Stacking Up DORM Against Its Peers – Is It Still a Buy?

DORM: Dorman Products logo
DORM
Dorman Products

Here is how Dorman Products (DORM) stacks up against its peers in size, valuation, growth and margin.

  • DORM’s operating margin of 15.6% is strong, and higher than most peers – though lower than ALSN (31.3%).
  • DORM’s revenue growth of 6.0% in the last 12 months is moderate, outpacing ALSN, APTV, ADNT, GT but lagging LEA.
  • DORM gained 48.5% in the past year and trades at a PE of 21.3, outperforming its peers.

As a quick background, Dorman Products provides replacement automotive parts and fasteners for various vehicle types, including door handles, keyless remotes, powertrain products, fluid lines, connectors, and drivetrain components.

  DORM ALSN APTV ADNT LEA GT
Market Cap ($ Bil) 4.6 7.7 15.6 1.8 5.4 2.4
Revenue ($ Bil) 2.0 3.2 19.8 14.4 28.4 18.5
PE Ratio 21.3 10.1 15.4 9.8 5.8
LTM Revenue Growth 6.0% 2.7% -1.0% -3.0% 20.5% -4.5%
LTM Operating Margin 15.6% 31.2% 10.6% 3.0% 3.7% 4.0%
LTM FCF Margin 9.3% 20.4% 8.4% 1.8% 1.7% -2.8%
12M Market Return 48.5% 9.4% 9.9% 13.6% -4.3% 3.6%

Why does this matter? DORM just went up 29.4% in a month – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell DORM Stock to see if Dorman Products holds up as a quality investment. Furthermore, there is always a risk of fall after a strong rally – see how the stock has dipped and recovered in the past through DORM Dip Buyer Analysis lens.

While peer comparison is critical Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risks while giving upside exposure.

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Revenue Growth Comparison

  LTM 2024 2023 2022
DORM 6.0% 4.1% 11.3% 28.9%
ALSN 2.7% 6.3% 9.6% 15.3%
APTV -1.0% -1.7% 14.6% 12.0%
ADNT -3.0% -4.6% 9.0% 3.2%
LEA 20.5% -0.7% 12.3% 8.5%
GT -4.5% -5.9% -3.6% 19.0%

Operating Margin Comparison

  LTM 2024 2023 2022
DORM 15.6% 14.6% 11.1% 9.9%
ALSN 31.2% 30.8% 30.3% 28.3%
APTV 10.6% 10.3% 8.8% 7.7%
ADNT 3.0% 2.9% 3.1% 1.5%
LEA 3.7% 3.8% 4.0% 3.1%
GT 4.0% 4.9% 3.5% 5.1%

PE Ratio Comparison

  LTM 2024 2023 2022
DORM 17.5 21.0 20.3 20.9
ALSN 10.5 12.9 7.8 7.5
APTV 14.7 8.7 8.5 42.5
ADNT 85.7 16.8 -27.4
LEA 9.3 10.5 14.5 22.6
GT 7.2 36.9 -5.9 14.3

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.