RPC INC (RES) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RES - US7496601060 - Common Stock
5.98 USD
+0.07 (+1.18%)
5.93 USD
-0.05 (-0.84%)
We assign a fundamental rating of 5 out of 10 to RES. RES was compared to 62 industry peers in the Energy Equipment & Services industry. RES has an excellent financial health rating, but there are some minor concerns on its profitability. RES is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RES had positive earnings in the past year.
RES had a positive operating cash flow in the past year.
RES had positive earnings in 4 of the past 5 years.
In the past 5 years RES always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of RES (3.13%) is comparable to the rest of the industry.
With a Return On Equity value of 4.25%, RES perfoms like the industry average, outperforming 46.77% of the companies in the same industry.
RES has a Return On Invested Capital of 3.98%. This is comparable to the rest of the industry: RES outperforms 43.55% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RES is above the industry average of 12.77%.
The 3 year average ROIC (15.58%) for RES is well above the current ROIC(3.98%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.13% | ||
| ROE | 4.25% | ||
| ROIC | 3.98% |
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
Looking at the Profit Margin, with a value of 3.05%, RES is in line with its industry, outperforming 41.94% of the companies in the same industry.
RES's Profit Margin has improved in the last couple of years.
RES has a worse Operating Margin (4.11%) than 62.90% of its industry peers.
In the last couple of years the Operating Margin of RES has grown nicely.
The Gross Margin of RES (25.36%) is comparable to the rest of the industry.
RES's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.11% | ||
| PM (TTM) | 3.05% | ||
| GM | 25.36% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RES is still creating some value.
Compared to 1 year ago, RES has about the same amount of shares outstanding.
RES has more shares outstanding than it did 5 years ago.
The debt/assets ratio for RES is higher compared to a year ago.
2.2 Solvency
RES has an Altman-Z score of 4.51. This indicates that RES is financially healthy and has little risk of bankruptcy at the moment.
RES has a better Altman-Z score (4.51) than 90.32% of its industry peers.
RES has a debt to FCF ratio of 0.73. This is a very positive value and a sign of high solvency as it would only need 0.73 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.73, RES belongs to the best of the industry, outperforming 83.87% of the companies in the same industry.
A Debt/Equity ratio of 0.03 indicates that RES is not too dependend on debt financing.
The Debt to Equity ratio of RES (0.03) is better than 87.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.73 | ||
| Altman-Z | 4.51 |
ROIC/WACC0.45
WACC8.81%
2.3 Liquidity
RES has a Current Ratio of 2.78. This indicates that RES is financially healthy and has no problem in meeting its short term obligations.
RES's Current ratio of 2.78 is amongst the best of the industry. RES outperforms 82.26% of its industry peers.
RES has a Quick Ratio of 2.31. This indicates that RES is financially healthy and has no problem in meeting its short term obligations.
RES's Quick ratio of 2.31 is fine compared to the rest of the industry. RES outperforms 77.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.31 |
3. Growth
3.1 Past
RES shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -48.21%.
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.
The Revenue for RES has decreased by -17.05% in the past year. This is quite bad
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)-17.05%
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-35.11%
EPS Next 2Y-16.58%
EPS Next 3Y-5.59%
EPS Next 5Y-12.46%
Revenue Next Year16.02%
Revenue Next 2Y9.69%
Revenue Next 3Y7.86%
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
RES is valuated rather expensively with a Price/Earnings ratio of 20.62.
RES's Price/Earnings ratio is a bit cheaper when compared to the industry. RES is cheaper than 69.35% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. RES is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 19.99, RES is valued on the expensive side.
RES's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.92, RES is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.62 | ||
| Fwd PE | 19.99 |
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 77.42% of the companies listed in the same industry.
RES's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.5 | ||
| EV/EBITDA | 5.42 |
4.3 Compensation for Growth
The decent profitability rating of RES may justify a higher PE ratio.
RES's earnings are expected to decrease with -5.59% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-16.58%
EPS Next 3Y-5.59%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.70%, RES has a reasonable but not impressive dividend return.
RES's Dividend Yield is rather good when compared to the industry average which is at 1.21. RES pays more dividend than 85.48% of the companies in the same industry.
RES's Dividend Yield is a higher than the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
5.2 History
The dividend of RES decreases each year by -19.34%.
RES has been paying a dividend for at least 10 years, so it has 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 74.59% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of RES has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP74.59%
EPS Next 2Y-16.58%
EPS Next 3Y-5.59%
5.98
+0.07 (+1.18%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners42.42%
Inst Owner Change1.42%
Ins Owners4.46%
Ins Owner Change-0.16%
Market Cap1.32B
Revenue(TTM)1.54B
Net Income(TTM)46.85M
Analysts50.77
Price Target6.24 (4.35%)
Short Float %19.32%
Short Ratio10.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
Yearly Dividend0.16
Dividend Growth(5Y)-19.34%
DP74.59%
Div Incr Years0
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)22.46%
Min EPS beat(2)-13.27%
Max EPS beat(2)58.19%
EPS beat(4)2
Avg EPS beat(4)16.39%
Min EPS beat(4)-13.27%
Max EPS beat(4)58.19%
EPS beat(8)4
Avg EPS beat(8)3.18%
EPS beat(12)5
Avg EPS beat(12)-2.71%
EPS beat(16)9
Avg EPS beat(16)13.81%
Revenue beat(2)1
Avg Revenue beat(2)4.35%
Min Revenue beat(2)-1.05%
Max Revenue beat(2)9.75%
Revenue beat(4)3
Avg Revenue beat(4)3.2%
Min Revenue beat(4)-1.05%
Max Revenue beat(4)9.75%
Revenue beat(8)4
Avg Revenue beat(8)-0.12%
Revenue beat(12)5
Avg Revenue beat(12)-2.58%
Revenue beat(16)8
Avg Revenue beat(16)0.39%
PT rev (1m)3.53%
PT rev (3m)5.01%
EPS NQ rev (1m)0.43%
EPS NQ rev (3m)-0.43%
EPS NY rev (1m)0%
EPS NY rev (3m)2.19%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)8.37%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)4.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.62 | ||
| Fwd PE | 19.99 | ||
| P/S | 0.86 | ||
| P/FCF | 17.5 | ||
| P/OCF | 5.65 | ||
| P/B | 1.2 | ||
| P/tB | 1.43 | ||
| EV/EBITDA | 5.42 |
EPS(TTM)0.29
EY4.85%
EPS(NY)0.3
Fwd EY5%
FCF(TTM)0.34
FCFY5.72%
OCF(TTM)1.06
OCFY17.71%
SpS6.96
BVpS5
TBVpS4.19
PEG (NY)N/A
PEG (5Y)N/A
Graham Number5.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.13% | ||
| ROE | 4.25% | ||
| ROCE | 5.06% | ||
| ROIC | 3.98% | ||
| ROICexc | 4.58% | ||
| ROICexgc | 5.49% | ||
| OM | 4.11% | ||
| PM (TTM) | 3.05% | ||
| GM | 25.36% | ||
| FCFM | 4.91% |
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 Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.73 | ||
| Debt/EBITDA | 0.14 | ||
| Cap/Depr | 100.62% | ||
| Cap/Sales | 10.3% | ||
| Interest Coverage | 35.74 | ||
| Cash Conversion | 106.01% | ||
| Profit Quality | 160.91% | ||
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.31 | ||
| Altman-Z | 4.51 |
F-Score4
WACC8.81%
ROIC/WACC0.45
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-35.11%
EPS Next 2Y-16.58%
EPS Next 3Y-5.59%
EPS Next 5Y-12.46%
Revenue 1Y (TTM)-17.05%
Revenue growth 3Y17.83%
Revenue growth 5Y2.97%
Sales Q2Q%32.42%
Revenue Next Year16.02%
Revenue Next 2Y9.69%
Revenue Next 3Y7.86%
Revenue Next 5Y3.48%
EBIT growth 1Y-60.41%
EBIT growth 3Y154.67%
EBIT growth 5YN/A
EBIT Next Year145.2%
EBIT Next 3Y41.29%
EBIT Next 5Y24.57%
FCF growth 1Y-71.15%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-49.15%
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.
Can you provide the valuation status for RPC INC?
ChartMill assigns a valuation rating of 3 / 10 to RPC INC (RES). This can be considered as Overvalued.
How profitable is RPC INC (RES) stock?
RPC INC (RES) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for RES stock?
The Price/Earnings (PE) ratio for RPC INC (RES) is 20.62 and the Price/Book (PB) ratio is 1.2.
Can you provide the financial health for RES stock?
The financial health rating of RPC INC (RES) is 8 / 10.