REV GROUP INC (REVG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:REVG - US7495271071 - Common Stock
58.44 USD
-1.29 (-2.16%)
58 USD
-0.44 (-0.75%)
Overall REVG gets a fundamental rating of 5 out of 10. We evaluated REVG against 130 industry peers in the Machinery industry. REVG has only an average score on both its financial health and profitability. REVG has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year REVG was profitable.
In the past year REVG had a positive cash flow from operations.
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
REVG's Return On Assets of 8.86% is fine compared to the rest of the industry. REVG outperforms 76.15% of its industry peers.
The Return On Equity of REVG (27.89%) is better than 93.85% of its industry peers.
REVG's Return On Invested Capital of 18.41% is amongst the best of the industry. REVG outperforms 93.85% of its industry peers.
REVG had an Average Return On Invested Capital over the past 3 years of 7.94%. This is below the industry average of 10.46%.
The 3 year average ROIC (7.94%) for REVG is below the current ROIC(18.41%), indicating increased profibility in the last year.
| 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.
REVG's Profit Margin has improved in the last couple of years.
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.
REVG's Gross Margin of 14.43% is on the low side compared to the rest of the industry. REVG is outperformed by 83.08% of its industry peers.
REVG's Gross Margin has improved in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so REVG is creating value.
There is no outstanding debt for REVG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 5.00 indicates that REVG is not in any danger for bankruptcy at the moment.
REVG's Altman-Z score of 5.00 is fine compared to the rest of the industry. REVG outperforms 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.
REVG has a better Debt to FCF ratio (0.45) than 91.54% of its industry peers.
REVG has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.23, REVG is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 0.45 | ||
| Altman-Z | 5 |
ROIC/WACC1.83
WACC10.04%
2.3 Liquidity
A Current Ratio of 1.63 indicates that REVG should not have too much problems paying its short term obligations.
REVG has a worse Current ratio (1.63) 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.
REVG has a Quick ratio of 0.53. This is amonst the worse of the industry: REVG underperforms 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
REVG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 66.87%, which is quite impressive.
Measured over the past years, REVG shows a very strong growth in Earnings Per Share. The EPS has been growing by 76.23% on average per year.
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
REVG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.89% yearly.
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
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.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.49, which indicates a rather expensive current valuation of REVG.
REVG's Price/Earnings ratio is a bit cheaper when compared to the industry. REVG is cheaper than 66.92% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.54. REVG is around the same levels.
A Price/Forward Earnings ratio of 16.28 indicates a correct valuation of REVG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of REVG indicates a somewhat cheap valuation: REVG is cheaper than 75.38% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of REVG to the average of the S&P500 Index (23.78), we can say REVG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.49 | ||
| Fwd PE | 16.28 |
4.2 Price Multiples
REVG's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of REVG indicates a rather cheap valuation: REVG is cheaper than 85.38% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.29 | ||
| EV/EBITDA | 14.79 |
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.
REVG's earnings are expected to grow with 28.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.67
PEG (5Y)0.28
EPS Next 2Y28.89%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.40%, REVG is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.12, REVG has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 1.96, REVG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
5.2 History
The dividend of REVG is nicely growing with an annual growth rate of 76.61%!
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
REVG pays out 12.41% of its income as dividend. This is a sustainable payout ratio.
REVG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP12.41%
EPS Next 2Y28.89%
EPS Next 3YN/A
58.44
-1.29 (-2.16%)
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 Cap2.85B
Revenue(TTM)N/A
Net Income(TTM)108.00M
Analysts80
Price Target62.22 (6.47%)
Short Float %2.76%
Short Ratio1.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
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)-7.22%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.46%
EPS NY rev (1m)0%
EPS NY rev (3m)8.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.22%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.49 | ||
| Fwd PE | 16.28 | ||
| P/S | 1.19 | ||
| P/FCF | 14.29 | ||
| P/OCF | 12.25 | ||
| P/B | 7.36 | ||
| P/tB | 17.44 | ||
| EV/EBITDA | 14.79 |
EPS(TTM)2.72
EY4.65%
EPS(NY)3.59
Fwd EY6.14%
FCF(TTM)4.09
FCFY7%
OCF(TTM)4.77
OCFY8.16%
SpS49.11
BVpS7.93
TBVpS3.35
PEG (NY)0.67
PEG (5Y)0.28
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 |
F-Score7
WACC10.04%
ROIC/WACC1.83
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.