RF CAPITAL GROUP INC (RCG.CA) Stock Fundamental Analysis
TSX:RCG - Toronto Stock Exchange - CA74971G4016 - Common Stock - Currency: CAD
Overall RCG gets a fundamental rating of 4 out of 10. We evaluated RCG against 82 industry peers in the Capital Markets industry. While RCG seems to be doing ok healthwise, there are quite some concerns on its profitability. RCG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
RCG had positive earnings in the past year.
RCG had a positive operating cash flow in the past year.
RCG had negative earnings in 4 of the past 5 years.
In multiple years RCG reported negative operating cash flow during the last 5 years.
1.2 Ratios
RCG has a Return On Assets of -0.48%. This is in the lower half of the industry: RCG underperforms 74.39% of its industry peers.
RCG's Return On Equity of -2.08% is on the low side compared to the rest of the industry. RCG is outperformed by 70.73% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.95%, RCG is doing worse than 60.98% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for RCG is below the industry average of 7.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.48% | ||
| ROE | -2.08% | ||
| ROIC | 2.95% |
ROA(3y)-0.65%
ROA(5y)-0.38%
ROE(3y)-2.89%
ROE(5y)-1.81%
ROIC(3y)3.08%
ROIC(5y)2.14%
1.3 Margins
RCG's Operating Margin of 5.75% is on the low side compared to the rest of the industry. RCG is outperformed by 70.73% of its industry peers.
RCG's Operating Margin has declined in the last couple of years.
RCG's Gross Margin of 56.87% is fine compared to the rest of the industry. RCG outperforms 71.95% of its industry peers.
RCG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.75% | ||
| PM (TTM) | N/A | ||
| GM | 56.87% |
OM growth 3Y56.36%
OM growth 5Y-15.38%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.65%
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, RCG has more shares outstanding
RCG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for RCG has been reduced compared to a year ago.
2.2 Solvency
RCG has an Altman-Z score of 0.20. This is a bad value and indicates that RCG is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.20, RCG is in line with its industry, outperforming 50.00% of the companies in the same industry.
RCG has a debt to FCF ratio of 4.18. This is a neutral value as RCG would need 4.18 years to pay back of all of its debts.
RCG's Debt to FCF ratio of 4.18 is fine compared to the rest of the industry. RCG outperforms 67.07% of its industry peers.
RCG has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
RCG has a Debt to Equity ratio (0.49) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 4.18 | ||
| Altman-Z | 0.2 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
RCG has a Current Ratio of 1.15. This is a normal value and indicates that RCG is financially healthy and should not expect problems in meeting its short term obligations.
RCG has a Current ratio (1.15) which is comparable to the rest of the industry.
RCG has a Quick Ratio of 1.15. This is a normal value and indicates that RCG is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.15, RCG is in line with its industry, outperforming 58.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
RCG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 49.53%, which is quite impressive.
Looking at the last year, RCG shows a small growth in Revenue. The Revenue has grown by 7.54% in the last year.
The Revenue has been growing by 58.60% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)49.53%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-1900%
Revenue 1Y (TTM)7.54%
Revenue growth 3Y3.98%
Revenue growth 5Y58.6%
Sales Q2Q%11.23%
3.2 Future
The Earnings Per Share is expected to grow by 30.26% on average over the next years. This is a very strong growth
Based on estimates for the next years, RCG will show a small growth in Revenue. The Revenue will grow by 7.07% on average per year.
EPS Next Y-36.37%
EPS Next 2Y30.26%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.14%
Revenue Next 2Y7.07%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 31.06, RCG can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of RCG indicates a slightly more expensive valuation: RCG is more expensive than 63.41% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of RCG to the average of the S&P500 Index (27.48), we can say RCG is valued inline with the index average.
A Price/Forward Earnings ratio of 11.35 indicates a reasonable valuation of RCG.
Based on the Price/Forward Earnings ratio, RCG is valued a bit cheaper than the industry average as 64.63% of the companies are valued more expensively.
RCG is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.06 | ||
| Fwd PE | 11.35 |
4.2 Price Multiples
RCG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. RCG is cheaper than 95.12% of the companies in the same industry.
96.34% of the companies in the same industry are more expensive than RCG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.98 | ||
| EV/EBITDA | 4.77 |
4.3 Compensation for Growth
A more expensive valuation may be justified as RCG's earnings are expected to grow with 30.26% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y30.26%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for RCG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:RCG (7/17/2025, 7:00:00 PM)
9.63
+0.37 (+4%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners0.54%
Inst Owner ChangeN/A
Ins Owners0.59%
Ins Owner ChangeN/A
Market Cap151.38M
Analysts76.67
Price Target13.64 (41.64%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.28
Dividend Growth(5Y)11.18%
DP-63.97%
Div Incr Years0
Div Non Decr Years0
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)2
Avg Revenue beat(2)1.11%
Min Revenue beat(2)0.98%
Max Revenue beat(2)1.24%
Revenue beat(4)2
Avg Revenue beat(4)-0.09%
Min Revenue beat(4)-1.72%
Max Revenue beat(4)1.24%
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%
PT rev (3m)-17.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)18.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.06 | ||
| Fwd PE | 11.35 | ||
| P/S | 0.4 | ||
| P/FCF | 3.98 | ||
| P/OCF | 3.69 | ||
| P/B | 0.47 | ||
| P/tB | 14.76 | ||
| EV/EBITDA | 4.77 |
EPS(TTM)0.31
EY3.22%
EPS(NY)0.85
Fwd EY8.81%
FCF(TTM)2.42
FCFY25.15%
OCF(TTM)2.61
OCFY27.07%
SpS24.13
BVpS20.47
TBVpS0.65
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.48% | ||
| ROE | -2.08% | ||
| ROCE | 4.09% | ||
| ROIC | 2.95% | ||
| ROICexc | 3.52% | ||
| ROICexgc | 13.15% | ||
| OM | 5.75% | ||
| PM (TTM) | N/A | ||
| GM | 56.87% | ||
| FCFM | 10.04% |
ROA(3y)-0.65%
ROA(5y)-0.38%
ROE(3y)-2.89%
ROE(5y)-1.81%
ROIC(3y)3.08%
ROIC(5y)2.14%
ROICexc(3y)5.14%
ROICexc(5y)6.44%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)4.28%
ROCE(5y)2.98%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-17.26%
ROICexc growth 5YN/A
OM growth 3Y56.36%
OM growth 5Y-15.38%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.65%
GM growth 5YN/A
F-Score6
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 4.18 | ||
| Debt/EBITDA | 3.39 | ||
| Cap/Depr | 11.58% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | 2.01 | ||
| Cash Conversion | 87.32% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 0.2 |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)35.57%
Cap/Depr(5y)34.23%
Cap/Sales(3y)2.81%
Cap/Sales(5y)2.6%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)49.53%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-1900%
EPS Next Y-36.37%
EPS Next 2Y30.26%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.54%
Revenue growth 3Y3.98%
Revenue growth 5Y58.6%
Sales Q2Q%11.23%
Revenue Next Year6.14%
Revenue Next 2Y7.07%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-32.86%
EBIT growth 3Y62.59%
EBIT growth 5Y34.21%
EBIT Next Year188.86%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y107.52%
FCF growth 3YN/A
FCF growth 5Y198.6%
OCF growth 1Y108.58%
OCF growth 3YN/A
OCF growth 5Y53.36%