NYSE:DY

Stock Analysis Report

Executive Summary

Dycom Industries, Inc. provides specialty contracting services in the United States.

Snowflake

Fundamentals

Moderate growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has Dycom Industries's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

7.8%

DY

3.5%

US Construction

1.0%

US Market


1 Year Return

-30.2%

DY

8.1%

US Construction

8.0%

US Market

Return vs Industry: DY underperformed the US Construction industry which returned 8.1% over the past year.

Return vs Market: DY underperformed the US Market which returned 8% over the past year.


Shareholder returns

DYIndustryMarket
7 Day7.8%3.5%1.0%
30 Day3.0%3.8%-0.07%
90 Day-5.0%2.6%-1.0%
1 Year-30.2%-30.2%9.0%8.1%10.4%8.0%
3 Year-40.2%-40.2%28.3%25.4%46.2%36.7%
5 Year79.5%79.5%25.3%21.0%64.3%46.2%

Price Volatility Vs. Market

How volatile is Dycom Industries's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

7.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DY ($51.2) is trading below our estimate of fair value ($55.03)

Significantly Below Fair Value: DY is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: DY is poor value based on its PE Ratio (26.8x) compared to the Construction industry average (17.7x).

PE vs Market: DY is poor value based on its PE Ratio (26.8x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

PEG Ratio: DY is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: DY is overvalued based on its PB Ratio (1.9x) compared to the US Construction industry average (1.7x).


Next Steps

Future Growth

How is Dycom Industries forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

29.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DY's forecast earnings growth (29.8% per year) is above the savings rate (2.7%).

Earnings vs Market: DY's earnings (29.8% per year) are forecast to grow faster than the US market (14.5% per year).

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

Revenue vs Market: DY's revenue (3.6% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: DY's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DY's Return on Equity is forecast to be low in 3 years time (11.6%).


Next Steps

Past Performance

How has Dycom Industries performed over the past 5 years?

7.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: DY's earnings have grown by 7.4% per year over the past 5 years.

Accelerating Growth: DY's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: DY had negative earnings growth (-48.4%) over the past year, making it difficult to compare to the Construction industry average (2.6%).


Return on Equity

High ROE: DY's Return on Equity (7%) is considered low.


Return on Assets

ROA vs Industry: DY's Return on Assets is below or equal to the Construction industry average last year.


Return on Capital Employed

ROCE Improving: DY's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Dycom Industries's financial position?


Financial Position Analysis

Short Term Liabilities: DY's short term assets ($1.3B) exceeds its short term liabilities ($357.0M)

Long Term Liabilities: DY's short term assets (1.3B) exceeds its long term liabilities (1.1B)


Debt to Equity History and Analysis

Debt Level: DY's debt to equity ratio (111.2%) is considered high

Reducing Debt: DY's debt to equity ratio has increased from 92.9% to 111.2% over the past 5 years.

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

Interest Coverage: DY's interest payments on its debt are not well covered by EBIT (2.4x coverage).


Balance Sheet

Inventory Level: DY has a high level of physical assets or inventory.

Debt Coverage by Assets: DY's debt is covered by short term assets (assets are 1.377910x debt).


Next Steps

Dividend

What is Dycom Industries's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.0%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate DY'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 DY's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Dycom Industries's salary, the management and board of directors tenure and is there insider trading?

1.1yrs

Average management tenure


CEO

Steve Nielsen (56yo)

20.6yrs

Tenure

US$3,873,949

Compensation

Mr. Steven E. Nielsen, also known as Steve, has been the Chief Executive Officer and President at Dycom Industries Inc. since March 1999 and August 1996 respectively. Mr. Nielsen serves as the Chairman at  ...


CEO Compensation Analysis

Compensation vs. Market: Steve's total compensation ($USD3.87M) is about average for companies of similar size in the US market ($USD4.07M).

Compensation vs Earnings: Steve's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

1.1yrs

Average Tenure

50yo

Average Age

Experienced Management: DY's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Age and Tenure

4.4yrs

Average Tenure

62yo

Average Age

Experienced Board: DY's board of directors are considered experienced (4.4 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Steve Nielsen (56yo)

    Chairman

    • Tenure: 20.6yrs
    • Compensation: US$3.87m
  • Timothy Estes (65yo)

    Executive VP & COO

    • Tenure: 18.1yrs
    • Compensation: US$2.38m
  • Ryan Urness (47yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 0.9yrs
  • Drew DeFerrari (50yo)

    Senior VP

    • Tenure: 11.5yrs
    • Compensation: US$1.64m
  • Rebecca Roach (44yo)

    Vice President of Business Process

    • Tenure: 0.9yrs
  • Sharon Villaverde (45yo)

    VP & Chief Accounting Officer

    • Tenure: 0.9yrs
  • Scott Horton (55yo)

    VP & Chief Human Resources Officer

    • Tenure: 1.1yrs
    • Compensation: US$1.15m

Board Members

  • Laurie Thomsen (62yo)

    Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$254.44k
  • Steve Nielsen (56yo)

    Chairman

    • Tenure: 20.6yrs
    • Compensation: US$3.87m
  • Dwight Duke (67yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$247.74k
  • Patricia Higgins (69yo)

    Independent Director

    • Tenure: 11.4yrs
    • Compensation: US$258.30k
  • Anders Gustafsson (59yo)

    Independent Director

    • Tenure: 5.9yrs
    • Compensation: US$236.26k
  • Steve Coley (74yo)

    Lead Director

    • Tenure: 0yrs
    • Compensation: US$262.76k
  • Eitan Gertel (57yo)

    Independent Director

    • Tenure: 3.7yrs
    • Compensation: US$245.55k
  • Richard Sykes (59yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: US$227.94k
  • Peter Pruitt (62yo)

    Independent Director

    • Tenure: 0.9yrs
    • Compensation: US$77.10k

Company Information

Dycom Industries, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dycom Industries, Inc.
  • Ticker: DY
  • Exchange: NYSE
  • Founded: 1969
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: US$1.612b
  • Shares outstanding: 31.49m
  • Website: https://www.dycomind.com

Number of Employees


Location

  • Dycom Industries, Inc.
  • 11780 US Highway 1
  • Suite 600
  • Palm Beach Gardens
  • Florida
  • 33408
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DYNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 1972
DYIDB (Deutsche Boerse AG)YesCommon StockDEEURDec 1972

Biography

Dycom Industries, Inc. provides specialty contracting services in the United States. The company offers various specialty contracting services, including program management, engineering, construction, main ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 23:35
End of Day Share Price2019/10/21 00:00
Earnings2019/07/27
Annual Earnings2019/01/26


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.