The Dixie Group, Inc. (DXYN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Live Ventures, Inc.

Flexsteel Industries, Inc.

Bassett Furniture Industries, Inc.

Arhaus, Inc.

The Lovesac Co.

Lifetime Brands, Inc.

Crown Crafts, Inc.

Hooker Furnishings Corp.

Research Frontiers, Inc.

The Dixie Group, Inc.

Purple Innovation, Inc.

Why is The Dixie Group, Inc. ?

Weak Long Term Fundamental Strength with a 0.32% CAGR growth in Operating Profits over the last 5 years

Low ability to service debt as the company has a high Debt to EBITDA ratio of 17.07 times
The company has been able to generate a Return on Equity (avg) of 0.42% signifying low profitability per unit of shareholders funds

The company has declared Negative results for the last 3 consecutive quarters

NET PROFIT(9M) At USD -6.34 MM has Grown at -290.08%
INTEREST(Q) Highest at USD 1.87 MM

Risky - Negative Operating Profits

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -29.89%, its profits have fallen by -957%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -29.89% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Furniture, Home Furnishing)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is The Dixie Group, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

The Dixie Group, Inc.

-23.17%

-0.53

89.02%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-4.42%

EBIT Growth (5y)

0.32%

EBIT to Interest (avg)

-0.62

Debt to EBITDA (avg)

17.07

Net Debt to Equity (avg)

5.70

Sales to Capital Employed (avg)

2.41

Tax Ratio

0.29%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

27.50%

ROCE (avg)

0.85%

ROE (avg)

0.42%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.50

EV to EBIT

-23.31

EV to EBITDA

39.43

EV to Capital Employed

0.92

EV to Sales

0.34

PEG Ratio

Dividend Yield

ROCE (Latest)

-3.97%

ROE (Latest)

-71.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

15What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 14.23 MM

RAW MATERIAL COST(Y)

Fallen by -4.02% (YoY

OPERATING PROFIT(Q)

Highest at USD 4.53 MM

OPERATING PROFIT MARGIN(Q)

Highest at 6.6 %

PRE-TAX PROFIT(Q)

Highest at USD 1.44 MM

NET PROFIT(Q)

Highest at USD 1.31 MM

EPS(Q)

Highest at USD 0.08

-8What is not working for the Company

NET PROFIT(9M)

At USD -6.34 MM has Grown at -290.08%

INTEREST(Q)

Highest at USD 1.87 MM

Here's what is working for The Dixie Group, Inc.

Operating Cash Flow

Highest at USD 14.23 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Operating Profit

Highest at USD 4.53 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 6.6 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 1.44 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Pre-Tax Profit

At USD 1.44 MM has Grown at 89.96%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 1.31 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Net Profit

At USD 1.31 MM has Grown at 83.05%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 0.08

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -4.02% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for The Dixie Group, Inc.

Interest

At USD 1.87 MM has Grown at 25.39%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest

Highest at USD 1.87 MM

in the last five periods and Increased by 25.39% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)