(DSGR) Distribution Solutions - Overview
Stock: MRO Supplies, Industrial Tools, Test Equipment, Fasteners, Safety Products
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 36.7% |
| Relative Tail Risk | -7.47% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.02 |
| Alpha | -18.09 |
| Character TTM | |
|---|---|
| Beta | 0.987 |
| Beta Downside | 0.897 |
| Drawdowns 3y | |
|---|---|
| Max DD | 40.83% |
| CAGR/Max DD | 0.29 |
Description: DSGR Distribution Solutions January 15, 2026
Distribution Solutions Group, Inc. (NASDAQ: DSGR) is a specialty distributor that supplies value-added MRO, OEM, and industrial-technology products across four operating segments: Lawson (broad-line industrial MRO), Gexpro Services (supply-chain and VMI solutions for renewables, power, transportation, and aerospace/defense), TestEquity (test-and-measurement, production supplies, and conversion services for aerospace, semiconductors, automotive, and electronics), and the Canada Branch Division (industrial MRO, safety, and fasteners for Canadian contractors and government customers).
The company’s footprint spans the United States, Canada, Europe, the Pacific Rim, Latin America, and other international markets, reflecting a diversified geographic exposure that can mitigate regional economic downturns. It transitioned from its legacy name, Lawson Products, to Distribution Solutions Group in 2022, positioning the brand as a broader, solutions-focused distributor.
According to DSGR’s FY 2023 Form 10-K, the firm generated approximately $1.07 billion in revenue-a 6 % year-over-year increase-driven primarily by growth in the Gexpro Services and TestEquity segments. The reported gross margin was around 30 %, and the company held a backlog of roughly $200 million, indicating a solid pipeline of contracted work.
Key economic drivers for DSGR include: (1) industrial production and capital-expenditure trends, which historically correlate with MRO demand; (2) accelerating renewable-energy capex, fueling Gexpro’s VMI and logistics services; and (3) ongoing supply-chain reshoring and localization initiatives that boost demand for domestic distribution capabilities. The GICS sub-industry classification-Trading Companies & Distributors-means DSGR’s performance is also sensitive to freight-cost volatility and inventory-turnover efficiency.
For a deeper quantitative view of DSGR’s valuation metrics, you may find ValueRay’s analyst toolkit useful.
Piotroski VR‑10 (Strict, 0-10) 6.5
| Net Income: -11.2m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA 2.93 > 1.0 |
| NWC/Revenue: 23.27% < 20% (prev 28.72%; Δ -5.46% < -1%) |
| CFO/TA 0.06 > 3% & CFO 112.6m > Net Income -11.2m |
| Net Debt (752.0m) to EBITDA (148.6m): 5.06 < 3 |
| Current Ratio: 2.50 > 1.5 & < 3 |
| Outstanding Shares: last quarter (46.6m) vs 12m ago -2.10% < -2% |
| Gross Margin: 32.98% > 18% (prev 0.33%; Δ 3265 % > 0.5%) |
| Asset Turnover: 111.4% > 50% (prev 96.86%; Δ 14.58% > 0%) |
| Interest Coverage Ratio: 1.52 > 6 (EBITDA TTM 148.6m / Interest Expense TTM 57.8m) |
Altman Z'' 2.00
| A: 0.26 (Total Current Assets 766.4m - Total Current Liabilities 306.0m) / Total Assets 1.77b |
| B: -0.02 (Retained Earnings -27.3m / Total Assets 1.77b) |
| C: 0.05 (EBIT TTM 87.7m / Avg Total Assets 1.78b) |
| D: 0.01 (Book Value of Equity 10.1m / Total Liabilities 1.11b) |
| Altman-Z'' Score: 2.00 = BBB |
Beneish M -3.10
| DSRI: 0.92 (Receivables 295.5m/281.1m, Revenue 1.98b/1.73b) |
| GMI: 1.00 (GM 32.98% / 32.99%) |
| AQI: 0.93 (AQ_t 0.41 / AQ_t-1 0.45) |
| SGI: 1.14 (Revenue 1.98b / 1.73b) |
| TATA: -0.07 (NI -11.2m - CFO 112.6m) / TA 1.77b) |
| Beneish M-Score: -3.10 (Cap -4..+1) = AA |
What is the price of DSGR shares?
Over the past week, the price has changed by +8.70%, over one month by +8.13%, over three months by +17.83% and over the past year by -1.75%.
Is DSGR a buy, sell or hold?
- StrongBuy: 1
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the DSGR price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 38.5 | 24.8% |
| Analysts Target Price | 38.5 | 24.8% |
| ValueRay Target Price | 32.5 | 5.3% |
DSGR Fundamental Data Overview February 03, 2026
P/S = 0.6877
P/B = 2.0071
P/EG = 3.19
Revenue TTM = 1.98b USD
EBIT TTM = 87.7m USD
EBITDA TTM = 148.6m USD
Long Term Debt = 665.5m USD (from longTermDebt, last quarter)
Short Term Debt = 62.7m USD (from shortTermDebt, last quarter)
Debt = 821.2m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 752.0m USD (from netDebt column, last quarter)
Enterprise Value = 2.11b USD (1.36b + Debt 821.2m - CCE 69.2m)
Interest Coverage Ratio = 1.52 (Ebit TTM 87.7m / Interest Expense TTM 57.8m)
EV/FCF = 27.96x (Enterprise Value 2.11b / FCF TTM 75.6m)
FCF Yield = 3.58% (FCF TTM 75.6m / Enterprise Value 2.11b)
FCF Margin = 3.82% (FCF TTM 75.6m / Revenue TTM 1.98b)
Net Margin = -0.57% (Net Income TTM -11.2m / Revenue TTM 1.98b)
Gross Margin = 32.98% ((Revenue TTM 1.98b - Cost of Revenue TTM 1.33b) / Revenue TTM)
Gross Margin QoQ = 32.88% (prev 31.53%)
Tobins Q-Ratio = 1.20 (Enterprise Value 2.11b / Total Assets 1.77b)
Interest Expense / Debt = 1.70% (Interest Expense 14.0m / Debt 821.2m)
Taxrate = 23.02% (1.93m / 8.38m)
NOPAT = 67.5m (EBIT 87.7m * (1 - 23.02%))
Current Ratio = 2.50 (Total Current Assets 766.4m / Total Current Liabilities 306.0m)
Debt / Equity = 1.26 (Debt 821.2m / totalStockholderEquity, last quarter 653.9m)
Debt / EBITDA = 5.06 (Net Debt 752.0m / EBITDA 148.6m)
Debt / FCF = 9.95 (Net Debt 752.0m / FCF TTM 75.6m)
Total Stockholder Equity = 645.1m (last 4 quarters mean from totalStockholderEquity)
RoA = -0.63% (Net Income -11.2m / Total Assets 1.77b)
RoE = -1.74% (Net Income TTM -11.2m / Total Stockholder Equity 645.1m)
RoCE = 6.69% (EBIT 87.7m / Capital Employed (Equity 645.1m + L.T.Debt 665.5m))
RoIC = 4.92% (NOPAT 67.5m / Invested Capital 1.37b)
WACC = 6.45% (E(1.36b)/V(2.18b) * Re(9.55%) + D(821.2m)/V(2.18b) * Rd(1.70%) * (1-Tc(0.23)))
Discount Rate = 9.55% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.26%
[DCF Debug] Terminal Value 77.86% ; FCFF base≈55.0m ; Y1≈36.1m ; Y5≈16.5m
Fair Price DCF = N/A (negative equity: EV 448.9m - Net Debt 752.0m = -303.2m; debt exceeds intrinsic value)
EPS Correlation: -53.29 | EPS CAGR: -52.74% | SUE: -1.40 | # QB: 0
Revenue Correlation: 77.47 | Revenue CAGR: 54.21% | SUE: 1.20 | # QB: 2
EPS next Quarter (2026-03-31): EPS=0.39 | Chg30d=-0.025 | Revisions Net=-1 | Analysts=2
EPS next Year (2026-12-31): EPS=1.70 | Chg30d=-0.022 | Revisions Net=+0 | Growth EPS=+23.4% | Growth Revenue=+4.2%