On the stock market since 1994, it operates in the world of raw materials. It has 881 employees. Now — the numbers.
This is an established company with proven profits.
Average growth of 11% a year over the last 4 years. Every year shown ended in profit.
If every debt were paid off today, $1.3B would still be left in the vault — a solid cushion for hard times.
Executive selling isn’t always bad news; people sell for personal reasons too. Still, the thin buying side is worth noting.
The stock trades 49% below its peak. The market has trimmed its expectations for the company.
The net profit margin is 28% — still a thick cushion, though costs have been eating into it lately.
Over the last 3 years, sales grew about 15% a year on average.
There is $1.3B in the vault; even if every debt were paid off, $1.3B would remain.
Over the last 12 months, executives reported 10 sells against just 1 buy. Not an alarm bell by itself, but a number worth watching.
Since the drop from its peak, buyer appetite hasn’t come back.
On our five-subject report card, DRD sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: DRD is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s whether the price paid for the stock is too high.