Dewhurst (DWHA) AI Stock Analysis

• Market Cap: £53.13M
• Dividend Yield: 3.04%
• Average Volume (3M): 886.00
• Price to Earnings (P/E): 8.1
• Beta (1Y): 0.19
• Revenue Growth: 11.11%
• EPS Growth: 8.21%
• Country: UK
• Employees: 350
• Sector: Industrials
• Sector Strength: 90
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.68
• Shares Outstanding: 4,425,518
• 10 Day Avg. Volume: 546
• 30 Day Avg. Volume: 886
• PEG Ratio: 5.17
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 24.10
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 70 Outperform
• Price Target: 597.00p ▲(10.05%Upside)

Dewhurst's stock score is driven primarily by strong financial performance and attractive valuation. The company shows robust revenue growth and profitability, supported by a solid balance sheet. The undervalued P/E ratio and healthy dividend yield further enhance its investment appeal. Technical analysis suggests a neutral outlook with some bullish momentum, though improvements in cash flow management would strengthen the overall financial health.

Dewhurst Business Overview & Revenue Model

Company Description

Dewhurst Group Plc manufactures and sells electrical components and control equipment for industrial and commercial capital goods in the United Kingdom, Europe, the Americas, Asia, Australia, the Middle East, and internationally. The company's products portfolio includes accessories, auxiliaries, destination controls, display accessories, dot matrix displays, LCD displays, fixtures, hidden legends, hygiene plus products, key switches, keypads, lanterns and gongs, push buttons, switching ranges, rail indicators and pushbuttons, rail multi-sounder products, and touch panels. It supplies components to the lift, transport, and keypad industries. The company was formerly known as Dewhurst plc and changed its name to Dewhurst Group Plc in February 2022. Dewhurst Group Plc was incorporated in 1919 and is headquartered in Feltham, the United Kingdom.

How the Company Makes Money

Dewhurst generates revenue primarily through the sale of its components and systems to the lift and transport sectors. The company earns income by producing and distributing products like elevator buttons, control panels, and keypads to a diverse range of clients, including elevator manufacturers and transport operators. Dewhurst's revenue streams are bolstered by its extensive product portfolio and a strong focus on quality and innovation, which attracts a loyal customer base. Additionally, Dewhurst might engage in strategic partnerships with other industry players to broaden its market reach and enhance its product offerings, further contributing to its earnings.

Dewhurst Financial Statement Overview

Summary

Dewhurst exhibits strong revenue growth and profitability, supported by efficient operations and cost management. The balance sheet is solid with low leverage and high equity, reflecting financial health and stability. While cash flow generation is positive, the decline in free cash flow points to potential areas for improvement. Overall, the financial outlook is positive with some need for attention to cash flow management.

Income Statement

Dewhurst has shown consistent revenue growth, with a 11.11% increase from the previous year, indicating a positive growth trajectory. The gross profit margin stands at a strong 56.63%, showcasing efficient cost management. Net profit margin is stable at 8.11%, reflecting good profitability. EBIT and EBITDA margins are healthy at 12.61% and 20.44% respectively, suggesting solid operational performance.

Balance Sheet

The company's balance sheet is robust with a low debt-to-equity ratio of 0.04, indicating low leverage and financial stability. Return on equity is reasonable at 8.63%, reflecting efficient use of shareholder capital. The equity ratio is strong at 82.87%, highlighting a solid capital structure with high reliance on equity financing.

Cash Flow

Operating cash flow to net income ratio is 0.70, indicating positive cash generation relative to net earnings. However, free cash flow decreased by 54.54% year-over-year, suggesting potential constraints on internal capital. Despite this, the company maintains a positive free cash flow to net income ratio of 0.45, demonstrating ability to generate cash after capital expenditures.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
58.55M	64.40M	57.96M	57.56M	56.25M	55.62M
	Gross Profit
7.46M	36.46M	32.09M	31.14M	31.76M	30.03M
	EBIT
7.46M	8.12M	7.75M	7.30M	9.85M	6.96M
	EBITDA
9.52M	13.17M	9.89M	8.83M	12.31M	9.86M
	Net Income Common Stockholders
5.00M	5.23M	5.04M	4.85M	7.03M	4.31M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
19.91M	21.56M	24.37M	21.76M	20.46M	18.14M
	Total Assets
69.22M	73.14M	72.72M	74.16M	68.46M	67.62M
	Total Debt
2.46M	2.39M	2.66M	2.70M	2.99M	3.48M
	Net Debt
-17.46M	-19.17M	-21.72M	-19.07M	-17.48M	-14.65M
	Total Liabilities
10.57M	11.84M	12.40M	12.62M	15.73M	24.80M
	Stockholders Equity
58.00M	60.61M	58.94M	59.88M	51.17M	41.38M
Cash Flow		Free Cash Flow
3.00M	2.34M	5.16M	2.50M	2.99M	5.00M
	Operating Cash Flow
4.41M	3.65M	6.37M	3.30M	5.50M	9.27M
	Investing Cash Flow
-2.81M	-2.07M	-1.15M	-707.00K	-1.02M	-4.75M
	Financing Cash Flow
-4.13M	-4.05M	-2.41M	-2.08M	-1.99M	-3.23M

Dewhurst Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 542.50
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:DWHA, the sentiment is Negative. The current price of 542.5 is below the 20-day moving average (MA) of 564.50, above the 50-day MA of 540.50, and below the 200-day MA of 561.00, indicating a neutral trend. The MACD of 0.89 indicates Positive momentum. The RSI at 44.27 is Neutral, neither overbought nor oversold. The STOCH value of 46.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:DWHA.

Dewhurst Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DWHA	70 Outperform	£53.13M	8.15	8.74%	3.04%	11.11%	8.21%
Sector *	66 Neutral	$4.49B	12.34	5.40%	248.65%	4.13%	-12.33%
DIA		£44.41M	―	-45.38%	―	―	―
TFW	78 Outperform	£349.54M	14.23	14.53%	2.23%	-0.29%	11.71%
LUCE	71 Outperform	£225.64M	15.36	15.40%	3.42%	16.03%	-11.84%
XPP	61 Neutral	£241.99M	―	-6.40%	―	-21.84%	10.56%
LPA	51 Neutral	£6.74M	7.61	-2.03%	1.74%	8.45%	-137.73%