RICHELIEU HARDWARE LTD (RCH.CA) Fundamental Analysis & Valuation
TSX:RCH • CA76329W1032
41.79 CAD
-0.81 (-1.9%)
Last: Mar 6, 2026, 07:00 PM
This RCH.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Overall RCH gets a fundamental rating of 5 out of 10. We evaluated RCH against 12 industry peers in the Trading Companies & Distributors industry. RCH is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. While showing a medium growth rate, RCH is valued expensive at the moment.
1. RCH.CA Profitability Analysis
1.1 Basic Checks
- In the past year RCH was profitable.
- RCH had a positive operating cash flow in the past year.
- Each year in the past 5 years RCH has been profitable.
- Of the past 5 years RCH 4 years had a positive operating cash flow.
1.2 Ratios
- RCH's Return On Assets of 5.94% is fine compared to the rest of the industry. RCH outperforms 66.67% of its industry peers.
- RCH has a Return On Equity (8.92%) which is in line with its industry peers.
- RCH has a Return On Invested Capital of 8.51%. This is comparable to the rest of the industry: RCH outperforms 58.33% of its industry peers.
- RCH had an Average Return On Invested Capital over the past 3 years of 9.42%. This is in line with the industry average of 8.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.94% | ||
| ROE | 8.92% | ||
| ROIC | 8.51% |
ROA(3y)6.86%
ROA(5y)9.68%
ROE(3y)10.17%
ROE(5y)14.48%
ROIC(3y)9.42%
ROIC(5y)12.77%
1.3 Margins
- RCH has a better Profit Margin (4.37%) than 75.00% of its industry peers.
- In the last couple of years the Profit Margin of RCH has declined.
- The Operating Margin of RCH (7.03%) is better than 66.67% of its industry peers.
- RCH's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 10.89%, RCH is doing worse than 83.33% of the companies in the same industry.
- RCH's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.03% | ||
| PM (TTM) | 4.37% | ||
| GM | 10.89% |
OM growth 3Y-19.04%
OM growth 5Y-6.95%
PM growth 3Y-22.37%
PM growth 5Y-10.37%
GM growth 3Y-11.93%
GM growth 5Y-3.61%
2. RCH.CA Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RCH is still creating some value.
- RCH has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, RCH has less shares outstanding
- The debt/assets ratio for RCH is higher compared to a year ago.
2.2 Solvency
- RCH has an Altman-Z score of 5.86. This indicates that RCH is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 5.86, RCH belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- RCH has a debt to FCF ratio of 1.48. This is a very positive value and a sign of high solvency as it would only need 1.48 years to pay back of all of its debts.
- RCH has a better Debt to FCF ratio (1.48) than 100.00% of its industry peers.
- RCH has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
- RCH's Debt to Equity ratio of 0.23 is amongst the best of the industry. RCH outperforms 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.48 | ||
| Altman-Z | 5.86 |
ROIC/WACC0.96
WACC8.86%
2.3 Liquidity
- RCH has a Current Ratio of 3.29. This indicates that RCH is financially healthy and has no problem in meeting its short term obligations.
- RCH has a better Current ratio (3.29) than 100.00% of its industry peers.
- A Quick Ratio of 1.18 indicates that RCH should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.18, RCH is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.29 | ||
| Quick Ratio | 1.18 |
3. RCH.CA Growth Analysis
3.1 Past
- The Earnings Per Share has been growing slightly by 0.65% over the past year.
- Measured over the past 5 years, RCH shows a small growth in Earnings Per Share. The EPS has been growing by 0.66% on average per year.
- RCH shows a small growth in Revenue. In the last year, the Revenue has grown by 7.19%.
- The Revenue has been growing by 11.73% on average over the past years. This is quite good.
EPS 1Y (TTM)0.65%
EPS 3Y-19.58%
EPS 5Y0.66%
EPS Q2Q%4.55%
Revenue 1Y (TTM)7.19%
Revenue growth 3Y2.9%
Revenue growth 5Y11.73%
Sales Q2Q%7.28%
3.2 Future
- RCH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.89% yearly.
- The Revenue is expected to grow by 4.74% on average over the next years.
EPS Next Y17.62%
EPS Next 2Y16.98%
EPS Next 3Y11.89%
EPS Next 5YN/A
Revenue Next Year5.94%
Revenue Next 2Y4.74%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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. RCH.CA Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 26.96, which means the current valuation is very expensive for RCH.
- RCH's Price/Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 26.29, RCH is valued at the same level.
- A Price/Forward Earnings ratio of 22.92 indicates a rather expensive valuation of RCH.
- The rest of the industry has a similar Price/Forward Earnings ratio as RCH.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.60, RCH is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.96 | ||
| Fwd PE | 22.92 |
4.2 Price Multiples
- 66.67% of the companies in the same industry are cheaper than RCH, based on the Enterprise Value to EBITDA ratio.
- RCH's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.27 | ||
| EV/EBITDA | 11.71 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.53
PEG (5Y)40.98
EPS Next 2Y16.98%
EPS Next 3Y11.89%
5. RCH.CA Dividend Analysis
5.1 Amount
- RCH has a Yearly Dividend Yield of 1.47%. Purely for dividend investing, there may be better candidates out there.
- RCH's Dividend Yield is comparable with the industry average which is at 5.90.
- RCH's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
5.2 History
- The dividend of RCH is nicely growing with an annual growth rate of 25.00%!
- RCH has been paying a dividend for at least 10 years, so it has a reliable track record.
- RCH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)25%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
- 39.48% of the earnings are spent on dividend by RCH. This is a low number and sustainable payout ratio.
- The dividend of RCH is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP39.48%
EPS Next 2Y16.98%
EPS Next 3Y11.89%
RCH.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:RCH (3/6/2026, 7:00:00 PM)
41.79
-0.81 (-1.9%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)01-15 2026-01-15/dmh
Earnings (Next)04-02 2026-04-02
Inst Owners58.22%
Inst Owner ChangeN/A
Ins Owners8.08%
Ins Owner ChangeN/A
Market Cap2.30B
Revenue(TTM)1.96B
Net Income(TTM)85.82M
Analysts47.5
Price Target42.84 (2.51%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
Yearly Dividend0.62
Dividend Growth(5Y)25%
DP39.48%
Div Incr Years0
Div Non Decr Years4
Ex-Date01-29 2026-01-29 (0.1566)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.61%
Min EPS beat(2)0.1%
Max EPS beat(2)5.12%
EPS beat(4)2
Avg EPS beat(4)-5.49%
Min EPS beat(4)-23.84%
Max EPS beat(4)5.12%
EPS beat(8)3
Avg EPS beat(8)-5.32%
EPS beat(12)4
Avg EPS beat(12)-4.06%
EPS beat(16)7
Avg EPS beat(16)-1.87%
Revenue beat(2)0
Avg Revenue beat(2)-1.04%
Min Revenue beat(2)-1.61%
Max Revenue beat(2)-0.47%
Revenue beat(4)0
Avg Revenue beat(4)-1.06%
Min Revenue beat(4)-1.63%
Max Revenue beat(4)-0.47%
Revenue beat(8)1
Avg Revenue beat(8)-0.74%
Revenue beat(12)3
Avg Revenue beat(12)0.08%
Revenue beat(16)5
Avg Revenue beat(16)0.45%
PT rev (1m)3.7%
PT rev (3m)35.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)1.25%
Revenue NY rev (3m)1.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.96 | ||
| Fwd PE | 22.92 | ||
| P/S | 1.17 | ||
| P/FCF | 12.27 | ||
| P/OCF | 11.35 | ||
| P/B | 2.39 | ||
| P/tB | 3.11 | ||
| EV/EBITDA | 11.71 |
EPS(TTM)1.55
EY3.71%
EPS(NY)1.82
Fwd EY4.36%
FCF(TTM)3.41
FCFY8.15%
OCF(TTM)3.68
OCFY8.81%
SpS35.74
BVpS17.5
TBVpS13.43
PEG (NY)1.53
PEG (5Y)40.98
Graham Number24.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.94% | ||
| ROE | 8.92% | ||
| ROCE | 11.78% | ||
| ROIC | 8.51% | ||
| ROICexc | 8.85% | ||
| ROICexgc | 10.99% | ||
| OM | 7.03% | ||
| PM (TTM) | 4.37% | ||
| GM | 10.89% | ||
| FCFM | 9.53% |
ROA(3y)6.86%
ROA(5y)9.68%
ROE(3y)10.17%
ROE(5y)14.48%
ROIC(3y)9.42%
ROIC(5y)12.77%
ROICexc(3y)9.81%
ROICexc(5y)13.38%
ROICexgc(3y)12.12%
ROICexgc(5y)16.8%
ROCE(3y)13.17%
ROCE(5y)18.19%
ROICexgc growth 3Y-18.9%
ROICexgc growth 5Y-11.03%
ROICexc growth 3Y-19.23%
ROICexc growth 5Y-10.21%
OM growth 3Y-19.04%
OM growth 5Y-6.95%
PM growth 3Y-22.37%
PM growth 5Y-10.37%
GM growth 3Y-11.93%
GM growth 5Y-3.61%
F-Score6
Asset Turnover1.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.48 | ||
| Debt/EBITDA | 1.03 | ||
| Cap/Depr | 20.05% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | 42.6 | ||
| Cash Conversion | 94.62% | ||
| Profit Quality | 218.09% | ||
| Current Ratio | 3.29 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 5.86 |
F-Score6
WACC8.86%
ROIC/WACC0.96
Cap/Depr(3y)44.48%
Cap/Depr(5y)45.2%
Cap/Sales(3y)1.6%
Cap/Sales(5y)1.45%
Profit Quality(3y)181.08%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.65%
EPS 3Y-19.58%
EPS 5Y0.66%
EPS Q2Q%4.55%
EPS Next Y17.62%
EPS Next 2Y16.98%
EPS Next 3Y11.89%
EPS Next 5YN/A
Revenue 1Y (TTM)7.19%
Revenue growth 3Y2.9%
Revenue growth 5Y11.73%
Sales Q2Q%7.28%
Revenue Next Year5.94%
Revenue Next 2Y4.74%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y4.21%
EBIT growth 3Y-16.7%
EBIT growth 5Y3.97%
EBIT Next Year68.88%
EBIT Next 3Y21.09%
EBIT Next 5YN/A
FCF growth 1Y81.72%
FCF growth 3YN/A
FCF growth 5Y7.02%
OCF growth 1Y51.53%
OCF growth 3YN/A
OCF growth 5Y6.79%
RICHELIEU HARDWARE LTD / RCH.CA FAQ
Can you provide the ChartMill fundamental rating for RICHELIEU HARDWARE LTD?
ChartMill assigns a fundamental rating of 5 / 10 to RCH.CA.
What is the valuation status of RICHELIEU HARDWARE LTD (RCH.CA) stock?
ChartMill assigns a valuation rating of 2 / 10 to RICHELIEU HARDWARE LTD (RCH.CA). This can be considered as Overvalued.
Can you provide the profitability details for RICHELIEU HARDWARE LTD?
RICHELIEU HARDWARE LTD (RCH.CA) has a profitability rating of 4 / 10.
What are the PE and PB ratios of RICHELIEU HARDWARE LTD (RCH.CA) stock?
The Price/Earnings (PE) ratio for RICHELIEU HARDWARE LTD (RCH.CA) is 26.96 and the Price/Book (PB) ratio is 2.39.
How sustainable is the dividend of RICHELIEU HARDWARE LTD (RCH.CA) stock?
The dividend rating of RICHELIEU HARDWARE LTD (RCH.CA) is 5 / 10 and the dividend payout ratio is 39.48%.