DCX is primarily an import offset partner. They are doing value added work on imported parts which is supplied to the end customer.
Hence, fixed assets turnover etc are not reliable. EBITDA margins in EMS is usually 4-5% irrespective of customer or product categories. the same holds true for DCX as well.
The right set of peers for DCX are EMS companies like Dixon, Amber, Kaynes etc. But because, the customer set each of these companies cater to, are different, the growth potential and hence valuations are also very different.
| Subscribe To Our Free Newsletter |
