📊 DHX Key Takeaways
Is Dhi Group, Inc.. (DHX) a Good Investment?
DHI Group faces significant operational headwinds with declining revenues (-9.9% YoY) and weak capital returns (1.7% ROE, 0.8% ROA) offset by critical liquidity stress. Despite positive free cash flow generation, the 0.44x current ratio and minimal $3M cash position create financial fragility that constrains strategic flexibility.
DHI Group’s fundamentals are weak: revenue is contracting, margins are negative, and the business is generating net losses despite positive free cash flow. While leverage is not extreme and operating cash flow remains positive, the combination of declining top-line demand, poor liquidity, and negative interest coverage suggests deteriorating business quality and elevated financial risk.
Why Buy Dhi Group, Inc.. Stock? DHX Key Strengths
- Positive operating margin of 10.3% demonstrates some profitability in core operations
- Strong free cash flow conversion at 22.8% FCF margin shows cash generation efficiency
- Conservative debt levels with 0.36x debt-to-equity ratio and adequate 5.5x interest coverage
- Positive operating cash flow and free cash flow generation despite net losses
- Moderate balance sheet leverage with debt/equity of 0.32x
- Positive shareholder equity provides some balance sheet support
DHX Stock Risks: Dhi Group, Inc.. Investment Risks
- Revenue contraction of 9.9% YoY indicates declining business demand and market share pressure
- Severe liquidity crisis with current ratio of 0.44x signals inability to meet short-term obligations
- Deteriorating capital efficiency with ROE declining to 1.7% and ROA at 0.8% suggests asset underutilization
- Massive -3100% EPS decline indicates significant dilution or operational distress
- Revenue declined 9.9% year over year, indicating ongoing demand or competitiveness pressure
- Negative operating and net margins show an unprofitable core business
- Very weak liquidity with a 0.44x current ratio and negative interest coverage increases financial stress
Key Metrics to Watch
- Quarterly revenue trajectory - stabilization required to confirm turnaround
- Current ratio trend - must improve above 1.0x to reduce liquidity risk
- Operating cash flow sustainability - verify cash generation continues amid revenue decline
- Revenue growth trend and operating margin improvement
- Operating cash flow sustainability relative to liquidity needs and debt service
Dhi Group, Inc.. (DHX) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 22.8% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
DHX Profit Margin, ROE & Profitability Analysis
DHX vs Services Sector: How Dhi Group, Inc.. Compares
How Dhi Group, Inc.. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Dhi Group, Inc.. Stock Overvalued? DHX Valuation Analysis 2026
Based on fundamental analysis, Dhi Group, Inc.. has mixed fundamental signals relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Dhi Group, Inc.. Balance Sheet: DHX Debt, Cash & Liquidity
DHX Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Dhi Group, Inc..'s revenue has declined by 85% over the 5-year period, indicating business contraction. The most recent EPS of $0.08 reflects profitable operations.
DHX Revenue Growth, EPS Growth & YoY Performance
DHX Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $29.7M | $1.5M | $0.04 |
| Q3 2025 | $32.1M | -$200.0K | $0.00 |
| Q2 2025 | $32.0M | -$569.0K | $-0.01 |
| Q1 2025 | $32.3M | -$1.5M | $-0.03 |
| Q3 2024 | $35.3M | -$200.0K | $0.00 |
| Q2 2024 | $35.8M | -$127.0K | $0.00 |
| Q1 2024 | $36.0M | $460.0K | $0.01 |
| Q3 2023 | $37.4M | -$926.0K | $-0.02 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Dhi Group, Inc.. Dividends, Buybacks & Capital Allocation
DHX SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Dhi Group, Inc.. (CIK: 0001393883)
📋 Recent SEC Filings
❓ Frequently Asked Questions about DHX
What is the AI rating for DHX?
Dhi Group, Inc.. (DHX) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 80% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are DHX's key strengths?
Claude: Positive operating margin of 10.3% demonstrates some profitability in core operations. Strong free cash flow conversion at 22.8% FCF margin shows cash generation efficiency. ChatGPT: Positive operating cash flow and free cash flow generation despite net losses. Moderate balance sheet leverage with debt/equity of 0.32x.
What are the risks of investing in DHX?
Claude: Revenue contraction of 9.9% YoY indicates declining business demand and market share pressure. Severe liquidity crisis with current ratio of 0.44x signals inability to meet short-term obligations. ChatGPT: Revenue declined 9.9% year over year, indicating ongoing demand or competitiveness pressure. Negative operating and net margins show an unprofitable core business.
What is DHX's revenue and growth?
Dhi Group, Inc.. reported revenue of $29.7M.
Does DHX pay dividends?
Dhi Group, Inc.. does not currently pay dividends.
Where can I find DHX SEC filings?
Official SEC filings for Dhi Group, Inc.. (CIK: 0001393883) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is DHX's EPS?
Dhi Group, Inc.. has a diluted EPS of $0.04.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is DHX a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Dhi Group, Inc.. has a SELL rating with 80% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is DHX stock overvalued or undervalued?
Valuation metrics for DHX: ROE of 1.7% (sector avg: 16%), net margin of 5.2% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy DHX stock in 2026?
Our dual AI analysis gives Dhi Group, Inc.. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is DHX's free cash flow?
Dhi Group, Inc..'s operating cash flow is $8.4M, with capital expenditures of $1.6M. FCF margin is 22.8%.
How does DHX compare to other Services stocks?
Vs Services sector averages: Net margin 5.2% (avg: 10%), ROE 1.7% (avg: 16%), current ratio 0.44 (avg: 1.5).