Docebo Inc. (DCBO) on Decifer

Decifer ranks DCBO number 184 of 274 tracked names on durable business quality.

Why it ranks here

• It earns strong returns on the money it puts to work, around 29% and those returns have been improving and it turns most of its profit into real cash.
• Revenue is growing about 12% a year and profits grew 51% over the past year.
• It keeps a high share of every sale as profit, and that has stayed steady over the years, a sign of real pricing power, with profitability widening as it grows.
• It is riding an active market tailwind and has the balance sheet to fund its growth.
• It is not watering down its owners with new shares and it returns cash to shareholders.
• Our durability check found pressure on this name, which costs it a few points.
• Returns around 29% and profits up 51% are undercut by durability pressure, momentum at 19 out of 35, and no growth role.

The current read

The evidence on DCBO lines up on the supportive side: a live market force supports this name through its theme connection. One signal disagrees: the longer-term story is intact, but price is not rewarding it: semiconductor stocks are down 1.0% this week, worth watching but not the weight of the evidence.

Themes

• Human Capital Management Cloud: Rising regulatory/payroll complexity and the shift to cloud delivery are pushing employers to outsource HR and payroll to integrated HCM platforms.

Read the full DCBO research brief · See all quality rankings

Intelligence data powered by Decifer. Not financial advice. For informational purposes only.