Diamond Stock Valuation

DHIL
 Stock
  

USD 177.30  0.66  0.37%   

What is the enterprise value of Diamond Hill? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Diamond Hill, is its stock price multiplied by the total number of shares outstanding, calculating Diamond Hill's enterprise value requires a different approach. It uses Diamond Hill's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
Diamond Hill Free Cash Flow is relatively stable at the moment as compared to the past year. The company's current value of Free Cash Flow is estimated at 35.27 Million. Enterprise Value is expected to hike to about 518.9 M this year, although Tangible Asset Value will most likely fall to nearly 256.1 M.
Diamond Hill Inv shows a prevailing Real Value of $175.9 per share. The current price of the firm is $177.3. At this time, the firm appears to be fairly valued. Our model computes the value of Diamond Hill Inv from reviewing the firm fundamentals such as Operating Margin of 44.11 %, profit margin of 37.54 %, and Current Valuation of 497.66 M as well as analyzing its technical indicators and Probability Of Bankruptcy. In general, we advise acquiring undervalued instruments and dropping overvalued instruments since, at some point, asset prices and their ongoing real values will submerge.
  
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Diamond Hill Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Diamond Hill's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.
Fairly Valued
Today 177.30
Please note that Diamond Hill's price fluctuation is very steady at this time. Calculation of the real value of Diamond Hill Inv is based on 3 months time horizon. Increasing Diamond Hill's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Diamond Hill Inv is useful when determining the fair value of the Diamond stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Diamond Hill. Since Diamond Hill is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Diamond Stock. However, Diamond Hill's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
173.98
Downside
175.90
Real Value
177.82
Upside
Estimating the potential upside or downside of Diamond Hill Inv helps investors to forecast how Diamond stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Diamond Hill more accurately as focusing exclusively on Diamond Hill's fundamentals will not take into account other important factors:
Hype
Prediction
LowEstimated ValueHigh
173.16175.08177.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Diamond Hill's intrinsic value based on its ongoing forecasts of Diamond Hill's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Diamond Hill's closest peers. When choosing an evaluation method for Diamond Hill Inv, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Diamond Hill Investments

141.7 Million

Diamond Valuation Drivers Correlation

Many accounts on the financial statements of Diamond Hill Inv are highly interrelated and sometimes correlated. Consequently, when conducting Diamond's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Diamond
Click cells to compare fundamentals

Diamond Valuation Trend

Knowing Diamond Hill's actual value is paramount for traders to make sound investment determinations. Diamond Hill's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Diamond Hill's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Diamond Hill's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Diamond Market Cap

Diamond Hill Inv is one of the top stocks in market capitalization category among related companies. Market capitalization of Asset Management industry is currently estimated at about 1.47 Trillion. Diamond Hill adds roughly 560.25 Million in market capitalization claiming only tiny portion of stocks in Asset Management industry.
Capitalization  Revenue  Valuation  Workforce  Total debt

Diamond Hill Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Diamond Hill's current stock value. Our valuation model uses many indicators to compare Diamond Hill value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Diamond Hill competition to find correlations between indicators driving Diamond Hill's intrinsic value. More Info.
Diamond Hill Inv is one of the top stocks in price to book category among related companies. It is one of the top stocks in price to earning category among related companies reporting about  3.23  of Price to Earning per Price to Book. Price to Earnings Ratio is expected to hike to 9.95 this year, although the value of Earnings Before Interest Taxes and Depreciation Amortization EBITDA will most likely fall to nearly 87.4 M.. Comparative valuation analysis is a catch-all model that can be used if you cannot value Diamond Hill by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Diamond Hill's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Diamond Hill's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Diamond Hill's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Diamond Hill and how it compares across the competition.

About Diamond Hill Valuation

The equity valuation mechanism determines the current worth of Diamond Hill Inv on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Diamond Hill Inv. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Diamond Hill Inv based exclusively on its fundamental and basic technical indicators. By analyzing Diamond Hill's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Diamond Hill's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Diamond Hill. We calculate exposure to Diamond Hill's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Diamond Hill's related companies.
Last ReportedProjected for 2022
Gross Profit108.6 M97.2 M
Profit Margin 0.41  0.40 
Diamond Hill Investment Group, Inc., through its subsidiary, Diamond Hill Capital Management, Inc., provides investment advisory and fund administration services in the United States. The company was founded in 1990 and is based in Columbus, Ohio. Diamond Hill operates under Asset Management classification in the United States and is traded on NASDAQ Exchange. It employs 128 people.

Diamond Hill Quarterly Enterprise Value

522.77 Million

Diamond Hill Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Diamond Hill does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio3.53
Earnings Quarterly Growth-33.40%
Revenue Growth8.30%
Payout Ratio20.58%
Enterprise Value To Ebitda5.98
Earnings Growth-34.00%
Enterprise Value To Revenue2.68

Diamond Hill Current Valuation Indicators

Valuation refers to the process of determining the present value of Diamond Hill Inv and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Diamond we look at many different elements of the entity such as Diamond's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Diamond Hill's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Diamond Hill's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Diamond Hill, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Diamond Hill's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Diamond Hill's worth.
Continue to Investing Opportunities. Note that the Diamond Hill Inv information on this page should be used as a complementary analysis to other Diamond Hill's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.

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When running Diamond Hill Inv price analysis, check to measure Diamond Hill's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Diamond Hill is operating at the current time. Most of Diamond Hill's value examination focuses on studying past and present price action to predict the probability of Diamond Hill's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Diamond Hill's price. Additionally, you may evaluate how the addition of Diamond Hill to your portfolios can decrease your overall portfolio volatility.
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Is Diamond Hill's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Diamond Hill. If investors know Diamond will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Diamond Hill listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Diamond Hill Inv is measured differently than its book value, which is the value of Diamond that is recorded on the company's balance sheet. Investors also form their own opinion of Diamond Hill's value that differs from its market value or its book value, called intrinsic value, which is Diamond Hill's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Diamond Hill's market value can be influenced by many factors that don't directly affect Diamond Hill's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Diamond Hill's value and its price as these two are different measures arrived at by different means. Investors typically determine Diamond Hill value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Diamond Hill's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.