DH Valuation

Definitive Healthcare Corp

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2.650

-0.07(-2.574%)1D

DH Relative Valuation

DH's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, DH is overvalued; if below, it's undervalued.

Historical Valuation

Definitive Healthcare Corp (DH) is now in the Fair zone, suggesting that its current forward PE ratio of 11.12 is considered Fairly compared with the five-year average of 51.32. The fair price of Definitive Healthcare Corp (DH) is between 1.24 to 20.01 according to relative valuation methord.

Relative Value

Fair Zone

1.24-20.01

Current Price：2.62

Fair

11.12

Trailing

Forward

6.14

EV/EBITDA

Definitive Healthcare Corp. (DH) has a current EV/EBITDA of 6.14. The 5-year average EV/EBITDA is 23.73. The thresholds are as follows: Strongly Undervalued below -9.78, Undervalued between -9.78 and 6.97, Fairly Valued between 40.48 and 6.97, Overvalued between 40.48 and 57.23, and Strongly Overvalued above 57.23. The current Forward EV/EBITDA of 6.14 falls within the Undervalued range.

7.49

EV/EBIT

Definitive Healthcare Corp. (DH) has a current EV/EBIT of 7.49. The 5-year average EV/EBIT is 25.67. The thresholds are as follows: Strongly Undervalued below -10.70, Undervalued between -10.70 and 7.48, Fairly Valued between 43.85 and 7.48, Overvalued between 43.85 and 62.04, and Strongly Overvalued above 62.04. The current Forward EV/EBIT of 7.49 falls within the Historic Trend Line -Fairly Valued range.

2.72

Definitive Healthcare Corp. (DH) has a current PS of 2.72. The 5-year average PS is 5.38. The thresholds are as follows: Strongly Undervalued below -3.22, Undervalued between -3.22 and 1.08, Fairly Valued between 9.68 and 1.08, Overvalued between 9.68 and 13.98, and Strongly Overvalued above 13.98. The current Forward PS of 2.72 falls within the Historic Trend Line -Fairly Valued range.

6.96

P/OCF

Definitive Healthcare Corp. (DH) has a current P/OCF of 6.96. The 5-year average P/OCF is 22.17. The thresholds are as follows: Strongly Undervalued below -11.32, Undervalued between -11.32 and 5.42, Fairly Valued between 38.91 and 5.42, Overvalued between 38.91 and 55.65, and Strongly Overvalued above 55.65. The current Forward P/OCF of 6.96 falls within the Historic Trend Line -Fairly Valued range.

6.46

P/FCF

Definitive Healthcare Corp. (DH) has a current P/FCF of 6.46. The 5-year average P/FCF is 23.14. The thresholds are as follows: Strongly Undervalued below -10.78, Undervalued between -10.78 and 6.18, Fairly Valued between 40.10 and 6.18, Overvalued between 40.10 and 57.06, and Strongly Overvalued above 57.06. The current Forward P/FCF of 6.46 falls within the Historic Trend Line -Fairly Valued range.

Definitive Healthcare Corp (DH) has a current Price-to-Book (P/B) ratio of 0.94. Compared to its 3-year average P/B ratio of 1.08 , the current P/B ratio is approximately -13.50% higher. Relative to its 5-year average P/B ratio of 1.60, the current P/B ratio is about -41.49% higher. Definitive Healthcare Corp (DH) has a Forward Free Cash Flow (FCF) yield of approximately 0.13%. Compared to its 3-year average FCF yield of 6.46%, the current FCF yield is approximately -97.91% lower. Relative to its 5-year average FCF yield of 4.97% , the current FCF yield is about -97.29% lower.

0.94

P/B

Median3y

1.08

Median5y

1.60

0.13

FCF Yield

Median3y

6.46

Median5y

4.97

Competitors Valuation Multiple

The average P/S ratio for DH's competitors is 13902.94, providing a benchmark for relative valuation. Definitive Healthcare Corp Corp (DH) exhibits a P/S ratio of 2.72, which is -99.98% above the industry average. Given its robust revenue growth of -4.69%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

DH.O

Definitive Healthcare Corp

2.72

Average P/S: 13902.94

Performance Decomposition

Market capitalization of DH decreased by 42.49% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -0.63 to -1.01.

The secondary factor is the Revenue Growth, contributed -4.69%to the performance.

Overall, the performance of DH in the past 1 year is driven by P/E Change. Which is more unsustainable.

-4.69%

63.74M → 60.75M

Revenue Growth

-96.83%

-480.39 → -15.25

Margin Expansion

59.03%

-0.63 → -1.01

P/E Change

-42.49%