RELX PLC (RDEB.DE) Stock Fundamental Analysis
FRA:RDEB - Deutsche Boerse Ag - GB00B2B0DG97 - Common Stock - Currency: EUR
We assign a fundamental rating of 6 out of 10 to RDEB. RDEB was compared to 30 industry peers in the Professional Services industry. While RDEB has a great profitability rating, there are some minor concerns on its financial health. RDEB is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year RDEB was profitable.
In the past year RDEB had a positive cash flow from operations.
In the past 5 years RDEB has always been profitable.
RDEB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.78%, RDEB belongs to the top of the industry, outperforming 96.55% of the companies in the same industry.
The Return On Equity of RDEB (55.56%) is better than 89.66% of its industry peers.
RDEB has a better Return On Invested Capital (21.31%) than 89.66% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RDEB is significantly above the industry average of 11.88%.
The 3 year average ROIC (19.62%) for RDEB is below the current ROIC(21.31%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.78% | ||
| ROE | 55.56% | ||
| ROIC | 21.31% |
ROA(3y)11.68%
ROA(5y)10.86%
ROE(3y)50.1%
ROE(5y)50.83%
ROIC(3y)19.62%
ROIC(5y)17.26%
1.3 Margins
RDEB has a better Profit Margin (20.50%) than 96.55% of its industry peers.
RDEB's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 29.87%, RDEB belongs to the best of the industry, outperforming 96.55% of the companies in the same industry.
In the last couple of years the Operating Margin of RDEB has grown nicely.
RDEB has a Gross Margin (65.02%) which is comparable to the rest of the industry.
RDEB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.87% | ||
| PM (TTM) | 20.5% | ||
| GM | 65.02% |
OM growth 3Y5.02%
OM growth 5Y2.69%
PM growth 3Y0.32%
PM growth 5Y1.41%
GM growth 3Y0.2%
GM growth 5Y0%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), RDEB is creating value.
The number of shares outstanding for RDEB has been reduced compared to 1 year ago.
Compared to 5 years ago, RDEB has less shares outstanding
The debt/assets ratio for RDEB has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.70 indicates that RDEB is not in any danger for bankruptcy at the moment.
RDEB has a Altman-Z score of 4.70. This is amongst the best in the industry. RDEB outperforms 96.55% of its industry peers.
RDEB has a debt to FCF ratio of 3.08. This is a good value and a sign of high solvency as RDEB would need 3.08 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.08, RDEB is in the better half of the industry, outperforming 68.97% of the companies in the same industry.
A Debt/Equity ratio of 1.69 is on the high side and indicates that RDEB has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.69, RDEB is doing worse than 72.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.69 | ||
| Debt/FCF | 3.08 | ||
| Altman-Z | 4.7 |
ROIC/WACC2.44
WACC8.75%
2.3 Liquidity
RDEB has a Current Ratio of 0.52. This is a bad value and indicates that RDEB is not financially healthy enough and could expect problems in meeting its short term obligations.
RDEB's Current ratio of 0.52 is on the low side compared to the rest of the industry. RDEB is outperformed by 89.66% of its industry peers.
RDEB has a Quick Ratio of 0.52. This is a bad value and indicates that RDEB is not financially healthy enough and could expect problems in meeting its short term obligations.
RDEB's Quick ratio of 0.47 is on the low side compared to the rest of the industry. RDEB is outperformed by 89.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.08% over the past year.
Measured over the past 5 years, RDEB shows a small growth in Earnings Per Share. The EPS has been growing by 5.94% on average per year.
Looking at the last year, RDEB shows a small growth in Revenue. The Revenue has grown by 2.98% in the last year.
Measured over the past years, RDEB shows a small growth in Revenue. The Revenue has been growing by 3.68% on average per year.
EPS 1Y (TTM)10.08%
EPS 3Y10.76%
EPS 5Y5.94%
EPS Q2Q%6.12%
Revenue 1Y (TTM)2.98%
Revenue growth 3Y9.2%
Revenue growth 5Y3.68%
Sales Q2Q%2.81%
3.2 Future
Based on estimates for the next years, RDEB will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.84% on average per year.
Based on estimates for the next years, RDEB will show a small growth in Revenue. The Revenue will grow by 6.80% on average per year.
EPS Next Y11.1%
EPS Next 2Y11.19%
EPS Next 3Y10.56%
EPS Next 5Y9.84%
Revenue Next Year6.31%
Revenue Next 2Y6.94%
Revenue Next 3Y6.81%
Revenue Next 5Y6.8%
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 accelerating.
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
The Price/Earnings ratio is 35.64, which means the current valuation is very expensive for RDEB.
65.52% of the companies in the same industry are cheaper than RDEB, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 29.35. RDEB is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 26.83, RDEB can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RDEB indicates a slightly more expensive valuation: RDEB is more expensive than 72.41% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of RDEB to the average of the S&P500 Index (22.10), we can say RDEB is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.64 | ||
| Fwd PE | 26.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RDEB is valued a bit more expensive than 72.41% of the companies in the same industry.
72.41% of the companies in the same industry are cheaper than RDEB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.1 | ||
| EV/EBITDA | 20.51 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
RDEB has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.21
PEG (5Y)6.01
EPS Next 2Y11.19%
EPS Next 3Y10.56%
5. Dividend
5.1 Amount
RDEB has a Yearly Dividend Yield of 1.72%.
Compared to an average industry Dividend Yield of 2.84, RDEB has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.33, RDEB is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
5.2 History
The dividend of RDEB is nicely growing with an annual growth rate of 6.76%!
Dividend Growth(5Y)6.76%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
57.96% of the earnings are spent on dividend by RDEB. This is a bit on the high side, but may be sustainable.
RDEB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP57.96%
EPS Next 2Y11.19%
EPS Next 3Y10.56%
FRA:RDEB (3/7/2025, 7:00:00 PM)
43.84
+0.12 (+0.27%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners55.19%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap81.08B
Analysts80
Price Target55.57 (26.76%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
Yearly Dividend0.71
Dividend Growth(5Y)6.76%
DP57.96%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)7.13%
PT rev (3m)12.02%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.09%
EPS NY rev (3m)1.79%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.64 | ||
| Fwd PE | 26.83 | ||
| P/S | 7.23 | ||
| P/FCF | 32.1 | ||
| P/OCF | 26.14 | ||
| P/B | 19.59 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.51 |
EPS(TTM)1.23
EY2.81%
EPS(NY)1.63
Fwd EY3.73%
FCF(TTM)1.37
FCFY3.12%
OCF(TTM)1.68
OCFY3.83%
SpS6.07
BVpS2.24
TBVpS-5.08
PEG (NY)3.21
PEG (5Y)6.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.78% | ||
| ROE | 55.56% | ||
| ROCE | 29.93% | ||
| ROIC | 21.31% | ||
| ROICexc | 21.56% | ||
| ROICexgc | N/A | ||
| OM | 29.87% | ||
| PM (TTM) | 20.5% | ||
| GM | 65.02% | ||
| FCFM | 22.51% |
ROA(3y)11.68%
ROA(5y)10.86%
ROE(3y)50.1%
ROE(5y)50.83%
ROIC(3y)19.62%
ROIC(5y)17.26%
ROICexc(3y)19.99%
ROICexc(5y)17.54%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)26.52%
ROCE(5y)23.2%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y14.95%
ROICexc growth 5Y2.9%
OM growth 3Y5.02%
OM growth 5Y2.69%
PM growth 3Y0.32%
PM growth 5Y1.41%
GM growth 3Y0.2%
GM growth 5Y0%
F-Score9
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.69 | ||
| Debt/FCF | 3.08 | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 61.81% | ||
| Cap/Sales | 5.13% | ||
| Interest Coverage | 10.97 | ||
| Cash Conversion | 72.42% | ||
| Profit Quality | 109.82% | ||
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.47 | ||
| Altman-Z | 4.7 |
F-Score9
WACC8.75%
ROIC/WACC2.44
Cap/Depr(3y)59.17%
Cap/Depr(5y)53.4%
Cap/Sales(3y)5.14%
Cap/Sales(5y)5.04%
Profit Quality(3y)113.75%
Profit Quality(5y)111.24%
High Growth Momentum
Growth
EPS 1Y (TTM)10.08%
EPS 3Y10.76%
EPS 5Y5.94%
EPS Q2Q%6.12%
EPS Next Y11.1%
EPS Next 2Y11.19%
EPS Next 3Y10.56%
EPS Next 5Y9.84%
Revenue 1Y (TTM)2.98%
Revenue growth 3Y9.2%
Revenue growth 5Y3.68%
Sales Q2Q%2.81%
Revenue Next Year6.31%
Revenue Next 2Y6.94%
Revenue Next 3Y6.81%
Revenue Next 5Y6.8%
EBIT growth 1Y6.9%
EBIT growth 3Y14.69%
EBIT growth 5Y6.47%
EBIT Next Year25.26%
EBIT Next 3Y12.63%
EBIT Next 5Y11.07%
FCF growth 1Y7.27%
FCF growth 3Y8.15%
FCF growth 5Y4.44%
OCF growth 1Y6.15%
OCF growth 3Y8.96%
OCF growth 5Y4.54%