ROGERS COMMUNICATIONS INC-B (RCI-B.CA) Stock Fundamental Analysis
TSX:RCI-B - Toronto Stock Exchange - CA7751092007 - Common Stock - Currency: CAD
RCI-B gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 2 industry peers in the Wireless Telecommunication Services industry. RCI-B has an excellent profitability rating, but there are some minor concerns on its financial health. RCI-B is valued quite cheap, while showing a decent growth score. This is a good combination! With these ratings, RCI-B could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
RCI-B had positive earnings in the past year.
In the past year RCI-B had a positive cash flow from operations.
In the past 5 years RCI-B has always been profitable.
In the past 5 years RCI-B always reported a positive cash flow from operatings.
1.2 Ratios
RCI-B has a Return On Assets of 1.97%. This is amongst the best in the industry. RCI-B outperforms 100.00% of its industry peers.
With an excellent Return On Equity value of 13.56%, RCI-B belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Invested Capital of RCI-B (4.88%) is better than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RCI-B is in line with the industry average of 4.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.97% | ||
| ROE | 13.56% | ||
| ROIC | 4.88% |
ROA(3y)2.22%
ROA(5y)2.9%
ROE(3y)13.82%
ROE(5y)14.57%
ROIC(3y)5.27%
ROIC(5y)5.77%
1.3 Margins
RCI-B has a Profit Margin of 7.31%. This is amongst the best in the industry. RCI-B outperforms 100.00% of its industry peers.
RCI-B's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 24.10%, RCI-B belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
RCI-B's Operating Margin has been stable in the last couple of years.
RCI-B's Gross Margin of 46.60% is amongst the best of the industry. RCI-B outperforms 100.00% of its industry peers.
In the last couple of years the Gross Margin of RCI-B has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.1% | ||
| PM (TTM) | 7.31% | ||
| GM | 46.6% |
OM growth 3Y2.52%
OM growth 5Y-0.35%
PM growth 3Y-7.49%
PM growth 5Y-9.09%
GM growth 3Y5.13%
GM growth 5Y2.52%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RCI-B is still creating some value.
The number of shares outstanding for RCI-B has been increased compared to 1 year ago.
The number of shares outstanding for RCI-B has been increased compared to 5 years ago.
The debt/assets ratio for RCI-B is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.99, we must say that RCI-B is in the distress zone and has some risk of bankruptcy.
RCI-B has a Altman-Z score (0.99) which is in line with its industry peers.
The Debt to FCF ratio of RCI-B is 22.37, which is on the high side as it means it would take RCI-B, 22.37 years of fcf income to pay off all of its debts.
RCI-B's Debt to FCF ratio of 22.37 is amongst the best of the industry. RCI-B outperforms 100.00% of its industry peers.
RCI-B has a Debt/Equity ratio of 3.91. This is a high value indicating a heavy dependency on external financing.
RCI-B has a Debt to Equity ratio of 3.91. This is amongst the best in the industry. RCI-B outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.91 | ||
| Debt/FCF | 22.37 | ||
| Altman-Z | 0.99 |
ROIC/WACC1.02
WACC4.79%
2.3 Liquidity
A Current Ratio of 1.70 indicates that RCI-B should not have too much problems paying its short term obligations.
With an excellent Current ratio value of 1.70, RCI-B belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
RCI-B has a Quick Ratio of 1.64. This is a normal value and indicates that RCI-B is financially healthy and should not expect problems in meeting its short term obligations.
RCI-B has a better Quick ratio (1.64) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.68% over the past year.
RCI-B shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.02% yearly.
Looking at the last year, RCI-B shows a small growth in Revenue. The Revenue has grown by 1.87% in the last year.
Measured over the past years, RCI-B shows a small growth in Revenue. The Revenue has been growing by 6.45% on average per year.
EPS 1Y (TTM)8.68%
EPS 3Y12.64%
EPS 5Y4.02%
EPS Q2Q%-1.72%
Revenue 1Y (TTM)1.87%
Revenue growth 3Y12.03%
Revenue growth 5Y6.45%
Sales Q2Q%2.42%
3.2 Future
Based on estimates for the next years, RCI-B will show a small growth in Earnings Per Share. The EPS will grow by 4.00% on average per year.
RCI-B is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.90% yearly.
EPS Next Y-1.2%
EPS Next 2Y1.52%
EPS Next 3Y4%
EPS Next 5YN/A
Revenue Next Year4.33%
Revenue Next 2Y4.56%
Revenue Next 3Y2.9%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.24, the valuation of RCI-B can be described as reasonable.
RCI-B's Price/Earnings ratio is rather cheap when compared to the industry. RCI-B is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of RCI-B to the average of the S&P500 Index (26.54), we can say RCI-B is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.93, the valuation of RCI-B can be described as reasonable.
RCI-B's Price/Forward Earnings ratio is rather cheap when compared to the industry. RCI-B is cheaper than 100.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 35.28. RCI-B is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.24 | ||
| Fwd PE | 8.93 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RCI-B indicates a rather cheap valuation: RCI-B is cheaper than 100.00% of the companies listed in the same industry.
100.00% of the companies in the same industry are more expensive than RCI-B, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.32 | ||
| EV/EBITDA | 6.33 |
4.3 Compensation for Growth
RCI-B has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.3
EPS Next 2Y1.52%
EPS Next 3Y4%
5. Dividend
5.1 Amount
RCI-B has a Yearly Dividend Yield of 4.32%, which is a nice return.
Compared to an average industry Dividend Yield of 4.32, RCI-B has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.40, RCI-B pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.32% |
5.2 History
The dividend of RCI-B decreases each year by -7.00%.
RCI-B has been paying a dividend for at least 10 years, so it has a reliable track record.
RCI-B has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-7%
Div Incr Years0
Div Non Decr Years21
5.3 Sustainability
RCI-B pays out 48.65% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP48.65%
EPS Next 2Y1.52%
EPS Next 3Y4%
TSX:RCI-B (8/7/2025, 7:00:00 PM)
46.29
+0.9 (+1.98%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners63.32%
Inst Owner ChangeN/A
Ins Owners1.03%
Ins Owner ChangeN/A
Market Cap25.01B
Analysts76.67
Price Target53.38 (15.32%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.32% |
Yearly Dividend1.39
Dividend Growth(5Y)-7%
DP48.65%
Div Incr Years0
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.16%
Min EPS beat(2)-4.97%
Max EPS beat(2)0.65%
EPS beat(4)3
Avg EPS beat(4)0.32%
Min EPS beat(4)-4.97%
Max EPS beat(4)4.6%
EPS beat(8)5
Avg EPS beat(8)1.76%
EPS beat(12)7
Avg EPS beat(12)0.72%
EPS beat(16)8
Avg EPS beat(16)0.52%
Revenue beat(2)0
Avg Revenue beat(2)-2.58%
Min Revenue beat(2)-3%
Max Revenue beat(2)-2.16%
Revenue beat(4)0
Avg Revenue beat(4)-2.54%
Min Revenue beat(4)-3.59%
Max Revenue beat(4)-1.4%
Revenue beat(8)1
Avg Revenue beat(8)-2.51%
Revenue beat(12)1
Avg Revenue beat(12)-2.95%
Revenue beat(16)1
Avg Revenue beat(16)-2.77%
PT rev (1m)1.97%
PT rev (3m)1.69%
EPS NQ rev (1m)-2.29%
EPS NQ rev (3m)-5.83%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)2.9%
Revenue NQ rev (3m)2.25%
Revenue NY rev (1m)2.95%
Revenue NY rev (3m)2.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.24 | ||
| Fwd PE | 8.93 | ||
| P/S | 1.2 | ||
| P/FCF | 12.32 | ||
| P/OCF | 4.22 | ||
| P/B | 2.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.33 |
EPS(TTM)5.01
EY10.82%
EPS(NY)5.18
Fwd EY11.2%
FCF(TTM)3.76
FCFY8.12%
OCF(TTM)10.96
OCFY23.67%
SpS38.51
BVpS20.77
TBVpS-41.91
PEG (NY)N/A
PEG (5Y)2.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.97% | ||
| ROE | 13.56% | ||
| ROCE | 7.28% | ||
| ROIC | 4.88% | ||
| ROICexc | 5.42% | ||
| ROICexgc | 11.61% | ||
| OM | 24.1% | ||
| PM (TTM) | 7.31% | ||
| GM | 46.6% | ||
| FCFM | 9.76% |
ROA(3y)2.22%
ROA(5y)2.9%
ROE(3y)13.82%
ROE(5y)14.57%
ROIC(3y)5.27%
ROIC(5y)5.77%
ROICexc(3y)5.34%
ROICexc(5y)5.94%
ROICexgc(3y)10.73%
ROICexgc(5y)11.34%
ROCE(3y)8.05%
ROCE(5y)8.82%
ROICexcg growth 3Y1.64%
ROICexcg growth 5Y0.07%
ROICexc growth 3Y-4.65%
ROICexc growth 5Y-6.26%
OM growth 3Y2.52%
OM growth 5Y-0.35%
PM growth 3Y-7.49%
PM growth 5Y-9.09%
GM growth 3Y5.13%
GM growth 5Y2.52%
F-Score7
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.91 | ||
| Debt/FCF | 22.37 | ||
| Debt/EBITDA | 4.49 | ||
| Cap/Depr | 81.81% | ||
| Cap/Sales | 18.7% | ||
| Interest Coverage | 2.45 | ||
| Cash Conversion | 60.61% | ||
| Profit Quality | 133.47% | ||
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 0.99 |
F-Score7
WACC4.79%
ROIC/WACC1.02
Cap/Depr(3y)100.64%
Cap/Depr(5y)99.39%
Cap/Sales(3y)20.33%
Cap/Sales(5y)19.48%
Profit Quality(3y)104.95%
Profit Quality(5y)104.43%
High Growth Momentum
Growth
EPS 1Y (TTM)8.68%
EPS 3Y12.64%
EPS 5Y4.02%
EPS Q2Q%-1.72%
EPS Next Y-1.2%
EPS Next 2Y1.52%
EPS Next 3Y4%
EPS Next 5YN/A
Revenue 1Y (TTM)1.87%
Revenue growth 3Y12.03%
Revenue growth 5Y6.45%
Sales Q2Q%2.42%
Revenue Next Year4.33%
Revenue Next 2Y4.56%
Revenue Next 3Y2.9%
Revenue Next 5YN/A
EBIT growth 1Y7.53%
EBIT growth 3Y14.85%
EBIT growth 5Y6.07%
EBIT Next Year90.66%
EBIT Next 3Y25.43%
EBIT Next 5YN/A
FCF growth 1Y164.32%
FCF growth 3Y5.91%
FCF growth 5Y-1.13%
OCF growth 1Y33.06%
OCF growth 3Y10.93%
OCF growth 5Y4.65%