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DIRTT Environmental Solutions

TSX:DRT
Snowflake Description

Flawless balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
DRT
TSX
CA$370M
Market Cap
  1. Home
  2. CA
  3. Capital Goods
Company description

DIRTT Environmental Solutions Ltd. designs, manufactures, and installs customized prefabricated interiors. The last earnings update was 5 days ago. More info.


Add to Portfolio Compare Print
  • DIRTT Environmental Solutions has significant price volatility in the past 3 months.
DRT Share Price and Events
7 Day Returns
-28.1%
TSX:DRT
-1.6%
North America Building
1.6%
CA Market
1 Year Returns
-35.7%
TSX:DRT
24.7%
North America Building
5.9%
CA Market
DRT Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
DIRTT Environmental Solutions (DRT) -28.1% -26.4% -35% -35.7% -26.3% 22.8%
North America Building -1.6% 5% 9.6% 24.7% 20.4% 33%
CA Market 1.6% 2.6% 3% 5.9% 9.4% 9.1%
1 Year Return vs Industry and Market
  • DRT underperformed the Building industry which returned 24.7% over the past year.
  • DRT underperformed the Market in Canada which returned 5.9% over the past year.
Price Volatility
DRT
Industry
5yr Volatility vs Market

DRT Value

 Is DIRTT Environmental Solutions undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of DIRTT Environmental Solutions to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for DIRTT Environmental Solutions.

TSX:DRT Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.9%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSX:DRT
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Building Unlevered Beta Simply Wall St/ S&P Global 1.19
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.185 (1 + (1- 26.5%) (7.95%))
1.17
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.17
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.17 * 5.96%)
8.92%

Discounted Cash Flow Calculation for TSX:DRT using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for DIRTT Environmental Solutions is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

TSX:DRT DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.92%)
2020 20.09 Analyst x2 18.44
2021 23.00 Analyst x1 19.39
2022 28.00 Analyst x1 21.67
2023 33.00 Analyst x1 23.44
2024 36.68 Est @ 11.15% 23.92
2025 39.75 Est @ 8.39% 23.81
2026 42.32 Est @ 6.46% 23.27
2027 44.48 Est @ 5.1% 22.45
2028 46.33 Est @ 4.16% 21.47
2029 47.95 Est @ 3.49% 20.40
Present value of next 10 years cash flows $218.00
TSX:DRT DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $47.95 × (1 + 1.95%) ÷ (8.92% – 1.95%)
$700.73
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $700.73 ÷ (1 + 8.92%)10
$298.10
TSX:DRT Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $218.00 + $298.10
$516.10
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $516.10 / 84.68
$6.09
TSX:DRT Discount to Share Price
Calculation Result
Exchange Rate USD/CAD
(Reporting currency to currency of TSX:DRT)
1.322
Value per Share
(CAD)
= Value per Share in USD x Exchange Rate (USD/CAD)
= $6.09 x 1.322
CA$8.06
Value per share (CAD) From above. CA$8.06
Current discount Discount to share price of CA$4.37
= -1 x (CA$4.37 - CA$8.06) / CA$8.06
45.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price DIRTT Environmental Solutions is available for.
Intrinsic value
46%
Share price is CA$4.37 vs Future cash flow value of CA$8.06
Current Discount Checks
For DIRTT Environmental Solutions to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • DIRTT Environmental Solutions's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • DIRTT Environmental Solutions's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for DIRTT Environmental Solutions's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are DIRTT Environmental Solutions's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:DRT PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $0.04
TSX:DRT Share Price ** TSX (2019-11-11) in CAD CA$4.37
TSX:DRT Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.757 $3.31
North America Building Industry PE Ratio Median Figure of 32 Publicly-Listed Building Companies 21.7x
Canada Market PE Ratio Median Figure of 518 Publicly-Listed Companies 14.76x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of DIRTT Environmental Solutions.

TSX:DRT PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:DRT Share Price ÷ EPS (both in USD)

= 3.31 ÷ 0.04

93.16x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • DIRTT Environmental Solutions is overvalued based on earnings compared to the North America Building industry average.
  • DIRTT Environmental Solutions is overvalued based on earnings compared to the Canada market.
Price based on expected Growth
Does DIRTT Environmental Solutions's expected growth come at a high price?
Raw Data
TSX:DRT PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 93.16x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
169.1%per year
North America Building Industry PEG Ratio Median Figure of 26 Publicly-Listed Building Companies 1.24x
Canada Market PEG Ratio Median Figure of 236 Publicly-Listed Companies 0.98x

*Line of best fit is calculated by linear regression .

TSX:DRT PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 93.16x ÷ 169.1%

0.55x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • DIRTT Environmental Solutions is good value based on expected growth next year.
Price based on value of assets
What value do investors place on DIRTT Environmental Solutions's assets?
Raw Data
TSX:DRT PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $1.53
TSX:DRT Share Price * TSX (2019-11-11) in CAD CA$4.37
TSX:DRT Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.757 $3.31
North America Building Industry PB Ratio Median Figure of 39 Publicly-Listed Building Companies 2.09x
Canada Market PB Ratio Median Figure of 2,291 Publicly-Listed Companies 1.28x
TSX:DRT PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:DRT Share Price ÷ Book Value per Share (both in USD)

= 3.31 ÷ 1.53

2.17x

* Primary Listing of DIRTT Environmental Solutions.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • DIRTT Environmental Solutions is overvalued based on assets compared to the North America Building industry average.
X
Value checks
We assess DIRTT Environmental Solutions's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Building industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Building industry average (and greater than 0)? (1 check)
  5. DIRTT Environmental Solutions has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

DRT Future Performance

 How is DIRTT Environmental Solutions expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
169.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is DIRTT Environmental Solutions expected to grow at an attractive rate?
  • DIRTT Environmental Solutions's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
  • DIRTT Environmental Solutions's earnings growth is expected to exceed the Canada market average.
  • DIRTT Environmental Solutions's revenue growth is positive but not above the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:DRT Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:DRT Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 169.1%
TSX:DRT Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 5.1%
North America Building Industry Earnings Growth Rate Market Cap Weighted Average 20.3%
North America Building Industry Revenue Growth Rate Market Cap Weighted Average 4.2%
Canada Market Earnings Growth Rate Market Cap Weighted Average 11.2%
Canada Market Revenue Growth Rate Market Cap Weighted Average 5.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:DRT Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:DRT Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 311 45 1
2022-12-31 290 40 1
2021-12-31 282 35 3
2020-12-31 277 33 30 7
2019-12-31 247 21 6 5
2019-11-12
TSX:DRT Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 264 37 3
2019-06-30 281 36 -5
2019-03-31 271 27 -6
2018-12-31 261 12 2
2018-09-30 257 8 -6
2018-06-30 243 12 1
2018-03-31 240 13 -2
2017-12-31 234 23 -6
2017-09-30 238 13 3
2017-06-30 219 7 3
2017-03-31 207 18 4
2016-12-31 199 15 5

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • DIRTT Environmental Solutions's earnings are expected to grow significantly at over 20% yearly.
  • DIRTT Environmental Solutions's revenue is expected to grow by 5.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:DRT Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from DIRTT Environmental Solutions Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:DRT Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.47 0.47 0.47 1.00
2022-12-31 0.38 0.38 0.38 1.00
2021-12-31 0.28 0.35 0.20 3.00
2020-12-31 0.22 0.33 0.11 6.00
2019-12-31 0.05 0.07 0.04 5.00
2019-11-12
TSX:DRT Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 0.04
2019-06-30 -0.06
2019-03-31 -0.07
2018-12-31 0.03
2018-09-30 -0.07
2018-06-30 0.01
2018-03-31 -0.02
2017-12-31 -0.07
2017-09-30 0.04
2017-06-30 0.04
2017-03-31 0.05
2016-12-31 0.06

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if DIRTT Environmental Solutions will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess DIRTT Environmental Solutions's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the North America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the North America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
DIRTT Environmental Solutions has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

DRT Past Performance

  How has DIRTT Environmental Solutions performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare DIRTT Environmental Solutions's growth in the last year to its industry (Building).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • DIRTT Environmental Solutions's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • DIRTT Environmental Solutions has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • DIRTT Environmental Solutions has become profitable in the last year making it difficult to compare the North America Building industry average.
Earnings and Revenue History
DIRTT Environmental Solutions's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from DIRTT Environmental Solutions Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:DRT Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 263.72 3.00 78.41 9.08
2019-06-30 280.70 -4.72 85.82 8.96
2019-03-31 271.04 -6.27 86.31 7.52
2018-12-31 261.39 2.20 79.76 6.06
2018-09-30 257.11 -6.07 86.95
2018-06-30 243.12 0.91 89.88 9.88
2018-03-31 239.71 -1.90 92.67 8.57
2017-12-31 233.98 -5.91 93.91 7.28
2017-09-30 237.95 3.40 84.45
2017-06-30 219.23 3.16 76.95
2017-03-31 207.23 4.14 71.63
2016-12-31 198.80 5.42 67.97
2016-09-30 193.29 9.19 64.88
2016-06-30 188.16 10.39 63.48
2016-03-31 181.87 10.47 60.21
2015-12-31 170.54 12.90 54.58
2015-09-30 171.38 11.43 55.60
2015-06-30 171.64 9.14 57.09
2015-03-31 160.73 8.46 52.52
2014-12-31 161.76 5.14 54.04
2014-09-30 146.33 -9.62 52.31
2014-06-30 144.05 -11.97 52.18
2014-03-31 135.88 -10.86 48.54
2013-12-31 131.59 -15.53 47.45
2013-09-30 128.50 -10.25 46.85
2013-06-30 125.96 -9.99 44.50
2013-03-31 129.52 -9.74 44.25
2012-12-31 139.31 -6.00 45.89

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • DIRTT Environmental Solutions has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • DIRTT Environmental Solutions used its assets less efficiently than the North America Building industry average last year based on Return on Assets.
  • DIRTT Environmental Solutions has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess DIRTT Environmental Solutions's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Building industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
DIRTT Environmental Solutions has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

DRT Health

 How is DIRTT Environmental Solutions's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up DIRTT Environmental Solutions's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • DIRTT Environmental Solutions is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • DIRTT Environmental Solutions's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of DIRTT Environmental Solutions's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • DIRTT Environmental Solutions has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from DIRTT Environmental Solutions Company Filings, last reported 1 month ago.

TSX:DRT Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 129.25 0.00 56.64
2019-06-30 124.86 0.00 58.76
2019-03-31 121.23 0.00 54.05
2018-12-31 124.97 5.62 53.40
2018-09-30 128.32 7.57 42.18
2018-06-30 134.79 8.26 45.55
2018-03-31 134.43 9.08 51.11
2017-12-31 134.12 10.18 63.51
2017-09-30 139.10 11.27 56.53
2017-06-30 134.94 12.37 59.97
2017-03-31 135.88 13.47 67.67
2016-12-31 135.47 13.97 69.65
2016-09-30 134.07 10.47 67.09
2016-06-30 131.33 9.06 72.32
2016-03-31 131.52 5.80 64.41
2015-12-31 123.13 6.60 65.88
2015-09-30 117.19 7.66 68.91
2015-06-30 118.86 8.69 74.27
2015-03-31 83.78 9.45 35.40
2014-12-31 82.72 8.51 34.40
2014-09-30 75.44 5.77 22.36
2014-06-30 68.41 11.32 24.72
2014-03-31 63.18 16.49 27.48
2013-12-31 64.57 16.94 32.36
2013-09-30 20.97 38.12 3.76
2013-06-30 21.44 36.79 8.96
2013-03-31 26.28 32.83 7.69
2012-12-31 26.82 33.50 7.85
  • DIRTT Environmental Solutions has no debt.
  • DIRTT Environmental Solutions has no debt compared to 5 years ago when it was 7.7%.
  • DIRTT Environmental Solutions has no debt, it does not need to be covered by operating cash flow.
  • DIRTT Environmental Solutions has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess DIRTT Environmental Solutions's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. DIRTT Environmental Solutions has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

DRT Dividends

 What is DIRTT Environmental Solutions's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from DIRTT Environmental Solutions dividends.
If you bought CA$2,000 of DIRTT Environmental Solutions shares you are expected to receive CA$0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate DIRTT Environmental Solutions's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate DIRTT Environmental Solutions's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:DRT Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
North America Building Industry Average Dividend Yield Market Cap Weighted Average of 17 Stocks 1.7%
Canada Market Average Dividend Yield Market Cap Weighted Average of 330 Stocks 3.5%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.2%
Canada Bottom 25% Dividend Yield 25th Percentile 2%
Canada Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:DRT Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31
2020-12-31
2019-12-31
2019-11-12

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as DIRTT Environmental Solutions has not reported any payouts.
  • Unable to verify if DIRTT Environmental Solutions's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of DIRTT Environmental Solutions's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as DIRTT Environmental Solutions has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess DIRTT Environmental Solutions's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can DIRTT Environmental Solutions afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. DIRTT Environmental Solutions has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

DRT Management

 What is the CEO of DIRTT Environmental Solutions's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Kevin O'Meara
COMPENSATION $6,129,801
AGE 54
TENURE AS CEO 1.2 years
CEO Bio

Mr. Kevin P. O'Meara, CPA has been a President, Chief Executive Officer and Director of DIRTT Environmental Solutions since September 10, 2018. He has served on the Advisory Board of GHK Capital Partners LP. He serves on the board of directors of CPG International, Inc., Interior Specialists, Inc. and Infiltrator Water Technologies. From 2010 to 2012. He served as Chief Executive Officer of Atrium Corporation. Mr. O'Meara was an Operating Executive at Golden Gate Capital. He joined Golden Gate Capital on January 16, 2009 focused on investment opportunities in building products. Mr. O'Meara served as the President from October 20, 2006 to October 2007 and the Chief Operating Officer from May 2000 to October 2007 at Builders FirstSource, Inc., and co-founded it in 1997. Prior to Builders FirstSource, he served as the Vice President of Strategic Planning and Business Development at building materials manufacturer Fibreboard Corporation and prior thereto, Mr. O'Meara was a Strategy Consultant at Bain & Company. He co-founded Builders FirstSource, Inc. in 1997. Mr. O'Meara served as its Senior Vice President from May 2000 to October 20, 2006. In his career, he was an Associate at two private investment firms, Hicks, Muse, Tate & Furst (HM Capital) and The Sterling Group L.P. where Mr. O'Meara engaged in a number of leveraged buyouts across a spectrum of industrial, consumer products and distribution related companies. He worked for six years at the two private investment firms. Mr. O'Meara is a Certified Public Accountant. He holds an M.B.A. from Harvard Business School, a B.A. in Economics and a B.B.A. in Accounting from Southern Methodist University where Mr. O'Meara graduated first in his class.

CEO Compensation
  • Insufficient data for Kevin to compare compensation growth.
  • Kevin's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure

Average tenure and age of the DIRTT Environmental Solutions management team in years:

0.8
Average Tenure
54
Average Age
  • The average tenure for the DIRTT Environmental Solutions management team is less than 2 years, this suggests a new team.
Management Team

Kevin O'Meara

TITLE
President
COMPENSATION
$6M
AGE
54
TENURE
1.2 yrs

Geoff Gosling

TITLE
Co-Founder & Director of Innovation
COMPENSATION
$1M
AGE
58
TENURE
15.8 yrs

Geoff Krause

TITLE
Chief Financial Officer
COMPENSATION
$478K
AGE
50
TENURE
1.4 yrs

Peter Henry

TITLE
COMPENSATION
$564K
TENURE
1.4 yrs

Jeffrey Calkins

TITLE
Chief Operating Officer
AGE
59
TENURE
0.8 yrs

Mark Greffen

TITLE
Chief Technology Officer
AGE
47
TENURE
0.8 yrs

Kim MacEachern

TITLE
Director of Investor Relations

Joe Zirkman

TITLE
Senior VP
AGE
58
TENURE
0.8 yrs

Kingsley Koch

TITLE
Vice President of Sales
TENURE
0.8 yrs

Krista Pell

TITLE
Senior Vice President of Talent
AGE
46
TENURE
0.8 yrs
Board of Directors Tenure

Average tenure and age of the DIRTT Environmental Solutions board of directors in years:

2.3
Average Tenure
62
Average Age
  • The average tenure for the DIRTT Environmental Solutions board of directors is less than 3 years, this suggests a new board.
Board of Directors

Steve Parry

TITLE
Independent Chairman of the Board
COMPENSATION
$181K
AGE
63
TENURE
1.1 yrs

Kevin O'Meara

TITLE
President
COMPENSATION
$6M
AGE
54
TENURE
1.2 yrs

Chris McGinley

TITLE
Independent Director
COMPENSATION
$131K
AGE
60
TENURE
6 yrs

Denise Karkkainen

TITLE
Independent Director
COMPENSATION
$244K
AGE
55
TENURE
4.3 yrs

Richard Haray

TITLE
Independent Director
COMPENSATION
$136K
AGE
62
TENURE
3 yrs

Wayne Boulais

TITLE
Independent Director
COMPENSATION
$156K
AGE
55
TENURE
4.5 yrs

Todd Lillibridge

TITLE
Independent Director
COMPENSATION
$160K
AGE
63
TENURE
2.3 yrs

Jack Elliott

TITLE
Independent Director
COMPENSATION
$79K
AGE
67
TENURE
1.6 yrs

Ron Kaplan

TITLE
Director
COMPENSATION
$455K
AGE
68
TENURE
1.6 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by DIRTT Environmental Solutions individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
20. Sep 19 Buy Todd Lillibridge Individual 15. May 19 15. May 19 34,700 CA$7.75 CA$268,925
16. Sep 19 Buy Joseph Zirkman Individual 12. Sep 19 13. Sep 19 15,000 CA$6.17 CA$92,501
10. Sep 19 Buy Steven Parry Individual 09. Sep 19 10. Sep 19 4,000 CA$8.02 CA$32,002
10. Sep 19 Buy Kevin O'Meara Individual 09. Sep 19 10. Sep 19 25,000 CA$6.17 CA$154,118
10. Jun 19 Buy Denise Karkkainen Individual 05. Jun 19 05. Jun 19 1,000 CA$7.68 CA$7,676
17. May 19 Buy Christine McGinley Individual 17. May 19 17. May 19 722 CA$7.75 CA$5,596
15. May 19 Buy Christine McGinley Individual 15. May 19 15. May 19 1,703 CA$7.75 CA$13,198
15. May 19 Buy Joseph Zirkman Individual 13. May 19 13. May 19 10,000 CA$8.07 CA$80,720
15. May 19 Buy Wayne Boulais Individual 14. May 19 14. May 19 7,500 CA$7.84 CA$58,835
14. May 19 Buy Christine McGinley Individual 13. May 19 14. May 19 5,908 CA$8.01 CA$46,824
13. May 19 Buy John Elliott Individual 13. May 19 13. May 19 10,000 CA$8.05 CA$80,450
13. May 19 Sell John Elliott Individual 13. May 19 13. May 19 -10,000 CA$8.03 CA$-80,330
13. May 19 Buy Steven Parry Individual 13. May 19 13. May 19 5,000 CA$8.05 CA$40,253
X
Management checks
We assess DIRTT Environmental Solutions's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. DIRTT Environmental Solutions has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

DRT News

Simply Wall St News

Could DIRTT Environmental Solutions Ltd.'s (TSE:DRT) Investor Composition Influence The Stock Price?

A look at the shareholders of DIRTT Environmental Solutions Ltd. … View our latest analysis for DIRTT Environmental Solutions TSX:DRT Ownership Summary, August 19th 2019 What Does The Institutional Ownership Tell Us About DIRTT Environmental Solutions? … Insider Ownership Of DIRTT Environmental Solutions The definition of an insider can differ slightly between different countries, but members of the board of directors always count.

Simply Wall St -

Does The DIRTT Environmental Solutions Ltd. (TSE:DRT) Share Price Tend To Follow The Market?

View our latest analysis for DIRTT Environmental Solutions What we can learn from DRT's beta value Given that it has a beta of 1.59, we can surmise that the DIRTT Environmental Solutions share price has been fairly sensitive to market volatility (over the last 5 years). … With a market capitalisation of CA$667m, DIRTT Environmental Solutions is a small cap stock. … What this means for you: Beta only tells us that the DIRTT Environmental Solutions share price is sensitive to broader market movements.

Simply Wall St -

Is DIRTT Environmental Solutions's (TSE:DRT) Share Price Gain Of 186% Well Earned?

It's also good to see the share price up 21% over the last quarter. … During the five years of share price growth, DIRTT Environmental Solutions moved from a loss to profitability. … Sometimes, the start of profitability is a major inflection point that can signal fast earnings growth to come, which in turn justifies very strong share price gains.

Simply Wall St -

What Kind Of Shareholders Own DIRTT Environmental Solutions Ltd. (TSE:DRT)?

The big shareholder groups in DIRTT Environmental Solutions Ltd. … Generally speaking, as a company grows, institutions will increase their ownership. … DIRTT Environmental Solutions is not a large company by global standards.

Simply Wall St -

Why DIRTT Environmental Solutions Ltd.’s (TSE:DRT) Return On Capital Employed Is Impressive

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Understanding Return On Capital Employed (ROCE). … Analysts use this formula to calculate return on capital employed:

Simply Wall St -

What Does DIRTT Environmental Solutions Ltd.'s (TSE:DRT) Share Price Indicate?

DIRTT Environmental Solutions Ltd. … As a stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Today I will analyse the most recent data on DIRTT Environmental Solutions’s outlook and valuation to see if the opportunity still exists

Simply Wall St -

What You Must Know About DIRTT Environmental Solutions Ltd.'s (TSE:DRT) Beta Value

(TSE:DRT), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Modern finance theory considers volatility to be a measure of risk, and there are two main types of price volatility. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility).

Simply Wall St -

Do Institutions Own Shares In DIRTT Environmental Solutions Ltd. (TSE:DRT)?

A look at the shareholders of DIRTT Environmental Solutions Ltd. … Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. … DIRTT Environmental Solutions is a smaller company with a market capitalization of CA$510m, so it may still be flying under the radar of many institutional investors.

Simply Wall St -

Need To Know: DIRTT Environmental Solutions Ltd. (TSE:DRT) Insiders Have Been Selling Shares

So shareholders might well want to know whether insiders have been buying or selling shares in DIRTT Environmental Solutions Ltd. … The Last 12 Months Of Insider Transactions At DIRTT Environmental Solutions. … All up, insiders sold more shares in DIRTT Environmental Solutions than they bought, over the last year

Simply Wall St -

DIRTT Environmental Solutions Ltd (TSE:DRT)'s Return on Capital

You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Therefore, looking at how efficiently DIRTT Environmental Solutions is able to use capital to create earnings will help us understand your potential return. … Investors use many different metrics but the analysis below focuses on return on capital employed (ROCE).

Simply Wall St -

DRT Company Info

Description

DIRTT Environmental Solutions Ltd. designs, manufactures, and installs customized prefabricated interiors. The company combines its proprietary 3D design, configuration, and manufacturing software with integrated in-house manufacturing of its prefabricated interior construction solutions and its distribution partner network. It offers DIRTT Walls that provides customized interior wall solutions to support new and legacy furniture, as well as integrated technology; DIRTT Power, which offers pre-tested adaptable power solutions to arrive on-site in correct lengths with factory components ready to go that eliminates waste and provides future flexibility; and DIRTT Networks, a pre-fabricated, pre-tested, and componentized approach to build sustainable network infrastructure. The company also offers DIRTT Millwork, a customized modular cabinetry that is used for various applications, such as healthcare, corporate, education, hospitality, and residential; DIRTT Floors that provides flexibility for future adaptation and reconfiguration of existing facilities and new buildings; DIRTT Ceilings, a pre-fabricated custom ceilings, which enhances speech privacy and reduces noise; and DIRTT Timber, which provides cross-laminated timber and glulam timber solutions. It serves commercial, healthcare, education, and government environments, as well as retail, hospitality, and residential spaces in Canada, the United States, and internationally. DIRTT Environmental Solutions Ltd. was founded in 2003 and is headquartered in Calgary, Canada.

Details
Name: DIRTT Environmental Solutions Ltd.
DRT
Exchange: TSX
Founded: 2003
CA$370,057,560
84,681,364
Website: http://www.dirtt.net
Address: DIRTT Environmental Solutions Ltd.
7303-30th Street S.E.,
Calgary,
Alberta, T2C 1N6,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX DRT Common Shares The Toronto Stock Exchange CA CAD 29. Nov 2013
NasdaqGS DRTT Common Shares Nasdaq Global Select US USD 29. Nov 2013
DB D13 Common Shares Deutsche Boerse AG DE EUR 29. Nov 2013
Number of employees
Current staff
Staff numbers
834
DIRTT Environmental Solutions employees.
Industry
Building Products
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/12 00:17
End of day share price update: 2019/11/11 00:00
Last estimates confirmation: 2019/11/11
Last earnings filing: 2019/11/07
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.