16.32 USD
+0.12 (+0.74%)
16.7206 USD
+0.4 (+2.45%)
Taking everything into account, RMR scores 4 out of 10 in our fundamental rating. RMR was compared to 63 industry peers in the Real Estate Management & Development industry. While RMR has a great profitability rating, there are quite some concerns on its financial health. RMR has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RMR had positive earnings in the past year.
RMR had a positive operating cash flow in the past year.
In the past 5 years RMR has always been profitable.
RMR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 2.39%, RMR is doing good in the industry, outperforming 74.60% of the companies in the same industry.
The Return On Equity of RMR (7.55%) is better than 76.19% of its industry peers.
RMR has a better Return On Invested Capital (6.91%) than 87.30% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RMR is significantly above the industry average of 5.35%.
The last Return On Invested Capital (6.91%) for RMR is well below the 3 year average (12.13%), which needs to be investigated, but indicates that RMR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.39% | ||
| ROE | 7.55% | ||
| ROIC | 6.91% |
ROA(3y)5.12%
ROA(5y)5.73%
ROE(3y)13.56%
ROE(5y)15.03%
ROIC(3y)12.13%
ROIC(5y)13.81%
1.3 Margins
RMR has a Profit Margin of 2.46%. This is in the better half of the industry: RMR outperforms 61.90% of its industry peers.
RMR's Profit Margin has declined in the last couple of years.
RMR has a better Operating Margin (7.14%) than 74.60% of its industry peers.
In the last couple of years the Operating Margin of RMR has declined.
RMR's Gross Margin of 39.74% is fine compared to the rest of the industry. RMR outperforms 68.25% of its industry peers.
RMR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.14% | ||
| PM (TTM) | 2.46% | ||
| GM | 39.74% |
OM growth 3Y-12.85%
OM growth 5Y-10.23%
PM growth 3Y-15.35%
PM growth 5Y-12.73%
GM growth 3Y7.85%
GM growth 5Y0.46%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RMR is creating some value.
Compared to 1 year ago, RMR has more shares outstanding
The number of shares outstanding for RMR has been increased compared to 5 years ago.
The debt/assets ratio for RMR is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.17 indicates that RMR is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.17, RMR is in the better half of the industry, outperforming 63.49% of the companies in the same industry.
A Debt/Equity ratio of 0.68 indicates that RMR is somewhat dependend on debt financing.
The Debt to Equity ratio of RMR (0.68) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.17 |
ROIC/WACC0.86
WACC8.04%
2.3 Liquidity
RMR has a Current Ratio of 1.64. This is a normal value and indicates that RMR is financially healthy and should not expect problems in meeting its short term obligations.
RMR has a Current ratio (1.64) which is in line with its industry peers.
A Quick Ratio of 1.64 indicates that RMR should not have too much problems paying its short term obligations.
The Quick ratio of RMR (1.64) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
The earnings per share for RMR have decreased strongly by -28.93% in the last year.
The Earnings Per Share has been decreasing by -8.48% on average over the past years.
The Revenue for RMR has decreased by -21.98% in the past year. This is quite bad
RMR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.50% yearly.
EPS 1Y (TTM)-28.93%
EPS 3Y-16.05%
EPS 5Y-8.48%
EPS Q2Q%-35.29%
Revenue 1Y (TTM)-21.98%
Revenue growth 3Y-5.6%
Revenue growth 5Y3.5%
Sales Q2Q%-24.91%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y-7.04%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.64%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.44, which indicates a correct valuation of RMR.
RMR's Price/Earnings ratio is rather cheap when compared to the industry. RMR is cheaper than 82.54% of the companies in the same industry.
When comparing the Price/Earnings ratio of RMR to the average of the S&P500 Index (27.19), we can say RMR is valued slightly cheaper.
RMR is valuated correctly with a Price/Forward Earnings ratio of 15.54.
Based on the Price/Forward Earnings ratio, RMR is valued cheaper than 90.48% of the companies in the same industry.
RMR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.44 | ||
| Fwd PE | 15.54 |
4.2 Price Multiples
90.48% of the companies in the same industry are more expensive than RMR, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.36 |
4.3 Compensation for Growth
RMR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 11.11%, RMR is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 0.86, RMR pays a better dividend. On top of this RMR pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.94, RMR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.11% |
5.2 History
The dividend of RMR has a limited annual growth rate of 3.64%.
RMR has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of RMR decreased in the last 3 years.
Dividend Growth(5Y)3.64%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
RMR pays out 178.86% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of RMR has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP178.86%
EPS Next 2YN/A
EPS Next 3YN/A
16.32
+0.12 (+0.74%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners72.85%
Inst Owner Change0%
Ins Owners2.74%
Ins Owner Change-10.42%
Market Cap523.22M
Revenue(TTM)700.28M
Net Income(TTM)17.20M
Analysts74.29
Price Target24.48 (50%)
Short Float %5.28%
Short Ratio4.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.11% |
Yearly Dividend1.81
Dividend Growth(5Y)3.64%
DP178.86%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.58%
Min EPS beat(2)-14.58%
Max EPS beat(2)-10.57%
EPS beat(4)1
Avg EPS beat(4)-7.68%
Min EPS beat(4)-14.58%
Max EPS beat(4)0.44%
EPS beat(8)2
Avg EPS beat(8)-5.48%
EPS beat(12)4
Avg EPS beat(12)-3.71%
EPS beat(16)5
Avg EPS beat(16)-6.38%
Revenue beat(2)0
Avg Revenue beat(2)-51.62%
Min Revenue beat(2)-77.26%
Max Revenue beat(2)-25.98%
Revenue beat(4)0
Avg Revenue beat(4)-36.33%
Min Revenue beat(4)-77.26%
Max Revenue beat(4)-19.07%
Revenue beat(8)1
Avg Revenue beat(8)-19.87%
Revenue beat(12)3
Avg Revenue beat(12)-12.55%
Revenue beat(16)7
Avg Revenue beat(16)-6.21%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-30.77%
EPS NY rev (1m)0%
EPS NY rev (3m)-12.97%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-6.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.44 | ||
| Fwd PE | 15.54 | ||
| P/S | 0.75 | ||
| P/FCF | N/A | ||
| P/OCF | 6.91 | ||
| P/B | 2.3 | ||
| P/tB | 4.03 | ||
| EV/EBITDA | 10.36 |
EPS(TTM)1.13
EY6.92%
EPS(NY)1.05
Fwd EY6.44%
FCF(TTM)-2.93
FCFYN/A
OCF(TTM)2.36
OCFY14.48%
SpS21.84
BVpS7.1
TBVpS4.05
PEG (NY)N/A
PEG (5Y)N/A
Graham Number13.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.39% | ||
| ROE | 7.55% | ||
| ROCE | 8.33% | ||
| ROIC | 6.91% | ||
| ROICexc | 7.71% | ||
| ROICexgc | 9.42% | ||
| OM | 7.14% | ||
| PM (TTM) | 2.46% | ||
| GM | 39.74% | ||
| FCFM | N/A |
ROA(3y)5.12%
ROA(5y)5.73%
ROE(3y)13.56%
ROE(5y)15.03%
ROIC(3y)12.13%
ROIC(5y)13.81%
ROICexc(3y)22.28%
ROICexc(5y)24.48%
ROICexgc(3y)24.07%
ROICexgc(5y)25.64%
ROCE(3y)14.63%
ROCE(5y)16.65%
ROICexgc growth 3Y-32.61%
ROICexgc growth 5Y-17.94%
ROICexc growth 3Y-36.79%
ROICexc growth 5Y-21.02%
OM growth 3Y-12.85%
OM growth 5Y-10.23%
PM growth 3Y-15.35%
PM growth 5Y-12.73%
GM growth 3Y7.85%
GM growth 5Y0.46%
F-Score5
Asset Turnover0.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.51 | ||
| Cap/Depr | 1468.77% | ||
| Cap/Sales | 24.23% | ||
| Interest Coverage | 7.81 | ||
| Cash Conversion | 123.06% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 2.17 |
F-Score5
WACC8.04%
ROIC/WACC0.86
Cap/Depr(3y)1136.82%
Cap/Depr(5y)726.09%
Cap/Sales(3y)10.98%
Cap/Sales(5y)6.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.93%
EPS 3Y-16.05%
EPS 5Y-8.48%
EPS Q2Q%-35.29%
EPS Next Y-7.04%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-21.98%
Revenue growth 3Y-5.6%
Revenue growth 5Y3.5%
Sales Q2Q%-24.91%
Revenue Next Year-2.64%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-15.29%
EBIT growth 3Y-17.73%
EBIT growth 5Y-7.08%
EBIT Next Year60.7%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-622.46%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y23.42%
OCF growth 3Y-9.24%
OCF growth 5Y-0.46%
RMR GROUP INC/THE - A / RMR FAQ
What is the ChartMill fundamental rating of RMR GROUP INC/THE - A (RMR) stock?
ChartMill assigns a fundamental rating of 4 / 10 to RMR.
What is the valuation status of RMR GROUP INC/THE - A (RMR) stock?
ChartMill assigns a valuation rating of 5 / 10 to RMR GROUP INC/THE - A (RMR). This can be considered as Fairly Valued.
How profitable is RMR GROUP INC/THE - A (RMR) stock?
RMR GROUP INC/THE - A (RMR) has a profitability rating of 7 / 10.
Can you provide the financial health for RMR stock?
The financial health rating of RMR GROUP INC/THE - A (RMR) is 3 / 10.
How sustainable is the dividend of RMR GROUP INC/THE - A (RMR) stock?
The dividend rating of RMR GROUP INC/THE - A (RMR) is 5 / 10 and the dividend payout ratio is 178.86%.