Diamond Hill Investment Group, Inc.
- Open
- 174.99
- Day high
- 174.99
- Day low
- 174.99
- Prev close
- 174.99
- Volume
- 0
- Mkt cap
- $476M
- P/E (TTM)
- 9.8
- EPS (TTM)
- $17.91
- P/B
- 2.7
- P/S
- 3.0
- Yield
- 4.86%
- Per share
- $7.00
Diamond Hill Investment Group, Inc. (DHIL) is a Financial Services company listed on NASDAQ. The stock is up 36% over the past year.
Diamond Hill Investment Group, Inc. (DHIL) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
DHIL earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Oct 30, 2025 | — | $3.24 | — | $41M | — |
| Jul 29, 2025 | — | $2.86 | — | $41M | — |
| Feb 26, 2025 | — | $3.66 | — | $27M | — |
| Jul 31, 2024 | — | $2.88 | — | $41M | — |
| Feb 29, 2024 | — | $2.27 | — | $34M | — |
| Aug 3, 2023 | — | $2.35 | — | $37M | — |
| Feb 23, 2023 | — | $2.99 | — | $35M | — |
| Oct 26, 2022 | — | $3.55 | — | $38M | — |
| Jul 28, 2022 | — | $3.77 | — | $39M | — |
| Feb 25, 2022 | — | $5.67 | — | $43M | — |
| Jul 28, 2021 | — | $4.44 | — | $45M | — |
| Feb 25, 2021 | — | $3.09 | — | $35M | — |
DHIL insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Apr 6, 2026 | Hawley Austindirector | Tax | 1,181 | $172.10 |
| Apr 6, 2026 | Line Thomas Edwardofficer: Chief Financial Officer | Tax | 664 | $172.10 |
| Apr 6, 2026 | BRILLIANT HEATHER Edirector, officer: Chief Executive Officer | Tax | 2,809 | $172.10 |
| Apr 6, 2026 | Quinif Jo Annofficer: President of DHCM | Tax | 2,080 | $172.10 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 6 | $166.59 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 13 | $143.00 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 7 | $151.87 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 7 | $149.44 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 12 | $146.51 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 14 | $152.34 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 11 | $165.07 |
| Mar 10, 2026 | Thomas L'Quentusdirector | Buy | 12 | $146.50 |
| Oct 1, 2025 | Quinif Jo Annofficer: President of DHCM | Grant | 21,428 | — |
| Sep 25, 2025 | Thomas L'Quentusdirector | Sell | 250 | $141.10 |
| Sep 9, 2025 | Meyer Paula Rdirector | Sell | 350 | $141.80 |
Source: DHIL SEC Form 4 filings, latest Apr 6, 2026. For informational purposes only — not investment advice.
See the full DHIL insider & 13F page →Diamond Hill Investment Group, Inc. company profile
Overview
Diamond Hill Investment Group, Inc. (NASDAQ:DHIL) is a Columbus, Ohio-based asset management company founded in 1990 that went public in 1996. The company operates through its primary subsidiary, Diamond Hill Capital Management, Inc., providing investment advisory and fund administration services to institutional and individual investors across the United States. With over three decades of experience in active investment management, Diamond Hill has established itself as a focused asset manager specializing in value-oriented investment strategies across various asset classes and market capitalizations.
Business
Diamond Hill operates in the asset management industry, which involves pooling investor capital and professionally managing these funds to generate returns. The company's core business revolves around two main service offerings that work together to provide comprehensive investment solutions. The primary business is investment advisory services, where Diamond Hill's investment professionals actively manage client assets using their proprietary investment strategies. The company offers these services through multiple delivery channels: mutual funds (the Diamond Hill Funds), separately managed accounts for high-net-worth individuals and institutions, and model delivery programs where they provide investment recommendations that clients can implement through their own brokers. These investment strategies typically focus on value investing principles, seeking to identify undervalued securities across different market segments including large-cap, mid-cap, and small-cap stocks, as well as international equities and fixed income securities. The secondary business is fund administration services, which involves the operational backbone of running mutual funds. This includes portfolio and regulatory compliance monitoring, treasury and financial oversight, general business management and governance of the mutual fund complex, and coordination with third-party service providers such as custodians, fund accountants, and transfer agents. This service ensures that the mutual funds operate in compliance with complex regulatory requirements while maintaining efficient day-to-day operations. The company's revenue is primarily driven by management fees, which are typically calculated as a percentage of assets under management (AUM). When markets perform well and asset values increase, or when the company attracts new client assets, fee revenue grows proportionally. The investment advisory services likely represent the majority of revenue, though specific segment breakdowns are not provided in the available financial data.
Revenue model
Diamond Hill generates revenue primarily through asset-based management fees, which are calculated as a percentage of assets under management (AUM). This creates a direct correlation between the company's revenue and both market performance and its ability to attract and retain client assets. When equity markets rise, existing client portfolios increase in value, automatically boosting fee revenue. Conversely, market declines directly reduce revenue even if the company retains all clients. The company's paying customers include institutional investors such as pension funds, endowments, and foundations, as well as individual investors who invest through the Diamond Hill mutual funds or separately managed account programs. Financial advisors and wealth management firms also represent an important customer segment, as they recommend Diamond Hill's funds and services to their own clients. Several factors can significantly impact Diamond Hill's profit margins. Positive margin drivers include rising equity markets that increase AUM without proportional increases in operating costs, successful investment performance that attracts new assets and justifies premium fees, and operational leverage where fixed costs are spread across a larger asset base. The company's fund administration services also provide some diversification and potentially higher-margin revenue streams. Negative margin pressures come from intense competition in the asset management industry that drives down fees, particularly the ongoing trend toward low-cost passive index funds and ETFs. Market volatility and prolonged bear markets can severely impact AUM and revenues. Additionally, the company faces regulatory compliance costs that continue to increase, and the need for ongoing technology investments to remain competitive. Poor investment performance relative to benchmarks can lead to client redemptions and difficulty attracting new assets, creating a challenging cycle where reduced AUM leads to lower revenues while fixed costs remain largely unchanged.
Competitive moat
Diamond Hill's competitive moat appears relatively modest in the highly competitive asset management industry. The company's primary defensive characteristics include its established track record since 1990, which provides credibility with institutional investors who value stability and experience. The firm's focus on value investing strategies creates some differentiation in a market where many competitors chase growth or momentum strategies, potentially appealing to investors seeking diversification from popular investment themes. The company's dual revenue streams from both investment management and fund administration services provide some operational diversification, and their established relationships with institutional clients create switching costs, as these clients often prefer to maintain long-term relationships with proven managers rather than frequently changing providers. However, Diamond Hill faces significant competitive threats that limit the strength of its moat. The asset management industry has extremely low barriers to entry for new competitors, and the company competes against much larger players with greater resources for marketing, technology, and talent acquisition. The secular shift toward passive investing and low-cost index funds represents an existential challenge to active managers like Diamond Hill, as investors increasingly question whether active management can consistently justify higher fees. Additionally, the company lacks truly proprietary investment strategies or unique data sources that would be difficult for competitors to replicate. Value investing, while requiring skill and experience, is a well-established approach that many other firms also employ. The company's relatively small size compared to industry giants like BlackRock or Vanguard limits its ability to compete on price or invest heavily in technology and marketing. Overall, while Diamond Hill has carved out a respectable niche, its moat is narrow and faces ongoing pressure from industry trends and competitive dynamics.
Risks & safety
Diamond Hill demonstrates a strong margin of safety from a financial stability perspective, with excellent liquidity and minimal debt, though valuation metrics suggest limited downside protection at current prices. **Financial Strength:** • Cash position of $25.1 million with total current assets of $47.9 million against current liabilities of only $13.7 million, providing a current ratio of 3.5x • Minimal debt with debt-to-equity ratio of just 3.7%, indicating very low financial risk • No apparent solvency concerns given strong balance sheet and positive cash generation historically **Valuation Metrics:** • Price-to-earnings ratio of 9.5x appears reasonable for the asset management sector • Price-to-book ratio of 2.3x is moderate, though asset management companies often trade at premium valuations • Enterprise value to EBITDA of 6.9x suggests fair valuation relative to earnings power **Other Considerations:** • Recent negative free cash flow of -$11.3 million in Q1 2025 raises short-term concerns, though this may be seasonal • Return on equity of 6.1% in the most recent quarter is relatively low, indicating potential efficiency challenges • Revenue volatility inherent in asset management business model creates earnings uncertainty
Recent development
Based on the available financial data, Diamond Hill has experienced significant revenue and profitability volatility over recent years, reflecting the cyclical nature of the asset management business. The company generated $154.5 million in revenue during 2022, which declined to $136.7 million in 2023 before recovering to $151.1 million in 2024. This pattern suggests the company has been navigating market volatility and competitive pressures while working to stabilize its asset base. Despite revenue fluctuations, Diamond Hill has maintained strong profitability metrics with net income of $43.2 million in 2024, representing a healthy profit margin of approximately 29%. The company's return on equity reached 26.6% for full-year 2024, indicating efficient use of shareholder capital when markets are favorable. A notable concern in recent development is the company's cash flow pattern, which has shown quarterly volatility. While the company generated positive free cash flow of $15.2 million for full-year 2024, the most recent quarter (Q1 2025) showed negative free cash flow of -$11.3 million. This pattern suggests potential seasonal effects in the business or timing differences in cash collections and payments. The company has maintained a conservative capital structure throughout this period, with minimal debt levels and substantial cash reserves. This financial stability provides flexibility to weather market downturns and potentially pursue strategic opportunities, though specific strategic initiatives or new product developments are not evident from the available financial data alone.
DHIL company profile · for informational purposes only — not investment advice.
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