DLH (NASDAQ:DLHC) Releases Earnings Results, Misses Estimates By $0.99 EPS

Key Points

• DLH reported a significant earnings miss: quarterly EPS was $(1.16), missing the $(0.17) consensus estimate by $0.99. Revenue totaled $44.23 million, below expectations of $50.00 million.
• Shares rose 1.1% to $5.28 following the results, but the stock remains near its 12-month low of $5.03 and has a market capitalization of approximately $76.5 million.
• Analyst sentiment remains cautious, with ratings averaging “Reduce,” while insiders purchased 168,856 shares worth about $913,000 over the past 90 days.

DLH (NASDAQ:DLHC - Get Free Report) issued its quarterly earnings data on Wednesday. The business services provider reported ($1.16) EPS for the quarter, missing the consensus estimate of ($0.17) by ($0.99), FiscalAI reports. DLH had a negative return on equity of 4.00% and a negative net margin of 1.53%.The firm had revenue of $44.23 million during the quarter, compared to the consensus estimate of $50.00 million.

DLH Trading Up 1.1%

Shares of NASDAQ:DLHC traded up $0.06 during trading on Wednesday, reaching $5.28. The company's stock had a trading volume of 6,966 shares, compared to its average volume of 28,937. DLH has a 12 month low of $5.03 and a 12 month high of $8.10. The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 1.00. The firm's 50 day simple moving average is $5.40 and its two-hundred day simple moving average is $5.66. The stock has a market capitalization of $76.51 million, a PE ratio of -17.60 and a beta of 1.45.

Analyst Ratings Changes

DLHC has been the subject of several recent research reports. Weiss Ratings restated a "sell (d)" rating on shares of DLH in a research report on Friday, July 17th. Zacks Research raised DLH from a "strong sell" rating to a "hold" rating in a research note on Monday, April 13th. One equities research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Reduce".

Insiders Place Their Bets

In other news, major shareholder Mink Brook Asset Management Ll acquired 5,000 shares of the company's stock in a transaction on Thursday, July 9th. The stock was bought at an average cost of $5.13 per share, with a total value of $25,650.00. Following the completion of the purchase, the insider directly owned 2,149,073 shares of the company's stock, valued at $11,024,744.49. This represents a 0.23% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. In the last 90 days, insiders acquired 168,856 shares of company stock worth $913,402. Corporate insiders own 12.80% of the company's stock.

Institutional Trading of DLH

Several institutional investors have recently added to or reduced their stakes in the company. Bank of America Corp DE lifted its stake in shares of DLH by 31.9% during the 4th quarter. Bank of America Corp DE now owns 7,679 shares of the business services provider's stock worth $62,000 after acquiring an additional 1,855 shares during the last quarter. Jane Street Group LLC bought a new stake in shares of DLH in the fourth quarter valued at about $58,000. Qube Research & Technologies Ltd bought a new stake in shares of DLH in the 2nd quarter valued at about $73,000. Sandia Investment Management LP purchased a new position in DLH during the fourth quarter valued at approximately $197,000. Finally, Strs Ohio purchased a new position in DLH during the first quarter valued at approximately $185,000. Institutional investors own 67.25% of the company's stock.

About DLH

DLH Holdings Corp. NASDAQ: DLHC is a provider of mission-driven professional services primarily to federal government agencies and select commercial clients. The company designs and delivers tailored solutions across a range of critical mission areas, including program and project management, consulting, technical assistance, and administrative support. Through its Healthcare Solutions offerings, DLH also specializes in supporting clinical and allied health staffing needs for federal health agencies and health systems.

Operating under its Federal Solutions segment, DLH partners with agencies such as the Department of Veterans Affairs, Department of Defense, Department of Homeland Security, and the Department of Health and Human Services.

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