REMY COINTREAU (RCO.PA) Stock Fundamental Analysis
EPA:RCO - Euronext Paris - Matif - FR0000130395 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to RCO. RCO was compared to 25 industry peers in the Beverages industry. While RCO has a great profitability rating, there are some minor concerns on its financial health. RCO is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year RCO was profitable.
RCO had a positive operating cash flow in the past year.
In the past 5 years RCO has always been profitable.
RCO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RCO has a Return On Assets of 4.86%. This is in the better half of the industry: RCO outperforms 76.00% of its industry peers.
RCO's Return On Equity of 8.63% is fine compared to the rest of the industry. RCO outperforms 68.00% of its industry peers.
RCO's Return On Invested Capital of 7.94% is fine compared to the rest of the industry. RCO outperforms 80.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RCO is above the industry average of 7.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 8.63% | ||
| ROIC | 7.94% |
ROA(3y)7.28%
ROA(5y)6.22%
ROE(3y)13.19%
ROE(5y)11.39%
ROIC(3y)11.39%
ROIC(5y)9.96%
1.3 Margins
The Profit Margin of RCO (15.03%) is better than 84.00% of its industry peers.
In the last couple of years the Profit Margin of RCO has grown nicely.
RCO has a Operating Margin of 25.90%. This is amongst the best in the industry. RCO outperforms 84.00% of its industry peers.
In the last couple of years the Operating Margin of RCO has grown nicely.
Looking at the Gross Margin, with a value of 71.22%, RCO belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
RCO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.9% | ||
| PM (TTM) | 15.03% | ||
| GM | 71.22% |
OM growth 3Y2.92%
OM growth 5Y1.71%
PM growth 3Y2.66%
PM growth 5Y1.82%
GM growth 3Y1.88%
GM growth 5Y2.43%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RCO is still creating some value.
Compared to 1 year ago, RCO has more shares outstanding
Compared to 5 years ago, RCO has more shares outstanding
RCO has a worse debt/assets ratio than last year.
2.2 Solvency
RCO has an Altman-Z score of 2.45. This is not the best score and indicates that RCO is in the grey zone with still only limited risk for bankruptcy at the moment.
RCO has a Altman-Z score of 2.45. This is in the better half of the industry: RCO outperforms 76.00% of its industry peers.
RCO has a debt to FCF ratio of 6.53. This is a slightly negative value and a sign of low solvency as RCO would need 6.53 years to pay back of all of its debts.
RCO's Debt to FCF ratio of 6.53 is fine compared to the rest of the industry. RCO outperforms 76.00% of its industry peers.
RCO has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.31, RCO belongs to the top of the industry, outperforming 84.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 6.53 | ||
| Altman-Z | 2.45 |
ROIC/WACC1.13
WACC7.02%
2.3 Liquidity
A Current Ratio of 2.64 indicates that RCO has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.64, RCO belongs to the best of the industry, outperforming 96.00% of the companies in the same industry.
RCO has a Quick Ratio of 2.64. This is a bad value and indicates that RCO is not financially healthy enough and could expect problems in meeting its short term obligations.
RCO has a worse Quick ratio (0.42) than 72.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.64 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The earnings per share for RCO have decreased by -5.26% in the last year.
The Earnings Per Share has been growing slightly by 3.02% on average over the past years.
The Revenue for RCO has decreased by -17.22% in the past year. This is quite bad
Measured over the past years, RCO shows a small growth in Revenue. The Revenue has been growing by 1.18% on average per year.
EPS 1Y (TTM)-5.26%
EPS 3Y9.06%
EPS 5Y3.02%
EPS Q2Q%-18.92%
Revenue 1Y (TTM)-17.22%
Revenue growth 3Y5.73%
Revenue growth 5Y1.18%
Sales Q2Q%-16.18%
3.2 Future
RCO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.18% yearly.
RCO is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.37% yearly.
EPS Next Y-35.41%
EPS Next 2Y-16.88%
EPS Next 3Y-7.46%
EPS Next 5Y0.18%
Revenue Next Year-17.24%
Revenue Next 2Y-6.15%
Revenue Next 3Y-2.23%
Revenue Next 5Y-0.37%
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 decreasing.
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
RCO is valuated correctly with a Price/Earnings ratio of 12.96.
Based on the Price/Earnings ratio, RCO is valued cheaply inside the industry as 84.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 28.90, RCO is valued rather cheaply.
A Price/Forward Earnings ratio of 16.70 indicates a correct valuation of RCO.
RCO's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of RCO to the average of the S&P500 Index (21.58), we can say RCO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.96 | ||
| Fwd PE | 16.7 |
4.2 Price Multiples
76.00% of the companies in the same industry are more expensive than RCO, based on the Enterprise Value to EBITDA ratio.
RCO's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.04 | ||
| EV/EBITDA | 8.72 |
4.3 Compensation for Growth
The excellent profitability rating of RCO may justify a higher PE ratio.
RCO's earnings are expected to decrease with -7.46% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)4.3
EPS Next 2Y-16.88%
EPS Next 3Y-7.46%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.46%, RCO is a good candidate for dividend investing.
The stock price of RCO dropped by -30.59% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 2.70, RCO pays a better dividend. On top of this RCO pays more dividend than 88.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, RCO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.46% |
5.2 History
The dividend of RCO is nicely growing with an annual growth rate of 75.24%!
Dividend Growth(5Y)75.24%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
93.11% of the earnings are spent on dividend by RCO. This is not a sustainable payout ratio.
RCO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP93.11%
EPS Next 2Y-16.88%
EPS Next 3Y-7.46%
EPA:RCO (3/14/2025, 7:00:00 PM)
44.32
-0.54 (-1.2%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners38.42%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap2.31B
Analysts68.33
Price Target68.16 (53.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.46% |
Yearly Dividend3.01
Dividend Growth(5Y)75.24%
DP93.11%
Div Incr Years1
Div Non Decr Years4
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)-1.65%
PT rev (3m)-13.42%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.32%
EPS NY rev (3m)-21.49%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.73%
Revenue NY rev (3m)-8.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.96 | ||
| Fwd PE | 16.7 | ||
| P/S | 2.12 | ||
| P/FCF | 22.04 | ||
| P/OCF | 13.86 | ||
| P/B | 1.22 | ||
| P/tB | 1.66 | ||
| EV/EBITDA | 8.72 |
EPS(TTM)3.42
EY7.72%
EPS(NY)2.65
Fwd EY5.99%
FCF(TTM)2.01
FCFY4.54%
OCF(TTM)3.2
OCFY7.22%
SpS20.92
BVpS36.42
TBVpS26.76
PEG (NY)N/A
PEG (5Y)4.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 8.63% | ||
| ROCE | 11.37% | ||
| ROIC | 7.94% | ||
| ROICexc | 8.09% | ||
| ROICexgc | 10.12% | ||
| OM | 25.9% | ||
| PM (TTM) | 15.03% | ||
| GM | 71.22% | ||
| FCFM | 9.61% |
ROA(3y)7.28%
ROA(5y)6.22%
ROE(3y)13.19%
ROE(5y)11.39%
ROIC(3y)11.39%
ROIC(5y)9.96%
ROICexc(3y)11.89%
ROICexc(5y)10.65%
ROICexgc(3y)15.56%
ROICexgc(5y)14.18%
ROCE(3y)16.1%
ROCE(5y)14.15%
ROICexcg growth 3Y0.08%
ROICexcg growth 5Y-3.32%
ROICexc growth 3Y2.15%
ROICexc growth 5Y-1.73%
OM growth 3Y2.92%
OM growth 5Y1.71%
PM growth 3Y2.66%
PM growth 5Y1.82%
GM growth 3Y1.88%
GM growth 5Y2.43%
F-Score5
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 6.53 | ||
| Debt/EBITDA | 1.78 | ||
| Cap/Depr | 133.41% | ||
| Cap/Sales | 5.67% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 50.7% | ||
| Profit Quality | 63.96% | ||
| Current Ratio | 2.64 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 2.45 |
F-Score5
WACC7.02%
ROIC/WACC1.13
Cap/Depr(3y)166.67%
Cap/Depr(5y)170.57%
Cap/Sales(3y)5.27%
Cap/Sales(5y)5.5%
Profit Quality(3y)22.12%
Profit Quality(5y)33.09%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.26%
EPS 3Y9.06%
EPS 5Y3.02%
EPS Q2Q%-18.92%
EPS Next Y-35.41%
EPS Next 2Y-16.88%
EPS Next 3Y-7.46%
EPS Next 5Y0.18%
Revenue 1Y (TTM)-17.22%
Revenue growth 3Y5.73%
Revenue growth 5Y1.18%
Sales Q2Q%-16.18%
Revenue Next Year-17.24%
Revenue Next 2Y-6.15%
Revenue Next 3Y-2.23%
Revenue Next 5Y-0.37%
EBIT growth 1Y1.18%
EBIT growth 3Y8.82%
EBIT growth 5Y2.91%
EBIT Next Year2.86%
EBIT Next 3Y5.08%
EBIT Next 5Y9.43%
FCF growth 1Y35.53%
FCF growth 3Y-51.89%
FCF growth 5Y10.02%
OCF growth 1Y19.23%
OCF growth 3Y-18.85%
OCF growth 5Y12.24%