ROGERS COMMUNICATIONS INC-B (RCI-B.CA) Stock Fundamental Analysis
Canada - TSX:RCI-B - CA7751092007 - Common Stock
51.62 CAD
+0.12 (+0.23%)
Overall RCI-B gets a fundamental rating of 6 out of 10. We evaluated RCI-B against 2 industry peers in the Wireless Telecommunication Services industry. While RCI-B belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. RCI-B has a bad growth rate and is valued cheaply. This makes RCI-B very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year RCI-B was profitable.
RCI-B had a positive operating cash flow in the past year.
RCI-B had positive earnings in each of the past 5 years.
RCI-B had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RCI-B has a Return On Assets of 1.97%. This is amongst the best in the industry. RCI-B outperforms 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 13.56%, RCI-B belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Invested Capital value of 4.88%, RCI-B belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for RCI-B is in line with the industry average of 4.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.97% | ||
| ROE | 13.56% | ||
| ROIC | 4.88% |
ROA(3y)2.22%
ROA(5y)2.9%
ROE(3y)13.82%
ROE(5y)14.57%
ROIC(3y)5.27%
ROIC(5y)5.77%
1.3 Margins
RCI-B has a Profit Margin of 7.31%. This is amongst the best in the industry. RCI-B outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of RCI-B has declined.
RCI-B has a better Operating Margin (24.10%) than 100.00% of its industry peers.
In the last couple of years the Operating Margin of RCI-B has remained more or less at the same level.
RCI-B's Gross Margin of 46.60% is amongst the best of the industry. RCI-B outperforms 100.00% of its industry peers.
RCI-B's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.1% | ||
| PM (TTM) | 7.31% | ||
| GM | 46.6% |
OM growth 3Y2.52%
OM growth 5Y-0.35%
PM growth 3Y-7.49%
PM growth 5Y-9.09%
GM growth 3Y5.13%
GM growth 5Y2.52%
2. Health
2.1 Basic Checks
RCI-B has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
RCI-B has more shares outstanding than it did 1 year ago.
RCI-B has more shares outstanding than it did 5 years ago.
RCI-B has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.02, we must say that RCI-B is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.02, RCI-B is in line with its industry, outperforming 50.00% of the companies in the same industry.
The Debt to FCF ratio of RCI-B is 22.37, which is on the high side as it means it would take RCI-B, 22.37 years of fcf income to pay off all of its debts.
RCI-B's Debt to FCF ratio of 22.37 is amongst the best of the industry. RCI-B outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 3.91 is on the high side and indicates that RCI-B has dependencies on debt financing.
RCI-B has a better Debt to Equity ratio (3.91) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.91 | ||
| Debt/FCF | 22.37 | ||
| Altman-Z | 1.02 |
ROIC/WACC0.71
WACC6.86%
2.3 Liquidity
RCI-B has a Current Ratio of 1.70. This is a normal value and indicates that RCI-B is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of RCI-B (1.70) is better than 100.00% of its industry peers.
A Quick Ratio of 1.64 indicates that RCI-B should not have too much problems paying its short term obligations.
RCI-B has a better Quick ratio (1.64) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.68% over the past year.
RCI-B shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.02% yearly.
The Revenue has been growing slightly by 1.87% in the past year.
RCI-B shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.45% yearly.
EPS 1Y (TTM)8.68%
EPS 3Y12.64%
EPS 5Y4.02%
EPS Q2Q%-1.72%
Revenue 1Y (TTM)1.87%
Revenue growth 3Y12.03%
Revenue growth 5Y6.45%
Sales Q2Q%2.42%
3.2 Future
Based on estimates for the next years, RCI-B will show a small growth in Earnings Per Share. The EPS will grow by 1.10% on average per year.
Based on estimates for the next years, RCI-B will show a small growth in Revenue. The Revenue will grow by 3.34% on average per year.
EPS Next Y-3.56%
EPS Next 2Y-0.19%
EPS Next 3Y1.1%
EPS Next 5YN/A
Revenue Next Year4.2%
Revenue Next 2Y4.81%
Revenue Next 3Y3.34%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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 10.30, which indicates a very decent valuation of RCI-B.
Based on the Price/Earnings ratio, RCI-B is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
RCI-B is valuated cheaply when we compare the Price/Earnings ratio to 27.55, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 10.30 indicates a reasonable valuation of RCI-B.
RCI-B's Price/Forward Earnings ratio is rather cheap when compared to the industry. RCI-B is cheaper than 100.00% of the companies in the same industry.
RCI-B is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.3 | ||
| Fwd PE | 10.3 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RCI-B indicates a rather cheap valuation: RCI-B is cheaper than 100.00% of the companies listed in the same industry.
100.00% of the companies in the same industry are more expensive than RCI-B, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.74 | ||
| EV/EBITDA | 6.63 |
4.3 Compensation for Growth
The excellent profitability rating of RCI-B may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.56
EPS Next 2Y-0.19%
EPS Next 3Y1.1%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.94%, RCI-B has a reasonable but not impressive dividend return.
RCI-B's Dividend Yield is comparable with the industry average which is at 3.94.
Compared to an average S&P500 Dividend Yield of 2.43, RCI-B pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.94% |
5.2 History
The dividend of RCI-B decreases each year by -7.00%.
RCI-B has been paying a dividend for at least 10 years, so it has a reliable track record.
RCI-B has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-7%
Div Incr Years0
Div Non Decr Years21
5.3 Sustainability
RCI-B pays out 48.65% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP48.65%
EPS Next 2Y-0.19%
EPS Next 3Y1.1%
TSX:RCI-B (10/14/2025, 7:00:00 PM)
51.62
+0.12 (+0.23%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners65.03%
Inst Owner ChangeN/A
Ins Owners1.03%
Ins Owner ChangeN/A
Market Cap27.89B
Analysts76.8
Price Target56.12 (8.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.94% |
Yearly Dividend1.39
Dividend Growth(5Y)-7%
DP48.65%
Div Incr Years0
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.16%
Min EPS beat(2)-4.97%
Max EPS beat(2)0.65%
EPS beat(4)3
Avg EPS beat(4)0.32%
Min EPS beat(4)-4.97%
Max EPS beat(4)4.6%
EPS beat(8)5
Avg EPS beat(8)1.76%
EPS beat(12)7
Avg EPS beat(12)0.72%
EPS beat(16)8
Avg EPS beat(16)0.52%
Revenue beat(2)0
Avg Revenue beat(2)-2.58%
Min Revenue beat(2)-3%
Max Revenue beat(2)-2.16%
Revenue beat(4)0
Avg Revenue beat(4)-2.54%
Min Revenue beat(4)-3.59%
Max Revenue beat(4)-1.4%
Revenue beat(8)1
Avg Revenue beat(8)-2.51%
Revenue beat(12)1
Avg Revenue beat(12)-2.95%
Revenue beat(16)1
Avg Revenue beat(16)-2.77%
PT rev (1m)0.95%
PT rev (3m)7.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.79%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.39%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.86%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)2.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.3 | ||
| Fwd PE | 10.3 | ||
| P/S | 1.34 | ||
| P/FCF | 13.74 | ||
| P/OCF | 4.71 | ||
| P/B | 2.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.63 |
EPS(TTM)5.01
EY9.71%
EPS(NY)5.01
Fwd EY9.71%
FCF(TTM)3.76
FCFY7.28%
OCF(TTM)10.96
OCFY21.23%
SpS38.51
BVpS20.77
TBVpS-41.91
PEG (NY)N/A
PEG (5Y)2.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.97% | ||
| ROE | 13.56% | ||
| ROCE | 7.28% | ||
| ROIC | 4.88% | ||
| ROICexc | 5.42% | ||
| ROICexgc | 11.61% | ||
| OM | 24.1% | ||
| PM (TTM) | 7.31% | ||
| GM | 46.6% | ||
| FCFM | 9.76% |
ROA(3y)2.22%
ROA(5y)2.9%
ROE(3y)13.82%
ROE(5y)14.57%
ROIC(3y)5.27%
ROIC(5y)5.77%
ROICexc(3y)5.34%
ROICexc(5y)5.94%
ROICexgc(3y)10.73%
ROICexgc(5y)11.34%
ROCE(3y)8.05%
ROCE(5y)8.82%
ROICexcg growth 3Y1.64%
ROICexcg growth 5Y0.07%
ROICexc growth 3Y-4.65%
ROICexc growth 5Y-6.26%
OM growth 3Y2.52%
OM growth 5Y-0.35%
PM growth 3Y-7.49%
PM growth 5Y-9.09%
GM growth 3Y5.13%
GM growth 5Y2.52%
F-Score7
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.91 | ||
| Debt/FCF | 22.37 | ||
| Debt/EBITDA | 4.49 | ||
| Cap/Depr | 81.81% | ||
| Cap/Sales | 18.7% | ||
| Interest Coverage | 2.45 | ||
| Cash Conversion | 60.61% | ||
| Profit Quality | 133.47% | ||
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 1.02 |
F-Score7
WACC6.86%
ROIC/WACC0.71
Cap/Depr(3y)100.64%
Cap/Depr(5y)99.39%
Cap/Sales(3y)20.33%
Cap/Sales(5y)19.48%
Profit Quality(3y)104.95%
Profit Quality(5y)104.43%
High Growth Momentum
Growth
EPS 1Y (TTM)8.68%
EPS 3Y12.64%
EPS 5Y4.02%
EPS Q2Q%-1.72%
EPS Next Y-3.56%
EPS Next 2Y-0.19%
EPS Next 3Y1.1%
EPS Next 5YN/A
Revenue 1Y (TTM)1.87%
Revenue growth 3Y12.03%
Revenue growth 5Y6.45%
Sales Q2Q%2.42%
Revenue Next Year4.2%
Revenue Next 2Y4.81%
Revenue Next 3Y3.34%
Revenue Next 5YN/A
EBIT growth 1Y7.53%
EBIT growth 3Y14.85%
EBIT growth 5Y6.07%
EBIT Next Year91.1%
EBIT Next 3Y26.04%
EBIT Next 5YN/A
FCF growth 1Y164.32%
FCF growth 3Y5.91%
FCF growth 5Y-1.13%
OCF growth 1Y33.06%
OCF growth 3Y10.93%
OCF growth 5Y4.65%