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Diplomat Pharmacy

NYSE:DPLO
Snowflake Description

Adequate balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
DPLO
NYSE
$413M
Market Cap
  1. Home
  2. US
  3. Healthcare
Company description

Diplomat Pharmacy, Inc. operates as an independent specialty pharmacy in the United States. The last earnings update was 39 days ago. More info.


Add to Portfolio Compare Print
  • Diplomat Pharmacy has significant price volatility in the past 3 months.
DPLO Share Price and Events
7 Day Returns
2.2%
NYSE:DPLO
1.8%
US Healthcare
0.9%
US Market
1 Year Returns
-75.5%
NYSE:DPLO
-2.8%
US Healthcare
9.6%
US Market
DPLO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Diplomat Pharmacy (DPLO) 2.2% -1.3% -60% -75.5% -81.7% -
US Healthcare 1.8% -5.2% -9.7% -2.8% 13.1% 63.8%
US Market 0.9% 4.6% 10.9% 9.6% 39% 47.2%
1 Year Return vs Industry and Market
  • DPLO underperformed the Healthcare industry which returned -2.8% over the past year.
  • DPLO underperformed the Market in United States of America which returned 9.6% over the past year.
Price Volatility
DPLO
Industry
5yr Volatility vs Market

Value

 Is Diplomat Pharmacy 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 Diplomat Pharmacy 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 Diplomat Pharmacy.

NYSE:DPLO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 11 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 11%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

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 NYSE:DPLO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Healthcare Unlevered Beta Simply Wall St/ S&P Global 0.72
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.716 (1 + (1- 21%) (152.68%))
1.388
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.39
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.388 * 5.96%)
11%

Discounted Cash Flow Calculation for NYSE:DPLO using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Diplomat Pharmacy 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.

NYSE:DPLO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 11%)
2019 99.56 Analyst x3 89.69
2020 97.62 Analyst x3 79.23
2021 89.94 Analyst x2 65.75
2022 105.44 Analyst x1 69.45
2023 110.33 Analyst x1 65.47
2024 114.74 Est @ 4% 61.34
2025 118.89 Est @ 3.62% 57.25
2026 122.88 Est @ 3.35% 53.31
2027 126.77 Est @ 3.16% 49.54
2028 130.61 Est @ 3.03% 45.99
Present value of next 10 years cash flows $637.01
NYSE:DPLO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $130.61 × (1 + 2.73%) ÷ (11% – 2.73%)
$1,621.84
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,621.84 ÷ (1 + 11%)10
$571.02
NYSE:DPLO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $637.01 + $571.02
$1,208.03
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,208.03 / 74.67
$16.18
NYSE:DPLO Discount to Share Price
Calculation Result
Value per share (USD) From above. $16.18
Current discount Discount to share price of $5.53
= -1 x ($5.53 - $16.18) / $16.18
65.8%

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

Current Discount
Amount off the current price Diplomat Pharmacy is available for.
Intrinsic value
>50%
Share price is $5.53 vs Future cash flow value of $16.18
Current Discount Checks
For Diplomat Pharmacy to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Diplomat Pharmacy's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Diplomat Pharmacy'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 Diplomat Pharmacy's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Diplomat Pharmacy's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:DPLO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-4.07
NYSE:DPLO Share Price ** NYSE (2019-04-25) in USD $5.53
United States of America Healthcare Industry PE Ratio Median Figure of 53 Publicly-Listed Healthcare Companies 21.81x
United States of America Market PE Ratio Median Figure of 3,081 Publicly-Listed Companies 18.28x

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

** Primary Listing of Diplomat Pharmacy.

NYSE:DPLO PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:DPLO Share Price ÷ EPS (both in USD)

= 5.53 ÷ -4.07

-1.36x

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

  • Diplomat Pharmacy is loss making, we can't compare its value to the US Healthcare industry average.
  • Diplomat Pharmacy is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does Diplomat Pharmacy's expected growth come at a high price?
Raw Data
NYSE:DPLO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -1.36x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
109.7%per year
United States of America Healthcare Industry PEG Ratio Median Figure of 40 Publicly-Listed Healthcare Companies 1.52x
United States of America Market PEG Ratio Median Figure of 2,113 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

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

  • Unable to calculate PEG ratio for Diplomat Pharmacy, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Diplomat Pharmacy's assets?
Raw Data
NYSE:DPLO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $6.25
NYSE:DPLO Share Price * NYSE (2019-04-25) in USD $5.53
United States of America Healthcare Industry PB Ratio Median Figure of 92 Publicly-Listed Healthcare Companies 2.39x
United States of America Market PB Ratio Median Figure of 5,185 Publicly-Listed Companies 1.92x
NYSE:DPLO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:DPLO Share Price ÷ Book Value per Share (both in USD)

= 5.53 ÷ 6.25

0.89x

* Primary Listing of Diplomat Pharmacy.

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

  • Diplomat Pharmacy is good value based on assets compared to the US Healthcare industry average.
X
Value checks
We assess Diplomat Pharmacy'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 Healthcare 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 Healthcare industry average (and greater than 0)? (1 check)
  5. Diplomat Pharmacy has a total score of 3/6, 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 Diplomat Pharmacy expected to perform in the next 1 to 3 years based on estimates from 11 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
109.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Diplomat Pharmacy expected to grow at an attractive rate?
  • Diplomat Pharmacy's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Diplomat Pharmacy's earnings growth is expected to exceed the United States of America market average.
  • Diplomat Pharmacy's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:DPLO Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:DPLO Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts 109.7%
NYSE:DPLO Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts 0.8%
United States of America Healthcare Industry Earnings Growth Rate Market Cap Weighted Average 13.3%
United States of America Healthcare Industry Revenue Growth Rate Market Cap Weighted Average 7.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.5%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*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
NYSE:DPLO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:DPLO Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 6,121 125 12 1
2022-12-31 5,719 116 4 1
2021-12-31 5,344 106 -5 7
2020-12-31 5,019 100 -26 11
2019-12-31 4,819 98 -32 11
NYSE:DPLO Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 5,493 35 -302
2018-09-30 5,287 75 2
2018-06-30 5,039 135 3
2018-03-31 4,749 140 11
2017-12-31 4,485 135 16
2017-09-30 4,475 94 8
2017-06-30 4,531 53 12
2017-03-31 4,493 81 17
2016-12-31 4,410 31 28
2016-09-30 4,252 58 33
2016-06-30 4,018 116 43
2016-03-31 3,738 28 38

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Diplomat Pharmacy's earnings are expected to grow significantly at over 20% yearly.
  • Diplomat Pharmacy's revenue is expected to grow by 0.8% 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
NYSE:DPLO Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below

All data from Diplomat Pharmacy Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:DPLO Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.17 0.17 0.17 1.00
2022-12-31 0.05 0.05 0.05 1.00
2021-12-31 -0.18 0.03 -0.39 4.00
2020-12-31 -0.34 -0.19 -0.48 6.00
2019-12-31 -0.43 -0.34 -0.48 8.00
NYSE:DPLO Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -4.07
2018-09-30 0.03
2018-06-30 0.04
2018-03-31 0.15
2017-12-31 0.23
2017-09-30 0.12
2017-06-30 0.18
2017-03-31 0.26
2016-12-31 0.43
2016-09-30 0.50
2016-06-30 0.67
2016-03-31 0.60

*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.
  • Diplomat Pharmacy is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Diplomat Pharmacy'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 United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America 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.
Diplomat Pharmacy 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 Diplomat Pharmacy 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 Diplomat Pharmacy's growth in the last year to its industry (Healthcare).
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.
  • Diplomat Pharmacy does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Diplomat Pharmacy's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Diplomat Pharmacy's 1-year growth to the US Healthcare industry average as it is not currently profitable.
Earnings and Revenue History
Diplomat Pharmacy'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 Diplomat Pharmacy Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:DPLO Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 5,492.52 -302.27 332.64
2018-09-30 5,286.97 2.29 393.17
2018-06-30 5,038.59 3.14 369.91
2018-03-31 4,748.97 10.69 348.31
2017-12-31 4,485.23 15.51 248.94
2017-09-30 4,475.00 7.88 261.72
2017-06-30 4,531.22 12.27 271.85
2017-03-31 4,493.26 17.21 294.33
2016-12-31 4,410.39 28.27 222.22
2016-09-30 4,252.37 32.94 265.62
2016-06-30 4,018.11 43.49 248.24
2016-03-31 3,737.62 38.35 236.68
2015-12-31 3,366.63 25.78 208.32
2015-09-30 2,991.88 19.68 183.74
2015-06-30 2,640.50 7.60 161.77
2015-03-31 2,374.16 5.59 131.79
2014-12-31 2,214.96 4.32 120.61
2014-09-30 2,014.87 -26.42 104.76
2014-06-30 1,817.97 -28.34 90.95
2014-03-31 1,637.15 -28.68 81.85
2013-12-31 1,515.14 -26.12 77.64
2012-12-31 1,126.94 -4.20 63.97

*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.
  • It is difficult to establish if Diplomat Pharmacy has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Diplomat Pharmacy has efficiently used its assets last year compared to the US Healthcare industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Diplomat Pharmacy improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Diplomat Pharmacy'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 Healthcare 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.
Diplomat Pharmacy has a total score of 0/6, 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 Diplomat Pharmacy'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 Diplomat Pharmacy's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Diplomat Pharmacy's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Diplomat Pharmacy's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Diplomat Pharmacy'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.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.9x 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 Diplomat Pharmacy Company Filings, last reported 3 months ago.

NYSE:DPLO Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 465.08 630.46 9.49
2018-09-30 764.86 630.30 8.21
2018-06-30 757.47 589.33 7.36
2018-03-31 754.00 596.42 6.04
2017-12-31 749.50 720.85 84.25
2017-09-30 647.19 149.01 27.15
2017-06-30 635.53 132.40 7.80
2017-03-31 621.72 137.16 16.58
2016-12-31 613.72 146.94 7.95
2016-09-30 613.41 154.45 17.09
2016-06-30 606.68 127.20 7.91
2016-03-31 549.65 111.45 14.68
2015-12-31 515.55 112.71 27.60
2015-09-30 502.01 140.26 15.67
2015-06-30 472.86 190.99 17.31
2015-03-31 324.74 0.00 162.02
2014-12-31 168.73 0.00 17.96
2014-09-30 6.60 96.41 15.79
2014-06-30 149.15 0.00 44.25
2014-03-31 -3.83 63.18
2013-12-31 -77.78 88.18 9.11
2012-12-31 -51.56 63.16
  • Diplomat Pharmacy's level of debt (135.6%) compared to net worth is high (greater than 40%).
  • Diplomat Pharmacy had negative shareholder equity 5 years ago, it is now positive therefore their debt level has improved.
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.

  • Whilst loss making Diplomat Pharmacy has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
  • Whilst loss making Diplomat Pharmacy has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by % per year.
X
Financial health checks
We assess Diplomat Pharmacy'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. Diplomat Pharmacy 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 Diplomat Pharmacy'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%
Current annual income from Diplomat Pharmacy dividends. Estimated to be 0% next year.
If you bought $2,000 of Diplomat Pharmacy shares you are expected to receive $0 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?
  • Unable to evaluate Diplomat Pharmacy's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Diplomat Pharmacy's dividend against the top 25% market benchmark as the company has not reported any payouts.
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
NYSE:DPLO 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 11 Analyst Estimates (S&P Global) See Below
United States of America Healthcare Industry Average Dividend Yield Market Cap Weighted Average of 21 Stocks 1.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2008 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

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

NYSE:DPLO Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.00 1.00
2020-12-31 0.00 2.00
2019-12-31 0.00 2.00

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

  • Unable to perform a dividend volatility check as Diplomat Pharmacy has not reported any payouts.
  • Unable to verify if Diplomat Pharmacy's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Diplomat Pharmacy's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Diplomat Pharmacy has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Diplomat Pharmacy's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Diplomat Pharmacy's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - 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 Diplomat Pharmacy afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Diplomat Pharmacy has a total score of 0/6, 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 Diplomat Pharmacy'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
Brian Griffin
AGE 59
TENURE AS CEO 0.8 years
CEO Bio

Mr. Brian Thomas Griffin serves as the Chairman of the board and Chief Executive Officer at Diplomat Pharmacy, Inc. since June 4, 2018. He was an Executive Vice President of Anthem, Inc.(formerly WellPoint Inc. ) since September 1, 2015 until May 10, 2018 and Chief Executive Officer of IngenioRX since March 2018 until May 10, 2018. Mr. Griffin was President of Commercial & Specialty Business Division of Anthem, Inc., since September 1, 2015 until March 2018. Mr. Griffin served as the President and General Manager of Empire BlueCross BlueShield at Empire Health Choice HMO, Inc. He was responsible for the management of Empire's local group and individual business in New York, including sales, account management, provider relations and contracting, underwriting and product delivery, as well as maintaining customer relationships. In addition, he was responsible for the development of Empire's long-term strategic direction and collaborating with local and state elected officials and thought leaders to improve the health of New Yorkers. He served as Senior Vice President of International and Subsidiaries of Express Scripts Holding Company from April 2012 to August 2012. Mr. Griffin served as the Chief Executive Officer and President of International at Medco Health Solutions, Inc. from October 2011 to April 2012. He holds a deep experience with more than 30 years of health plan experience. He served as the Chief Executive Officer of Medco Celesio B.V. from December 2010 to October 2011 and served as its Chairman of Management Board. He served as Group President of Health Plans at Medco Health Solutions Inc., since September 2003 and was responsible for national and regional health plans, BlueCross BlueShield plans, commercial insurance carriers, consumer-driven plans and third-party administrators. From January 1999 to September 2003, Mr. Griffin served as Senior Vice President of Sales responsible for Medco's sales organization nationally, as well as Medco's consultant services and proposal departments. From November 1995 to December 1998, Mr. Griffin served as Vice President & Segment Head responsible for sales within the commercial insurance carrier, BlueCross BlueShield plan and third-party administrator markets. Mr. Griffin joined Medco in 1987 as Director of Sales responsible for the insurance carrier & BlueCross BlueShield plan markets. Prior to Mr. Griffin's 18 year career at Medco, he served various management positions in sales and account management for US HealthCare, Horizon BlueCross BlueShield and Empire BlueCross BlueShield. Mr. Griffin has been a Director of Business Council of New York State Inc. since November 7, 2013.

CEO Compensation
  • Insufficient data for Brian to compare compensation growth.
  • Insufficient data for Brian to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Diplomat Pharmacy management team in years:

3.3
Average Tenure
60
Average Age
  • The tenure for the Diplomat Pharmacy management team is about average.
Management Team

Phil Hagerman

TITLE
Co-Founder & Chairman Emeritus
COMPENSATION
$1M
AGE
66
TENURE
44.3 yrs

Gary Rice

TITLE
Executive Vice President of Operations
COMPENSATION
$602K
AGE
60
TENURE
3.3 yrs

Brian Griffin

TITLE
CEO & Chairman of the Board
AGE
59
TENURE
0.8 yrs

Dan Davison

TITLE
CFO & Treasurer

Dave Loschinskey

TITLE
Chief Information Officer

Terri Powers

TITLE
Vice President of Investor Relations

Christina Flint

TITLE
VP, General Counsel & Secretary

Jenny Cretu

TITLE
Senior Vice President of Pharma Services & Marketing
TENURE
4.9 yrs

Mike Flowers

TITLE
Senior Vice President of Sales
TENURE
1.1 yrs

Leslie Suciu

TITLE
Senior Vice President of Human Resources
Board of Directors Tenure

Average tenure and age of the Diplomat Pharmacy board of directors in years:

2
Average Tenure
61
Average Age
  • The average tenure for the Diplomat Pharmacy board of directors is less than 3 years, this suggests a new board.
Board of Directors

Phil Hagerman

TITLE
Co-Founder & Chairman Emeritus
COMPENSATION
$1M
AGE
66
TENURE
1.3 yrs

Brian Griffin

TITLE
CEO & Chairman of the Board
AGE
59
TENURE
0.8 yrs

David Dreyer

TITLE
Independent Director
COMPENSATION
$175K
AGE
61
TENURE
4.6 yrs

Ben Wolin

TITLE
Independent Lead Director
COMPENSATION
$256K
AGE
42
TENURE
0.8 yrs

Kenneth Klepper

TITLE
Independent Director
COMPENSATION
$161K
AGE
64
TENURE
4.3 yrs

Shawn Tomasello

TITLE
Independent Director
COMPENSATION
$154K
AGE
59
TENURE
3.5 yrs

Regina Benjamin

TITLE
Independent Director
COMPENSATION
$155K
AGE
61
TENURE
2 yrs
Who owns this company?
Recent Insider Trading
  • Diplomat Pharmacy insiders have only sold shares in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
01. Apr 19 Sell Atul Kavthekar Individual 29. Mar 19 29. Mar 19 -901 $5.82 $-5,239
20. Mar 19 Sell Atul Kavthekar Individual 19. Mar 19 19. Mar 19 -1,265 $5.84 $-7,392
17. Sep 18 Sell Philip Hagerman Individual 14. Sep 18 14. Sep 18 -90,633 $18.58 $-1,683,798
13. Sep 18 Sell Philip Hagerman Individual 11. Sep 18 13. Sep 18 -209,367 $19.21 $-3,992,370
13. Jun 18 Sell Jeffrey Park Individual 11. Jun 18 11. Jun 18 -1,695 $25.26 $-42,808
05. Jun 18 Sell Benjamin Wolin Individual 05. Jun 18 05. Jun 18 -1,679 $24.27 $-40,744
05. Jun 18 Sell Shawn Tomasello Individual 05. Jun 18 05. Jun 18 -1,680 $24.27 $-40,766
05. Jun 18 Sell Kenneth Klepper Individual 05. Jun 18 05. Jun 18 -1,680 $24.27 $-40,767
05. Jun 18 Sell Regina Benjamin Individual 05. Jun 18 05. Jun 18 -1,680 $24.26 $-40,765
25. May 18 Sell Jeffrey Park Individual 23. May 18 23. May 18 -13,875 $24.20 $-335,806
X
Management checks
We assess Diplomat Pharmacy'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. Diplomat Pharmacy 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

An Intrinsic Calculation For Diplomat Pharmacy, Inc. (NYSE:DPLO) Shows It's 49.32% Undervalued

In this article I am going to calculate the intrinsic value of Diplomat Pharmacy, Inc. … by taking the expected future cash flows and discounting them to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.

Simply Wall St -

Diplomat Pharmacy, Inc. (NYSE:DPLO) Delivered A Weaker ROE Than Its Industry

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … By way of learning-by-doing, we'll look at ROE to gain a better understanding of Diplomat Pharmacy, Inc. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Why Diplomat Pharmacy, Inc.’s (NYSE:DPLO) Return On Capital Employed Might Be A Concern

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

One Thing To Remember About The Diplomat Pharmacy, Inc. (NYSE:DPLO) Share Price

(NYSE:DPLO), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … 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.

Simply Wall St -

Are Insiders Selling Diplomat Pharmacy Inc (NYSE:DPLO) Stock?

So before you buy or sell Diplomat Pharmacy Inc (NYSE:DPLO), you may well want to know whether insiders have been buying or selling. … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Diplomat Pharmacy Insider Transactions Over The Last Year.

Simply Wall St -

Should Diplomat Pharmacy Inc (NYSE:DPLO) Focus On Improving This Fundamental Metric?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … To keep the lesson grounded in practicality, we'll use ROE to better understand Diplomat Pharmacy Inc (NYSE:DPLO). … That means that for every $1 worth of shareholders' equity, it generated $0.0040 in profit.

Simply Wall St -

An Intrinsic Calculation For Diplomat Pharmacy Inc (NYSE:DPLO) Shows It's 45.7% Undervalued

How far off is Diplomat Pharmacy Inc (NYSE:DPLO) from its intrinsic value? … by taking the expected future cash flows and discounting them to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

What Should You Know About Diplomat Pharmacy Inc's (NYSE:DPLO) Capital Returns?

and want a simplistic look at the return on Diplomat Pharmacy Inc (NYSE:DPLO) stock. … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Thus, to understand how your money can grow by investing in Diplomat Pharmacy, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE)

Simply Wall St -

What Diplomat Pharmacy Inc’s (NYSE:DPLO) Insiders Know That You Don't

Diplomat Pharmacy, Inc. … It is widely considered that insider selling stock in their own companies is potentially a bearish signal … A two-decade research published in The MIT Press (1998) showed that stocks following insider selling declined 2.7% relative to the market

Simply Wall St -

Should You Be Holding Diplomat Pharmacy Inc (NYSE:DPLO) Right Now?

If you are looking to invest in Diplomat Pharmacy Inc’s (NYSE:DPLO), or currently own the stock, then you need to understand its beta in order to understand how it can affect the risk of your portfolio. … The second type is market risk, one that you cannot diversify away, since it arises from macroeconomic factors which directly affects all the stocks in the market. … A popular measure of market risk for a stock is its beta, and the market as a whole represents a beta value of one.

Simply Wall St -

Company Info

Description

Diplomat Pharmacy, Inc. operates as an independent specialty pharmacy in the United States. The company operates through Specialty and PBM (pharmacy benefit management) segment. It provides specialty infusion pharmacy, patient care coordination, clinical, compliance and persistency program, patient financial assistance, specialty pharmacy training, benefits investigation, prior authorization, risk evaluation and medication strategy, retail specialty, and hub services, as well as clinical and administrative support services to hospitals and health systems. The company primarily focuses on medication management programs for individuals with complex chronic diseases, including oncology, immunology, hepatitis, multiple sclerosis, specialized infusion therapy, and various other serious or long-term conditions. It also offers PBM services, including electronic point-of-sale pharmacy claims management, retail pharmacy network management, mail pharmacy claims management, specialty pharmacy claims management, Medicare Part D services, benefit design consultation, drug review and analysis, consulting services, data access, and reporting, information analysis, and preferred drug management programs to managed care organizations, self-insured employer groups, unions, and third-party healthcare plan administrators and worker’s compensation payers. The company was founded in 1975 and is headquartered in Flint, Michigan.

Details
Name: Diplomat Pharmacy, Inc.
DPLO
Exchange: NYSE
Founded: 1975
$412,926,985
74,670,341
Website: http://www.diplomatpharmacy.com
Address: Diplomat Pharmacy, Inc.
4100 South Saginaw Street,
Flint,
Michigan, 48507,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE DPLO Common Shares New York Stock Exchange US USD 13. Oct 2014
DB 7DP Common Shares Deutsche Boerse AG DE EUR 13. Oct 2014
Number of employees
Current staff
Staff numbers
2,234
Diplomat Pharmacy employees.
Industry
Health Care Services
Healthcare
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/26 03:03
End of day share price update: 2019/04/25 00:00
Last estimates confirmation: 2019/04/17
Last earnings filing: 2019/03/18
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


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.