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RB GLOBAL INC (NYSE:RBA) can be considered a quality stock. Here's why.

By Mill Chart

Last update: Aug 26, 2024

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if RB GLOBAL INC (NYSE:RBA) is suited for quality investing. Investors should of course do their own research, but we spotted RB GLOBAL INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.


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A Deep Dive into RB GLOBAL INC's Quality Metrics.

  • RB GLOBAL INC has demonstrated significant revenue growth over the past 5 years, with a 25.75% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
  • The ROIC excluding cash and goodwill of RB GLOBAL INC stands at 21.97%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
  • RB GLOBAL INC maintains a healthy Debt/Free Cash Flow Ratio of 4.67, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
  • The Profit Quality (5-year) of RB GLOBAL INC stands at 148.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
  • With a robust 5-year EBIT growth of 29.5%, RB GLOBAL INC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
  • RB GLOBAL INC has achieved superior EBIT 5-year growth compared to its Revenue 5-year growth. This demonstrates the company's ability to maximize its profitability through effective cost management and operational strategies.

A complete fundamental analysis of NYSE:RBA

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

We assign a fundamental rating of 5 out of 10 to RBA. RBA was compared to 83 industry peers in the Commercial Services & Supplies industry. While RBA is still in line with the averages on profitability rating, there are concerns on its financial health. RBA shows excellent growth, but is valued quite expensive already.

Our latest full fundamental report of RBA contains the most current fundamental analsysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

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