OTCPK:DTST

Stock Analysis Report

Executive Summary

Data Storage Corporation provides disaster recovery, business continuity, cloud storage, and compliance solutions primarily in the United States.


Snowflake Analysis

Adequate balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Data Storage's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DTST has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.6%

DTST

0.7%

US IT

0.06%

US Market


1 Year Return

-23.5%

DTST

36.9%

US IT

19.3%

US Market

Return vs Industry: DTST underperformed the US IT industry which returned 36.9% over the past year.

Return vs Market: DTST underperformed the US Market which returned 19.3% over the past year.


Shareholder returns

DTSTIndustryMarket
7 Day1.6%0.7%0.06%
30 Day6.1%4.4%1.7%
90 Day-8.5%15.9%9.0%
1 Year-23.5%-23.5%38.3%36.9%21.8%19.3%
3 Year62.5%62.5%110.3%101.2%49.5%39.9%
5 Year496.3%496.3%151.1%128.7%73.1%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

42.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DTST ($0.13) is trading below our estimate of fair value ($0.23)

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


Price To Earnings Ratio

PE vs Industry: DTST is unprofitable, so we can't compare its PE Ratio to the IT industry average.

PE vs Market: DTST is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate DTST's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: DTST is overvalued based on its PB Ratio (9.8x) compared to the US IT industry average (4.4x).


Next Steps

Future Growth

How is Data Storage forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.4%

Forecasted Software industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Data Storage has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Data Storage performed over the past 5 years?

34.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DTST is currently unprofitable.

Growing Profit Margin: DTST is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DTST is unprofitable, but has reduced losses over the past 5 years at a rate of 34.3% per year.

Accelerating Growth: Unable to compare DTST's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: DTST is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (13.7%).


Return on Equity

High ROE: DTST has a negative Return on Equity (-2.96%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Data Storage's financial position?


Financial Position Analysis

Short Term Liabilities: DTST's short term assets ($1.0M) do not cover its short term liabilities ($3.6M).

Long Term Liabilities: DTST's short term assets ($1.0M) do not cover its long term liabilities ($2.2M).


Debt to Equity History and Analysis

Debt Level: DTST's debt to equity ratio (21.3%) is considered satisfactory.

Reducing Debt: DTST had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet

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

Debt Coverage by Assets: DTST's debt is covered by short term assets (assets are 2.9x debt).


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.

Stable Cash Runway: Whilst unprofitable DTST has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: DTST is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 47.8% per year.


Next Steps

Dividend

What is Data Storage's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if DTST'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 DTST'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?

10.3yrs

Average board tenure


CEO

Chuck Piluso (66yo)

11.3yrs

Tenure

US$54,666

Compensation

Mr. Charles M. Piluso, also known as Chuck, has been the Chairman, Chief Executive Officer and Chief Financial Officer of Data Storage Corporation since October 2008. He founded Data Storage Corporation i ...


CEO Compensation Analysis

Compensation vs Market: Chuck's total compensation ($USD54.67K) is below average for companies of similar size in the US market ($USD521.37K).

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


Board Members

NamePositionTenureCompensationOwnership
Charles Piluso
Chairman of the Board11.3yrsUS$54.67k13.19% $2.2m
Harold Schwartz
President4.6yrsUS$54.67k25.23% $4.2m
Thomas Kempster
President of Service Operations3.2yrsUS$70.19k25.22% $4.2m
John Argen
Independent Director11.3yrsUS$5.00kno data
Joseph Hoffman
Independent Director11.3yrsUS$5.00kno data
Jeff Amorasana
Member of Advisory Board10.3yrsno datano data
Lawrence Maglione
Director11.3yrsUS$5.00k0.026% $4.3k
Steven Krieger
Member of Advisory Board10.3yrsno datano data
Tom Dwyer
Member of Advisory Board10.3yrsno datano data
Scott Einiger
Member of Advisory Board10.3yrsno datano data

10.3yrs

Average Tenure

59.5yo

Average Age

Experienced Board: DTST's board of directors are seasoned and experienced ( 10.3 years average tenure).


Ownership

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


Insider Trading Volume

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


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Data Storage Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Data Storage Corporation
  • Ticker: DTST
  • Exchange: OTCPK
  • Founded:
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: US$16.658m
  • Shares outstanding: 128.14m
  • Website: https://www.datastoragecorp.com

Location

  • Data Storage Corporation
  • 48 South Service Road
  • Suite 203
  • Melville
  • New York
  • 11747
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DTSTOTCPK (Pink Sheets LLC)YesCommon StockUSUSDOct 2008

Biography

Data Storage Corporation provides disaster recovery, business continuity, cloud storage, and compliance solutions primarily in the United States. The company’s solutions assist organizations in protecting their data, minimize downtime, and ensure regulatory compliance. Its solutions include infrastructure-as-a-service, data backup, recovery and restore, and data replication services; email archival and compliance; eDiscovery; continuous data protection; data de-duplication; and virtualized system recovery, as well as hybrid cloud services. The company offers its solutions and services to businesses in healthcare, banking and finance, distribution services, manufacturing, construction, education, and government sectors. Data Storage Corporation is headquartered in Melville, New York. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 01:03
End of Day Share Price2020/02/20 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.