Loading...

You're on the old version of Simply Wall St. We will no longer be supporting this site, so we recommend you switch to our brand new platform.

Denny's

Nasdaq:DENN
Snowflake Description

Good value with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
DENN
Nasdaq
$374M
Market Cap
  1. Home
  2. US
  3. Consumer Services
Company description

Denny's Corporation, through its subsidiary, Denny's, Inc., owns and operates full-service restaurant chains under the Denny's brand. The last earnings update was 39 days ago. More info.


Add to Portfolio Compare Print
  • Denny's has significant price volatility in the past 3 months.
DENN Share Price and Events
7 Day Returns
-20.5%
NasdaqCM:DENN
-14.3%
US Hospitality
-4.1%
US Market
1 Year Returns
-64%
NasdaqCM:DENN
-50.9%
US Hospitality
-14.9%
US Market
DENN Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Denny's (DENN) -20.5% -60.2% -66.8% -64% -46% -44.2%
US Hospitality -14.3% -41.1% -53.1% -50.9% -43.2% -42.5%
US Market -4.1% -19.1% -23.4% -14.9% 3.5% 14.5%
1 Year Return vs Industry and Market
  • DENN underperformed the Hospitality industry which returned -50.9% over the past year.
  • DENN underperformed the Market in United States of America which returned -14.9% over the past year.
Price Volatility
DENN
Industry
5yr Volatility vs Market

Value

 Is Denny's 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 Denny's 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 Denny's.

NasdaqCM:DENN 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 9.3%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

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 NasdaqCM:DENN
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.79
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.794 (1 + (1- 21%) (125.66%))
1.39
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.39
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (1.39 * 5.44%)
9.3%

Discounted Cash Flow Calculation for NasdaqCM:DENN using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Denny's 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.

NasdaqCM:DENN DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.3%)
2020 26.92 Analyst x4 24.63
2021 56.24 Analyst x4 47.07
2022 58.80 Analyst x1 45.03
2023 60.80 Est @ 3.39% 42.60
2024 62.56 Est @ 2.9% 40.10
2025 64.15 Est @ 2.55% 37.63
2026 65.63 Est @ 2.31% 35.22
2027 67.04 Est @ 2.14% 32.91
2028 68.39 Est @ 2.02% 30.72
2029 69.71 Est @ 1.93% 28.65
Present value of next 10 years cash flows $364.00
NasdaqCM:DENN DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $69.71 × (1 + 1.74%) ÷ (9.3% – 1.74%)
$938.17
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $938.17 ÷ (1 + 9.3%)10
$385.55
NasdaqCM:DENN Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $364.00 + $385.55
$749.55
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $749.55 / 56.02
$13.38
NasdaqCM:DENN Discount to Share Price
Calculation Result
Value per share (USD) From above. $13.38
Current discount Discount to share price of $6.68
= -1 x ($6.68 - $13.38) / $13.38
50.1%

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

Current Discount
Amount off the current price Denny's is available for.
Intrinsic value
>50%
Share price is $6.68 vs Future cash flow value of $13.38
Current Discount Checks
For Denny's to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Denny's's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Denny's'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 Denny's's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Denny's's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqCM:DENN PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-25) in USD $1.96
NasdaqCM:DENN Share Price ** NasdaqCM (2020-04-02) in USD $6.68
United States of America Hospitality Industry PE Ratio Median Figure of 65 Publicly-Listed Hospitality Companies 11.98x
United States of America Market PE Ratio Median Figure of 2,944 Publicly-Listed Companies 12.5x

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

** Primary Listing of Denny's.

NasdaqCM:DENN PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqCM:DENN Share Price ÷ EPS (both in USD)

= 6.68 ÷ 1.96

3.41x

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

  • Denny's is good value based on earnings compared to the US Hospitality industry average.
  • Denny's is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Denny's's expected growth come at a high price?
Raw Data
NasdaqCM:DENN PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 3.41x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
-53.6%per year
United States of America Hospitality Industry PEG Ratio Median Figure of 50 Publicly-Listed Hospitality Companies 0.55x
United States of America Market PEG Ratio Median Figure of 2,008 Publicly-Listed Companies 0.91x

*Line of best fit is calculated by linear regression .

NasdaqCM:DENN PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 3.41x ÷ -53.6%

-0.06x

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

  • Denny's earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Denny's's assets?
Raw Data
NasdaqCM:DENN PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-25) in USD $-2.42
NasdaqCM:DENN Share Price * NasdaqCM (2020-04-02) in USD $6.68
United States of America Hospitality Industry PB Ratio Median Figure of 106 Publicly-Listed Hospitality Companies 1.19x
United States of America Market PB Ratio Median Figure of 5,142 Publicly-Listed Companies 1.22x
NasdaqCM:DENN PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqCM:DENN Share Price ÷ Book Value per Share (both in USD)

= 6.68 ÷ -2.42

-2.76x

* Primary Listing of Denny's.

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

  • Denny's has negative assets, we can't compare the value of its assets to the US Hospitality industry average.
X
Value checks
We assess Denny's'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 Hospitality 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 Hospitality industry average (and greater than 0)? (1 check)
  5. Denny's has a total score of 4/6, 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.

Future Performance

 How is Denny's 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
-53.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Denny's expected to grow at an attractive rate?
  • Denny's's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Denny's's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Denny's's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqCM:DENN Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqCM:DENN Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts -53.6%
NasdaqCM:DENN Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts -9%
United States of America Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 16.8%
United States of America Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 8.9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 12.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*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
NasdaqCM:DENN Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months 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.
NasdaqCM:DENN Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31 80
2023-12-31 77
2022-12-31 442 75 42 1
2021-12-31 443 72 44 7
2020-12-31 417 67 28 7
2020-04-03
2019-12-31 535 54 104 7
NasdaqCM:DENN Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-25 541 43 117
2019-09-25 587 59 110
2019-06-26 621 73 72
2019-03-27 626 83 49
2018-12-26 630 74 44
2018-09-26 606 81 45
2018-06-27 580 72 44
2018-03-28 557 74 41
2017-12-27 529 78 40
2017-09-27 523 72 38
2017-06-28 519 81 38
2017-03-29 510 71 18
2016-12-28 507 71 19

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Denny's's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Denny's's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
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
NasdaqCM:DENN Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from Denny's Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:DENN Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31 0.71 0.71 0.71 1.00
2021-12-31 0.79 0.95 0.52 5.00
2020-12-31 0.48 0.85 -0.25 5.00
2020-04-03
2019-12-31 1.66 1.85 1.15 5.00
NasdaqCM:DENN Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-25 1.96
2019-09-25 1.81
2019-06-26 1.17
2019-03-27 0.79
2018-12-26 0.69
2018-09-26 0.71
2018-06-27 0.67
2018-03-28 0.62
2017-12-27 0.58
2017-09-27 0.54
2017-06-28 0.53
2017-03-29 0.24
2016-12-28 0.26

*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 Denny's will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Denny's'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 United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of 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.
Denny's has a total score of 0/6, 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.

Past Performance

  How has Denny's 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 Denny's's growth in the last year to its industry (Hospitality).
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.
  • Denny's has delivered over 20% year on year earnings growth in the past 5 years.
  • Denny's's 1-year earnings growth exceeds its 5-year average (168.6% vs 26.4%)
  • Denny's's earnings growth has exceeded the US Hospitality industry average in the past year (168.6% vs 1.6%).
Earnings and Revenue History
Denny's'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 Denny's Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:DENN Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-25 541.39 117.41 69.02
2019-09-25 587.10 110.35 67.44
2019-06-26 620.87 72.04 68.41
2019-03-27 626.32 49.42 66.02
2018-12-26 630.18 43.69 63.83
2018-09-26 606.13 45.34 64.30
2018-06-27 580.49 43.86 64.72
2018-03-28 556.53 40.98 65.61
2017-12-27 529.17 39.59 66.42
2017-09-27 523.28 37.72 68.66
2017-06-28 519.28 38.12 69.54
2017-03-29 510.22 17.82 68.92
2016-12-28 506.95 19.40 67.96
2016-09-28 501.37 16.89 67.80
2016-06-29 496.76 16.11 66.13
2016-03-30 495.76 37.40 66.63
2015-12-30 491.29 35.98 66.60
2015-09-30 496.00 36.90 67.90
2015-07-01 489.25 36.29 65.09
2015-04-01 480.55 34.83 61.93
2014-12-31 472.30 32.73 58.91
2014-09-24 457.82 27.31 55.27
2014-06-25 458.07 26.00 55.51
2014-03-26 460.02 23.92 55.78
2013-12-25 462.59 24.57 56.84
2013-09-25 464.29 26.79 57.21
2013-06-26 467.96 25.12 58.31

*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.
  • It is difficult to establish if Denny's has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.
  • Denny's used its assets more efficiently than the US Hospitality industry average last year based on Return on Assets.
  • Denny's's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Denny's'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 Hospitality 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.
Denny's has a total score of 4/6, 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.

Health

 How is Denny's'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 Denny's's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Denny's's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Denny's's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Denny's'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.
  • Denny's has negative shareholder equity (liabilities exceed assets) therefore debt is not 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 Denny's Company Filings, last reported 3 months ago.

NasdaqCM:DENN Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-25 -138.06 284.70 7.02
2019-09-25 -118.75 268.80 5.21
2019-06-26 -142.57 306.60 5.41
2019-03-27 -140.22 304.80 4.95
2018-12-26 -133.35 286.50 6.74
2018-09-26 -109.98 278.90 3.58
2018-06-27 -117.88 287.20 3.75
2018-03-28 -121.42 290.10 3.92
2017-12-27 -97.36 259.00 4.98
2017-09-27 -97.60 265.90 1.66
2017-06-28 -79.90 239.40 1.67
2017-03-29 -64.68 231.80 1.74
2016-12-28 -71.11 218.50 2.59
2016-09-28 -53.75 217.60 1.53
2016-06-29 -52.66 212.60 6.69
2016-03-30 -57.43 210.40 4.14
2015-12-30 -60.60 195.00 1.67
2015-09-30 -7.55 152.70 8.60
2015-07-01 2.71 142.20 5.13
2015-04-01 3.90 137.80 1.72
2014-12-31 1.58 140.00 3.07
2014-09-24 2.43 152.50 1.45
2014-06-25 -0.01 161.25 1.22
2014-03-26 5.74 155.25 1.41
2013-12-25 8.43 153.00 2.94
2013-09-25 0.39 155.50 6.33
2013-06-26 2.46 156.75 2.01
  • Denny's has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.
  • Irrelevant to check if Denny's's debt level has increased considering it has negative shareholder equity.
  • Debt is not well covered by operating cash flow (15.2%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4x coverage).
X
Financial health checks
We assess Denny's'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. Denny's has a total score of 1/6, 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.

Dividends

 What is Denny's'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 Denny's dividends.
If you bought $2,000 of Denny's shares you are expected to receive $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 Denny's's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Denny's'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
NasdaqCM:DENN 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
United States of America Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 39 Stocks 6.3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1941 Stocks 3.1%
United States of America Minimum Threshold Dividend Yield 10th Percentile 1.1%
United States of America Bottom 25% Dividend Yield 25th Percentile 2%
United States of America 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.

NasdaqCM:DENN Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31
2021-12-31
2020-12-31
2020-04-03
2019-12-31

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

  • Unable to perform a dividend volatility check as Denny's has not reported any payouts.
  • Unable to verify if Denny's's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Denny's's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Denny's 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 Denny's's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - 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 Denny's afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Denny's 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.

Management

 What is the CEO of Denny's'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
John Miller
COMPENSATION $4,002,249
AGE 64
TENURE AS CEO 9.2 years
CEO Bio

Mr. John C. Miller serves as Chief Executive Officer and President at DFO, LLC. Mr. Miller has been the Chief Executive Officer of Denny's Corporation since February 2011 and served as its President since February 2011 until February 2020. Mr. Miller served as Senior Vice President of Brinker International, Inc. Mr. Miller served as President of Romano's Macaroni Grill, Inc. from April 1997 to January 3, 2005. He joined Brinker International, Inc. as Vice President of Special Concepts in 1987. He served as Vice President of Joint Venture/Franchise at Brinker International, Inc. from 1988 to 1993 and served as its Senior Vice President of New Concept Development. He served as Senior Vice President of Mexican Concepts in 1994 and its Senior Vice President and Mexican Concepts President since 1995 until April 1997. He has been Director of Denny's Corporation since February 1, 2011. He served as the Chief Executive Officer and President of Taco Bueno Restaurants, Inc., an operator and franchisor of quick-service Mexican eateries form 2005 to 2011.

CEO Compensation
  • John's compensation has been consistent with company performance over the past year, both up more than 20%.
  • John's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Denny's management team in years:

3.9
Average Tenure
54
Average Age
  • The tenure for the Denny's management team is about average.
Management Team

John Miller

TITLE
CEO & Director
COMPENSATION
$4M
AGE
64
TENURE
9.2 yrs

F. Wolfinger

TITLE
President & Director
COMPENSATION
$2M
AGE
64
TENURE
0.2 yrs

Chris Bode

TITLE
Senior VP & COO
COMPENSATION
$975K
AGE
56
TENURE
5.5 yrs

Steve Dunn

TITLE
Senior VP & Chief Global Development Officer
COMPENSATION
$918K
AGE
54
TENURE
4.8 yrs

John Dillon

TITLE
Executive VP & Chief Brand Officer
COMPENSATION
$929K
AGE
47
TENURE
1.3 yrs

Robert Verostek

TITLE
CFO & Senior VP
AGE
47
TENURE
0.2 yrs

Jay Gilmore

TITLE
VP, Chief Accounting Officer & Corporate Controller
AGE
50

Michael Furlow

TITLE
Senior VP & Chief Information Officer
COMPENSATION
$1M
AGE
61
TENURE
3 yrs

Curt Nichols

TITLE
Senior Director of Investor Relations & Financial Analysis

Jill Van Pelt

TITLE
Senior VP & Chief People Officer
AGE
50
TENURE
5.5 yrs
Board of Directors Tenure

Average tenure and age of the Denny's board of directors in years:

9.2
Average Tenure
64
Average Age
  • The tenure for the Denny's board of directors is about average.
Board of Directors

Brenda Lauderback

TITLE
Chair of the Board of Directors
COMPENSATION
$290K
AGE
68

John Miller

TITLE
CEO & Director
COMPENSATION
$4M
AGE
64
TENURE
9.2 yrs

F. Wolfinger

TITLE
President & Director
COMPENSATION
$2M
AGE
64
TENURE
9.3 yrs

Don Robinson

TITLE
Independent Director
COMPENSATION
$190K
AGE
66
TENURE
2.3 yrs

Gregg Dedrick

TITLE
Independent Director
COMPENSATION
$190K
AGE
60
TENURE
10.3 yrs

Jose Gutierrez

TITLE
Independent Director
COMPENSATION
$190K
AGE
58
TENURE
7.3 yrs

Robert Marks

TITLE
Independent Director
COMPENSATION
$190K
AGE
67
TENURE
22.3 yrs

Laysha Ward

TITLE
Independent Director
COMPENSATION
$175K
AGE
51
TENURE
10.3 yrs

Bernadette Aulestia

TITLE
Independent Director
COMPENSATION
$148K
AGE
46
TENURE
1.9 yrs
Who owns this company?
Recent Insider Trading
  • Denny's individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
24. Feb 20 Sell Christopher Bode Individual 20. Feb 20 20. Feb 20 -33,000 $20.61 $-680,176
29. Nov 19 Sell Stephen Dunn Individual 27. Nov 19 27. Nov 19 -58,332 $19.51 $-1,137,917
16. Sep 19 Sell Timothy Flemming Individual 12. Sep 19 12. Sep 19 -50,873 $22.82 $-1,161,034
10. Sep 19 Sell John Dillon Individual 06. Sep 19 09. Sep 19 -16,980 $23.53 $-397,319
06. Sep 19 Sell Robert Verostek Individual 04. Sep 19 04. Sep 19 -5,120 $23.62 $-120,712
05. Sep 19 Sell Jay Gilmore Individual 03. Sep 19 03. Sep 19 -13,000 $23.75 $-308,750
03. Sep 19 Sell Christopher Bode Individual 29. Aug 19 30. Aug 19 -50,488 $23.53 $-1,187,963
17. May 19 Sell Donald Robinson Individual 16. May 19 16. May 19 -6,431 $19.61 $-126,125
16. May 19 Sell Brenda Lauderback Individual 15. May 19 15. May 19 -9,968 $19.23 $-191,720
15. May 19 Sell John Dillon Individual 13. May 19 13. May 19 -10,360 $19.24 $-199,364
X
Management checks
We assess Denny's'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. Denny's 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.

News

Simply Wall St News

Does Denny's (NASDAQ:DENN) Deserve A Spot On Your Watchlist?

In contrast to all that, I prefer to spend time on companies like Denny's (NASDAQ:DENN), which has not only revenues, but also profits. … View our latest analysis for Denny's Denny's's Improving Profits In the last three years Denny's's earnings per share took off like a rocket; fast, and from a low base. … Denny's's earnings per share have taken off like a rocket aimed right at the moon.

Simply Wall St -

How Much Are Denny's Corporation (NASDAQ:DENN) Insiders Taking Off The Table?

So before you buy or sell Denny's Corporation (NASDAQ:DENN), you may well want to know whether insiders have been buying or selling. … NasdaqCM:DENN Recent Insider Trading, August 20th 2019 Insider Ownership of Denny's Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. … We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

Simply Wall St -

Here's Why Denny's (NASDAQ:DENN) Can Manage Its Debt Responsibly

Our View When it comes to the balance sheet, the standout positive for Denny's was the fact that it seems able to convert EBIT to free cash flow confidently. … While debt does have its upside in higher potential returns, we think shareholders should definitely consider how debt levels might make the stock more risky. … If you're interested in investing in businesses that can grow profits without the burden of debt, then check out this free list of growing businesses that have net cash on the balance sheet.

Simply Wall St -

Why Denny's Corporation's (NASDAQ:DENN) High P/E Ratio Isn't Necessarily A Bad Thing

The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Denny's: P/E of 27.55 = $21.73 ÷ $0.79 (Based on the year to March 2019.) Is A High Price-to-Earnings Ratio Good? … A higher P/E ratio means that investors are paying a higher price for each $1 of company earnings. … As you can see below, Denny's has a higher P/E than the average company (22.5) in the hospitality industry.

Simply Wall St -

Denny's Corporation (NASDAQ:DENN) Earns Among The Best Returns In Its Industry

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Denny's: 0.23 = US$74m ÷ (US$422m - US$100m) (Based on the trailing twelve months to March 2019.) So, Denny's has an ROCE of 23%. … Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE. … What We Can Learn From Denny's's ROCE This is good to see, and with such a high ROCE, Denny's may be worth a closer look.

Simply Wall St -

Should You Be Pleased About The CEO Pay At Denny's Corporation's (NASDAQ:DENN)

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … Check out our latest analysis for Denny's How Does John Miller's Compensation Compare With Similar Sized Companies? … At the time of writing our data says that Denny's Corporation has a market cap of US$1.3b, and is paying total annual CEO compensation of US$4.0m.

Simply Wall St -

Did Business Growth Power Denny's's (NASDAQ:DENN) Share Price Gain of 196%?

For example, the Denny's Corporation (NASDAQ:DENN) share price has soared 196% in the last half decade. … One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. … During five years of share price growth, Denny's achieved compound earnings per share (EPS) growth of 24% per year.

Simply Wall St -

Have Insiders Been Selling Denny's Corporation (NASDAQ:DENN) Shares?

So we'll take a look at whether insiders have been buying or selling shares in Denny's Corporation (NASDAQ:DENN). … That means that even when the share price was below the current price of US$18.83, an insider wanted to cash in some shares … While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign

Simply Wall St -

Here's Why We Think Denny's (NASDAQ:DENN) Is Well Worth Watching

In contrast to all that, I prefer to spend time on companies like Denny's (NASDAQ:DENN), which has not only revenues, but also profits. … It's no surprise, then, that I like to invest in companies with EPS growth. … I like to see top-line growth as an indication that growth is sustainable, and I look for a high earnings before interest and taxation (EBIT) margin to point to a competitive moat (though some companies with low margins also have moats).

Simply Wall St -

Why Denny's Corporation's (NASDAQ:DENN) High P/E Ratio Isn't Necessarily A Bad Thing

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … We'll look at Denny's Corporation's (NASDAQ:DENN) P/E ratio and reflect on what it tells us about the company's share price. … Denny's has a price to earnings ratio of 26.07, based on the last twelve months.

Simply Wall St -

Company Info

Description

Denny's Corporation, through its subsidiary, Denny's, Inc., owns and operates full-service restaurant chains under the Denny's brand. As of December 25, 2019, it operated 1,703 franchised, licensed, and company restaurants, including 1,559 restaurants in the United States; and 144 in Aruba, Canada, Costa Rica, El Salvador, Guam, Guatemala, Honduras, Indonesia, Mexico, New Zealand, the Philippines, Puerto Rico, the United Arab Emirates, and the United Kingdom. The company was formerly known as Advantica Restaurant Group, Inc. and changed its name to Denny's Corporation in 2002. Denny's Corporation was founded in 1953 and is headquartered in Spartanburg, South Carolina.

Details
Name: Denny's Corporation
DENN
Exchange: NasdaqCM
Founded: 1953
$374,215,517
56,020,287
Website: http://www.dennys.com
Address: Denny's Corporation
203 East Main Street,
Spartanburg,
South Carolina, 29319-9966,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqCM DENN Common Stock Par Value 0.01 Nasdaq Capital Market US USD 08. Jan 1998
DB DE8 Common Stock Par Value 0.01 Deutsche Boerse AG DE EUR 08. Jan 1998
Number of employees
Current staff
Staff numbers
4,000
Denny's employees.
Industry
Restaurants
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/03 04:26
End of day share price update: 2020/04/02 00:00
Last estimates confirmation: 2020/04/01
Last earnings filing: 2020/02/24
Last earnings reported: 2019/12/25
Last annual earnings reported: 2019/12/25


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.