REXEL SA (RXL.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:RXL - FR0010451203 - Common Stock
35.49 EUR
+0.38 (+1.08%)
Overall RXL gets a fundamental rating of 3 out of 10. We evaluated RXL against 20 industry peers in the Trading Companies & Distributors industry. There are concerns on the financial health of RXL while its profitability can be described as average. RXL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- RXL had positive earnings in the past year.
- In the past year RXL had a positive cash flow from operations.
- Of the past 5 years RXL 4 years were profitable.
- Each year in the past 5 years RXL had a positive operating cash flow.
1.2 Ratios
- RXL has a worse Return On Assets (2.41%) than 70.00% of its industry peers.
- RXL has a worse Return On Equity (6.61%) than 60.00% of its industry peers.
- RXL's Return On Invested Capital of 7.17% is in line compared to the rest of the industry. RXL outperforms 55.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for RXL is below the industry average of 10.86%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.41% | ||
| ROE | 6.61% | ||
| ROIC | 7.17% |
ROA(3y)5.06%
ROA(5y)3.54%
ROE(3y)12.52%
ROE(5y)8.76%
ROIC(3y)8.27%
ROIC(5y)7.38%
1.3 Margins
- RXL has a worse Profit Margin (1.76%) than 65.00% of its industry peers.
- RXL's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 5.62%, RXL is in line with its industry, outperforming 55.00% of the companies in the same industry.
- In the last couple of years the Operating Margin of RXL has grown nicely.
- RXL's Gross Margin of 21.94% is on the low side compared to the rest of the industry. RXL is outperformed by 70.00% of its industry peers.
- In the last couple of years the Gross Margin of RXL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.62% | ||
| PM (TTM) | 1.76% | ||
| GM | 21.94% |
OM growth 3Y-4.74%
OM growth 5Y4.03%
PM growth 3Y-24.37%
PM growth 5Y3.4%
GM growth 3Y-2.32%
GM growth 5Y-0.1%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RXL is still creating some value.
- RXL has less shares outstanding than it did 1 year ago.
- RXL has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, RXL has a worse debt to assets ratio.
2.2 Solvency
- RXL has an Altman-Z score of 2.83. This is not the best score and indicates that RXL is in the grey zone with still only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.83, RXL is doing worse than 65.00% of the companies in the same industry.
- The Debt to FCF ratio of RXL is 8.67, which is on the high side as it means it would take RXL, 8.67 years of fcf income to pay off all of its debts.
- With a Debt to FCF ratio value of 8.67, RXL is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
- RXL has a Debt/Equity ratio of 0.76. This is a neutral value indicating RXL is somewhat dependend on debt financing.
- RXL's Debt to Equity ratio of 0.76 is on the low side compared to the rest of the industry. RXL is outperformed by 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 8.67 | ||
| Altman-Z | 2.83 |
ROIC/WACC1.07
WACC6.7%
2.3 Liquidity
- RXL has a Current Ratio of 1.42. This is a normal value and indicates that RXL is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.42, RXL is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
- A Quick Ratio of 0.93 indicates that RXL may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.93, RXL is doing worse than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
- The earnings per share for RXL have decreased strongly by -56.11% in the last year.
- RXL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.65% yearly.
- RXL shows a small growth in Revenue. In the last year, the Revenue has grown by 0.69%.
- The Revenue has been growing slightly by 7.01% on average over the past years.
EPS 1Y (TTM)-56.11%
EPS 3Y-16.82%
EPS 5Y10.65%
EPS Q2Q%-24.7%
Revenue 1Y (TTM)0.69%
Revenue growth 3Y9.5%
Revenue growth 5Y7.01%
Sales Q2Q%1.51%
3.2 Future
- RXL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.54% yearly.
- The Revenue is expected to grow by 3.83% on average over the next years.
EPS Next Y-0.37%
EPS Next 2Y6.94%
EPS Next 3Y8.52%
EPS Next 5Y10.54%
Revenue Next Year0.72%
Revenue Next 2Y1.97%
Revenue Next 3Y2.79%
Revenue Next 5Y3.83%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- RXL is valuated quite expensively with a Price/Earnings ratio of 31.41.
- 60.00% of the companies in the same industry are cheaper than RXL, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.25, RXL is valued at the same level.
- The Price/Forward Earnings ratio is 14.11, which indicates a correct valuation of RXL.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of RXL indicates a somewhat cheap valuation: RXL is cheaper than 65.00% of the companies listed in the same industry.
- RXL is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.41 | ||
| Fwd PE | 14.11 |
4.2 Price Multiples
- 75.00% of the companies in the same industry are more expensive than RXL, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, RXL is valued a bit cheaper than 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.12 | ||
| EV/EBITDA | 9.11 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.95
EPS Next 2Y6.94%
EPS Next 3Y8.52%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.40%, RXL has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.98, RXL pays a better dividend. On top of this RXL pays more dividend than 90.00% of the companies listed in the same industry.
- RXL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.4% |
5.2 History
- On average, the dividend of RXL grows each year by 22.29%, which is quite nice.
Dividend Growth(5Y)22.29%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
- RXL pays out 104.57% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of RXL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP104.57%
EPS Next 2Y6.94%
EPS Next 3Y8.52%
REXEL SA / RXL.PA FAQ
What is the ChartMill fundamental rating of REXEL SA (RXL.PA) stock?
ChartMill assigns a fundamental rating of 3 / 10 to RXL.PA.
What is the valuation status for RXL stock?
ChartMill assigns a valuation rating of 3 / 10 to REXEL SA (RXL.PA). This can be considered as Overvalued.
Can you provide the profitability details for REXEL SA?
REXEL SA (RXL.PA) has a profitability rating of 4 / 10.
What are the PE and PB ratios of REXEL SA (RXL.PA) stock?
The Price/Earnings (PE) ratio for REXEL SA (RXL.PA) is 31.41 and the Price/Book (PB) ratio is 2.07.
Can you provide the dividend sustainability for RXL stock?
The dividend rating of REXEL SA (RXL.PA) is 5 / 10 and the dividend payout ratio is 104.57%.