DMC Global (NASDAQ:BOOM) Releases Earnings Results, Misses Expectations By $0.39 EPS

DMC Global (NASDAQ:BOOM) issued its quarterly earnings data on Monday. The industrial products company reported ($0.50) EPS for the quarter, missing the consensus estimate of ($0.11) by ($0.39), FiscalAI reports. The business had revenue of $143.53 million for the quarter, compared to analysts’ expectations of $142.37 million. DMC Global had a positive return on equity of 1.89% and a negative net margin of 1.69%.

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

• DMC materially strengthened its balance sheet in Q4, reducing net debt by another $11.4M to $18.7M (down 67% YoY), with cash of ~$32M and total debt cut to $52M.
• Management said evolving tariffs and high interest rates were major headwinds—Q4 consolidated adjusted EBITDA attributable to DMC was -$1.6M and adjusted net loss was $9.9M, which included about $7M of discrete write-offs at DynaEnergetics.
• Operational pressure persists in core segments—Arcadia sales declined amid severe price competition and aluminum input costs up ~55% YoY, while Dyna’s adjusted EBITDA margin was -4% and it has paid over $10M in tariffs since their imposition.
• NobelClad reported weaker Q4 sales but ended with a firmer backlog of $62.6M (up 28% YoY), including a record $25M international petrochemical order that supports near-term recovery potential.
• Management is pursuing strategic growth avenues—DynaEnergetics is exploring enhanced geothermal and international shale expansion, and NobelClad expects potential upside from the U.S. Naval Readiness Program.

DMC Global Stock Up 1.9%

Shares of NASDAQ BOOM opened at $8.71 on Tuesday. The stock has a market capitalization of $179.34 million, a P/E ratio of -18.53 and a beta of 1.57. DMC Global has a one year low of $5.46 and a one year high of $9.92. The firm’s 50 day simple moving average is $7.82 and its two-hundred day simple moving average is $7.28. The company has a debt-to-equity ratio of 0.21, a current ratio of 2.76 and a quick ratio of 1.41.

Insider Activity

In other news, insider James Schladen sold 17,718 shares of the company’s stock in a transaction on Wednesday, December 3rd. The shares were sold at an average price of $6.00, for a total value of $106,308.00. Following the completion of the sale, the insider owned 532,958 shares of the company’s stock, valued at approximately $3,197,748. This represents a 3.22% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 2.80% of the company’s stock.

Institutional Trading of DMC Global

Several hedge funds have recently added to or reduced their stakes in BOOM. Quarry LP purchased a new stake in DMC Global during the third quarter valued at about $31,000. Van Den Berg Management I Inc. bought a new stake in shares of DMC Global in the 3rd quarter valued at about $86,000. Jump Financial LLC purchased a new stake in DMC Global during the 2nd quarter valued at about $86,000. BNP Paribas Financial Markets boosted its holdings in DMC Global by 908.0% during the 2nd quarter. BNP Paribas Financial Markets now owns 11,552 shares of the industrial products company’s stock valued at $93,000 after acquiring an additional 10,406 shares during the period. Finally, Verition Fund Management LLC bought a new position in DMC Global during the 3rd quarter worth approximately $117,000. 77.63% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several equities research analysts have issued reports on the stock. Weiss Ratings reiterated a “sell (e+)” rating on shares of DMC Global in a research report on Monday, December 29th. Zacks Research upgraded shares of DMC Global from a “strong sell” rating to a “hold” rating in a research report on Monday, January 5th. Two equities research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, DMC Global has an average rating of “Reduce” and an average target price of $8.50.

DMC Global News Roundup

Here are the key news stories impacting DMC Global this week:

• Positive Sentiment: Balance‑sheet & cash flow improvement — management cut total debt ~28% and reduced net debt ~67% (to ~$18.7M), ended the quarter with ~$31.9M cash, generated $15.2M operating cash flow and $11.7M free cash flow in Q4. That liquidity reduces short‑term financial risk. Read More.
• Positive Sentiment: NobelClad backlog strength — NobelClad’s order backlog rose ~28% year‑over‑year (including a record ~$25M international petrochemical order), supporting potential revenue lift later in 2026. Read More.
• Neutral Sentiment: Q4 revenue & segment mix — consolidated sales were $143.5M (down ~6% YoY). Arcadia and NobelClad showed softness; DynaEnergetics grew sales slightly but had margin pressure. These mixed operational results make near‑term recovery uneven. Read More.
• Negative Sentiment: Earnings miss and discrete charges — BOOM reported ($0.50) EPS vs. consensus ~($0.11); net loss attributable to DMC was ~$11.2M, driven in part by ~ $7M of accounts‑receivable and inventory write‑offs at DynaEnergetics. That large miss is the primary driver of the stock decline. Read More.
• Negative Sentiment: Guidance below expectations — Q1 2026 sales guidance of $132M–$138M (vs. consensus nearer $148M) and continued macro headwinds (high interest rates, tariff impacts, competitive pricing) signal pressure on near‑term revenue and margins. Read More.
• Negative Sentiment: Tariffs & market headwinds weigh on margins — DynaEnergetics reported more than $3M of tariffs/duties in Q4 (>$10M for 2025), plus intense price competition in North America’s unconventional oil market and project deferrals in construction, compressing profitability. Read More.

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.