RCM TECHNOLOGIES INC (RCMT) Fundamental Analysis & Valuation
NASDAQ:RCMT • US7493604000
19.7 USD
-0.36 (-1.79%)
At close: Mar 6, 2026
18.75 USD
-0.95 (-4.82%)
Pre-Market: 3/9/2026, 7:14:53 AM
This RCMT fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
We assign a fundamental rating of 6 out of 10 to RCMT. RCMT was compared to 87 industry peers in the Professional Services industry. While RCMT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. RCMT scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make RCMT a good candidate for value investing.
1. RCMT Profitability Analysis
1.1 Basic Checks
- In the past year RCMT was profitable.
- RCMT had a positive operating cash flow in the past year.
- RCMT had positive earnings in 4 of the past 5 years.
- In the past 5 years RCMT always reported a positive cash flow from operatings.
1.2 Ratios
- RCMT has a Return On Assets of 10.09%. This is amongst the best in the industry. RCMT outperforms 81.61% of its industry peers.
- RCMT has a Return On Equity of 31.65%. This is amongst the best in the industry. RCMT outperforms 89.66% of its industry peers.
- RCMT has a Return On Invested Capital of 19.24%. This is amongst the best in the industry. RCMT outperforms 85.06% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for RCMT is significantly above the industry average of 12.79%.
- The last Return On Invested Capital (19.24%) for RCMT is well below the 3 year average (29.36%), which needs to be investigated, but indicates that RCMT had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.09% | ||
| ROE | 31.65% | ||
| ROIC | 19.24% |
ROA(3y)15.94%
ROA(5y)9.97%
ROE(3y)56.79%
ROE(5y)34.52%
ROIC(3y)29.36%
ROIC(5y)N/A
1.3 Margins
- RCMT has a Profit Margin (4.23%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of RCMT has grown nicely.
- RCMT has a Operating Margin (7.16%) which is comparable to the rest of the industry.
- RCMT's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 27.51%, RCMT is doing worse than 62.07% of the companies in the same industry.
- RCMT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.16% | ||
| PM (TTM) | 4.23% | ||
| GM | 27.51% |
OM growth 3Y15.64%
OM growth 5Y17.04%
PM growth 3Y-3.9%
PM growth 5Y17.41%
GM growth 3Y3.24%
GM growth 5Y2.42%
2. RCMT Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RCMT is creating value.
- Compared to 1 year ago, RCMT has less shares outstanding
- Compared to 5 years ago, RCMT has less shares outstanding
- RCMT has a worse debt/assets ratio than last year.
2.2 Solvency
- RCMT has an Altman-Z score of 4.42. This indicates that RCMT is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.42, RCMT belongs to the top of the industry, outperforming 81.61% of the companies in the same industry.
- The Debt to FCF ratio of RCMT is 9.42, which is on the high side as it means it would take RCMT, 9.42 years of fcf income to pay off all of its debts.
- RCMT has a Debt to FCF ratio (9.42) which is comparable to the rest of the industry.
- RCMT has a Debt/Equity ratio of 0.78. This is a neutral value indicating RCMT is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.78, RCMT is not doing good in the industry: 63.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.42 | ||
| Altman-Z | 4.42 |
ROIC/WACC2.41
WACC7.98%
2.3 Liquidity
- RCMT has a Current Ratio of 1.98. This is a normal value and indicates that RCMT is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of RCMT (1.98) is better than 71.26% of its industry peers.
- A Quick Ratio of 1.98 indicates that RCMT should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.98, RCMT is in the better half of the industry, outperforming 73.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.98 |
3. RCMT Growth Analysis
3.1 Past
- RCMT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.59%.
- The Earnings Per Share has been growing by 39.16% on average over the past years. This is a very strong growth
- RCMT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.70%.
- RCMT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.81% yearly.
EPS 1Y (TTM)3.59%
EPS 3Y25.74%
EPS 5Y39.16%
EPS Q2Q%20%
Revenue 1Y (TTM)13.7%
Revenue growth 3Y10.94%
Revenue growth 5Y7.81%
Sales Q2Q%16.44%
3.2 Future
- Based on estimates for the next years, RCMT will show a very strong growth in Earnings Per Share. The EPS will grow by 25.17% on average per year.
- RCMT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.99% yearly.
EPS Next Y41.4%
EPS Next 2Y25.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year13.15%
Revenue Next 2Y9.99%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- 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. RCMT Valuation Analysis
4.1 Price/Earnings Ratio
- RCMT is valuated reasonably with a Price/Earnings ratio of 9.75.
- Compared to the rest of the industry, the Price/Earnings ratio of RCMT indicates a rather cheap valuation: RCMT is cheaper than 83.91% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 26.29. RCMT is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 7.53, the valuation of RCMT can be described as very cheap.
- Based on the Price/Forward Earnings ratio, RCMT is valued cheaper than 93.10% of the companies in the same industry.
- RCMT's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.60.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.75 | ||
| Fwd PE | 7.53 |
4.2 Price Multiples
- 80.46% of the companies in the same industry are more expensive than RCMT, based on the Enterprise Value to EBITDA ratio.
- RCMT's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.68 | ||
| EV/EBITDA | 7.25 |
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.
- RCMT has an outstanding profitability rating, which may justify a higher PE ratio.
- RCMT's earnings are expected to grow with 25.17% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.24
PEG (5Y)0.25
EPS Next 2Y25.17%
EPS Next 3YN/A
5. RCMT Dividend Analysis
5.1 Amount
- RCMT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
RCMT Fundamentals: All Metrics, Ratios and Statistics
19.7
-0.36 (-1.79%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)11-05 2025-11-05/amc
Earnings (Next)03-18 2026-03-18/amc
Inst Owners43.61%
Inst Owner Change-6%
Ins Owners34.84%
Ins Owner Change-0.11%
Market Cap145.98M
Revenue(TTM)309.84M
Net Income(TTM)13.10M
Analysts82.5
Price Target31.62 (60.51%)
Short Float %4.64%
Short Ratio5.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.82%
Min EPS beat(2)-7.47%
Max EPS beat(2)9.11%
EPS beat(4)1
Avg EPS beat(4)-13.59%
Min EPS beat(4)-52.27%
Max EPS beat(4)9.11%
EPS beat(8)2
Avg EPS beat(8)-8.71%
EPS beat(12)5
Avg EPS beat(12)-2.06%
EPS beat(16)9
Avg EPS beat(16)18.15%
Revenue beat(2)1
Avg Revenue beat(2)-1.18%
Min Revenue beat(2)-4.71%
Max Revenue beat(2)2.35%
Revenue beat(4)2
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-4.71%
Max Revenue beat(4)6.45%
Revenue beat(8)2
Avg Revenue beat(8)-1.3%
Revenue beat(12)3
Avg Revenue beat(12)-1.39%
Revenue beat(16)5
Avg Revenue beat(16)0.98%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.88%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.22%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.75 | ||
| Fwd PE | 7.53 | ||
| P/S | 0.47 | ||
| P/FCF | 41.68 | ||
| P/OCF | 24.81 | ||
| P/B | 3.53 | ||
| P/tB | 7.59 | ||
| EV/EBITDA | 7.25 |
EPS(TTM)2.02
EY10.25%
EPS(NY)2.62
Fwd EY13.28%
FCF(TTM)0.47
FCFY2.4%
OCF(TTM)0.79
OCFY4.03%
SpS41.81
BVpS5.58
TBVpS2.6
PEG (NY)0.24
PEG (5Y)0.25
Graham Number15.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.09% | ||
| ROE | 31.65% | ||
| ROCE | 27.13% | ||
| ROIC | 19.24% | ||
| ROICexc | 19.56% | ||
| ROICexgc | 26.98% | ||
| OM | 7.16% | ||
| PM (TTM) | 4.23% | ||
| GM | 27.51% | ||
| FCFM | 1.13% |
ROA(3y)15.94%
ROA(5y)9.97%
ROE(3y)56.79%
ROE(5y)34.52%
ROIC(3y)29.36%
ROIC(5y)N/A
ROICexc(3y)30.85%
ROICexc(5y)N/A
ROICexgc(3y)54.01%
ROICexgc(5y)N/A
ROCE(3y)41.4%
ROCE(5y)N/A
ROICexgc growth 3Y2.63%
ROICexgc growth 5Y28.37%
ROICexc growth 3Y7.02%
ROICexc growth 5Y25.94%
OM growth 3Y15.64%
OM growth 5Y17.04%
PM growth 3Y-3.9%
PM growth 5Y17.41%
GM growth 3Y3.24%
GM growth 5Y2.42%
F-Score6
Asset Turnover2.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.42 | ||
| Debt/EBITDA | 1.31 | ||
| Cap/Depr | 102.72% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | 8.39 | ||
| Cash Conversion | 24% | ||
| Profit Quality | 26.74% | ||
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.98 | ||
| Altman-Z | 4.42 |
F-Score6
WACC7.98%
ROIC/WACC2.41
Cap/Depr(3y)149.79%
Cap/Depr(5y)106.86%
Cap/Sales(3y)0.78%
Cap/Sales(5y)0.59%
Profit Quality(3y)71.6%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.59%
EPS 3Y25.74%
EPS 5Y39.16%
EPS Q2Q%20%
EPS Next Y41.4%
EPS Next 2Y25.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)13.7%
Revenue growth 3Y10.94%
Revenue growth 5Y7.81%
Sales Q2Q%16.44%
Revenue Next Year13.15%
Revenue Next 2Y9.99%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-7.31%
EBIT growth 3Y28.29%
EBIT growth 5Y26.18%
EBIT Next Year15.79%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-89.7%
FCF growth 3Y117.44%
FCF growth 5YN/A
OCF growth 1Y-83.23%
OCF growth 3Y88.58%
OCF growth 5YN/A
RCM TECHNOLOGIES INC / RCMT FAQ
Can you provide the ChartMill fundamental rating for RCM TECHNOLOGIES INC?
ChartMill assigns a fundamental rating of 6 / 10 to RCMT.
What is the valuation status of RCM TECHNOLOGIES INC (RCMT) stock?
ChartMill assigns a valuation rating of 8 / 10 to RCM TECHNOLOGIES INC (RCMT). This can be considered as Undervalued.
What is the profitability of RCMT stock?
RCM TECHNOLOGIES INC (RCMT) has a profitability rating of 8 / 10.
What are the PE and PB ratios of RCM TECHNOLOGIES INC (RCMT) stock?
The Price/Earnings (PE) ratio for RCM TECHNOLOGIES INC (RCMT) is 9.75 and the Price/Book (PB) ratio is 3.53.
What is the expected EPS growth for RCM TECHNOLOGIES INC (RCMT) stock?
The Earnings per Share (EPS) of RCM TECHNOLOGIES INC (RCMT) is expected to grow by 41.4% in the next year.