 11.92m
  • Website: https://www.ducommun.com

Number of Employees


Location

  • Ducommun Incorporated
  • 200 Sandpointe Avenue
  • Suite 700
  • Santa Ana
  • California
  • 92707-5759
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/16 22:49
End of Day Share Price2021/09/16 00:00
Earnings2021/07/03
Annual Earnings2020/12/31


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.