RENAULT SA (RNO.PA) Stock Fundamental Analysis
EPA:RNO - Euronext Paris - Matif - FR0000131906 - Common Stock - Currency: EUR
Overall RNO gets a fundamental rating of 4 out of 10. We evaluated RNO against 28 industry peers in the Automobiles industry. Both the profitability and financial health of RNO have multiple concerns. RNO may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year RNO was profitable.
RNO had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: RNO reported negative net income in multiple years.
Each year in the past 5 years RNO had a positive operating cash flow.
1.2 Ratios
RNO has a Return On Assets of 0.58%. This is amonst the worse of the industry: RNO underperforms 82.14% of its industry peers.
RNO has a Return On Equity of 2.48%. This is amonst the worse of the industry: RNO underperforms 85.71% of its industry peers.
RNO has a worse Return On Invested Capital (2.89%) than 85.71% of its industry peers.
RNO had an Average Return On Invested Capital over the past 3 years of 2.59%. This is below the industry average of 7.39%.
The last Return On Invested Capital (2.89%) for RNO is above the 3 year average (2.59%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 2.48% | ||
| ROIC | 2.89% |
ROA(3y)0.7%
ROA(5y)-0.81%
ROE(3y)2.9%
ROE(5y)-4.08%
ROIC(3y)2.59%
ROIC(5y)N/A
1.3 Margins
RNO has a worse Profit Margin (1.34%) than 82.14% of its industry peers.
In the last couple of years the Profit Margin of RNO has declined.
RNO's Operating Margin of 7.58% is on the low side compared to the rest of the industry. RNO is outperformed by 60.71% of its industry peers.
RNO's Operating Margin has improved in the last couple of years.
RNO has a better Gross Margin (20.86%) than 64.29% of its industry peers.
In the last couple of years the Gross Margin of RNO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.58% | ||
| PM (TTM) | 1.34% | ||
| GM | 20.86% |
OM growth 3Y39.51%
OM growth 5Y9.6%
PM growth 3Y-14.39%
PM growth 5YN/A
GM growth 3Y3.06%
GM growth 5Y1.28%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RNO is creating some value.
RNO has about the same amout of shares outstanding than it did 1 year ago.
RNO has less shares outstanding than it did 5 years ago.
RNO has a worse debt/assets ratio than last year.
2.2 Solvency
RNO has an Altman-Z score of 0.97. This is a bad value and indicates that RNO is not financially healthy and even has some risk of bankruptcy.
RNO has a Altman-Z score of 0.97. This is in the lower half of the industry: RNO underperforms 78.57% of its industry peers.
RNO has a debt to FCF ratio of 16.89. This is a negative value and a sign of low solvency as RNO would need 16.89 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 16.89, RNO is doing good in the industry, outperforming 64.29% of the companies in the same industry.
A Debt/Equity ratio of 2.22 is on the high side and indicates that RNO has dependencies on debt financing.
RNO has a worse Debt to Equity ratio (2.22) than 82.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 16.89 | ||
| Altman-Z | 0.97 |
ROIC/WACC1.03
WACC2.8%
2.3 Liquidity
RNO has a Current Ratio of 1.05. This is a normal value and indicates that RNO is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.05, RNO is not doing good in the industry: 82.14% of the companies in the same industry are doing better.
RNO has a Quick Ratio of 1.05. This is a bad value and indicates that RNO is not financially healthy enough and could expect problems in meeting its short term obligations.
RNO has a Quick ratio (0.98) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The earnings per share for RNO have decreased strongly by -34.67% in the last year.
Measured over the past years, RNO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.23% on average per year.
RNO shows a small growth in Revenue. In the last year, the Revenue has grown by 7.36%.
Measured over the past years, RNO shows a small growth in Revenue. The Revenue has been growing by 0.25% on average per year.
EPS 1Y (TTM)-34.67%
EPS 3Y17.23%
EPS 5YN/A
EPS Q2Q%37.5%
Revenue 1Y (TTM)7.36%
Revenue growth 3Y10.52%
Revenue growth 5Y0.25%
Sales Q2Q%14.68%
3.2 Future
RNO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 18.09% yearly.
RNO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.92% yearly.
EPS Next Y105.61%
EPS Next 2Y50.1%
EPS Next 3Y33.18%
EPS Next 5Y18.09%
Revenue Next Year4.81%
Revenue Next 2Y3.75%
Revenue Next 3Y3.1%
Revenue Next 5Y1.92%
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 stable.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.96 indicates a reasonable valuation of RNO.
Based on the Price/Earnings ratio, RNO is valued a bit more expensive than the industry average as 60.71% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of RNO to the average of the S&P500 Index (28.79), we can say RNO is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 4.36, the valuation of RNO can be described as very cheap.
Based on the Price/Forward Earnings ratio, RNO is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
RNO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 4.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RNO is valued cheaply inside the industry as 92.86% of the companies are valued more expensively.
RNO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. RNO is cheaper than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.3 | ||
| EV/EBITDA | 0.15 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as RNO's earnings are expected to grow with 33.18% in the coming years.
PEG (NY)0.08
PEG (5Y)N/A
EPS Next 2Y50.1%
EPS Next 3Y33.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.01%, RNO is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 7.56, RNO has a dividend in line with its industry peers.
RNO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.01% |
5.2 History
The dividend of RNO decreases each year by -12.21%.
Dividend Growth(5Y)-12.21%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
RNO pays out 71.28% of its income as dividend. This is not a sustainable payout ratio.
DP71.28%
EPS Next 2Y50.1%
EPS Next 3Y33.18%
EPA:RNO (4/25/2025, 7:00:00 PM)
46.79
-0.13 (-0.28%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners27.18%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap13.84B
Analysts76.67
Price Target58.41 (24.83%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.01% |
Yearly Dividend1.85
Dividend Growth(5Y)-12.21%
DP71.28%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.43%
PT rev (3m)4.51%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-3.65%
EPS NY rev (3m)-10.91%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 4.36 | ||
| P/S | 0.25 | ||
| P/FCF | 3.3 | ||
| P/OCF | 1.93 | ||
| P/B | 0.46 | ||
| P/tB | 0.55 | ||
| EV/EBITDA | 0.15 |
EPS(TTM)5.22
EY11.16%
EPS(NY)10.73
Fwd EY22.94%
FCF(TTM)14.2
FCFY30.35%
OCF(TTM)24.22
OCFY51.75%
SpS190.15
BVpS102.49
TBVpS85.03
PEG (NY)0.08
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 2.48% | ||
| ROCE | 9.96% | ||
| ROIC | 2.89% | ||
| ROICexc | 3.72% | ||
| ROICexgc | 3.98% | ||
| OM | 7.58% | ||
| PM (TTM) | 1.34% | ||
| GM | 20.86% | ||
| FCFM | 7.47% |
ROA(3y)0.7%
ROA(5y)-0.81%
ROE(3y)2.9%
ROE(5y)-4.08%
ROIC(3y)2.59%
ROIC(5y)N/A
ROICexc(3y)3.35%
ROICexc(5y)N/A
ROICexgc(3y)3.58%
ROICexgc(5y)N/A
ROCE(3y)8.35%
ROCE(5y)N/A
ROICexcg growth 3Y45.15%
ROICexcg growth 5Y9.75%
ROICexc growth 3Y46.65%
ROICexc growth 5Y10.24%
OM growth 3Y39.51%
OM growth 5Y9.6%
PM growth 3Y-14.39%
PM growth 5YN/A
GM growth 3Y3.06%
GM growth 5Y1.28%
F-Score6
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 16.89 | ||
| Debt/EBITDA | 9.04 | ||
| Cap/Depr | 93.06% | ||
| Cap/Sales | 5.27% | ||
| Interest Coverage | 13.28 | ||
| Cash Conversion | 96.17% | ||
| Profit Quality | 558.38% | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 0.97 |
F-Score6
WACC2.8%
ROIC/WACC1.03
Cap/Depr(3y)88.39%
Cap/Depr(5y)82.56%
Cap/Sales(3y)5.63%
Cap/Sales(5y)6.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-34.67%
EPS 3Y17.23%
EPS 5YN/A
EPS Q2Q%37.5%
EPS Next Y105.61%
EPS Next 2Y50.1%
EPS Next 3Y33.18%
EPS Next 5Y18.09%
Revenue 1Y (TTM)7.36%
Revenue growth 3Y10.52%
Revenue growth 5Y0.25%
Sales Q2Q%14.68%
Revenue Next Year4.81%
Revenue Next 2Y3.75%
Revenue Next 3Y3.1%
Revenue Next 5Y1.92%
EBIT growth 1Y3.55%
EBIT growth 3Y54.19%
EBIT growth 5Y9.88%
EBIT Next Year150.04%
EBIT Next 3Y38.07%
EBIT Next 5Y20.7%
FCF growth 1Y221.27%
FCF growth 3YN/A
FCF growth 5Y54.43%
OCF growth 1Y63.83%
OCF growth 3Y54.76%
OCF growth 5Y5.04%