Donnelley Financial Valuation
| DFIN Stock | USD 61.20 0.30 0.49% |
At this time, the firm appears to be fairly valued. Donnelley Financial shows a prevailing Real Value of $59.46 per share. The current price of the firm is $61.2. Our model computes the value of Donnelley Financial from reviewing the firm fundamentals such as Current Valuation of 1.87 B, profit margin of 0.12 %, and Shares Outstanding of 28.86 M as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Donnelley Financial's valuation include:
Price Book 3.9733 | Enterprise Value 1.9 B | Enterprise Value Ebitda 8.7314 | Price Sales 2.2019 | Trailing PE 19.185 |
Fairly Valued
Today
Please note that Donnelley Financial's price fluctuation is very steady at this time. Calculation of the real value of Donnelley Financial is based on 3 months time horizon. Increasing Donnelley Financial's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Donnelley Financial is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Donnelley Stock. However, Donnelley Financial's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 61.2 | Real 59.46 | Target 56.75 | Hype 61.08 | Naive 62.21 |
The intrinsic value of Donnelley Financial's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Donnelley Financial's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Donnelley Financial Solutions helps investors to forecast how Donnelley stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Donnelley Financial more accurately as focusing exclusively on Donnelley Financial's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Donnelley Financial's intrinsic value based on its ongoing forecasts of Donnelley Financial's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Donnelley Financial's closest peers.
Donnelley Financial Cash |
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Donnelley Valuation Trend
Knowing Donnelley Financial's actual value is paramount for traders when making sound investment determinations. Using both Donnelley Financial's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Donnelley Valuation Data Drivers
Donnelley Revenue by Product
Donnelley Financial Total Value Analysis
Donnelley Financial Solutions is currently forecasted to have valuation of 1.87 B with market capitalization of 1.77 B, debt of 150.6 M, and cash on hands of 10.8 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Donnelley Financial fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.87 B | 1.77 B | 150.6 M | 10.8 M |
Donnelley Financial Investor Information
About 97.0% of the company shares are held by institutions such as insurance companies. The book value of Donnelley Financial was currently reported as 15.38. The company had not issued any dividends in recent years. Based on the analysis of Donnelley Financial's profitability, liquidity, and operating efficiency, Donnelley Financial Solutions is doing better financially today then in previous quarter. It has a moderate odds of reporting better financial numbers in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.1 | 0.138 |
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| Total Cash From Operating Activities | 131.2 M | 124 M |
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| Operating Income | 138.6 M | 110 M |
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Donnelley Financial Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Donnelley Financial has an asset utilization ratio of 98.8 percent. This suggests that the Company is making $0.99 for each dollar of assets. An increasing asset utilization means that Donnelley Financial Solutions is more efficient with each dollar of assets it utilizes for everyday operations.Donnelley Financial Ownership Allocation
Donnelley Financial holds a total of 28.86 Million outstanding shares. The majority of Donnelley Financial Solutions outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in Donnelley Financial to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Donnelley Financial. Please pay attention to any change in the institutional holdings of Donnelley Financial Solutions as this could imply that something significant has changed or is about to change at the company. Also note that almost three hundred fourty thousand five hundred twenty-seven invesors are currently shorting Donnelley Financial expressing very little confidence in its future performance.Donnelley Financial Profitability Analysis
The company reported the previous year's revenue of 797.2 M. Net Income was 82.2 M with profit before overhead, payroll, taxes, and interest of 463.4 M.About Donnelley Financial Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Donnelley Financial Solutions. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Donnelley Financial based exclusively on its fundamental and basic technical indicators. By analyzing Donnelley Financial's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Donnelley Financial's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Donnelley Financial. We calculate exposure to Donnelley Financial's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Donnelley Financial's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 463.9 M | 460.7 M | |
| Pretax Profit Margin | 0.13 | 0.09 | |
| Operating Profit Margin | 0.14 | 0.10 | |
| Net Profit Margin | 0.10 | 0.06 | |
| Gross Profit Margin | 0.58 | 0.35 |
Donnelley Financial Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 30.6 M | |
| Quarterly Earnings Growth Y O Y | -0.517 |
Donnelley Financial Current Valuation Indicators
Donnelley Financial's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Donnelley Financial's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Donnelley Financial, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Donnelley Financial's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Donnelley Financial's worth.When determining whether Donnelley Financial offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Donnelley Financial's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Donnelley Financial Solutions Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Donnelley Financial Solutions Stock: Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Donnelley Financial Solutions. 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 Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Is Financial Exchanges & Data 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 Donnelley Financial. If investors know Donnelley 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 Donnelley Financial 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 (0.52) | Earnings Share 3.19 | Revenue Per Share 27.446 | Quarterly Revenue Growth (0) | Return On Assets 0.1038 |
The market value of Donnelley Financial is measured differently than its book value, which is the value of Donnelley that is recorded on the company's balance sheet. Investors also form their own opinion of Donnelley Financial's value that differs from its market value or its book value, called intrinsic value, which is Donnelley Financial'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 Donnelley Financial's market value can be influenced by many factors that don't directly affect Donnelley Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Donnelley Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Donnelley Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Donnelley Financial'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.