RED VIOLET INC (RDVT) Stock Fundamental Analysis
USA - NASDAQ:RDVT - US75704L1044 - Common Stock
53.885 USD
+0.24 (+0.46%)
Overall RDVT gets a fundamental rating of 7 out of 10. We evaluated RDVT against 281 industry peers in the Software industry. Both the health and profitability get an excellent rating, making RDVT a very profitable company, without any liquidiy or solvency issues. RDVT is valued quite expensive, but it does show an excellent growth. These ratings could make RDVT a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year RDVT was profitable.
In the past year RDVT had a positive cash flow from operations.
Of the past 5 years RDVT 4 years were profitable.
In the past 5 years RDVT always reported a positive cash flow from operatings.
1.2 Ratios
RDVT has a better Return On Assets (8.31%) than 80.78% of its industry peers.
RDVT's Return On Equity of 9.05% is fine compared to the rest of the industry. RDVT outperforms 74.73% of its industry peers.
The Return On Invested Capital of RDVT (7.44%) is better than 77.22% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RDVT is significantly below the industry average of 12.08%.
The 3 year average ROIC (3.09%) for RDVT is below the current ROIC(7.44%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.31% | ||
| ROE | 9.05% | ||
| ROIC | 7.44% |
ROA(3y)7.49%
ROA(5y)2.05%
ROE(3y)8.22%
ROE(5y)1.98%
ROIC(3y)3.09%
ROIC(5y)N/A
1.3 Margins
RDVT has a better Profit Margin (10.57%) than 72.95% of its industry peers.
RDVT's Profit Margin has improved in the last couple of years.
RDVT has a better Operating Margin (11.93%) than 77.22% of its industry peers.
RDVT has a better Gross Margin (83.07%) than 90.04% of its industry peers.
In the last couple of years the Gross Margin of RDVT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.93% | ||
| PM (TTM) | 10.57% | ||
| GM | 83.07% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y83.83%
PM growth 5YN/A
GM growth 3Y2.95%
GM growth 5Y6.46%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RDVT is destroying value.
Compared to 1 year ago, RDVT has less shares outstanding
The number of shares outstanding for RDVT has been increased compared to 5 years ago.
RDVT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
RDVT has an Altman-Z score of 53.83. This indicates that RDVT is financially healthy and has little risk of bankruptcy at the moment.
RDVT has a better Altman-Z score (53.83) than 97.51% of its industry peers.
RDVT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 53.83 |
ROIC/WACC0.67
WACC11.06%
2.3 Liquidity
RDVT has a Current Ratio of 9.12. This indicates that RDVT is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 9.12, RDVT belongs to the best of the industry, outperforming 94.66% of the companies in the same industry.
A Quick Ratio of 9.12 indicates that RDVT has no problem at all paying its short term obligations.
RDVT's Quick ratio of 9.12 is amongst the best of the industry. RDVT outperforms 94.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.12 | ||
| Quick Ratio | 9.12 |
3. Growth
3.1 Past
RDVT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 47.30%, which is quite impressive.
RDVT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 114.84% yearly.
Looking at the last year, RDVT shows a very strong growth in Revenue. The Revenue has grown by 24.89%.
RDVT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.94% yearly.
EPS 1Y (TTM)47.3%
EPS 3Y114.84%
EPS 5YN/A
EPS Q2Q%77.27%
Revenue 1Y (TTM)24.89%
Revenue growth 3Y19.54%
Revenue growth 5Y19.94%
Sales Q2Q%21.13%
3.2 Future
The Earnings Per Share is expected to grow by 18.16% on average over the next years. This is quite good.
Based on estimates for the next years, RDVT will show a quite strong growth in Revenue. The Revenue will grow by 16.15% on average per year.
EPS Next Y33.61%
EPS Next 2Y21.56%
EPS Next 3Y18.16%
EPS Next 5YN/A
Revenue Next Year19.77%
Revenue Next 2Y16.75%
Revenue Next 3Y16.15%
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 49.44, which means the current valuation is very expensive for RDVT.
RDVT's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.51, RDVT is valued quite expensively.
The Price/Forward Earnings ratio is 45.02, which means the current valuation is very expensive for RDVT.
RDVT's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.98, RDVT is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.44 | ||
| Fwd PE | 45.02 |
4.2 Price Multiples
68.33% of the companies in the same industry are more expensive than RDVT, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, RDVT is valued a bit cheaper than 61.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.72 | ||
| EV/EBITDA | 35.65 |
4.3 Compensation for Growth
RDVT's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of RDVT may justify a higher PE ratio.
A more expensive valuation may be justified as RDVT's earnings are expected to grow with 18.16% in the coming years.
PEG (NY)1.47
PEG (5Y)N/A
EPS Next 2Y21.56%
EPS Next 3Y18.16%
5. Dividend
5.1 Amount
With a yearly dividend of 0.51%, RDVT is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 42.41, RDVT pays a better dividend. On top of this RDVT pays more dividend than 88.97% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, RDVT's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.51% |
5.2 History
RDVT is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y21.56%
EPS Next 3Y18.16%
NASDAQ:RDVT (11/19/2025, 2:58:22 PM)
53.885
+0.24 (+0.46%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners68.02%
Inst Owner Change1.58%
Ins Owners14.38%
Ins Owner Change-2.29%
Market Cap753.31M
Revenue(TTM)75.19M
Net Income(TTM)8.71M
Analysts82.5
Price Target57.12 (6%)
Short Float %8.41%
Short Ratio11.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.51% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)20.37%
Min EPS beat(2)-0.54%
Max EPS beat(2)41.28%
EPS beat(4)1
Avg EPS beat(4)7.26%
Min EPS beat(4)-7.12%
Max EPS beat(4)41.28%
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)1
Avg Revenue beat(2)2.55%
Min Revenue beat(2)-0.48%
Max Revenue beat(2)5.58%
Revenue beat(4)3
Avg Revenue beat(4)3.13%
Min Revenue beat(4)-0.48%
Max Revenue beat(4)6.08%
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)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.62%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.38%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.58%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.44 | ||
| Fwd PE | 45.02 | ||
| P/S | 9.14 | ||
| P/FCF | 45.72 | ||
| P/OCF | 28.51 | ||
| P/B | 7.83 | ||
| P/tB | 14.13 | ||
| EV/EBITDA | 35.65 |
EPS(TTM)1.09
EY2.02%
EPS(NY)1.2
Fwd EY2.22%
FCF(TTM)1.18
FCFY2.19%
OCF(TTM)1.89
OCFY3.51%
SpS5.89
BVpS6.88
TBVpS3.81
PEG (NY)1.47
PEG (5Y)N/A
Graham Number12.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.31% | ||
| ROE | 9.05% | ||
| ROCE | 9.9% | ||
| ROIC | 7.44% | ||
| ROICexc | 12.23% | ||
| ROICexgc | 42.18% | ||
| OM | 11.93% | ||
| PM (TTM) | 10.57% | ||
| GM | 83.07% | ||
| FCFM | 20% |
ROA(3y)7.49%
ROA(5y)2.05%
ROE(3y)8.22%
ROE(5y)1.98%
ROIC(3y)3.09%
ROIC(5y)N/A
ROICexc(3y)5.18%
ROICexc(5y)N/A
ROICexgc(3y)25.46%
ROICexgc(5y)N/A
ROCE(3y)4.11%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y83.83%
PM growth 5YN/A
GM growth 3Y2.95%
GM growth 5Y6.46%
F-Score6
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 98.38% | ||
| Cap/Sales | 12.07% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 132.51% | ||
| Profit Quality | 189.23% | ||
| Current Ratio | 9.12 | ||
| Quick Ratio | 9.12 | ||
| Altman-Z | 53.83 |
F-Score6
WACC11.06%
ROIC/WACC0.67
Cap/Depr(3y)113.92%
Cap/Depr(5y)114.58%
Cap/Sales(3y)14.83%
Cap/Sales(5y)14.55%
Profit Quality(3y)278.27%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)47.3%
EPS 3Y114.84%
EPS 5YN/A
EPS Q2Q%77.27%
EPS Next Y33.61%
EPS Next 2Y21.56%
EPS Next 3Y18.16%
EPS Next 5YN/A
Revenue 1Y (TTM)24.89%
Revenue growth 3Y19.54%
Revenue growth 5Y19.94%
Sales Q2Q%21.13%
Revenue Next Year19.77%
Revenue Next 2Y16.75%
Revenue Next 3Y16.15%
Revenue Next 5YN/A
EBIT growth 1Y65.9%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year307.42%
EBIT Next 3Y77.64%
EBIT Next 5YN/A
FCF growth 1Y399.33%
FCF growth 3Y57.13%
FCF growth 5YN/A
OCF growth 1Y110.06%
OCF growth 3Y38.85%
OCF growth 5Y70.77%
RED VIOLET INC / RDVT FAQ
Can you provide the ChartMill fundamental rating for RED VIOLET INC?
ChartMill assigns a fundamental rating of 7 / 10 to RDVT.
Can you provide the valuation status for RED VIOLET INC?
ChartMill assigns a valuation rating of 3 / 10 to RED VIOLET INC (RDVT). This can be considered as Overvalued.
Can you provide the profitability details for RED VIOLET INC?
RED VIOLET INC (RDVT) has a profitability rating of 7 / 10.
How financially healthy is RED VIOLET INC?
The financial health rating of RED VIOLET INC (RDVT) is 9 / 10.
What is the expected EPS growth for RED VIOLET INC (RDVT) stock?
The Earnings per Share (EPS) of RED VIOLET INC (RDVT) is expected to grow by 33.61% in the next year.