DXPE Valuation

DXP Enterprises Inc

Add to Watchlist

Advanced Chart

118.230

+2.68(2.319%)1D

Overview
Forecast
Valuation
Earnings

DXPE Relative Valuation

DXPE'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, DXPE is overvalued; if below, it's undervalued.

Historical Valuation

DXP Enterprises Inc (DXPE) is now in the Overvalued zone, suggesting that its current forward PS ratio of 0.90 is considered Overvalued compared with the five-year average of 7.82. The fair price of DXP Enterprises Inc (DXPE) is between 47.76 to 79.55 according to relative valuation methord. Compared to the current price of 115.55 USD , DXP Enterprises Inc is Overvalued By 45.25%.

Relative Value

Fair Zone

47.76-79.55

Current Price：115.55

45.25%

Overvalued

19.58

Trailing

Forward

10.36

EV/EBITDA

DXP Enterprises Inc. (DXPE) has a current EV/EBITDA of 10.36. The 5-year average EV/EBITDA is 8.42. The thresholds are as follows: Strongly Undervalued below 3.46, Undervalued between 3.46 and 5.94, Fairly Valued between 10.91 and 5.94, Overvalued between 10.91 and 13.39, and Strongly Overvalued above 13.39. The current Forward EV/EBITDA of 10.36 falls within the Historic Trend Line -Fairly Valued range.

12.60

EV/EBIT

DXP Enterprises Inc. (DXPE) has a current EV/EBIT of 12.60. The 5-year average EV/EBIT is 13.67. The thresholds are as follows: Strongly Undervalued below -12.63, Undervalued between -12.63 and 0.52, Fairly Valued between 26.82 and 0.52, Overvalued between 26.82 and 39.97, and Strongly Overvalued above 39.97. The current Forward EV/EBIT of 12.60 falls within the Historic Trend Line -Fairly Valued range.

0.90

DXP Enterprises Inc. (DXPE) has a current PS of 0.90. The 5-year average PS is 0.45. The thresholds are as follows: Strongly Undervalued below 0.14, Undervalued between 0.14 and 0.30, Fairly Valued between 0.61 and 0.30, Overvalued between 0.61 and 0.76, and Strongly Overvalued above 0.76. The current Forward PS of 0.90 falls within the Strongly Overvalued range.

16.99

P/OCF

DXP Enterprises Inc. (DXPE) has a current P/OCF of 16.99. The 5-year average P/OCF is 12.84. The thresholds are as follows: Strongly Undervalued below 2.54, Undervalued between 2.54 and 7.69, Fairly Valued between 17.98 and 7.69, Overvalued between 17.98 and 23.13, and Strongly Overvalued above 23.13. The current Forward P/OCF of 16.99 falls within the Historic Trend Line -Fairly Valued range.

21.90

P/FCF

DXP Enterprises Inc. (DXPE) has a current P/FCF of 21.90. The 5-year average P/FCF is 16.90. The thresholds are as follows: Strongly Undervalued below 0.62, Undervalued between 0.62 and 8.76, Fairly Valued between 25.03 and 8.76, Overvalued between 25.03 and 33.17, and Strongly Overvalued above 33.17. The current Forward P/FCF of 21.90 falls within the Historic Trend Line -Fairly Valued range.

DXP Enterprises Inc (DXPE) has a current Price-to-Book (P/B) ratio of 3.87. Compared to its 3-year average P/B ratio of 2.12 , the current P/B ratio is approximately 83.05% higher. Relative to its 5-year average P/B ratio of 1.86, the current P/B ratio is about 108.59% higher. DXP Enterprises Inc (DXPE) has a Forward Free Cash Flow (FCF) yield of approximately 2.12%. Compared to its 3-year average FCF yield of 6.84%, the current FCF yield is approximately -69.02% lower. Relative to its 5-year average FCF yield of 9.46% , the current FCF yield is about -77.62% lower.

3.87

P/B

Median3y

2.12

Median5y

1.86

2.12

FCF Yield

Median3y

6.84

Median5y

9.46

Competitors Valuation Multiple

The average P/S ratio for DXPE's competitors is 0.59, providing a benchmark for relative valuation. DXP Enterprises Inc Corp (DXPE) exhibits a P/S ratio of 0.90, which is 53.07% above the industry average. Given its robust revenue growth of 11.92%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Hillman Solutions Corp

Distribution Solutions Group Inc

Performance Decomposition

Market capitalization of DXPE increased by 116.55% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 12.36 to 22.07.

The secondary factor is the Margin Expansion, contributed 26.13%to the performance.

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

11.92%

445.56M → 498.68M

Revenue Growth

26.13%

3.75 → 4.73

Margin Expansion

78.50%

12.36 → 22.07

P/E Change

116.55%