20.76 USD
+0.41 (+2.01%)
20.76 USD
0 (0%)
Overall RCMT gets a fundamental rating of 6 out of 10. We evaluated RCMT against 87 industry peers in the Professional Services industry. While RCMT has a great profitability rating, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on RCMT. These ratings would make RCMT suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year RCMT was profitable.
RCMT had a positive operating cash flow in the past year.
RCMT had positive earnings in 4 of the past 5 years.
In the past 5 years RCMT always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of RCMT (10.09%) is better than 80.46% of its industry peers.
With an excellent Return On Equity value of 31.65%, RCMT belongs to the best of the industry, outperforming 87.36% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 19.24%, RCMT belongs to the top of the industry, outperforming 89.66% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for RCMT is significantly above the industry average of 12.13%.
The 3 year average ROIC (29.36%) for RCMT is well above the current ROIC(19.24%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.09% | ||
| ROE | 31.65% | ||
| ROIC | 19.24% |
ROA(3y)15.94%
ROA(5y)9.97%
ROE(3y)56.79%
ROE(5y)34.52%
ROIC(3y)29.36%
ROIC(5y)N/A
1.3 Margins
RCMT has a Profit Margin (4.23%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of RCMT has grown nicely.
The Operating Margin of RCMT (7.16%) is comparable to the rest of the industry.
RCMT's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 27.51%, RCMT is not doing good in the industry: 63.22% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of RCMT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.16% | ||
| PM (TTM) | 4.23% | ||
| GM | 27.51% |
OM growth 3Y15.64%
OM growth 5Y17.04%
PM growth 3Y-3.9%
PM growth 5Y17.41%
GM growth 3Y3.24%
GM growth 5Y2.42%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), RCMT is creating value.
The number of shares outstanding for RCMT has been reduced compared to 1 year ago.
The number of shares outstanding for RCMT has been reduced compared to 5 years ago.
RCMT has a worse debt/assets ratio than last year.
2.2 Solvency
RCMT has an Altman-Z score of 4.47. This indicates that RCMT is financially healthy and has little risk of bankruptcy at the moment.
RCMT has a Altman-Z score of 4.47. This is amongst the best in the industry. RCMT outperforms 81.61% of its industry peers.
RCMT has a debt to FCF ratio of 9.42. This is a negative value and a sign of low solvency as RCMT would need 9.42 years to pay back of all of its debts.
The Debt to FCF ratio of RCMT (9.42) is comparable to the rest of the industry.
RCMT has a Debt/Equity ratio of 0.78. This is a neutral value indicating RCMT is somewhat dependend on debt financing.
RCMT's Debt to Equity ratio of 0.78 is on the low side compared to the rest of the industry. RCMT is outperformed by 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.42 | ||
| Altman-Z | 4.47 |
ROIC/WACC2.39
WACC8.04%
2.3 Liquidity
A Current Ratio of 1.98 indicates that RCMT should not have too much problems paying its short term obligations.
RCMT's Current ratio of 1.98 is fine compared to the rest of the industry. RCMT outperforms 71.26% of its industry peers.
A Quick Ratio of 1.98 indicates that RCMT should not have too much problems paying its short term obligations.
RCMT has a better Quick ratio (1.98) than 73.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.98 |
3. Growth
3.1 Past
RCMT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.59%.
RCMT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 39.16% yearly.
RCMT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.70%.
Measured over the past years, RCMT shows a small growth in Revenue. The Revenue has been growing by 7.81% on average per year.
EPS 1Y (TTM)3.59%
EPS 3Y25.74%
EPS 5Y39.16%
EPS Q2Q%20%
Revenue 1Y (TTM)13.7%
Revenue growth 3Y10.94%
Revenue growth 5Y7.81%
Sales Q2Q%16.44%
3.2 Future
Based on estimates for the next years, RCMT will show a very strong growth in Earnings Per Share. The EPS will grow by 25.77% on average per year.
The Revenue is expected to grow by 9.77% on average over the next years. This is quite good.
EPS Next Y41.7%
EPS Next 2Y25.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year12.09%
Revenue Next 2Y9.77%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
RCMT is valuated reasonably with a Price/Earnings ratio of 10.28.
85.06% of the companies in the same industry are more expensive than RCMT, based on the Price/Earnings ratio.
RCMT is valuated cheaply when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 7.86, which indicates a rather cheap valuation of RCMT.
87.36% of the companies in the same industry are more expensive than RCMT, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of RCMT to the average of the S&P500 Index (23.80), we can say RCMT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.28 | ||
| Fwd PE | 7.86 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RCMT indicates a rather cheap valuation: RCMT is cheaper than 82.76% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as RCMT.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.93 | ||
| EV/EBITDA | 7.57 |
4.3 Compensation for Growth
RCMT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RCMT has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as RCMT's earnings are expected to grow with 25.77% in the coming years.
PEG (NY)0.25
PEG (5Y)0.26
EPS Next 2Y25.77%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for RCMT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
20.76
+0.41 (+2.01%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners44.82%
Inst Owner Change11.53%
Ins Owners34.76%
Ins Owner Change-0.71%
Market Cap153.83M
Revenue(TTM)309.84M
Net Income(TTM)13.10M
Analysts82.5
Price Target31.62 (52.31%)
Short Float %4.41%
Short Ratio5.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.82%
Min EPS beat(2)-7.47%
Max EPS beat(2)9.11%
EPS beat(4)1
Avg EPS beat(4)-13.59%
Min EPS beat(4)-52.27%
Max EPS beat(4)9.11%
EPS beat(8)2
Avg EPS beat(8)-8.71%
EPS beat(12)5
Avg EPS beat(12)-2.06%
EPS beat(16)9
Avg EPS beat(16)18.15%
Revenue beat(2)1
Avg Revenue beat(2)-1.18%
Min Revenue beat(2)-4.71%
Max Revenue beat(2)2.35%
Revenue beat(4)2
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-4.71%
Max Revenue beat(4)6.45%
Revenue beat(8)2
Avg Revenue beat(8)-1.3%
Revenue beat(12)3
Avg Revenue beat(12)-1.39%
Revenue beat(16)5
Avg Revenue beat(16)0.98%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.03%
EPS NY rev (1m)-2.52%
EPS NY rev (3m)-2.11%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.66%
Revenue NY rev (1m)0.15%
Revenue NY rev (3m)0.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.28 | ||
| Fwd PE | 7.86 | ||
| P/S | 0.5 | ||
| P/FCF | 43.93 | ||
| P/OCF | 26.15 | ||
| P/B | 3.72 | ||
| P/tB | 8 | ||
| EV/EBITDA | 7.57 |
EPS(TTM)2.02
EY9.73%
EPS(NY)2.64
Fwd EY12.73%
FCF(TTM)0.47
FCFY2.28%
OCF(TTM)0.79
OCFY3.82%
SpS41.81
BVpS5.58
TBVpS2.6
PEG (NY)0.25
PEG (5Y)0.26
Graham Number15.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.09% | ||
| ROE | 31.65% | ||
| ROCE | 27.13% | ||
| ROIC | 19.24% | ||
| ROICexc | 19.56% | ||
| ROICexgc | 26.98% | ||
| OM | 7.16% | ||
| PM (TTM) | 4.23% | ||
| GM | 27.51% | ||
| FCFM | 1.13% |
ROA(3y)15.94%
ROA(5y)9.97%
ROE(3y)56.79%
ROE(5y)34.52%
ROIC(3y)29.36%
ROIC(5y)N/A
ROICexc(3y)30.85%
ROICexc(5y)N/A
ROICexgc(3y)54.01%
ROICexgc(5y)N/A
ROCE(3y)41.4%
ROCE(5y)N/A
ROICexgc growth 3Y2.63%
ROICexgc growth 5Y28.37%
ROICexc growth 3Y7.02%
ROICexc growth 5Y25.94%
OM growth 3Y15.64%
OM growth 5Y17.04%
PM growth 3Y-3.9%
PM growth 5Y17.41%
GM growth 3Y3.24%
GM growth 5Y2.42%
F-Score6
Asset Turnover2.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.42 | ||
| Debt/EBITDA | 1.31 | ||
| Cap/Depr | 102.72% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | 8.39 | ||
| Cash Conversion | 24% | ||
| Profit Quality | 26.74% | ||
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.98 | ||
| Altman-Z | 4.47 |
F-Score6
WACC8.04%
ROIC/WACC2.39
Cap/Depr(3y)149.79%
Cap/Depr(5y)106.86%
Cap/Sales(3y)0.78%
Cap/Sales(5y)0.59%
Profit Quality(3y)71.6%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.59%
EPS 3Y25.74%
EPS 5Y39.16%
EPS Q2Q%20%
EPS Next Y41.7%
EPS Next 2Y25.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)13.7%
Revenue growth 3Y10.94%
Revenue growth 5Y7.81%
Sales Q2Q%16.44%
Revenue Next Year12.09%
Revenue Next 2Y9.77%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-7.31%
EBIT growth 3Y28.29%
EBIT growth 5Y26.18%
EBIT Next Year16.8%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-89.7%
FCF growth 3Y117.44%
FCF growth 5YN/A
OCF growth 1Y-83.23%
OCF growth 3Y88.58%
OCF growth 5YN/A
RCM TECHNOLOGIES INC / RCMT FAQ
Can you provide the ChartMill fundamental rating for RCM TECHNOLOGIES INC?
ChartMill assigns a fundamental rating of 6 / 10 to RCMT.
What is the valuation status for RCMT stock?
ChartMill assigns a valuation rating of 8 / 10 to RCM TECHNOLOGIES INC (RCMT). This can be considered as Undervalued.
What is the profitability of RCMT stock?
RCM TECHNOLOGIES INC (RCMT) has a profitability rating of 8 / 10.
How financially healthy is RCM TECHNOLOGIES INC?
The financial health rating of RCM TECHNOLOGIES INC (RCMT) is 6 / 10.
Can you provide the expected EPS growth for RCMT stock?
The Earnings per Share (EPS) of RCM TECHNOLOGIES INC (RCMT) is expected to grow by 41.7% in the next year.