RB GLOBAL INC (RBA.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:RBA - CA74935Q1072 - Common Stock
143.39 CAD
-1.36 (-0.94%)
Taking everything into account, RBA scores 6 out of 10 in our fundamental rating. RBA was compared to 24 industry peers in the Commercial Services & Supplies industry. RBA has an excellent profitability rating, but there are some minor concerns on its financial health. RBA is valued quite expensively, but it does show have an excellent growth rating. These ratings could make RBA a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year RBA was profitable.
RBA had a positive operating cash flow in the past year.
In the past 5 years RBA has always been profitable.
Each year in the past 5 years RBA had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 3.20%, RBA is doing good in the industry, outperforming 75.00% of the companies in the same industry.
RBA has a Return On Equity of 6.56%. This is comparable to the rest of the industry: RBA outperforms 58.33% of its industry peers.
RBA's Return On Invested Capital of 5.29% is fine compared to the rest of the industry. RBA outperforms 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RBA is in line with the industry average of 5.81%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.2% | ||
| ROE | 6.56% | ||
| ROIC | 5.29% |
ROA(3y)5.26%
ROA(5y)5.45%
ROE(3y)11.5%
ROE(5y)13.11%
ROIC(3y)7.18%
ROIC(5y)7.77%
1.3 Margins
With an excellent Profit Margin value of 8.64%, RBA belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
RBA's Profit Margin has declined in the last couple of years.
RBA's Operating Margin of 17.06% is amongst the best of the industry. RBA outperforms 87.50% of its industry peers.
RBA's Operating Margin has improved in the last couple of years.
The Gross Margin of RBA (45.87%) is better than 87.50% of its industry peers.
In the last couple of years the Gross Margin of RBA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.06% | ||
| PM (TTM) | 8.64% | ||
| GM | 45.87% |
OM growth 3Y-1.2%
OM growth 5Y1.93%
PM growth 3Y-6.72%
PM growth 5Y-5.1%
GM growth 3Y-6.92%
GM growth 5Y-1.72%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RBA is destroying value.
RBA has more shares outstanding than it did 1 year ago.
RBA has more shares outstanding than it did 5 years ago.
RBA has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.61 indicates that RBA is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.61, RBA is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
RBA has a debt to FCF ratio of 4.97. This is a neutral value as RBA would need 4.97 years to pay back of all of its debts.
RBA has a better Debt to FCF ratio (4.97) than 75.00% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that RBA is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.43, RBA is doing good in the industry, outperforming 79.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 4.97 | ||
| Altman-Z | 2.61 |
ROIC/WACC0.62
WACC8.48%
2.3 Liquidity
A Current Ratio of 1.23 indicates that RBA should not have too much problems paying its short term obligations.
RBA has a Current ratio of 1.23. This is comparable to the rest of the industry: RBA outperforms 50.00% of its industry peers.
RBA has a Quick Ratio of 1.15. This is a normal value and indicates that RBA is financially healthy and should not expect problems in meeting its short term obligations.
RBA has a Quick ratio (1.15) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
RBA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.95%, which is quite good.
The Earnings Per Share has been growing by 20.81% on average over the past years. This is a very strong growth
The Revenue has grown by 8.26% in the past year. This is quite good.
The Revenue has been growing by 26.58% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)13.95%
EPS 3Y34.45%
EPS 5Y20.81%
EPS Q2Q%30.99%
Revenue 1Y (TTM)8.26%
Revenue growth 3Y44.6%
Revenue growth 5Y26.58%
Sales Q2Q%11.3%
3.2 Future
Based on estimates for the next years, RBA will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.24% on average per year.
RBA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.39% yearly.
EPS Next Y11.97%
EPS Next 2Y11.08%
EPS Next 3Y12.47%
EPS Next 5Y18.24%
Revenue Next Year7.27%
Revenue Next 2Y5.63%
Revenue Next 3Y5.24%
Revenue Next 5Y8.39%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
RBA is valuated quite expensively with a Price/Earnings ratio of 27.26.
Based on the Price/Earnings ratio, RBA is valued a bit cheaper than 70.83% of the companies in the same industry.
When comparing the Price/Earnings ratio of RBA to the average of the S&P500 Index (26.51), we can say RBA is valued inline with the index average.
With a Price/Forward Earnings ratio of 24.24, RBA is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as RBA.
The average S&P500 Price/Forward Earnings ratio is at 23.13. RBA is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.26 | ||
| Fwd PE | 24.24 |
4.2 Price Multiples
RBA's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RBA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.16 | ||
| EV/EBITDA | 18.93 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RBA does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of RBA may justify a higher PE ratio.
A more expensive valuation may be justified as RBA's earnings are expected to grow with 12.47% in the coming years.
PEG (NY)2.28
PEG (5Y)1.31
EPS Next 2Y11.08%
EPS Next 3Y12.47%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.16%, RBA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.02, RBA pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.16, RBA pays less dividend than the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
5.2 History
The dividend of RBA is nicely growing with an annual growth rate of 11.54%!
RBA has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.54%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
64.84% of the earnings are spent on dividend by RBA. This is not a sustainable payout ratio.
The dividend of RBA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP64.84%
EPS Next 2Y11.08%
EPS Next 3Y12.47%
TSX:RBA (12/30/2025, 7:00:00 PM)
143.39
-1.36 (-0.94%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.23%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap26.63B
Revenue(TTM)4.53B
Net Income(TTM)391.10M
Analysts85.45
Price Target127.76 (-10.9%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.16% |
Yearly Dividend1.79
Dividend Growth(5Y)11.54%
DP64.84%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.81%
Min EPS beat(2)11.05%
Max EPS beat(2)12.57%
EPS beat(4)4
Avg EPS beat(4)12.34%
Min EPS beat(4)6.38%
Max EPS beat(4)19.36%
EPS beat(8)8
Avg EPS beat(8)14.12%
EPS beat(12)12
Avg EPS beat(12)17.1%
EPS beat(16)14
Avg EPS beat(16)46.17%
Revenue beat(2)2
Avg Revenue beat(2)2.87%
Min Revenue beat(2)2.7%
Max Revenue beat(2)3.04%
Revenue beat(4)4
Avg Revenue beat(4)4.18%
Min Revenue beat(4)2.7%
Max Revenue beat(4)6.29%
Revenue beat(8)5
Avg Revenue beat(8)1.66%
Revenue beat(12)9
Avg Revenue beat(12)3.78%
Revenue beat(16)12
Avg Revenue beat(16)4.53%
PT rev (1m)2.66%
PT rev (3m)1.21%
EPS NQ rev (1m)-0.97%
EPS NQ rev (3m)-4.92%
EPS NY rev (1m)0.47%
EPS NY rev (3m)-0.13%
Revenue NQ rev (1m)-0.26%
Revenue NQ rev (3m)-2.02%
Revenue NY rev (1m)-0.37%
Revenue NY rev (3m)0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.26 | ||
| Fwd PE | 24.24 | ||
| P/S | 4.29 | ||
| P/FCF | 36.16 | ||
| P/OCF | 21.56 | ||
| P/B | 3.26 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.93 |
EPS(TTM)5.26
EY3.67%
EPS(NY)5.92
Fwd EY4.13%
FCF(TTM)3.97
FCFY2.77%
OCF(TTM)6.65
OCFY4.64%
SpS33.41
BVpS44
TBVpS-9.17
PEG (NY)2.28
PEG (5Y)1.31
Graham Number72.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.2% | ||
| ROE | 6.56% | ||
| ROCE | 7.2% | ||
| ROIC | 5.29% | ||
| ROICexc | 5.65% | ||
| ROICexgc | 19.62% | ||
| OM | 17.06% | ||
| PM (TTM) | 8.64% | ||
| GM | 45.87% | ||
| FCFM | 11.87% |
ROA(3y)5.26%
ROA(5y)5.45%
ROE(3y)11.5%
ROE(5y)13.11%
ROIC(3y)7.18%
ROIC(5y)7.77%
ROICexc(3y)8.53%
ROICexc(5y)9.12%
ROICexgc(3y)37.02%
ROICexgc(5y)34.04%
ROCE(3y)9.79%
ROCE(5y)10.6%
ROICexgc growth 3Y13.17%
ROICexgc growth 5Y-9.74%
ROICexc growth 3Y-7.75%
ROICexc growth 5Y-13.21%
OM growth 3Y-1.2%
OM growth 5Y1.93%
PM growth 3Y-6.72%
PM growth 5Y-5.1%
GM growth 3Y-6.92%
GM growth 5Y-1.72%
F-Score6
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 4.97 | ||
| Debt/EBITDA | 2.3 | ||
| Cap/Depr | 102.31% | ||
| Cap/Sales | 8.04% | ||
| Interest Coverage | 3.95 | ||
| Cash Conversion | 79.9% | ||
| Profit Quality | 137.46% | ||
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 2.61 |
F-Score6
WACC8.48%
ROIC/WACC0.62
Cap/Depr(3y)78.22%
Cap/Depr(5y)67.07%
Cap/Sales(3y)6.67%
Cap/Sales(5y)5.24%
Profit Quality(3y)137.07%
Profit Quality(5y)143.6%
High Growth Momentum
Growth
EPS 1Y (TTM)13.95%
EPS 3Y34.45%
EPS 5Y20.81%
EPS Q2Q%30.99%
EPS Next Y11.97%
EPS Next 2Y11.08%
EPS Next 3Y12.47%
EPS Next 5Y18.24%
Revenue 1Y (TTM)8.26%
Revenue growth 3Y44.6%
Revenue growth 5Y26.58%
Sales Q2Q%11.3%
Revenue Next Year7.27%
Revenue Next 2Y5.63%
Revenue Next 3Y5.24%
Revenue Next 5Y8.39%
EBIT growth 1Y1.03%
EBIT growth 3Y42.86%
EBIT growth 5Y29.02%
EBIT Next Year35.91%
EBIT Next 3Y17.76%
EBIT Next 5Y17.05%
FCF growth 1Y254.81%
FCF growth 3Y33.7%
FCF growth 5Y17.56%
OCF growth 1Y122.13%
OCF growth 3Y43.17%
OCF growth 5Y22.87%
RB GLOBAL INC / RBA.CA FAQ
What is the ChartMill fundamental rating of RB GLOBAL INC (RBA.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to RBA.CA.
Can you provide the valuation status for RB GLOBAL INC?
ChartMill assigns a valuation rating of 3 / 10 to RB GLOBAL INC (RBA.CA). This can be considered as Overvalued.
How profitable is RB GLOBAL INC (RBA.CA) stock?
RB GLOBAL INC (RBA.CA) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for RBA stock?
The Price/Earnings (PE) ratio for RB GLOBAL INC (RBA.CA) is 27.26 and the Price/Book (PB) ratio is 3.26.
What is the expected EPS growth for RB GLOBAL INC (RBA.CA) stock?
The Earnings per Share (EPS) of RB GLOBAL INC (RBA.CA) is expected to grow by 11.97% in the next year.