DCH:NYSEDauch Corporation Analysis
Data as of 2026-05-29 - not real-time
$6.77
Latest Price
7/10Risk
Risk Level: Medium
Executive Summary
Dauch Corporation (DCH) is trading at $6.77, comfortably above its 20‑day ($6.18) and 50‑day ($5.96) moving averages and even above the 200‑day average ($6.36), while the RSI sits at a neutral 59 and the MACD shows a bullish crossover. Technical indicators suggest short‑term momentum remains positive, yet volume is on a downtrend and 30‑day volatility is high at roughly 75%, reflecting a choppy market environment.
On the fundamentals side, the company posted a 68% year‑over‑year revenue jump to $2.4 B in Q1 2026 and turned adjusted EPS positive at $0.34, bolstered by the recent Dowlais acquisition. However, profitability remains fragile with a negative trailing profit margin and a staggering debt‑to‑equity ratio above 350%. While the DCF model implies a fair value near $53, analyst targets cluster around $8‑9, indicating the stock is substantially undervalued relative to its peers.
On the fundamentals side, the company posted a 68% year‑over‑year revenue jump to $2.4 B in Q1 2026 and turned adjusted EPS positive at $0.34, bolstered by the recent Dowlais acquisition. However, profitability remains fragile with a negative trailing profit margin and a staggering debt‑to‑equity ratio above 350%. While the DCF model implies a fair value near $53, analyst targets cluster around $8‑9, indicating the stock is substantially undervalued relative to its peers.
Market Outlook
Short Term
< 1 yearPositive
Model confidence: 7/10
Key Factors
- Bullish MACD and price above key moving averages
- Recent revenue surge and positive adjusted EPS
- Significant upside to analyst target prices
Medium Term
1–3 yearsNeutral
Model confidence: 6/10
Key Factors
- High leverage and debt‑to‑equity ratio
- Volatile trading environment with decreasing volume
- Continued integration risk of the Dowlais acquisition
Long Term
> 3 yearsPositive
Model confidence: 8/10
Key Factors
- Strong revenue growth tied to EV and hybrid drivetrain demand
- Potential for debt reduction as cash flow improves
- Undervaluation relative to DCF fair value and analyst targets
Key Metrics & Analysis
Financial Health
Revenue Growth68.60%
Profit Margin-1.87%
P/E Ratio6.1
ROE-12.08%
ROA2.02%
Debt/Equity355.27
P/B Ratio1.1
Op. Cash Flow$291.3M
Free Cash Flow$468.6M
Technical Analysis
TrendNeutral
RSI59.1
Support$5.31
Resistance$7.34
MA 20$6.18
MA 50$5.96
MA 200$6.36
MACDBullish
VolumeDecreasing
Fear & Greed Index93.21
Valuation
Fair Value$52.95
Target Price$9.28
Upside/Downside37.00%
GradeUndervalued
TypeBlend
Risk Assessment
Beta2.26
Volatility74.76%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskMedium
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.