RYERSON HOLDING CORP (RYI) Stock Fundamental Analysis
NYSE:RYI - New York Stock Exchange, Inc. - US7837541041 - Common Stock - Currency: USD
Taking everything into account, RYI scores 4 out of 10 in our fundamental rating. RYI was compared to 155 industry peers in the Metals & Mining industry. Both the profitability and the financial health of RYI get a neutral evaluation. Nothing too spectacular is happening here. RYI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RYI had negative earnings in the past year.
In the past year RYI had a positive cash flow from operations.
In multiple years RYI reported negative net income over the last 5 years.
Each year in the past 5 years RYI had a positive operating cash flow.
1.2 Ratios
RYI has a Return On Assets (-0.26%) which is comparable to the rest of the industry.
RYI has a Return On Equity (-0.82%) which is comparable to the rest of the industry.
RYI's Return On Invested Capital of 1.39% is in line compared to the rest of the industry. RYI outperforms 50.32% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RYI is in line with the industry average of 11.61%.
The 3 year average ROIC (11.88%) for RYI is well above the current ROIC(1.39%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.26% | ||
| ROE | -0.82% | ||
| ROIC | 1.39% |
ROA(3y)7.36%
ROA(5y)6.17%
ROE(3y)19.73%
ROE(5y)13.32%
ROIC(3y)11.88%
ROIC(5y)12%
1.3 Margins
RYI has a Operating Margin of 0.77%. This is comparable to the rest of the industry: RYI outperforms 47.74% of its industry peers.
In the last couple of years the Operating Margin of RYI has declined.
With a Gross Margin value of 18.26%, RYI perfoms like the industry average, outperforming 52.26% of the companies in the same industry.
In the last couple of years the Gross Margin of RYI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.77% | ||
| PM (TTM) | N/A | ||
| GM | 18.26% |
OM growth 3Y-54.61%
OM growth 5Y-29.97%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.53%
GM growth 5Y-0.27%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RYI is creating some value.
Compared to 1 year ago, RYI has less shares outstanding
The number of shares outstanding for RYI has been reduced compared to 5 years ago.
The debt/assets ratio for RYI is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.83 indicates that RYI is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of RYI (2.83) is comparable to the rest of the industry.
The Debt to FCF ratio of RYI is 3.96, which is a good value as it means it would take RYI, 3.96 years of fcf income to pay off all of its debts.
RYI has a Debt to FCF ratio of 3.96. This is in the better half of the industry: RYI outperforms 72.90% of its industry peers.
A Debt/Equity ratio of 0.62 indicates that RYI is somewhat dependend on debt financing.
RYI has a Debt to Equity ratio of 0.62. This is amonst the worse of the industry: RYI underperforms 80.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 3.96 | ||
| Altman-Z | 2.83 |
ROIC/WACC0.14
WACC10.14%
2.3 Liquidity
RYI has a Current Ratio of 2.00. This indicates that RYI is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.00, RYI perfoms like the industry average, outperforming 42.58% of the companies in the same industry.
A Quick Ratio of 0.99 indicates that RYI may have some problems paying its short term obligations.
The Quick ratio of RYI (0.99) is worse than 68.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The earnings per share for RYI have decreased strongly by -107.28% in the last year.
RYI shows a decrease in Revenue. In the last year, the revenue decreased by -9.04%.
Measured over the past years, RYI shows a small growth in Revenue. The Revenue has been growing by 0.43% on average per year.
EPS 1Y (TTM)-107.28%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)-9.04%
Revenue growth 3Y-6.77%
Revenue growth 5Y0.43%
Sales Q2Q%-8.35%
3.2 Future
RYI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 221.24% yearly.
Based on estimates for the next years, RYI will show a small growth in Revenue. The Revenue will grow by 1.16% on average per year.
EPS Next Y336.55%
EPS Next 2Y221.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.03%
Revenue Next 2Y1.16%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for RYI. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 15.04, the valuation of RYI can be described as correct.
61.29% of the companies in the same industry are more expensive than RYI, based on the Price/Forward Earnings ratio.
RYI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 15.04 |
4.2 Price Multiples
67.74% of the companies in the same industry are more expensive than RYI, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RYI indicates a rather cheap valuation: RYI is cheaper than 96.13% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.09 | ||
| EV/EBITDA | 10.84 |
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.
RYI's earnings are expected to grow with 221.24% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y221.24%
EPS Next 3YN/A
5. Dividend
5.1 Amount
RYI has a Yearly Dividend Yield of 3.19%.
RYI's Dividend Yield is rather good when compared to the industry average which is at 2.90. RYI pays more dividend than 90.97% of the companies in the same industry.
RYI's Dividend Yield is a higher than the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
5.2 History
RYI has been paying a dividend for over 5 years, so it has already some track record.
RYI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
The earnings of RYI are negative and hence is the payout ratio. RYI will probably not be able to sustain this dividend level.
DP-369.7%
EPS Next 2Y221.24%
EPS Next 3YN/A
23.77
-0.18 (-0.75%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners87.37%
Inst Owner Change0%
Ins Owners3.9%
Ins Owner Change6.48%
Market Cap765.39M
Analysts46.67
Price Target24.48 (2.99%)
Short Float %4.11%
Short Ratio5.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
Yearly Dividend0.75
Dividend Growth(5Y)N/A
DP-369.7%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)47.79%
Min EPS beat(2)24.16%
Max EPS beat(2)71.42%
EPS beat(4)3
Avg EPS beat(4)-69.72%
Min EPS beat(4)-430.03%
Max EPS beat(4)71.42%
EPS beat(8)5
Avg EPS beat(8)-13.98%
EPS beat(12)7
Avg EPS beat(12)-24.29%
EPS beat(16)11
Avg EPS beat(16)-6.38%
Revenue beat(2)0
Avg Revenue beat(2)-2.6%
Min Revenue beat(2)-3.1%
Max Revenue beat(2)-2.1%
Revenue beat(4)0
Avg Revenue beat(4)-2.62%
Min Revenue beat(4)-4.63%
Max Revenue beat(4)-0.65%
Revenue beat(8)1
Avg Revenue beat(8)-2.33%
Revenue beat(12)4
Avg Revenue beat(12)4.35%
Revenue beat(16)8
Avg Revenue beat(16)9.71%
PT rev (1m)0%
PT rev (3m)-4%
EPS NQ rev (1m)-11.11%
EPS NQ rev (3m)-51.52%
EPS NY rev (1m)0%
EPS NY rev (3m)-35.51%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.32%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 15.04 | ||
| P/S | 0.17 | ||
| P/FCF | 6.09 | ||
| P/OCF | 3.62 | ||
| P/B | 0.95 | ||
| P/tB | 1.33 | ||
| EV/EBITDA | 10.84 |
EPS(TTM)-0.19
EYN/A
EPS(NY)1.58
Fwd EY6.65%
FCF(TTM)3.9
FCFY16.42%
OCF(TTM)6.57
OCFY27.63%
SpS139.6
BVpS24.97
TBVpS17.89
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.26% | ||
| ROE | -0.82% | ||
| ROCE | 1.84% | ||
| ROIC | 1.39% | ||
| ROICexc | 1.41% | ||
| ROICexgc | 1.61% | ||
| OM | 0.77% | ||
| PM (TTM) | N/A | ||
| GM | 18.26% | ||
| FCFM | 2.8% |
ROA(3y)7.36%
ROA(5y)6.17%
ROE(3y)19.73%
ROE(5y)13.32%
ROIC(3y)11.88%
ROIC(5y)12%
ROICexc(3y)12.17%
ROICexc(5y)12.35%
ROICexgc(3y)13.71%
ROICexgc(5y)13.9%
ROCE(3y)15.72%
ROCE(5y)15.87%
ROICexcg growth 3Y-59.57%
ROICexcg growth 5Y-32.06%
ROICexc growth 3Y-59.86%
ROICexc growth 5Y-32.26%
OM growth 3Y-54.61%
OM growth 5Y-29.97%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.53%
GM growth 5Y-0.27%
F-Score3
Asset Turnover1.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 3.96 | ||
| Debt/EBITDA | 4.36 | ||
| Cap/Depr | 108.06% | ||
| Cap/Sales | 1.91% | ||
| Interest Coverage | 0.88 | ||
| Cash Conversion | 185.69% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 2.83 |
F-Score3
WACC10.14%
ROIC/WACC0.14
Cap/Depr(3y)167.18%
Cap/Depr(5y)131.17%
Cap/Sales(3y)2.07%
Cap/Sales(5y)1.6%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-107.28%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y336.55%
EPS Next 2Y221.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.04%
Revenue growth 3Y-6.77%
Revenue growth 5Y0.43%
Sales Q2Q%-8.35%
Revenue Next Year-1.03%
Revenue Next 2Y1.16%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-78.29%
EBIT growth 3Y-57.69%
EBIT growth 5Y-29.67%
EBIT Next Year684.01%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-67.4%
FCF growth 3YN/A
FCF growth 5Y-6.49%
OCF growth 1Y-57.67%
OCF growth 3Y80.23%
OCF growth 5Y1.19%