RIMINI STREET INC (RMNI)
US76674Q1076 - Common Stock
Taking everything into account, RMNI scores 3 out of 10 in our fundamental rating. RMNI was compared to 280 industry peers in the Software industry. There are concerns on the financial health of RMNI while its profitability can be described as average. RMNI has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RMNI had positive earnings in the past year.
RMNI had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: RMNI reported negative net income in multiple years.
RMNI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RMNI has a worse Return On Assets (-9.77%) than 60.07% of its industry peers.
RMNI's Return On Invested Capital of 138.23% is amongst the best of the industry. RMNI outperforms 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RMNI is significantly above the industry average of 12.15%.
The 3 year average ROIC (70.87%) for RMNI is below the current ROIC(138.23%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.77% | ||
| ROE | N/A | ||
| ROIC | 138.23% |
ROA(3y)5.84%
ROA(5y)2.02%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)70.87%
ROIC(5y)N/A
1.3 Margins
RMNI has a better Operating Margin (8.77%) than 74.73% of its industry peers.
RMNI's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 60.17%, RMNI is not doing good in the industry: 62.64% of the companies in the same industry are doing better.
RMNI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.77% | ||
| PM (TTM) | N/A | ||
| GM | 60.17% |
OM growth 3Y6.51%
OM growth 5Y0.44%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.52%
GM growth 5Y0.07%
2. Health
2.1 Basic Checks
RMNI has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
RMNI has more shares outstanding than it did 1 year ago.
The number of shares outstanding for RMNI has been increased compared to 5 years ago.
RMNI has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.62, we must say that RMNI is in the distress zone and has some risk of bankruptcy.
RMNI has a Altman-Z score of 0.62. This is in the lower half of the industry: RMNI underperforms 71.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.62 |
ROIC/WACC12.51
WACC11.05%
2.3 Liquidity
A Current Ratio of 0.71 indicates that RMNI may have some problems paying its short term obligations.
RMNI's Current ratio of 0.71 is on the low side compared to the rest of the industry. RMNI is outperformed by 87.55% of its industry peers.
A Quick Ratio of 0.71 indicates that RMNI may have some problems paying its short term obligations.
With a Quick ratio value of 0.71, RMNI is not doing good in the industry: 86.45% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.69% over the past year.
The Earnings Per Share has been growing by 17.84% on average over the past years. This is quite good.
Looking at the last year, RMNI shows a decrease in Revenue. The Revenue has decreased by -0.32% in the last year.
The Revenue has been growing by 11.22% on average over the past years. This is quite good.
EPS 1Y (TTM)7.69%
EPS 3Y17.84%
EPS 5YN/A
EPS Q2Q%69.23%
Revenue 1Y (TTM)-0.32%
Revenue growth 3Y9.71%
Revenue growth 5Y11.22%
Sales Q2Q%-2.59%
3.2 Future
Based on estimates for the next years, RMNI will show a very negative growth in Earnings Per Share. The EPS will decrease by -21.05% on average per year.
The Revenue is expected to decrease by -4.41% on average over the next years.
EPS Next Y-13.11%
EPS Next 2Y-21.05%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.85%
Revenue Next 2Y-4.41%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 4.89, the valuation of RMNI can be described as very cheap.
Based on the Price/Earnings ratio, RMNI is valued cheaply inside the industry as 97.80% of the companies are valued more expensively.
RMNI is valuated cheaply when we compare the Price/Earnings ratio to 27.40, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 8.14, the valuation of RMNI can be described as very reasonable.
96.34% of the companies in the same industry are more expensive than RMNI, based on the Price/Forward Earnings ratio.
RMNI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.67.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.89 | ||
| Fwd PE | 8.14 |
4.2 Price Multiples
97.44% of the companies in the same industry are more expensive than RMNI, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.74 |
4.3 Compensation for Growth
A cheap valuation may be justified as RMNI's earnings are expected to decrease with -21.05% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-21.05%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for RMNI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
RIMINI STREET INC
NASDAQ:RMNI (1/6/2025, 5:20:38 PM)
After market: 2.68 -0.06 (-2.19%)2.74
+0.08 (+3.01%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners41.75%
Inst Owner Change0%
Ins Owners13.75%
Ins Owner Change0.25%
Market Cap249.12M
Analysts78
Price Target3.89 (41.97%)
Short Float %2.77%
Short Ratio3.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)127.07%
Min EPS beat(2)-26.47%
Max EPS beat(2)280.6%
EPS beat(4)2
Avg EPS beat(4)73.6%
Min EPS beat(4)-26.47%
Max EPS beat(4)280.6%
EPS beat(8)5
Avg EPS beat(8)55.56%
EPS beat(12)7
Avg EPS beat(12)120.13%
EPS beat(16)8
Avg EPS beat(16)63.96%
Revenue beat(2)1
Avg Revenue beat(2)-1.31%
Min Revenue beat(2)-4.11%
Max Revenue beat(2)1.49%
Revenue beat(4)1
Avg Revenue beat(4)-1.07%
Min Revenue beat(4)-4.11%
Max Revenue beat(4)1.49%
Revenue beat(8)3
Avg Revenue beat(8)-0.36%
Revenue beat(12)5
Avg Revenue beat(12)-0.29%
Revenue beat(16)6
Avg Revenue beat(16)-0.23%
PT rev (1m)35.56%
PT rev (3m)32.99%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.25%
EPS NY rev (1m)0%
EPS NY rev (3m)58.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.89 | ||
| Fwd PE | 8.14 | ||
| P/S | 0.58 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.74 |
EPS(TTM)0.56
EY20.44%
EPS(NY)0.34
Fwd EY12.28%
FCF(TTM)-0.09
FCFYN/A
OCF(TTM)-0.03
OCFYN/A
SpS4.69
BVpS-0.84
TBVpS-0.84
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.77% | ||
| ROE | N/A | ||
| ROCE | 174.97% | ||
| ROIC | 138.23% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 8.77% | ||
| PM (TTM) | N/A | ||
| GM | 60.17% | ||
| FCFM | N/A |
ROA(3y)5.84%
ROA(5y)2.02%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)70.87%
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)89.7%
ROCE(5y)2.85%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y6.51%
OM growth 5Y0.44%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.52%
GM growth 5Y0.07%
F-Score1
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.66 | ||
| Cap/Depr | 180.04% | ||
| Cap/Sales | 1.47% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 0.62 |
F-Score1
WACC11.05%
ROIC/WACC12.51
Cap/Depr(3y)172.08%
Cap/Depr(5y)139.18%
Cap/Sales(3y)1.1%
Cap/Sales(5y)0.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.69%
EPS 3Y17.84%
EPS 5YN/A
EPS Q2Q%69.23%
EPS Next Y-13.11%
EPS Next 2Y-21.05%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.32%
Revenue growth 3Y9.71%
Revenue growth 5Y11.22%
Sales Q2Q%-2.59%
Revenue Next Year-2.85%
Revenue Next 2Y-4.41%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-25.94%
EBIT growth 3Y16.84%
EBIT growth 5Y11.72%
EBIT Next Year-25.76%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-116.45%
FCF growth 3Y-49.42%
FCF growth 5Y-24.44%
OCF growth 1Y-104.14%
OCF growth 3Y-33.35%
OCF growth 5Y-11.04%