Is Diamond Hill Stock a Good Investment?
Diamond Hill Investment Advice | DHIL |
- Examine Diamond Hill's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Diamond Hill's leadership team and their track record. Good management can help Diamond Hill navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Asset Management & Custody Banks space and any emerging trends that could impact Diamond Hill's business and its evolving consumer preferences.
- Compare Diamond Hill's performance and market position to its competitors. Analyze how Diamond Hill is positioned in terms of product offerings, innovation, and market share.
- Check if Diamond Hill pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Diamond Hill's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Diamond Hill Investment stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Diamond Hill Investment is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Modest | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Sell | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Diamond Hill Stock
Researching Diamond Hill's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 69.0% of the company shares are held by institutions such as insurance companies. The book value of Diamond Hill was currently reported as 60.92. The company recorded earning per share (EPS) of 17.6. Diamond Hill Investment last dividend was issued on the 22nd of November 2024. The entity had 1:5 split on the 26th of September 2001.
To determine if Diamond Hill is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Diamond Hill's research are outlined below:
| About 69.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from investing.com: Diamond Hill Investments director Laird James F Jr sells 1.02m in stock |
Diamond Hill uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Diamond Hill Investment. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Diamond Hill's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 29th of February 2024 Upcoming Quarterly Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View |
Know Diamond Hill's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Diamond Hill is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Diamond Hill Investment backward and forwards among themselves. Diamond Hill's institutional investor refers to the entity that pools money to purchase Diamond Hill's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Charles Schwab Investment Management Inc | 2024-09-30 | 34.8 K | American Century Companies Inc | 2024-09-30 | 32.3 K | Millennium Management Llc | 2024-06-30 | 32 K | Aqr Capital Management Llc | 2024-06-30 | 30.8 K | Northern Trust Corp | 2024-09-30 | 30.5 K | Evergreen Wealth Management Llc | 2024-09-30 | 26.5 K | Jbf Capital, Inc. | 2024-09-30 | 26.4 K | Bank Of New York Mellon Corp | 2024-06-30 | 25.9 K | Alps Advisors Inc | 2024-09-30 | 25.2 K | Blackrock Inc | 2024-06-30 | 255.3 K | Royce & Associates, Lp | 2024-09-30 | 166.7 K |
Diamond Hill's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 464.34 M.Market Cap |
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Diamond Hill's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.18 | 0.11 | |
| Return On Capital Employed | 0.18 | 0.17 | |
| Return On Assets | 0.18 | 0.11 | |
| Return On Equity | 0.26 | 0.22 |
Determining Diamond Hill's profitability involves analyzing its financial statements and using various financial metrics to determine if Diamond Hill is a good buy. For example, gross profit margin measures Diamond Hill's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Diamond Hill's profitability and make more informed investment decisions.
Evaluate Diamond Hill's management efficiency
Diamond Hill Investment has return on total asset (ROA) of 0.0885 % which means that it generated a profit of $0.0885 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.278 %, meaning that it created $0.278 on every $100 dollars invested by stockholders. Diamond Hill's management efficiency ratios could be used to measure how well Diamond Hill manages its routine affairs as well as how well it operates its assets and liabilities. The value of Return On Tangible Assets is estimated to slide to 0.11. The value of Return On Capital Employed is expected to slide to 0.17. At this time, Diamond Hill's Total Assets are quite stable compared to the past year. Non Current Assets Total is expected to rise to about 170 M this year, although the value of Other Current Assets will most likely fall to about 3.3 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 54.37 | 57.09 | |
| Tangible Book Value Per Share | 54.37 | 57.09 | |
| Enterprise Value Over EBITDA | 12.00 | 12.60 | |
| Price Book Value Ratio | 3.05 | 4.44 | |
| Enterprise Value Multiple | 12.00 | 12.60 | |
| Price Fair Value | 3.05 | 4.44 | |
| Enterprise Value | 441.4 M | 463.5 M |
The operational strategies employed by Diamond Hill management play a crucial role in its market positioning. Assessing these strategies alongside financial data helps us evaluate the stock's investment potential.
Dividend Yield 0.0352 | Forward Dividend Yield 0.0352 | Forward Dividend Rate 6 | Beta 0.949 |
Basic technical analysis of Diamond Stock
As of the 24th of November, Diamond Hill shows the Downside Deviation of 1.26, semi deviation of 1.12, and Mean Deviation of 1.24. Diamond Hill Investment technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Please confirm Diamond Hill Investment information ratio, and the relationship between the downside deviation and value at risk to decide if Diamond Hill Investment is priced favorably, providing market reflects its regular price of 170.56 per share. Given that Diamond Hill has jensen alpha of (0.04), we urge you to verify Diamond Hill Investment's prevailing market performance to make sure the company can sustain itself at a future point.Diamond Hill's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Diamond Hill insiders, such as employees or executives, is commonly permitted as long as it does not rely on Diamond Hill's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Diamond Hill insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Diamond Hill's Outstanding Corporate Bonds
Diamond Hill issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Diamond Hill Investment uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Diamond bonds can be classified according to their maturity, which is the date when Diamond Hill Investment has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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Understand Diamond Hill's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Diamond Hill's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0835 | |||
| Market Risk Adjusted Performance | 0.1084 | |||
| Mean Deviation | 1.24 | |||
| Semi Deviation | 1.12 | |||
| Downside Deviation | 1.26 | |||
| Coefficient Of Variation | 980.74 | |||
| Standard Deviation | 1.62 | |||
| Variance | 2.62 | |||
| Information Ratio | 0.0212 | |||
| Jensen Alpha | (0.04) | |||
| Total Risk Alpha | (0.1) | |||
| Sortino Ratio | 0.0273 | |||
| Treynor Ratio | 0.0984 | |||
| Maximum Drawdown | 8.58 | |||
| Value At Risk | (1.80) | |||
| Potential Upside | 2.3 | |||
| Downside Variance | 1.59 | |||
| Semi Variance | 1.25 | |||
| Expected Short fall | (1.57) | |||
| Skewness | 1.15 | |||
| Kurtosis | 3.53 |
| Risk Adjusted Performance | 0.0835 | |||
| Market Risk Adjusted Performance | 0.1084 | |||
| Mean Deviation | 1.24 | |||
| Semi Deviation | 1.12 | |||
| Downside Deviation | 1.26 | |||
| Coefficient Of Variation | 980.74 | |||
| Standard Deviation | 1.62 | |||
| Variance | 2.62 | |||
| Information Ratio | 0.0212 | |||
| Jensen Alpha | (0.04) | |||
| Total Risk Alpha | (0.1) | |||
| Sortino Ratio | 0.0273 | |||
| Treynor Ratio | 0.0984 | |||
| Maximum Drawdown | 8.58 | |||
| Value At Risk | (1.80) | |||
| Potential Upside | 2.3 | |||
| Downside Variance | 1.59 | |||
| Semi Variance | 1.25 | |||
| Expected Short fall | (1.57) | |||
| Skewness | 1.15 | |||
| Kurtosis | 3.53 |
Consider Diamond Hill's intraday indicators
Diamond Hill intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Diamond Hill stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Diamond Hill Corporate Filings
F4 | 22nd of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 5th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
13A | 15th of October 2024 An amended filing to the original Schedule 13G | ViewVerify |
F3 | 5th of August 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
Diamond Stock media impact
Far too much social signal, news, headlines, and media speculation about Diamond Hill that are available to investors today. That information is available publicly through Diamond media outlets and privately through word of mouth or via Diamond internal channels. However, regardless of the origin, that massive amount of Diamond data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Diamond Hill news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Diamond Hill relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Diamond Hill's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Diamond Hill alpha.
Diamond Hill Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Diamond Hill can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Diamond Hill Corporate Management
| Gary Young | MD Officer | Profile | |
| Thomas CPA | CFO Treasurer | Profile | |
| Matthew CFA | Chief Officer | Profile | |
| CFA CFA | Chief Officer | Profile | |
| SPHR PHR | Director HR | Profile | |
| Lara CFA | Managing Marketing | Profile |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Diamond Hill Investment. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product. You can also try the Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Is Asset Management & Custody Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Diamond Hill. If investors know Diamond will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Diamond Hill listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 1.431 | Dividend Share 6 | Earnings Share 17.6 | Revenue Per Share 52.138 | Quarterly Revenue Growth 0.097 |
The market value of Diamond Hill Investment is measured differently than its book value, which is the value of Diamond that is recorded on the company's balance sheet. Investors also form their own opinion of Diamond Hill's value that differs from its market value or its book value, called intrinsic value, which is Diamond Hill's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Diamond Hill's market value can be influenced by many factors that don't directly affect Diamond Hill's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Diamond Hill's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Diamond Hill is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Diamond Hill's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.