RANDSTAD NV (RAND.AS)
NL0000379121 - Common Stock
We assign a fundamental rating of 5 out of 10 to RAND. RAND was compared to 29 industry peers in the Professional Services industry. While RAND has a great health rating, its profitability is only average at the moment. RAND has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RAND had positive earnings in the past year.
RAND had a positive operating cash flow in the past year.
RAND had positive earnings in each of the past 5 years.
In the past 5 years RAND always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.90%, RAND is not doing good in the industry: 60.71% of the companies in the same industry are doing better.
With a Return On Equity value of 10.23%, RAND perfoms like the industry average, outperforming 46.43% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.71%, RAND is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for RAND is above the industry average of 10.91%.
The 3 year average ROIC (14.30%) for RAND is well above the current ROIC(8.71%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.9% | ||
| ROE | 10.23% | ||
| ROIC | 8.71% |
ROA(3y)6.98%
ROA(5y)5.97%
ROE(3y)15.79%
ROE(5y)13.4%
ROIC(3y)14.3%
ROIC(5y)12.56%
1.3 Margins
Looking at the Profit Margin, with a value of 1.76%, RAND is doing worse than 71.43% of the companies in the same industry.
In the last couple of years the Profit Margin of RAND has declined.
RAND has a worse Operating Margin (2.39%) than 75.00% of its industry peers.
In the last couple of years the Operating Margin of RAND has declined.
With a Gross Margin value of 20.00%, RAND is not doing good in the industry: 67.86% of the companies in the same industry are doing better.
RAND's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.39% | ||
| PM (TTM) | 1.76% | ||
| GM | 20% |
OM growth 3Y15%
OM growth 5Y-3.02%
PM growth 3Y19.25%
PM growth 5Y-3.66%
GM growth 3Y2.89%
GM growth 5Y1.01%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RAND is creating value.
The number of shares outstanding for RAND has been reduced compared to 1 year ago.
RAND has less shares outstanding than it did 5 years ago.
RAND has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.32 indicates that RAND is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.32, RAND is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
RAND has a debt to FCF ratio of 2.37. This is a good value and a sign of high solvency as RAND would need 2.37 years to pay back of all of its debts.
RAND has a Debt to FCF ratio of 2.37. This is amongst the best in the industry. RAND outperforms 82.14% of its industry peers.
RAND has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
RAND's Debt to Equity ratio of 0.24 is amongst the best of the industry. RAND outperforms 82.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 2.37 | ||
| Altman-Z | 3.32 |
ROIC/WACC1.29
WACC6.78%
2.3 Liquidity
A Current Ratio of 1.10 indicates that RAND should not have too much problems paying its short term obligations.
RAND's Current ratio of 1.10 is in line compared to the rest of the industry. RAND outperforms 46.43% of its industry peers.
A Quick Ratio of 1.10 indicates that RAND should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.10, RAND is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
The earnings per share for RAND have decreased strongly by -31.08% in the last year.
Measured over the past years, RAND shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.18% on average per year.
Looking at the last year, RAND shows a decrease in Revenue. The Revenue has decreased by -7.73% in the last year.
The Revenue has been growing slightly by 1.32% on average over the past years.
EPS 1Y (TTM)-31.08%
EPS 3Y20.75%
EPS 5Y-0.18%
EPS Q2Q%-32.69%
Revenue 1Y (TTM)-7.73%
Revenue growth 3Y7.06%
Revenue growth 5Y1.32%
Sales Q2Q%-3.91%
3.2 Future
Based on estimates for the next years, RAND will show a decrease in Earnings Per Share. The EPS will decrease by -1.89% on average per year.
Based on estimates for the next years, RAND will show a small growth in Revenue. The Revenue will grow by 1.84% on average per year.
EPS Next Y-34.97%
EPS Next 2Y-11.42%
EPS Next 3Y-1.89%
EPS Next 5YN/A
Revenue Next Year-6.02%
Revenue Next 2Y-1.76%
Revenue Next 3Y0.39%
Revenue Next 5Y1.84%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
RAND is valuated reasonably with a Price/Earnings ratio of 11.58.
RAND's Price/Earnings ratio is a bit cheaper when compared to the industry. RAND is cheaper than 75.00% of the companies in the same industry.
RAND's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.54.
The Price/Forward Earnings ratio is 11.37, which indicates a very decent valuation of RAND.
RAND's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. RAND is cheaper than 71.43% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.99, RAND is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 11.37 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RAND indicates a somewhat cheap valuation: RAND is cheaper than 60.71% of the companies listed in the same industry.
75.00% of the companies in the same industry are more expensive than RAND, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.49 | ||
| EV/EBITDA | 8.83 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-11.42%
EPS Next 3Y-1.89%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.87%, RAND is a good candidate for dividend investing.
RAND's Dividend Yield is rather good when compared to the industry average which is at 2.89. RAND pays more dividend than 89.29% of the companies in the same industry.
RAND's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.87% |
5.2 History
The dividend of RAND has a limited annual growth rate of 0.75%.
Dividend Growth(5Y)0.75%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
96.72% of the earnings are spent on dividend by RAND. This is not a sustainable payout ratio.
The Dividend Rate of RAND has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP96.72%
EPS Next 2Y-11.42%
EPS Next 3Y-1.89%
RANDSTAD NV
AMS:RAND (12/24/2024, 7:00:00 PM)
40.05
+0.49 (+1.24%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners26%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap7.24B
Analysts50
Price Target46.31 (15.63%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.87% |
Dividend Growth(5Y)0.75%
DP96.72%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.38%
Min EPS beat(2)-11.45%
Max EPS beat(2)-9.32%
EPS beat(4)1
Avg EPS beat(4)3.96%
Min EPS beat(4)-11.45%
Max EPS beat(4)41.5%
EPS beat(8)3
Avg EPS beat(8)8.07%
EPS beat(12)6
Avg EPS beat(12)6.67%
EPS beat(16)7
Avg EPS beat(16)3.77%
Revenue beat(2)0
Avg Revenue beat(2)-2.47%
Min Revenue beat(2)-2.92%
Max Revenue beat(2)-2.03%
Revenue beat(4)0
Avg Revenue beat(4)-2.14%
Min Revenue beat(4)-2.92%
Max Revenue beat(4)-1.38%
Revenue beat(8)0
Avg Revenue beat(8)-2.33%
Revenue beat(12)1
Avg Revenue beat(12)-1.41%
Revenue beat(16)4
Avg Revenue beat(16)-1%
PT rev (1m)-0.22%
PT rev (3m)-1.73%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-17.42%
EPS NY rev (1m)0%
EPS NY rev (3m)-6.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.97%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 11.37 | ||
| P/S | 0.3 | ||
| P/FCF | 9.49 | ||
| P/OCF | 8.5 | ||
| P/B | 1.73 | ||
| P/tB | 8.25 | ||
| EV/EBITDA | 8.83 |
EPS(TTM)3.46
EY8.64%
EPS(NY)3.52
Fwd EY8.8%
FCF(TTM)4.22
FCFY10.53%
OCF(TTM)4.71
OCFY11.76%
SpS133.91
BVpS23.09
TBVpS4.85
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.9% | ||
| ROE | 10.23% | ||
| ROCE | 10.6% | ||
| ROIC | 8.71% | ||
| ROICexc | 9.45% | ||
| ROICexgc | 27.3% | ||
| OM | 2.39% | ||
| PM (TTM) | 1.76% | ||
| GM | 20% | ||
| FCFM | 3.15% |
ROA(3y)6.98%
ROA(5y)5.97%
ROE(3y)15.79%
ROE(5y)13.4%
ROIC(3y)14.3%
ROIC(5y)12.56%
ROICexc(3y)15.52%
ROICexc(5y)13.53%
ROICexgc(3y)39.48%
ROICexgc(5y)34.73%
ROCE(3y)17.4%
ROCE(5y)15.61%
ROICexcg growth 3Y24.65%
ROICexcg growth 5YN/A
ROICexc growth 3Y21.61%
ROICexc growth 5Y-2.22%
OM growth 3Y15%
OM growth 5Y-3.02%
PM growth 3Y19.25%
PM growth 5Y-3.66%
GM growth 3Y2.89%
GM growth 5Y1.01%
F-Score5
Asset Turnover2.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 2.37 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 22.47% | ||
| Cap/Sales | 0.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.3% | ||
| Profit Quality | 178.69% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 3.32 |
F-Score5
WACC6.78%
ROIC/WACC1.29
Cap/Depr(3y)33.34%
Cap/Depr(5y)30.17%
Cap/Sales(3y)0.44%
Cap/Sales(5y)0.47%
Profit Quality(3y)128.47%
Profit Quality(5y)207.32%
High Growth Momentum
Growth
EPS 1Y (TTM)-31.08%
EPS 3Y20.75%
EPS 5Y-0.18%
EPS Q2Q%-32.69%
EPS Next Y-34.97%
EPS Next 2Y-11.42%
EPS Next 3Y-1.89%
EPS Next 5YN/A
Revenue 1Y (TTM)-7.73%
Revenue growth 3Y7.06%
Revenue growth 5Y1.32%
Sales Q2Q%-3.91%
Revenue Next Year-6.02%
Revenue Next 2Y-1.76%
Revenue Next 3Y0.39%
Revenue Next 5Y1.84%
EBIT growth 1Y-39.2%
EBIT growth 3Y23.12%
EBIT growth 5Y-1.74%
EBIT Next Year-3.31%
EBIT Next 3Y8.06%
EBIT Next 5YN/A
FCF growth 1Y-11.89%
FCF growth 3Y-6.71%
FCF growth 5Y5.04%
OCF growth 1Y-11.89%
OCF growth 3Y-6.53%
OCF growth 5Y4.16%