RAMACO RESOURCES INC-A (METC) Stock Fundamental Analysis
NASDAQ:METC - Nasdaq - US75134P3038 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to METC. METC was compared to 155 industry peers in the Metals & Mining industry. There are concerns on the financial health of METC while its profitability can be described as average. METC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
METC had negative earnings in the past year.
In the past year METC had a positive cash flow from operations.
Of the past 5 years METC 4 years were profitable.
Each year in the past 5 years METC had a positive operating cash flow.
1.2 Ratios
METC has a Return On Assets (-0.04%) which is in line with its industry peers.
The Return On Equity of METC (-0.08%) is comparable to the rest of the industry.
With a Return On Invested Capital value of 0.18%, METC perfoms like the industry average, outperforming 44.52% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for METC is above the industry average of 11.10%.
The 3 year average ROIC (14.58%) for METC is well above the current ROIC(0.18%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.04% | ||
| ROE | -0.08% | ||
| ROIC | 0.18% |
ROA(3y)11.16%
ROA(5y)8.69%
ROE(3y)20.96%
ROE(5y)15.77%
ROIC(3y)14.58%
ROIC(5y)N/A
1.3 Margins
METC's Profit Margin has declined in the last couple of years.
METC has a Operating Margin of 0.21%. This is comparable to the rest of the industry: METC outperforms 45.81% of its industry peers.
In the last couple of years the Operating Margin of METC has declined.
METC has a Gross Margin (19.19%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of METC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.21% | ||
| PM (TTM) | N/A | ||
| GM | 19.19% |
OM growth 3Y-43.63%
OM growth 5Y-27.9%
PM growth 3Y-50.73%
PM growth 5Y-31.1%
GM growth 3Y-13.69%
GM growth 5Y-7.46%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so METC is still creating some value.
METC has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, METC has more shares outstanding
Compared to 1 year ago, METC has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.24 indicates that METC is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.24, METC perfoms like the industry average, outperforming 49.03% of the companies in the same industry.
METC has a debt to FCF ratio of 2.90. This is a good value and a sign of high solvency as METC would need 2.90 years to pay back of all of its debts.
METC has a better Debt to FCF ratio (2.90) than 75.48% of its industry peers.
METC has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
METC's Debt to Equity ratio of 0.33 is on the low side compared to the rest of the industry. METC is outperformed by 65.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.9 | ||
| Altman-Z | 2.24 |
ROIC/WACC0.02
WACC9.68%
2.3 Liquidity
METC has a Current Ratio of 1.32. This is a normal value and indicates that METC is financially healthy and should not expect problems in meeting its short term obligations.
METC's Current ratio of 1.32 is on the low side compared to the rest of the industry. METC is outperformed by 76.13% of its industry peers.
METC has a Quick Ratio of 1.32. This is a bad value and indicates that METC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.87, METC is doing worse than 74.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
METC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -106.30%.
Measured over the past years, METC shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -23.73% on average per year.
The Revenue for METC has decreased by -10.23% in the past year. This is quite bad
Measured over the past years, METC shows a very strong growth in Revenue. The Revenue has been growing by 23.68% on average per year.
EPS 1Y (TTM)-106.3%
EPS 3Y-43.98%
EPS 5Y-23.73%
EPS Q2Q%-480%
Revenue 1Y (TTM)-10.23%
Revenue growth 3Y32.97%
Revenue growth 5Y23.68%
Sales Q2Q%-22.02%
3.2 Future
METC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 57.69% yearly.
The Revenue is expected to grow by 9.97% on average over the next years. This is quite good.
EPS Next Y24.1%
EPS Next 2Y202.56%
EPS Next 3Y88.06%
EPS Next 5Y57.69%
Revenue Next Year-2.25%
Revenue Next 2Y10.76%
Revenue Next 3Y7.54%
Revenue Next 5Y9.97%
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 accelerating.
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
METC reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 6.82, which indicates a rather cheap valuation of METC.
METC's Price/Forward Earnings ratio is rather cheap when compared to the industry. METC is cheaper than 89.03% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.39, METC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 6.82 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of METC indicates a somewhat cheap valuation: METC is cheaper than 66.45% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of METC indicates a rather cheap valuation: METC is cheaper than 85.81% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.75 | ||
| EV/EBITDA | 10.36 |
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 METC's earnings are expected to grow with 88.06% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y202.56%
EPS Next 3Y88.06%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.66%, METC is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.85, METC pays a better dividend. On top of this METC pays more dividend than 94.84% of the companies listed in the same industry.
METC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.66% |
5.2 History
The dividend of METC is nicely growing with an annual growth rate of 27.51%!
METC has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)27.51%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
The earnings of METC are negative and hence is the payout ratio. METC will probably not be able to sustain this dividend level.
The dividend of METC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-6316.16%
EPS Next 2Y202.56%
EPS Next 3Y88.06%
9.99
-0.06 (-0.6%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners46.48%
Inst Owner Change3.89%
Ins Owners10.57%
Ins Owner Change-8.77%
Market Cap635.76M
Analysts84.44
Price Target13.26 (32.73%)
Short Float %14.11%
Short Ratio4.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.66% |
Yearly Dividend0.46
Dividend Growth(5Y)27.51%
DP-6316.16%
Div Incr Years2
Div Non Decr Years2
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)1
Avg Revenue beat(2)-0.48%
Min Revenue beat(2)-1.53%
Max Revenue beat(2)0.57%
Revenue beat(4)3
Avg Revenue beat(4)1.33%
Min Revenue beat(4)-1.53%
Max Revenue beat(4)4.93%
Revenue beat(8)6
Avg Revenue beat(8)2.52%
Revenue beat(12)7
Avg Revenue beat(12)-0.22%
Revenue beat(16)8
Avg Revenue beat(16)1.33%
PT rev (1m)-6.02%
PT rev (3m)-23.53%
EPS NQ rev (1m)-594.1%
EPS NQ rev (3m)-192.54%
EPS NY rev (1m)-25.32%
EPS NY rev (3m)-60.67%
Revenue NQ rev (1m)-17.35%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-5.54%
Revenue NY rev (3m)-19.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 6.82 | ||
| P/S | 1.01 | ||
| P/FCF | 14.75 | ||
| P/OCF | 5.6 | ||
| P/B | 1.79 | ||
| P/tB | 1.79 | ||
| EV/EBITDA | 10.36 |
EPS(TTM)-0.08
EYN/A
EPS(NY)1.46
Fwd EY14.66%
FCF(TTM)0.68
FCFY6.78%
OCF(TTM)1.78
OCFY17.86%
SpS9.87
BVpS5.58
TBVpS5.58
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.04% | ||
| ROE | -0.08% | ||
| ROCE | 0.24% | ||
| ROIC | 0.18% | ||
| ROICexc | 0.2% | ||
| ROICexgc | 0.2% | ||
| OM | 0.21% | ||
| PM (TTM) | N/A | ||
| GM | 19.19% | ||
| FCFM | 6.86% |
ROA(3y)11.16%
ROA(5y)8.69%
ROE(3y)20.96%
ROE(5y)15.77%
ROIC(3y)14.58%
ROIC(5y)N/A
ROICexc(3y)15.87%
ROICexc(5y)N/A
ROICexgc(3y)15.87%
ROICexgc(5y)N/A
ROCE(3y)18.97%
ROCE(5y)N/A
ROICexcg growth 3Y-40.45%
ROICexcg growth 5Y-26.7%
ROICexc growth 3Y-40.45%
ROICexc growth 5Y-26.7%
OM growth 3Y-43.63%
OM growth 5Y-27.9%
PM growth 3Y-50.73%
PM growth 5Y-31.1%
GM growth 3Y-13.69%
GM growth 5Y-7.46%
F-Score3
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.9 | ||
| Debt/EBITDA | 1.7 | ||
| Cap/Depr | 103.66% | ||
| Cap/Sales | 11.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 163.86% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 2.24 |
F-Score3
WACC9.68%
ROIC/WACC0.02
Cap/Depr(3y)185.43%
Cap/Depr(5y)157.51%
Cap/Sales(3y)14.68%
Cap/Sales(5y)13.82%
Profit Quality(3y)180.81%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-106.3%
EPS 3Y-43.98%
EPS 5Y-23.73%
EPS Q2Q%-480%
EPS Next Y24.1%
EPS Next 2Y202.56%
EPS Next 3Y88.06%
EPS Next 5Y57.69%
Revenue 1Y (TTM)-10.23%
Revenue growth 3Y32.97%
Revenue growth 5Y23.68%
Sales Q2Q%-22.02%
Revenue Next Year-2.25%
Revenue Next 2Y10.76%
Revenue Next 3Y7.54%
Revenue Next 5Y9.97%
EBIT growth 1Y-97.99%
EBIT growth 3Y-25.04%
EBIT growth 5Y-10.82%
EBIT Next Year746.54%
EBIT Next 3Y153.3%
EBIT Next 5Y97.62%
FCF growth 1Y744.92%
FCF growth 3Y22.57%
FCF growth 5YN/A
OCF growth 1Y-13.94%
OCF growth 3Y28.34%
OCF growth 5Y21.59%