* Note: Prices are in Million (M) USD.
Description:
DoubleVerify Holdings, Inc. provides a software platform for digital media measurement, data, and analysis. The company is headquartered in New York, New York with additional locations at Berlin, Germany; Chicago, Illinois; Merelbeke, Belgium; Helsinki, Finland; London, United Kingdom; Los Angeles and San Francisco, California; Miguel Hidalgo, Mexico; Paris, France; So Paulo, Brazil; Singapore, Singapore; Sydney, Australia; Tel Aviv, Israel; and Tokyo, Japan.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $212 M
Debt : $104 M
EBITDA : $144 M
Since Cash is greater than Total Debt, 5 points assigned.
This criteria used industry in which company operates:
Sector: Information
Industry: Software publishers
Based on industry, 5 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 14.40
Since Forward PE Ratio is less than 15, 5 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 7 overlapping fiscal years (max 20).Average Free Cash Flow: $58 M
Average Revenue: $364 M
Revenue Converted To Free Cash Flow (%): 16.1%
Since Free Cash Flow (FCF) to Revenue percentage is greater than 15, 3 points assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $657 M
Revenue 4 Years Ago (2020-12-31): $244 M
Last 5 Years Average Revenue Growth: 34%
Since Revenue Growth is greater than 20, 5 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $175 M
Share Count 5 Years Ago (2020-12-31): $157 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $1.24
Trailing 12-Month Earnings Per Share (EPS): $1.02
Average Earnings Per Share (EPS): $1.13
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0%
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 7 valid ROE years (max 20).Average ROE: 4.8%
Since Average ROE is less than 10, 1 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $16
52-Week Low: $12
Threshold Price (15% Above 52-Week Low): $13
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $2,540 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Value-Trade has assigned 25 points to above DoubleVerify Holdings Inc (DV) stock.
Last 1 Years Avg PE 40, Fair Value PE 25, Industry Based PE 30, Growth Based PE 33, RCFC Based PE 24.85, ROE Based PE 13.86, Risk-Free Anchored PE (25% MoS) 17.08. Based on these 7 values, average assigned is 26.26. Value-Trades has assined P/E value 26.26. Since an average (Current Year EPS + Next Year EPS) earning per share is $1.13.
The fair value of DoubleVerify Holdings Inc (DV) stock should be (26.26 x $1.13) = $29.67.
