Document Security Systems Inc

Find Ratings Reports
DSS : AMEX : Services
$1.08 | %
Today's Range: 1.051 - 1.13
Avg. Daily Volume: 139900.0
04/21/17 - 3:58 PM ET

Financial Analysis


DOCUMENT SECURITY SYS INC's gross profit margin for the third quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. Sales and net income have grown, and although the growth in revenues has outpaced the average competitor within the industry, the net income growth has not. DOCUMENT SECURITY SYS INC has very weak liquidity. Currently, the Quick Ratio is 0.35 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.

At the same time, stockholders' equity ("net worth") has significantly decreased by 80.18% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q3 FY16 Q3 FY15
Net Sales ($mil)4.984.42
EBITDA ($mil)0.4-0.39
EBIT ($mil)0.05-0.8
Net Income ($mil)-0.03-0.86


Balance Sheet Q3 FY16 Q3 FY15
Cash & Equiv. ($mil)1.011.54
Total Assets ($mil)13.8626.37
Total Debt ($mil)6.628.02
Equity ($mil)2.7814.05


Profitability Q3 FY16 Q3 FY15
Gross Profit Margin42.2742.17
EBITDA Margin7.93-8.84
Operating Margin0.92-18.01
Sales Turnover1.360.64
Return on Assets-84.64-118.48
Return on Equity-421.26-222.37
Debt Q3 FY16 Q3 FY15
Current Ratio0.521.08
Debt/Capital0.70.36
Interest Expense0.070.09
Interest Coverage0.68-9.05


Share Data Q3 FY16 Q3 FY15
Shares outstanding (mil)12.9812.66
Div / share0.00.0
EPS0.0-0.08
Book value / share0.211.11
Institutional Own % n/a n/a
Avg Daily Volume141036.047056.0

Valuation


SELL. This stock’s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. To use another comparison, its price-to-book ratio of 4.99 indicates a significant premium versus the S&P 500 average of 2.99 and a significant discount versus the industry average of 8.71. The price-to-sales ratio is well below both the S&P 500 average and the industry average, indicating a discount. After reviewing these and other key valuation criteria, DOCUMENT SECURITY SYS INC proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
DSS NM Peers 57.32   DSS 23.02 Peers 22.45

Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.

DSS's P/E is negative making this valuation measure meaningless.

 

Average. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

DSS is trading at a valuation on par to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
DSS NA Peers 41.62   DSS NA Peers 0.84

Neutral. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth potential.

Ratio not available.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

Ratio not available.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
DSS 4.99 Peers 8.71   DSS 66.22 Peers 44.45

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

DSS is trading at a significant discount to its peers.

 

Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

DSS is expected to have an earnings growth rate that significantly exceeds its peers.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
DSS 0.74 Peers 6.41   DSS 11.81 Peers 7.81

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

DSS is trading at a significant discount to its industry on this measurement.

 

Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.

DSS has a sales growth rate that significantly exceeds its peers.

 

 

Latest Stock Upgrades/Downgrades