RAMACO RESOURCES INC-A (METC)
US75134P3038 - Common Stock
Taking everything into account, METC scores 6 out of 10 in our fundamental rating. METC was compared to 157 industry peers in the Metals & Mining industry. While METC has a great profitability rating, there are some minor concerns on its financial health. METC is valued quite cheap, while showing a decent growth score. This is a good combination! This makes METC very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year METC was profitable.
In the past year METC had a positive cash flow from operations.
METC had positive earnings in 4 of the past 5 years.
Each year in the past 5 years METC had a positive operating cash flow.
1.2 Ratios
The Return On Assets of METC (8.66%) is better than 86.62% of its industry peers.
METC's Return On Equity of 15.60% is amongst the best of the industry. METC outperforms 85.99% of its industry peers.
METC's Return On Invested Capital of 9.10% is amongst the best of the industry. METC outperforms 82.80% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for METC is significantly above the industry average of 8.16%.
The last Return On Invested Capital (9.10%) for METC is well below the 3 year average (17.88%), which needs to be investigated, but indicates that METC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.66% | ||
| ROE | 15.6% | ||
| ROIC | 9.1% |
ROA(3y)14.64%
ROA(5y)10.55%
ROE(3y)26.21%
ROE(5y)18.08%
ROIC(3y)17.88%
ROIC(5y)N/A
1.3 Margins
METC has a Profit Margin of 7.96%. This is in the better half of the industry: METC outperforms 77.71% of its industry peers.
In the last couple of years the Profit Margin of METC has remained more or less at the same level.
METC's Operating Margin of 8.64% is fine compared to the rest of the industry. METC outperforms 61.78% of its industry peers.
METC's Operating Margin has improved in the last couple of years.
METC has a Gross Margin of 23.84%. This is in the better half of the industry: METC outperforms 62.42% of its industry peers.
METC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.64% | ||
| PM (TTM) | 7.96% | ||
| GM | 23.84% |
OM growth 3YN/A
OM growth 5Y5.34%
PM growth 3YN/A
PM growth 5Y1.48%
GM growth 3Y27.62%
GM growth 5Y5.15%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), METC is creating value.
METC has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, METC has more shares outstanding
METC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.75 indicates that METC is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.75, METC perfoms like the industry average, outperforming 49.68% of the companies in the same industry.
METC has a debt to FCF ratio of 1.02. This is a very positive value and a sign of high solvency as it would only need 1.02 years to pay back of all of its debts.
METC's Debt to FCF ratio of 1.02 is amongst the best of the industry. METC outperforms 86.62% of its industry peers.
METC has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.23, METC perfoms like the industry average, outperforming 43.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.02 | ||
| Altman-Z | 2.75 |
ROIC/WACC0.93
WACC9.75%
2.3 Liquidity
METC has a Current Ratio of 1.33. This is a normal value and indicates that METC is financially healthy and should not expect problems in meeting its short term obligations.
METC has a Current ratio of 1.33. This is in the lower half of the industry: METC underperforms 77.71% of its industry peers.
METC has a Quick Ratio of 1.33. This is a bad value and indicates that METC is not financially healthy enough and could expect problems in meeting its short term obligations.
METC has a Quick ratio of 0.90. This is in the lower half of the industry: METC underperforms 77.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.33 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
METC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -28.92%.
The Earnings Per Share has been growing by 22.84% on average over the past years. This is a very strong growth
Looking at the last year, METC shows a very strong growth in Revenue. The Revenue has grown by 24.60%.
METC shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.96% yearly.
EPS 1Y (TTM)-28.92%
EPS 3YN/A
EPS 5Y22.84%
EPS Q2Q%-52.94%
Revenue 1Y (TTM)24.6%
Revenue growth 3Y60.13%
Revenue growth 5Y24.96%
Sales Q2Q%12.98%
3.2 Future
The Earnings Per Share is expected to decrease by -2.43% on average over the next years.
The Revenue is expected to grow by 6.40% on average over the next years.
EPS Next Y-69.1%
EPS Next 2Y8.69%
EPS Next 3Y-2.43%
EPS Next 5YN/A
Revenue Next Year2.08%
Revenue Next 2Y11.46%
Revenue Next 3Y6.4%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.61, the valuation of METC can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of METC indicates a rather cheap valuation: METC is cheaper than 94.27% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 30.20. METC is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 4.81, the valuation of METC can be described as very cheap.
Based on the Price/Forward Earnings ratio, METC is valued cheaply inside the industry as 99.36% of the companies are valued more expensively.
METC is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.28, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.61 | ||
| Fwd PE | 4.81 |
4.2 Price Multiples
METC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. METC is cheaper than 91.08% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, METC is valued cheaply inside the industry as 98.09% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.55 | ||
| EV/EBITDA | 4.92 |
4.3 Compensation for Growth
The excellent profitability rating of METC may justify a higher PE ratio.
A cheap valuation may be justified as METC's earnings are expected to decrease with -2.43% in the coming years.
PEG (NY)N/A
PEG (5Y)0.38
EPS Next 2Y8.69%
EPS Next 3Y-2.43%
5. Dividend
5.1 Amount
METC has a Yearly Dividend Yield of 5.41%, which is a nice return.
The stock price of METC dropped by -23.75% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
METC's Dividend Yield is rather good when compared to the industry average which is at 2.88. METC pays more dividend than 94.90% of the companies in the same industry.
METC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.41% |
5.2 History
METC has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
54.67% of the earnings are spent on dividend by METC. This is a bit on the high side, but may be sustainable.
DP54.67%
EPS Next 2Y8.69%
EPS Next 3Y-2.43%
RAMACO RESOURCES INC-A
NASDAQ:METC (11/4/2024, 8:22:53 PM)
After market: 10.16 0 (0%)10.16
+0.06 (+0.59%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap532.89M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.41% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.61 | ||
| Fwd PE | 4.81 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.66% | ||
| ROE | 15.6% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 8.64% | ||
| PM (TTM) | 7.96% | ||
| GM | 23.84% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.33 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-28.92%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-69.1%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)24.6%
Revenue growth 3Y60.13%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
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