REV GROUP INC (REVG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:REVG - US7495271071 - Common Stock
59.73 USD
+0.79 (+1.34%)
59.73 USD
0 (0%)
REVG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 130 industry peers in the Machinery industry. REVG has an average financial health and profitability rating. REVG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year REVG was profitable.
REVG had a positive operating cash flow in the past year.
Of the past 5 years REVG 4 years were profitable.
Of the past 5 years REVG 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.86%, REVG is in the better half of the industry, outperforming 76.15% of the companies in the same industry.
The Return On Equity of REVG (27.89%) is better than 93.85% of its industry peers.
The Return On Invested Capital of REVG (18.41%) is better than 93.85% of its industry peers.
The Average Return On Invested Capital over the past 3 years for REVG is below the industry average of 10.46%.
The last Return On Invested Capital (18.41%) for REVG is above the 3 year average (7.94%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.86% | ||
| ROE | 27.89% | ||
| ROIC | 18.41% |
ROA(3y)8.53%
ROA(5y)5.37%
ROE(3y)23.88%
ROE(5y)14.75%
ROIC(3y)7.94%
ROIC(5y)6.54%
1.3 Margins
REVG has a Profit Margin (4.51%) which is in line with its industry peers.
In the last couple of years the Profit Margin of REVG has grown nicely.
Looking at the Operating Margin, with a value of 7.19%, REVG is in line with its industry, outperforming 44.62% of the companies in the same industry.
REVG's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 14.43%, REVG is doing worse than 83.08% of the companies in the same industry.
In the last couple of years the Gross Margin of REVG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.19% | ||
| PM (TTM) | 4.51% | ||
| GM | 14.43% |
OM growth 3Y8.27%
OM growth 5Y29.83%
PM growth 3Y79.7%
PM growth 5YN/A
GM growth 3Y0.72%
GM growth 5Y3.58%
2. Health
2.1 Basic Checks
REVG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
REVG 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
REVG has an Altman-Z score of 5.05. This indicates that REVG is financially healthy and has little risk of bankruptcy at the moment.
REVG has a better Altman-Z score (5.05) than 75.38% of its industry peers.
REVG has a debt to FCF ratio of 0.45. This is a very positive value and a sign of high solvency as it would only need 0.45 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.45, REVG belongs to the best of the industry, outperforming 91.54% of the companies in the same industry.
REVG has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
REVG has a Debt to Equity ratio of 0.23. This is in the better half of the industry: REVG outperforms 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 0.45 | ||
| Altman-Z | 5.05 |
ROIC/WACC1.85
WACC9.96%
2.3 Liquidity
REVG has a Current Ratio of 1.63. This is a normal value and indicates that REVG is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of REVG (1.63) is worse than 69.23% of its industry peers.
REVG has a Quick Ratio of 1.63. This is a bad value and indicates that REVG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.53, REVG is doing worse than 90.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 66.87% over the past year.
REVG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 76.23% yearly.
EPS 1Y (TTM)66.87%
EPS 3Y49.14%
EPS 5Y76.23%
EPS Q2Q%62.75%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%11.12%
3.2 Future
Based on estimates for the next years, REVG will show a very strong growth in Earnings Per Share. The EPS will grow by 28.89% on average per year.
The Revenue is expected to grow by 6.02% on average over the next years.
EPS Next Y32%
EPS Next 2Y28.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.75%
Revenue Next 2Y7.62%
Revenue Next 3Y5.89%
Revenue Next 5Y6.02%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.96 indicates a rather expensive valuation of REVG.
REVG's Price/Earnings ratio is a bit cheaper when compared to the industry. REVG is cheaper than 66.15% of the companies in the same industry.
When comparing the Price/Earnings ratio of REVG to the average of the S&P500 Index (26.76), we can say REVG is valued inline with the index average.
With a Price/Forward Earnings ratio of 16.64, REVG is valued correctly.
REVG's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. REVG is cheaper than 72.31% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.96, REVG is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.96 | ||
| Fwd PE | 16.64 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as REVG.
83.85% of the companies in the same industry are more expensive than REVG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.61 | ||
| EV/EBITDA | 15.11 |
4.3 Compensation for Growth
REVG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of REVG may justify a higher PE ratio.
A more expensive valuation may be justified as REVG's earnings are expected to grow with 28.89% in the coming years.
PEG (NY)0.69
PEG (5Y)0.29
EPS Next 2Y28.89%
EPS Next 3YN/A
5. Dividend
5.1 Amount
REVG has a yearly dividend return of 0.41%, which is pretty low.
Compared to an average industry Dividend Yield of 1.84, REVG has a dividend in line with its industry peers.
With a Dividend Yield of 0.41, REVG pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.41% |
5.2 History
On average, the dividend of REVG grows each year by 76.61%, which is quite nice.
REVG has been paying a dividend for over 5 years, so it has already some track record.
REVG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)76.61%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
12.41% of the earnings are spent on dividend by REVG. This is a low number and sustainable payout ratio.
The dividend of REVG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP12.41%
EPS Next 2Y28.89%
EPS Next 3YN/A
59.73
+0.79 (+1.34%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners108.07%
Inst Owner Change2.88%
Ins Owners1.58%
Ins Owner Change1.27%
Market Cap2.92B
Revenue(TTM)N/A
Net Income(TTM)108.00M
Analysts80
Price Target62.22 (4.17%)
Short Float %2.76%
Short Ratio1.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.41% |
Yearly Dividend3.44
Dividend Growth(5Y)76.61%
DP12.41%
Div Incr Years1
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.4%
Min EPS beat(2)20.5%
Max EPS beat(2)22.29%
EPS beat(4)4
Avg EPS beat(4)23.21%
Min EPS beat(4)2.04%
Max EPS beat(4)47.98%
EPS beat(8)8
Avg EPS beat(8)33.27%
EPS beat(12)12
Avg EPS beat(12)238.91%
EPS beat(16)14
Avg EPS beat(16)178.3%
Revenue beat(2)2
Avg Revenue beat(2)1.21%
Min Revenue beat(2)0.22%
Max Revenue beat(2)2.2%
Revenue beat(4)3
Avg Revenue beat(4)1.01%
Min Revenue beat(4)-2.85%
Max Revenue beat(4)4.47%
Revenue beat(8)5
Avg Revenue beat(8)-0.3%
Revenue beat(12)9
Avg Revenue beat(12)3.06%
Revenue beat(16)9
Avg Revenue beat(16)1.61%
PT rev (1m)-8.61%
PT rev (3m)24.49%
EPS NQ rev (1m)0%
EPS NQ rev (3m)7.44%
EPS NY rev (1m)0%
EPS NY rev (3m)8.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.8%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.96 | ||
| Fwd PE | 16.64 | ||
| P/S | 1.22 | ||
| P/FCF | 14.61 | ||
| P/OCF | 12.52 | ||
| P/B | 7.53 | ||
| P/tB | 17.82 | ||
| EV/EBITDA | 15.11 |
EPS(TTM)2.72
EY4.55%
EPS(NY)3.59
Fwd EY6.01%
FCF(TTM)4.09
FCFY6.85%
OCF(TTM)4.77
OCFY7.99%
SpS49.11
BVpS7.93
TBVpS3.35
PEG (NY)0.69
PEG (5Y)0.29
Graham Number22.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.86% | ||
| ROE | 27.89% | ||
| ROCE | 23.98% | ||
| ROIC | 18.41% | ||
| ROICexc | 19.38% | ||
| ROICexgc | 28.82% | ||
| OM | 7.19% | ||
| PM (TTM) | 4.51% | ||
| GM | 14.43% | ||
| FCFM | 8.33% |
ROA(3y)8.53%
ROA(5y)5.37%
ROE(3y)23.88%
ROE(5y)14.75%
ROIC(3y)7.94%
ROIC(5y)6.54%
ROICexc(3y)8.17%
ROICexc(5y)6.72%
ROICexgc(3y)12.19%
ROICexgc(5y)10.14%
ROCE(3y)10.34%
ROCE(5y)8.53%
ROICexgc growth 3Y9.61%
ROICexgc growth 5Y34.61%
ROICexc growth 3Y11.61%
ROICexc growth 5Y35.76%
OM growth 3Y8.27%
OM growth 5Y29.83%
PM growth 3Y79.7%
PM growth 5YN/A
GM growth 3Y0.72%
GM growth 5Y3.58%
F-Score7
Asset Turnover1.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 0.45 | ||
| Debt/EBITDA | 0.46 | ||
| Cap/Depr | 137.76% | ||
| Cap/Sales | 1.39% | ||
| Interest Coverage | 8.89 | ||
| Cash Conversion | 118.47% | ||
| Profit Quality | 184.82% | ||
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 5.05 |
F-Score7
WACC9.96%
ROIC/WACC1.85
Cap/Depr(3y)103.54%
Cap/Depr(5y)85.92%
Cap/Sales(3y)1.16%
Cap/Sales(5y)1.05%
Profit Quality(3y)218.78%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)66.87%
EPS 3Y49.14%
EPS 5Y76.23%
EPS Q2Q%62.75%
EPS Next Y32%
EPS Next 2Y28.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%11.12%
Revenue Next Year7.75%
Revenue Next 2Y7.62%
Revenue Next 3Y5.89%
Revenue Next 5Y6.02%
EBIT growth 1Y51.49%
EBIT growth 3Y8.26%
EBIT growth 5Y29.57%
EBIT Next Year225.07%
EBIT Next 3Y58.59%
EBIT Next 5Y41.64%
FCF growth 1Y159.56%
FCF growth 3Y-42.2%
FCF growth 5Y-2.11%
OCF growth 1Y120.66%
OCF growth 3Y-30.39%
OCF growth 5Y0.34%
REV GROUP INC / REVG FAQ
What is the fundamental rating for REVG stock?
ChartMill assigns a fundamental rating of 5 / 10 to REVG.
What is the valuation status for REVG stock?
ChartMill assigns a valuation rating of 6 / 10 to REV GROUP INC (REVG). This can be considered as Fairly Valued.
What is the profitability of REVG stock?
REV GROUP INC (REVG) has a profitability rating of 6 / 10.
Can you provide the financial health for REVG stock?
The financial health rating of REV GROUP INC (REVG) is 6 / 10.
Can you provide the expected EPS growth for REVG stock?
The Earnings per Share (EPS) of REV GROUP INC (REVG) is expected to grow by 32% in the next year.