RCS MEDIAGROUP SPA (RCS.MI) Stock Fundamental Analysis
BIT:RCS - Euronext Milan - IT0004931496 - Common Stock - Currency: EUR
RCS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 63 industry peers in the Media industry. RCS scores excellent on profitability, but there are some minor concerns on its financial health. RCS has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year RCS was profitable.
RCS had a positive operating cash flow in the past year.
Each year in the past 5 years RCS has been profitable.
Each year in the past 5 years RCS had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 5.53%, RCS is doing good in the industry, outperforming 79.37% of the companies in the same industry.
RCS has a Return On Equity of 13.28%. This is in the better half of the industry: RCS outperforms 74.60% of its industry peers.
The Return On Invested Capital of RCS (10.46%) is better than 87.30% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RCS is in line with the industry average of 7.76%.
The last Return On Invested Capital (10.46%) for RCS is above the 3 year average (9.48%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.53% | ||
| ROE | 13.28% | ||
| ROIC | 10.46% |
ROA(3y)5.43%
ROA(5y)5.28%
ROE(3y)13.54%
ROE(5y)14.11%
ROIC(3y)9.48%
ROIC(5y)8.92%
1.3 Margins
Looking at the Profit Margin, with a value of 5.07%, RCS is in the better half of the industry, outperforming 63.49% of the companies in the same industry.
RCS's Profit Margin has been stable in the last couple of years.
RCS has a Operating Margin (8.02%) which is comparable to the rest of the industry.
RCS's Operating Margin has been stable in the last couple of years.
With a decent Gross Margin value of 63.77%, RCS is doing good in the industry, outperforming 60.32% of the companies in the same industry.
In the last couple of years the Gross Margin of RCS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.02% | ||
| PM (TTM) | 5.07% | ||
| GM | 63.77% |
OM growth 3Y1.16%
OM growth 5Y0.53%
PM growth 3Y-4.01%
PM growth 5Y0.41%
GM growth 3Y-0.21%
GM growth 5Y0.65%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RCS is still creating some value.
Compared to 1 year ago, RCS has about the same amount of shares outstanding.
The number of shares outstanding for RCS remains at a similar level compared to 5 years ago.
The debt/assets ratio for RCS is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.29 indicates that RCS is not a great score, but indicates only limited risk for bankruptcy at the moment.
RCS's Altman-Z score of 2.29 is fine compared to the rest of the industry. RCS outperforms 76.19% of its industry peers.
RCS has a debt to FCF ratio of 1.96. This is a very positive value and a sign of high solvency as it would only need 1.96 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.96, RCS belongs to the top of the industry, outperforming 84.13% of the companies in the same industry.
A Debt/Equity ratio of 0.34 indicates that RCS is not too dependend on debt financing.
The Debt to Equity ratio of RCS (0.34) is better than 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 1.96 | ||
| Altman-Z | 2.29 |
ROIC/WACC1.43
WACC7.31%
2.3 Liquidity
RCS has a Current Ratio of 0.95. This is a bad value and indicates that RCS is not financially healthy enough and could expect problems in meeting its short term obligations.
RCS's Current ratio of 0.95 is in line compared to the rest of the industry. RCS outperforms 42.86% of its industry peers.
A Quick Ratio of 0.90 indicates that RCS may have some problems paying its short term obligations.
RCS has a Quick ratio (0.90) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
RCS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.02%, which is quite good.
The Earnings Per Share has been decreasing by -1.98% on average over the past years.
RCS shows a decrease in Revenue. In the last year, the revenue decreased by -0.64%.
Measured over the past years, RCS shows a decrease in Revenue. The Revenue has been decreasing by -2.37% on average per year.
EPS 1Y (TTM)14.02%
EPS 3Y-5.04%
EPS 5Y-1.98%
EPS Q2Q%61.29%
Revenue 1Y (TTM)-0.64%
Revenue growth 3Y-1.08%
Revenue growth 5Y-2.37%
Sales Q2Q%0.41%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.92, the valuation of RCS can be described as very cheap.
88.89% of the companies in the same industry are more expensive than RCS, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.34, RCS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.92 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RCS indicates a somewhat cheap valuation: RCS is cheaper than 68.25% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RCS indicates a somewhat cheap valuation: RCS is cheaper than 77.78% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.25 | ||
| EV/EBITDA | 4.23 |
4.3 Compensation for Growth
The decent profitability rating of RCS may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
RCS has a Yearly Dividend Yield of 7.09%, which is a nice return.
RCS's Dividend Yield is rather good when compared to the industry average which is at 4.70. RCS pays more dividend than 90.48% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, RCS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.09% |
5.2 History
The dividend of RCS has a limited annual growth rate of 3.17%.
Dividend Growth(5Y)3.17%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
RCS pays out 61.77% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of RCS has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP61.77%
EPS Next 2YN/A
EPS Next 3YN/A
BIT:RCS (6/19/2025, 7:00:00 PM)
0.95
-0.01 (-0.63%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners9.75%
Inst Owner ChangeN/A
Ins Owners68.32%
Ins Owner ChangeN/A
Market Cap495.77M
Analysts80
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.09% |
Yearly Dividend0.07
Dividend Growth(5Y)3.17%
DP61.77%
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)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)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.92 | ||
| Fwd PE | N/A | ||
| P/S | 0.43 | ||
| P/FCF | 5.25 | ||
| P/OCF | 4.28 | ||
| P/B | 1.12 | ||
| P/tB | 7.1 | ||
| EV/EBITDA | 4.23 |
EPS(TTM)0.12
EY12.63%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)0.18
FCFY19.06%
OCF(TTM)0.22
OCFY23.34%
SpS2.22
BVpS0.85
TBVpS0.13
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.53% | ||
| ROE | 13.28% | ||
| ROCE | 13.46% | ||
| ROIC | 10.46% | ||
| ROICexc | 11.42% | ||
| ROICexgc | 27.78% | ||
| OM | 8.02% | ||
| PM (TTM) | 5.07% | ||
| GM | 63.77% | ||
| FCFM | 8.17% |
ROA(3y)5.43%
ROA(5y)5.28%
ROE(3y)13.54%
ROE(5y)14.11%
ROIC(3y)9.48%
ROIC(5y)8.92%
ROICexc(3y)10%
ROICexc(5y)9.6%
ROICexgc(3y)24.34%
ROICexgc(5y)24.68%
ROCE(3y)12.21%
ROCE(5y)11.48%
ROICexcg growth 3Y-7.29%
ROICexcg growth 5Y-2.11%
ROICexc growth 3Y-2.92%
ROICexc growth 5Y-2.22%
OM growth 3Y1.16%
OM growth 5Y0.53%
PM growth 3Y-4.01%
PM growth 5Y0.41%
GM growth 3Y-0.21%
GM growth 5Y0.65%
F-Score6
Asset Turnover1.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 1.96 | ||
| Debt/EBITDA | 1 | ||
| Cap/Depr | 38.27% | ||
| Cap/Sales | 1.83% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.12% | ||
| Profit Quality | 161.26% | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 2.29 |
F-Score6
WACC7.31%
ROIC/WACC1.43
Cap/Depr(3y)78.2%
Cap/Depr(5y)60.63%
Cap/Sales(3y)4.95%
Cap/Sales(5y)3.82%
Profit Quality(3y)100.72%
Profit Quality(5y)144.72%
High Growth Momentum
Growth
EPS 1Y (TTM)14.02%
EPS 3Y-5.04%
EPS 5Y-1.98%
EPS Q2Q%61.29%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.64%
Revenue growth 3Y-1.08%
Revenue growth 5Y-2.37%
Sales Q2Q%0.41%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y21.02%
EBIT growth 3Y0.07%
EBIT growth 5Y-1.86%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y34.81%
FCF growth 3Y-6.79%
FCF growth 5Y-4.81%
OCF growth 1Y24.01%
OCF growth 3Y-4.94%
OCF growth 5Y-3.37%