DMC Global (BOOM) AI Stock Analysis

• Market Cap: $160.24M
• Dividend Yield: N/A
• Average Volume (3M): 157.85K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.82
• Revenue Growth: -9.47%
• EPS Growth: -839.21%
• Country: US
• Employees: 1,600
• Sector: Energy
• Sector Strength: 76
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.11
• Shares Outstanding: 20,490,723
• 10 Day Avg. Volume: 143,558
• 30 Day Avg. Volume: 157,854
• PEG Ratio: -0.02
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.28
• Enterprise Value/Market Cap: 3.02
• Enterprise Value/Revenue: 0.18
• Enterprise Value/Gross Profit: 3.36
• Enterprise Value/Ebitda: -2.80
• 1Y Price Target: $8.50
• Price Target Upside: 8.70% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 61 Neutral
• Price Target: $8.50 ▲(8.70%Upside)

DMC Global's overall stock score reflects financial challenges, notably negative profitability, against a backdrop of positive technical trends and strategic corporate governance. The technical analysis suggests bullish momentum, while the earnings call and corporate events provide both risks and strategic opportunities.

Positive Factors

Acquisition Proposal

Steel Connect is reiterating the proposal to acquire the remaining shares of DMC it does not already own for $16.50 in cash.

Negative Factors

Leadership Changes

The retirement of CEO Michael Kuta and recent Board changes, coupled with lackluster end-market demand, make it difficult to analyze performance going forward.

Market Competition

Pricing for DynaEnergetics' perforating systems continues to face headwinds from tempered North American completion activity coupled with competition from machine shops eroding market share and pricing power.

DMC Global Business Overview & Revenue Model

Company Description

DMC Global Inc. (BOOM) is a diversified holdings company operating in the industrial sector, primarily through its two main subsidiaries: DynaEnergetics and NobelClad. DynaEnergetics designs and manufactures advanced perforating systems used in the oil and gas industry, while NobelClad specializes in the production of explosion-welded clad metal plates that are utilized across various industrial sectors. The company is known for its innovative engineering solutions and commitment to quality and safety standards in its product offerings.

How the Company Makes Money

DMC Global generates revenue primarily through the sale of its engineered products and systems. DynaEnergetics contributes to the company's earnings by supplying perforating systems to oil and gas companies, which rely on these products for efficient and safe extraction processes. NobelClad adds to the revenue stream by providing explosion-welded clad metal plates, which are used in industries such as petrochemical, aluminum production, and shipbuilding, among others. The company’s revenue model is largely driven by its ability to maintain strong customer relationships, innovate in product design, and expand its market presence globally. Significant partnerships with key players in the oil and gas sector and industrial markets further bolster DMC Global's financial performance.

DMC Global Financial Statement Overview

Summary

DMC Global's financial performance is under pressure, with negative margins and declining revenues. The balance sheet shows moderate leverage but a shrinking equity base, raising concerns about financial stability. Positive operating cash flow offers a slight counterbalance to these challenges.

Income Statement

DMC Global's income statement reveals significant challenges. The TTM (Trailing-Twelve-Months) shows negative EBIT and net income, indicating operational struggles. Revenue has declined from the previous year, reflecting a drop in business activity. Margins are negative, underscoring profitability issues.

Balance Sheet

The balance sheet presents a mixed picture. The debt-to-equity ratio remains relatively stable, suggesting manageable leverage levels. However, the company has experienced a reduction in stockholders' equity, and the equity ratio has decreased over time, pointing to potential financial stability concerns.

Cash Flow

Cash flow analysis shows a decrease in free cash flow compared to the previous year, yet the company maintains positive operating cash flow. The free cash flow to net income ratio is positive, indicating some degree of cash generation despite net losses.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
635.27M	642.85M	719.19M	654.09M	260.12M	229.16M
	Gross Profit
144.11M	150.57M	212.05M	185.45M	59.48M	56.85M
	EBIT
-129.13M	-131.26M	61.18M	29.99M	-542.00K	2.16M
	EBITDA
-103.28M	-97.28M	95.90M	81.38M	10.44M	9.85M
	Net Income Common Stockholders
-158.21M	-161.21M	26.26M	14.18M	-1.01M	-1.41M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
14.71M	14.29M	43.66M	25.14M	30.81M	53.92M
	Total Assets
670.64M	671.34M	884.50M	878.98M	864.41M	279.64M
	Total Debt
72.42M	70.82M	163.25M	132.80M	147.43M	11.26M
	Net Debt
57.72M	56.53M	132.21M	107.65M	116.61M	-16.92M
	Total Liabilities
229.64M	233.29M	286.44M	310.81M	306.69M	82.73M
	Stockholders Equity
253.92M	250.97M	410.30M	380.65M	360.52M	196.91M
Cash Flow		Free Cash Flow
19.55M	29.31M	49.95M	26.35M	-21.47M	16.51M
	Operating Cash Flow
37.64M	46.60M	65.93M	44.94M	-12.81M	30.36M
	Investing Cash Flow
-16.55M	-3.57M	-28.10M	-20.93M	-267.81M	-39.56M
	Financing Cash Flow
-25.63M	-59.79M	-33.18M	-28.51M	282.58M	17.32M

DMC Global Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.82
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BOOM, the sentiment is Positive. The current price of 7.82 is above the 20-day moving average (MA) of 7.32, above the 50-day MA of 6.94, and below the 200-day MA of 8.62, indicating a neutral trend. The MACD of 0.30 indicates Negative momentum. The RSI at 59.45 is Neutral, neither overbought nor oversold. The STOCH value of 64.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BOOM.

DMC Global Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NCSM	79 Outperform	$82.12M	10.04	8.71%	―	18.03%	-39.52%
NGS	77 Outperform	$337.43M	19.90	6.77%	―	22.64%	78.46%
BOOM	61 Neutral	$160.24M	―	-48.46%	―	-9.47%	-839.21%
OIS	59 Neutral	$343.37M	64.01	0.75%	―	-9.04%	―
Sector *	58 Neutral	$7.58B	3.26	-4.46%	10.01%	0.88%	-49.72%
FET	58 Neutral	$250.48M	―	-32.34%	―	7.31%	-326.94%
GEOS	57 Neutral	$147.15M	―	-11.88%	―	-14.52%	-204.65%

DMC Global Corporate Events

DMC Global Amends Credit Agreement for Acquisition Flexibility

On June 10, 2025, DMC Global Inc. amended its existing credit agreement with a syndicate of banks to enhance financial flexibility in anticipation of possibly acquiring the remaining 40% interest in Arcadia Products, LLC. The amendment includes changes to financial covenants and interest rates, allowing for a temporary increase in the company’s maximum leverage ratio to accommodate this potential acquisition. This strategic move is intended to support DMC’s financial operations amid economic volatility and improve its ability to complete the acquisition, reflecting the company’s proactive approach to managing financial resources and market challenges.

The most recent analyst rating on (BOOM) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on DMC Global stock, see the BOOM Stock Forecast page.

DMC Global Extends Stockholder Rights Agreement

On May 30, 2025, DMC Global Inc. announced an amendment to its Stockholder Protection Rights Agreement, initially established on June 5, 2024, with Computershare Trust Company, N.A. The amendment extends the expiration of the rights by one year to June 4, 2026, while maintaining all other terms of the original agreement. This extension may impact the company’s shareholder dynamics and governance strategies.

The most recent analyst rating on (BOOM) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on DMC Global stock, see the BOOM Stock Forecast page.

DMC Global Stockholders Approve 2025 Omnibus Incentive Plan

DMC Global Inc. held its 2025 Annual Meeting of Stockholders on May 14, 2025, where several key decisions were made. Stockholders approved the 2025 Omnibus Incentive Plan, elected directors to serve until the 2026 Annual Meeting, ratified Ernst & Young LLP as the independent accounting firm for the fiscal year ending December 31, 2025, and approved executive compensation. These decisions are expected to influence the company’s governance and operational strategies moving forward.

The most recent analyst rating on (BOOM) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on DMC Global stock, see the BOOM Stock Forecast page.

DMC Global Board Member Resigns, Replacement Nominated

On April 25, 2025, Simon M. Bates announced his resignation from DMC Global Inc.’s Board of Directors, effective April 30, 2025, due to his new position at a competing company. His resignation was not due to any disagreements with DMC. Consequently, the board size was reduced from six to five members, and the standing committees were reconstituted. Clifton Peter Rose has been nominated as a substitute for Mr. Bates at the upcoming Annual Meeting on May 14, 2025, ensuring continuity and preserving institutional knowledge.