DMC Global (NASDAQ:BOOM) Issues Quarterly Earnings Results

DMC Global (NASDAQ:BOOM) issued its earnings results on Thursday. The industrial products company reported ($0.28) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.31) by $0.03, FiscalAI reports. DMC Global had a negative return on equity of 2.77% and a negative net margin of 3.01%.The firm had revenue of $135.60 million for the quarter, compared to the consensus estimate of $134.23 million.

Here are the key takeaways from DMC Global’s conference call:

• Consolidated Q1 sales were $135.6 million, down 15% year-over-year, with adjusted EBITDA attributable to DMC of $3.9 million versus $14.4 million a year ago, reflecting material margin pressure from macro headwinds.
• Arcadia sales fell to $56.7 million (?14% YoY) and its margin was squeezed by a 64% year?over?year increase in aluminum costs and competitive pricing, leaving first?quarter adjusted EBITDA at $2.3 million.
• DynaEnergetics reported $59.5 million in sales (?9% YoY) and $2.7 million adjusted EBITDA, with near?term weakness from lower North American completions and tariffs but potential upside from improving orders, short lead times, and emerging geothermal demand.
• NobelClad revenue declined to $19.3 million (?31% YoY) but order backlog rose 12% sequentially to $70.3 million—the highest level in more than 15 years—and shipments for a large international petrochemical project should support the rest of the year.
• Management guides Q2 sales of $148M–$158M and adjusted EBITDA of $6M–$8M, expects sequential improvement across all businesses, and ended Q1 with about $32 million cash and $22.4 million net debt, while cautioning results remain highly sensitive to supply?chain, tariff, and commodity risks.

DMC Global Price Performance

BOOM stock traded down $0.11 during midday trading on Thursday, reaching $6.18. 227,265 shares of the stock were exchanged, compared to its average volume of 285,891. DMC Global has a 52 week low of $4.69 and a 52 week high of $9.20. The company has a fifty day moving average price of $5.54 and a 200 day moving average price of $6.69. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.50 and a quick ratio of 1.24. The stock has a market capitalization of $126.57 million, a PE ratio of -6.94 and a beta of 1.65.

Institutional Trading of DMC Global

Several hedge funds and other institutional investors have recently made changes to their positions in BOOM. AQR Capital Management LLC acquired a new position in shares of DMC Global in the first quarter valued at approximately $214,000. Goldman Sachs Group Inc. boosted its position in DMC Global by 55.1% during the 1st quarter. Goldman Sachs Group Inc. now owns 137,128 shares of the industrial products company’s stock worth $1,155,000 after buying an additional 48,732 shares during the period. Empowered Funds LLC grew its holdings in DMC Global by 7.5% during the 1st quarter. Empowered Funds LLC now owns 102,806 shares of the industrial products company’s stock worth $866,000 after acquiring an additional 7,216 shares during the last quarter. Jane Street Group LLC increased its position in DMC Global by 102.5% in the 1st quarter. Jane Street Group LLC now owns 27,384 shares of the industrial products company’s stock valued at $231,000 after acquiring an additional 13,864 shares during the period. Finally, Focus Partners Wealth increased its position in DMC Global by 39.9% in the 1st quarter. Focus Partners Wealth now owns 70,539 shares of the industrial products company’s stock valued at $594,000 after acquiring an additional 20,110 shares during the period. 77.63% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on BOOM. Stifel Nicolaus reduced their price objective on DMC Global from $8.00 to $7.00 and set a “hold” rating on the stock in a research note on Tuesday, March 3rd. Zacks Research raised DMC Global from a “strong sell” rating to a “hold” rating in a research note on Monday. Wall Street Zen cut shares of DMC Global from a “hold” rating to a “sell” rating in a report on Saturday, April 25th. Finally, Roth Mkm decreased their price target on shares of DMC Global from $12.00 to $10.00 and set a “buy” rating on the stock in a report on Wednesday, February 25th. One investment analyst has rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $8.50.

About DMC Global

DMC Global Inc (NASDAQ: BOOM) is a diversified industrial company headquartered in Houston, Texas. It operates through two core business segments—EVI and MECO—that deliver engineered products and services primarily to the mining, oil and gas, and water treatment markets. The company focuses on innovation, precision manufacturing and aftermarket support to help clients improve operational efficiency and safety in challenging environments.

The EVI segment, operating under the DynaEnergetics brand, designs and manufactures explosive perforating systems, well completion tools and precision components for the non-metallic mining and oilfield services industries.