Ducommun Incorporated provides engineering and manufacturing products and services primarily to the aerospace and defense, industrial, medical, and other industries in the United States.
Undervalued with solid track record.
Share Price & News
How has Ducommun's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DCO's share price has been volatile over the past 3 months.
7 Day Return
US Aerospace & Defense
1 Year Return
US Aerospace & Defense
Return vs Industry: DCO exceeded the US Aerospace & Defense industry which returned -17.8% over the past year.
Return vs Market: DCO underperformed the US Market which returned 8.9% over the past year.
Price Volatility Vs. Market
How volatile is Ducommun's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StDucommun (NYSE:DCO) Takes On Some Risk With Its Use Of Debt
3 weeks ago | Simply Wall StIs Ducommun Incorporated's (NYSE:DCO) 11% ROE Better Than Average?
1 month ago | Simply Wall StDucommun Incorporated Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year
Is Ducommun undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: DCO ($39.86) is trading below our estimate of fair value ($50.73)
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 (14x) compared to the Aerospace & Defense industry average (14.9x).
PE vs Market: DCO is good value based on its PE Ratio (14x) compared to the US market (16.4x).
Price to Earnings Growth Ratio
PEG Ratio: DCO is poor value based on its PEG Ratio (1.2x)
Price to Book Ratio
PB vs Industry: DCO is good value based on its PB Ratio (1.5x) compared to the US Aerospace & Defense industry average (2.4x).
How is Ducommun forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DCO's forecast earnings growth (11.3% per year) is above the savings rate (2.2%).
Earnings vs Market: DCO's earnings (11.3% per year) are forecast to grow slower than the US market (22.3% per year).
High Growth Earnings: DCO's earnings are forecast to grow, but not significantly.
Revenue vs Market: DCO's revenue (3.3% per year) is forecast to grow slower than the US market (8.8% per year).
High Growth Revenue: DCO's revenue (3.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DCO's Return on Equity is forecast to be low in 3 years time (10.1%).
How has Ducommun performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DCO has high quality earnings.
Growing Profit Margin: DCO's current net profit margins (4.6%) are higher than last year (2.1%).
Past Earnings Growth Analysis
Earnings Trend: DCO's earnings have grown significantly by 47.7% per year over the past 5 years.
Accelerating Growth: DCO's earnings growth over the past year (137.6%) exceeds its 5-year average (47.7% per year).
Earnings vs Industry: DCO earnings growth over the past year (137.6%) exceeded the Aerospace & Defense industry 2.3%.
Return on Equity
High ROE: DCO's Return on Equity (10.9%) is considered low.
How is Ducommun's financial position?
Financial Position Analysis
Short Term Liabilities: DCO's short term assets ($396.8M) exceed its short term liabilities ($142.9M).
Long Term Liabilities: DCO's short term assets ($396.8M) exceed its long term liabilities ($396.5M).
Debt to Equity History and Analysis
Debt Level: DCO's debt to equity ratio (115.9%) is considered high.
Reducing Debt: DCO's debt to equity ratio has increased from 109.8% to 115.9% over the past 5 years.
Debt Coverage: DCO's debt is not well covered by operating cash flow (11.6%).
Interest Coverage: DCO's interest payments on its debt are well covered by EBIT (3.3x coverage).
What is Ducommun's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate DCO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate DCO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if DCO's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if DCO's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: DCO is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of DCO's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Steve Oswald (55yo)
Mr. Stephen G. Oswald, also known as Steve, has been Chief Executive Officer and President at Ducommun Incorporated since January 23, 2017 and Chairman of the Board since May 2, 2018. Mr. Oswald served as ...
CEO Compensation Analysis
Compensation vs Market: Steve's total compensation ($USD5.74M) is above average for companies of similar size in the US market ($USD2.15M).
Compensation vs Earnings: Steve's compensation has been consistent with company performance over the past year.
|VP, Controller||1yr||US$1.08m||0.17% $775.2k|
|Senior VP of Operations & Head of Ducommun Structures||3yrs||US$1.46m||0.31% $1.4m|
|VP & Chief Human Resources Officer||5.42yrs||US$1.12m||0.29% $1.4m|
|VP, General Counsel & Secretary||no data||no data||0.052% $241.7k|
Experienced Management: DCO's management team is considered experienced (3.2 years average tenure).
|Independent Director||7.25yrs||US$198.00k||0.15% $713.5k|
|Independent Director||35.42yrs||US$200.43k||3.56% $16.5m|
|Lead Independent Director||0.083yr||US$192.50k||0.24% $1.1m|
|Independent Director||7.25yrs||US$193.50k||0.15% $713.5k|
|Independent Director||11.33yrs||US$203.50k||0.26% $1.2m|
|Independent Director||1.67yrs||US$176.00k||0.026% $122.0k|
Experienced Board: DCO's board of directors are considered experienced (7.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: DCO insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Ducommun Incorporated's company bio, employee growth, exchange listings and data sources
- Name: Ducommun Incorporated
- Ticker: DCO
- Exchange: NYSE
- Founded: 1849
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: US$464.318m
- Shares outstanding: 11.65m
- Website: https://www.ducommun.com
Number of Employees
- Ducommun Incorporated
- 200 Sandpointe Avenue
- Suite 700
- Santa Ana
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|DCO||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Jan 1969|
|DUM||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Jan 1969|
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 offers 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, wire harnesses, surge suppressors, conformal shields, and other assemblies. It also supplies engineered products, including illuminated pushbutton switches and panels for aviation and test systems; microwave and millimeter switches and filters for radio frequency systems and test instrumentation; and motors and resolvers for motion control. In addition, this segment provides engineering expertise for aerospace system design, development, integration, and testing. The Structural Systems segment designs, engineers, and manufactures contoured aluminum, titanium, and Inconel aero structure components; structural assembly products, such as winglets, engine components, and fuselage structural panels; and metal and composite bonded structures and assemblies comprising aircraft wing spoilers, large fuselage skins, rotor blades on rotary-wing aircraft and components, flight control surfaces, and engine components. It serves commercial aircraft, military fixed-wing aircraft, military and commercial rotary-wing aircraft, and space programs, as well as industrial, medical, and other end-use markets. The company was founded in 1849 and is headquartered in Santa Ana, California.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/06/06 01:54|
|End of Day Share Price||2020/06/05 00:00|
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.