Date of Award

Spring 5-13-2021

Document Type

Project (696 or 796 registration)

Degree Name

Master of Science in Accounting & Finance


Graduate Studies

Committee Chair

Mohamed Elbannan


Douglas Dynamics, industry, analysis, valuation, growth, ratio


Douglas Dynamics, Inc. was founded in 1977 and is one of the many construction machinery companies in the industry. Their headquarters is located in Milwaukee, WI, but they sell products in the United States, Canada, Northern Europe, and Asia. The company consist of two segments, a Work Truck Attachment, and a Work Truck Solutions. Having these two segments allow the company to reach into different markets, but the main market is snow and ice management. They have been able to stay ahead of the competition by acquiring other construction machinery businesses and innovating their current products. In the beginning of 2019, the company appointed a new President and CEO, Robert McCormick. He has had various roles in the company for the last 15 years. This report comprises historical financial analysis from 2014 to 2019 and current valuation of the business. There are also financial comparisons to another company, which is a member of the same industry and is located in the same region. Since 2014, the company has had steady quality of earnings ratio and activity ratios. In all of these years’ annual reports, there were no material deficiencies reported in the test of internal controls, and external auditors gave unqualified opinions on the financials. Based on the analysis, I believe this stock is undervalued. I recommend that you buy this stock as I believe it is worth more than the current price on 12/31/2020. Purchasing this stock at lower cost than valued, there is opportunity for long term profit as it is expected to increase in price.



To view the content in your browser, please download Adobe Reader or, alternately,
you may Download the file to your hard drive.

NOTE: The latest versions of Adobe Reader do not support viewing PDF files within Firefox on Mac OS and if you are using a modern (Intel) Mac, there is no official plugin for viewing PDF files within the browser window.