RPC INC (RES) Stock Fundamental Analysis
USA - NYSE:RES - US7496601060 - Common Stock
5.42 USD
+0.06 (+1.12%)
5.42 USD
0 (0%)
RES gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 60 industry peers in the Energy Equipment & Services industry. While RES has a great health rating, its profitability is only average at the moment. RES does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year RES was profitable.
In the past year RES had a positive cash flow from operations.
RES had positive earnings in 4 of the past 5 years.
RES had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RES has a Return On Assets (3.61%) which is in line with its industry peers.
The Return On Equity of RES (4.85%) is comparable to the rest of the industry.
The Return On Invested Capital of RES (3.66%) is worse than 68.33% of its industry peers.
RES had an Average Return On Invested Capital over the past 3 years of 15.58%. This is significantly above the industry average of 7.82%.
The 3 year average ROIC (15.58%) for RES is well above the current ROIC(3.66%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.61% | ||
| ROE | 4.85% | ||
| ROIC | 3.66% |
ROA(3y)13.49%
ROA(5y)2.89%
ROE(3y)17.4%
ROE(5y)3.95%
ROIC(3y)15.58%
ROIC(5y)N/A
1.3 Margins
RES has a Profit Margin (3.71%) which is comparable to the rest of the industry.
RES's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 3.98%, RES is not doing good in the industry: 71.67% of the companies in the same industry are doing better.
RES's Operating Margin has improved in the last couple of years.
RES has a Gross Margin of 25.75%. This is comparable to the rest of the industry: RES outperforms 53.33% of its industry peers.
In the last couple of years the Gross Margin of RES has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.98% | ||
| PM (TTM) | 3.71% | ||
| GM | 25.75% |
OM growth 3Y116.13%
OM growth 5YN/A
PM growth 3Y96.73%
PM growth 5YN/A
GM growth 3Y4.67%
GM growth 5Y1.54%
2. Health
2.1 Basic Checks
RES has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, RES has about the same amount of shares outstanding.
The number of shares outstanding for RES has been increased compared to 5 years ago.
Compared to 1 year ago, RES has a worse debt to assets ratio.
2.2 Solvency
RES has an Altman-Z score of 4.38. This indicates that RES is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.38, RES belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
The Debt to FCF ratio of RES is 0.61, which is an excellent value as it means it would take RES, only 0.61 years of fcf income to pay off all of its debts.
RES has a Debt to FCF ratio of 0.61. This is amongst the best in the industry. RES outperforms 85.00% of its industry peers.
A Debt/Equity ratio of 0.03 indicates that RES is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.03, RES belongs to the top of the industry, outperforming 88.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.61 | ||
| Altman-Z | 4.38 |
ROIC/WACC0.42
WACC8.76%
2.3 Liquidity
A Current Ratio of 2.64 indicates that RES has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.64, RES is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
A Quick Ratio of 2.16 indicates that RES has no problem at all paying its short term obligations.
With a decent Quick ratio value of 2.16, RES is doing good in the industry, outperforming 76.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.64 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
The earnings per share for RES have decreased strongly by -48.21% in the last year.
Measured over the past years, RES shows a very strong growth in Earnings Per Share. The EPS has been growing by 142.91% on average per year.
Looking at the last year, RES shows a very negative growth in Revenue. The Revenue has decreased by -12.52% in the last year.
Measured over the past years, RES shows a small growth in Revenue. The Revenue has been growing by 2.97% on average per year.
EPS 1Y (TTM)-48.21%
EPS 3Y142.91%
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)-12.52%
Revenue growth 3Y17.83%
Revenue growth 5Y2.97%
Sales Q2Q%32.42%
3.2 Future
RES is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -12.46% yearly.
The Revenue is expected to grow by 3.48% on average over the next years.
EPS Next Y-41.44%
EPS Next 2Y-21.43%
EPS Next 3Y-7.52%
EPS Next 5Y-12.46%
Revenue Next Year10.3%
Revenue Next 2Y8.04%
Revenue Next 3Y5.8%
Revenue Next 5Y3.48%
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 decreasing.
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 18.69, which indicates a rather expensive current valuation of RES.
The rest of the industry has a similar Price/Earnings ratio as RES.
RES is valuated rather cheaply when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 20.42, which indicates a rather expensive current valuation of RES.
RES's Price/Forward Earnings is on the same level as the industry average.
RES's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.69 | ||
| Fwd PE | 20.42 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RES indicates a somewhat cheap valuation: RES is cheaper than 71.67% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RES is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.23 | ||
| EV/EBITDA | 5.31 |
4.3 Compensation for Growth
The decent profitability rating of RES may justify a higher PE ratio.
A cheap valuation may be justified as RES's earnings are expected to decrease with -7.52% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-21.43%
EPS Next 3Y-7.52%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.95%, RES has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.92, RES pays a better dividend. On top of this RES pays more dividend than 83.33% of the companies listed in the same industry.
RES's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.95% |
5.2 History
The dividend of RES decreases each year by -19.34%.
RES has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of RES decreased in the last 3 years.
Dividend Growth(5Y)-19.34%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
RES pays out 65.65% of its income as dividend. This is not a sustainable payout ratio.
RES's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP65.65%
EPS Next 2Y-21.43%
EPS Next 3Y-7.52%
5.42
+0.06 (+1.12%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners42.48%
Inst Owner Change0.7%
Ins Owners4.51%
Ins Owner Change0.01%
Market Cap1.20B
Revenue(TTM)1.41B
Net Income(TTM)52.87M
Analysts70
Price Target5.77 (6.46%)
Short Float %19.45%
Short Ratio13.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.95% |
Yearly Dividend0.16
Dividend Growth(5Y)-19.34%
DP65.65%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.99%
Min EPS beat(2)-13.27%
Max EPS beat(2)23.25%
EPS beat(4)1
Avg EPS beat(4)-5.39%
Min EPS beat(4)-28.94%
Max EPS beat(4)23.25%
EPS beat(8)3
Avg EPS beat(8)-12.42%
EPS beat(12)5
Avg EPS beat(12)-3.77%
EPS beat(16)9
Avg EPS beat(16)443.19%
Revenue beat(2)1
Avg Revenue beat(2)0.29%
Min Revenue beat(2)-1.05%
Max Revenue beat(2)1.63%
Revenue beat(4)2
Avg Revenue beat(4)-1.63%
Min Revenue beat(4)-9.59%
Max Revenue beat(4)2.49%
Revenue beat(8)3
Avg Revenue beat(8)-3.02%
Revenue beat(12)5
Avg Revenue beat(12)-2.18%
Revenue beat(16)8
Avg Revenue beat(16)0.09%
PT rev (1m)-2.86%
PT rev (3m)-5.81%
EPS NQ rev (1m)-17.77%
EPS NQ rev (3m)-31.45%
EPS NY rev (1m)-11.65%
EPS NY rev (3m)-27.14%
Revenue NQ rev (1m)-0.71%
Revenue NQ rev (3m)-2.15%
Revenue NY rev (1m)-0.38%
Revenue NY rev (3m)-1.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.69 | ||
| Fwd PE | 20.42 | ||
| P/S | 0.84 | ||
| P/FCF | 13.23 | ||
| P/OCF | 4.64 | ||
| P/B | 1.1 | ||
| P/tB | 1.34 | ||
| EV/EBITDA | 5.31 |
EPS(TTM)0.29
EY5.35%
EPS(NY)0.27
Fwd EY4.9%
FCF(TTM)0.41
FCFY7.56%
OCF(TTM)1.17
OCFY21.56%
SpS6.47
BVpS4.95
TBVpS4.04
PEG (NY)N/A
PEG (5Y)N/A
Graham Number5.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.61% | ||
| ROE | 4.85% | ||
| ROCE | 4.65% | ||
| ROIC | 3.66% | ||
| ROICexc | 4.22% | ||
| ROICexgc | 5.2% | ||
| OM | 3.98% | ||
| PM (TTM) | 3.71% | ||
| GM | 25.75% | ||
| FCFM | 6.34% |
ROA(3y)13.49%
ROA(5y)2.89%
ROE(3y)17.4%
ROE(5y)3.95%
ROIC(3y)15.58%
ROIC(5y)N/A
ROICexc(3y)18.93%
ROICexc(5y)N/A
ROICexgc(3y)20.05%
ROICexgc(5y)N/A
ROCE(3y)19.82%
ROCE(5y)N/A
ROICexgc growth 3Y132.45%
ROICexgc growth 5YN/A
ROICexc growth 3Y130.46%
ROICexc growth 5YN/A
OM growth 3Y116.13%
OM growth 5YN/A
PM growth 3Y96.73%
PM growth 5YN/A
GM growth 3Y4.67%
GM growth 5Y1.54%
F-Score4
Asset Turnover0.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.61 | ||
| Debt/EBITDA | 0.15 | ||
| Cap/Depr | 112.99% | ||
| Cap/Sales | 11.74% | ||
| Interest Coverage | 59.13 | ||
| Cash Conversion | 125.76% | ||
| Profit Quality | 170.98% | ||
| Current Ratio | 2.64 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | 4.38 |
F-Score4
WACC8.76%
ROIC/WACC0.42
Cap/Depr(3y)166.7%
Cap/Depr(5y)132.34%
Cap/Sales(3y)11.82%
Cap/Sales(5y)10.83%
Profit Quality(3y)94.67%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-48.21%
EPS 3Y142.91%
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y-41.44%
EPS Next 2Y-21.43%
EPS Next 3Y-7.52%
EPS Next 5Y-12.46%
Revenue 1Y (TTM)-12.52%
Revenue growth 3Y17.83%
Revenue growth 5Y2.97%
Sales Q2Q%32.42%
Revenue Next Year10.3%
Revenue Next 2Y8.04%
Revenue Next 3Y5.8%
Revenue Next 5Y3.48%
EBIT growth 1Y-65.12%
EBIT growth 3Y154.67%
EBIT growth 5YN/A
EBIT Next Year131.04%
EBIT Next 3Y38.37%
EBIT Next 5Y24.57%
FCF growth 1Y-36.58%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-23.26%
OCF growth 3Y94.18%
OCF growth 5Y10.81%
RPC INC / RES FAQ
What is the fundamental rating for RES stock?
ChartMill assigns a fundamental rating of 5 / 10 to RES.
What is the valuation status of RPC INC (RES) stock?
ChartMill assigns a valuation rating of 3 / 10 to RPC INC (RES). This can be considered as Overvalued.
Can you provide the profitability details for RPC INC?
RPC INC (RES) has a profitability rating of 6 / 10.
What is the valuation of RPC INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for RPC INC (RES) is 18.69 and the Price/Book (PB) ratio is 1.1.
What is the earnings growth outlook for RPC INC?
The Earnings per Share (EPS) of RPC INC (RES) is expected to decline by -41.44% in the next year.