RB GLOBAL INC (RBA.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:RBA - CA74935Q1072 - Common Stock
136.9 CAD
-0.52 (-0.38%)
Overall RBA gets a fundamental rating of 6 out of 10. We evaluated RBA against 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 shows excellent growth, but is valued quite expensive already. With these ratings, RBA could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
In the past year RBA was profitable.
In the past year RBA had a positive cash flow from operations.
In the past 5 years RBA has always been profitable.
RBA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of RBA (3.20%) is better than 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 6.56%, RBA is in line with its industry, outperforming 58.33% of the companies in the same industry.
With a decent Return On Invested Capital value of 5.29%, RBA is doing good in the industry, outperforming 75.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for RBA is in line with the industry average of 6.91%.
| 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
RBA has a better Profit Margin (8.64%) than 87.50% of its industry peers.
In the last couple of years the Profit Margin of RBA has declined.
The Operating Margin of RBA (17.06%) is better than 87.50% of its industry peers.
RBA's Operating Margin has improved in the last couple of years.
RBA has a Gross Margin of 45.87%. This is amongst the best in the industry. RBA outperforms 87.50% of its industry peers.
RBA's Gross Margin has declined in the last couple of years.
| 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.
The number of shares outstanding for RBA has been increased compared to 5 years ago.
The debt/assets ratio for RBA has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.49 indicates that RBA is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.49, RBA is doing good in the industry, outperforming 66.67% of the companies in the same industry.
The Debt to FCF ratio of RBA is 4.97, which is a neutral value as it means it would take RBA, 4.97 years of fcf income to pay off all of its debts.
RBA has a Debt to FCF ratio of 4.97. This is in the better half of the industry: RBA outperforms 66.67% of its industry peers.
RBA has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of RBA (0.43) is better than 79.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 4.97 | ||
| Altman-Z | 2.49 |
ROIC/WACC0.63
WACC8.35%
2.3 Liquidity
A Current Ratio of 1.23 indicates that RBA should not have too much problems paying its short term obligations.
The Current ratio of RBA (1.23) is comparable to the rest of the industry.
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.
RBA shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.81% yearly.
Looking at the last year, RBA shows a quite strong growth in Revenue. The Revenue has grown by 8.26% in the last year.
Measured over the past years, RBA shows a very strong growth in Revenue. The Revenue has been growing by 26.58% on average per year.
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 Y11.44%
EPS Next 2Y11.78%
EPS Next 3Y15.86%
EPS Next 5Y18.24%
Revenue Next Year7.67%
Revenue Next 2Y6.18%
Revenue Next 3Y6.42%
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.
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
The Price/Earnings ratio is 25.40, which means the current valuation is very expensive for RBA.
70.83% of the companies in the same industry are more expensive than RBA, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of RBA to the average of the S&P500 Index (26.31), we can say RBA is valued inline with the index average.
With a Price/Forward Earnings ratio of 22.29, RBA is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RBA is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 36.59. RBA is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.4 | ||
| Fwd PE | 22.29 |
4.2 Price Multiples
RBA's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as RBA.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.65 | ||
| EV/EBITDA | 17.8 |
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.
RBA has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as RBA's earnings are expected to grow with 15.86% in the coming years.
PEG (NY)2.22
PEG (5Y)1.22
EPS Next 2Y11.78%
EPS Next 3Y15.86%
5. Dividend
5.1 Amount
RBA has a Yearly Dividend Yield of 1.22%.
RBA's Dividend Yield is a higher than the industry average which is at 2.39.
Compared to an average S&P500 Dividend Yield of 2.40, RBA's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
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.
RBA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP64.84%
EPS Next 2Y11.78%
EPS Next 3Y15.86%
TSX:RBA (11/28/2025, 7:00:00 PM)
136.9
-0.52 (-0.38%)
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 Cap25.42B
Revenue(TTM)4.53B
Net Income(TTM)391.10M
Analysts85.45
Price Target124.44 (-9.1%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
Yearly Dividend1.83
Dividend Growth(5Y)11.54%
DP64.84%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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)-1.41%
PT rev (3m)-1.41%
EPS NQ rev (1m)-3.99%
EPS NQ rev (3m)-5.5%
EPS NY rev (1m)-0.6%
EPS NY rev (3m)-0.55%
Revenue NQ rev (1m)-1.76%
Revenue NQ rev (3m)-1.76%
Revenue NY rev (1m)0.51%
Revenue NY rev (3m)0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.4 | ||
| Fwd PE | 22.29 | ||
| P/S | 3.99 | ||
| P/FCF | 33.65 | ||
| P/OCF | 20.07 | ||
| P/B | 3.03 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.8 |
EPS(TTM)5.39
EY3.94%
EPS(NY)6.14
Fwd EY4.49%
FCF(TTM)4.07
FCFY2.97%
OCF(TTM)6.82
OCFY4.98%
SpS34.27
BVpS45.14
TBVpS-9.41
PEG (NY)2.22
PEG (5Y)1.22
Graham Number73.99
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 | 2.49 |
F-Score6
WACC8.35%
ROIC/WACC0.63
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 Y11.44%
EPS Next 2Y11.78%
EPS Next 3Y15.86%
EPS Next 5Y18.24%
Revenue 1Y (TTM)8.26%
Revenue growth 3Y44.6%
Revenue growth 5Y26.58%
Sales Q2Q%11.3%
Revenue Next Year7.67%
Revenue Next 2Y6.18%
Revenue Next 3Y6.42%
Revenue Next 5Y8.39%
EBIT growth 1Y1.03%
EBIT growth 3Y42.86%
EBIT growth 5Y29.02%
EBIT Next Year35.13%
EBIT Next 3Y19.93%
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.
What is the valuation status of RB GLOBAL INC (RBA.CA) stock?
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.
What is the financial health of RB GLOBAL INC (RBA.CA) stock?
The financial health rating of RB GLOBAL INC (RBA.CA) is 5 / 10.
Can you provide the dividend sustainability for RBA stock?
The dividend rating of RB GLOBAL INC (RBA.CA) is 5 / 10 and the dividend payout ratio is 64.84%.