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RECORDATI INDUSTRIA CHIMICA (REC.MI) Stock Fundamental Analysis

BIT:REC - IT0003828271 - Common Stock

52.525 EUR
+0.42 (+0.82%)
Last: 8/22/2025, 11:14:01 AM
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to REC. REC was compared to 52 industry peers in the Pharmaceuticals industry. There are concerns on the financial health of REC while its profitability can be described as average. REC is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

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5

1. Profitability

1.1 Basic Checks

REC had positive earnings in the past year.
REC had a positive operating cash flow in the past year.
REC had positive earnings in each of the past 5 years.
REC had a positive operating cash flow in each of the past 5 years.
REC.MI Yearly Net Income VS EBIT VS OCF VS FCFREC.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M

1.2 Ratios

REC's Return On Assets of 7.87% is fine compared to the rest of the industry. REC outperforms 65.38% of its industry peers.
REC has a better Return On Equity (21.77%) than 69.23% of its industry peers.
With a Return On Invested Capital value of 12.31%, REC perfoms like the industry average, outperforming 59.62% of the companies in the same industry.
REC had an Average Return On Invested Capital over the past 3 years of 12.56%. This is below the industry average of 15.11%.
Industry RankSector Rank
ROA 7.87%
ROE 21.77%
ROIC 12.31%
ROA(3y)8.39%
ROA(5y)10.39%
ROE(3y)21.82%
ROE(5y)24.25%
ROIC(3y)12.56%
ROIC(5y)14.53%
REC.MI Yearly ROA, ROE, ROICREC.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

1.3 Margins

With a decent Profit Margin value of 16.42%, REC is doing good in the industry, outperforming 65.38% of the companies in the same industry.
REC's Profit Margin has declined in the last couple of years.
The Operating Margin of REC (26.76%) is better than 75.00% of its industry peers.
In the last couple of years the Operating Margin of REC has declined.
With a Gross Margin value of 67.79%, REC perfoms like the industry average, outperforming 44.23% of the companies in the same industry.
REC's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 26.76%
PM (TTM) 16.42%
GM 67.79%
OM growth 3Y-4.02%
OM growth 5Y-2.11%
PM growth 3Y-10.03%
PM growth 5Y-6.5%
GM growth 3Y-2.14%
GM growth 5Y-0.62%
REC.MI Yearly Profit, Operating, Gross MarginsREC.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

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3

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), REC is creating some value.
The number of shares outstanding for REC remains at a similar level compared to 1 year ago.
REC has more shares outstanding than it did 5 years ago.
REC has a worse debt/assets ratio than last year.
REC.MI Yearly Shares OutstandingREC.MI Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M
REC.MI Yearly Total Debt VS Total AssetsREC.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.2 Solvency

REC has an Altman-Z score of 3.61. This indicates that REC is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.61, REC perfoms like the industry average, outperforming 53.85% of the companies in the same industry.
A Debt/Equity ratio of 1.16 is on the high side and indicates that REC has dependencies on debt financing.
The Debt to Equity ratio of REC (1.16) is worse than 69.23% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.16
Debt/FCF N/A
Altman-Z 3.61
ROIC/WACC1.69
WACC7.27%
REC.MI Yearly LT Debt VS Equity VS FCFREC.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B 2B

2.3 Liquidity

REC has a Current Ratio of 1.47. This is a normal value and indicates that REC is financially healthy and should not expect problems in meeting its short term obligations.
REC has a better Current ratio (1.47) than 61.54% of its industry peers.
A Quick Ratio of 1.01 indicates that REC should not have too much problems paying its short term obligations.
REC has a Quick ratio of 1.01. This is comparable to the rest of the industry: REC outperforms 57.69% of its industry peers.
Industry RankSector Rank
Current Ratio 1.47
Quick Ratio 1.01
REC.MI Yearly Current Assets VS Current LiabilitesREC.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B

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6

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 10.75% over the past year.
Measured over the past 5 years, REC shows a small growth in Earnings Per Share. The EPS has been growing by 2.74% on average per year.
Looking at the last year, REC shows a quite strong growth in Revenue. The Revenue has grown by 11.51% in the last year.
Measured over the past years, REC shows a quite strong growth in Revenue. The Revenue has been growing by 9.58% on average per year.
EPS 1Y (TTM)10.75%
EPS 3Y3.03%
EPS 5Y2.74%
EPS Q2Q%-10.39%
Revenue 1Y (TTM)11.51%
Revenue growth 3Y14.01%
Revenue growth 5Y9.58%
Sales Q2Q%11.43%

3.2 Future

REC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.76% yearly.
Based on estimates for the next years, REC will show a quite strong growth in Revenue. The Revenue will grow by 8.14% on average per year.
EPS Next Y14.96%
EPS Next 2Y11.76%
EPS Next 3Y10.72%
EPS Next 5Y12.76%
Revenue Next Year13.73%
Revenue Next 2Y10.16%
Revenue Next 3Y8.82%
Revenue Next 5Y8.14%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 stable.
REC.MI Yearly Revenue VS EstimatesREC.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 1B 2B 3B
REC.MI Yearly EPS VS EstimatesREC.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1 2 3 4

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2

4. Valuation

4.1 Price/Earnings Ratio

REC is valuated quite expensively with a Price/Earnings ratio of 26.66.
REC's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.76. REC is around the same levels.
The Price/Forward Earnings ratio is 17.10, which indicates a rather expensive current valuation of REC.
The rest of the industry has a similar Price/Forward Earnings ratio as REC.
The average S&P500 Price/Forward Earnings ratio is at 34.91. REC is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 26.66
Fwd PE 17.1
REC.MI Price Earnings VS Forward Price EarningsREC.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as REC.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 15.2
REC.MI Per share dataREC.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10

4.3 Compensation for Growth

REC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.78
PEG (5Y)9.75
EPS Next 2Y11.76%
EPS Next 3Y10.72%

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4

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 2.48%, REC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.18, REC pays a bit more dividend than its industry peers.
REC's Dividend Yield is comparable with the S&P500 average which is at 2.36.
Industry RankSector Rank
Dividend Yield 2.48%

5.2 History

The dividend of REC has a limited annual growth rate of 5.70%.
Dividend Growth(5Y)5.7%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

REC pays out 64.48% of its income as dividend. This is not a sustainable payout ratio.
REC's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP64.48%
EPS Next 2Y11.76%
EPS Next 3Y10.72%
REC.MI Yearly Income VS Free CF VS DividendREC.MI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M
REC.MI Dividend Payout.REC.MI Dividend Payout, showing the Payout Ratio.REC.MI Dividend Payout.PayoutRetained Earnings

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RECORDATI INDUSTRIA CHIMICA

BIT:REC (8/22/2025, 11:14:01 AM)

52.525

+0.42 (+0.82%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)07-29 2025-07-29
Earnings (Next)11-11 2025-11-11
Inst Owners28.5%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap10.98B
Analysts72
Price Target59.83 (13.91%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.48%
Yearly Dividend1.23
Dividend Growth(5Y)5.7%
DP64.48%
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)-0.39%
PT rev (3m)1.94%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)0.45%
Valuation
Industry RankSector Rank
PE 26.66
Fwd PE 17.1
P/S 4.43
P/FCF N/A
P/OCF 19.11
P/B 5.87
P/tB N/A
EV/EBITDA 15.2
EPS(TTM)1.97
EY3.75%
EPS(NY)3.07
Fwd EY5.85%
FCF(TTM)-1.43
FCFYN/A
OCF(TTM)2.75
OCFY5.23%
SpS11.86
BVpS8.94
TBVpS-6.58
PEG (NY)1.78
PEG (5Y)9.75
Profitability
Industry RankSector Rank
ROA 7.87%
ROE 21.77%
ROCE 16.15%
ROIC 12.31%
ROICexc 13.4%
ROICexgc 85.95%
OM 26.76%
PM (TTM) 16.42%
GM 67.79%
FCFM N/A
ROA(3y)8.39%
ROA(5y)10.39%
ROE(3y)21.82%
ROE(5y)24.25%
ROIC(3y)12.56%
ROIC(5y)14.53%
ROICexc(3y)13.61%
ROICexc(5y)15.94%
ROICexgc(3y)107.06%
ROICexgc(5y)120.52%
ROCE(3y)16.51%
ROCE(5y)18.96%
ROICexcg growth 3Y-16.79%
ROICexcg growth 5Y-5.99%
ROICexc growth 3Y-13.14%
ROICexc growth 5Y-5.73%
OM growth 3Y-4.02%
OM growth 5Y-2.11%
PM growth 3Y-10.03%
PM growth 5Y-6.5%
GM growth 3Y-2.14%
GM growth 5Y-0.62%
F-Score6
Asset Turnover0.48
Health
Industry RankSector Rank
Debt/Equity 1.16
Debt/FCF N/A
Debt/EBITDA 2.54
Cap/Depr 464.32%
Cap/Sales 35.24%
Interest Coverage 7.76
Cash Conversion 67.5%
Profit Quality N/A
Current Ratio 1.47
Quick Ratio 1.01
Altman-Z 3.61
F-Score6
WACC7.27%
ROIC/WACC1.69
Cap/Depr(3y)284.95%
Cap/Depr(5y)216.99%
Cap/Sales(3y)19.98%
Cap/Sales(5y)14.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)10.75%
EPS 3Y3.03%
EPS 5Y2.74%
EPS Q2Q%-10.39%
EPS Next Y14.96%
EPS Next 2Y11.76%
EPS Next 3Y10.72%
EPS Next 5Y12.76%
Revenue 1Y (TTM)11.51%
Revenue growth 3Y14.01%
Revenue growth 5Y9.58%
Sales Q2Q%11.43%
Revenue Next Year13.73%
Revenue Next 2Y10.16%
Revenue Next 3Y8.82%
Revenue Next 5Y8.14%
EBIT growth 1Y11.3%
EBIT growth 3Y9.43%
EBIT growth 5Y7.27%
EBIT Next Year44.75%
EBIT Next 3Y18.7%
EBIT Next 5Y14.6%
FCF growth 1Y-168.5%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y13.39%
OCF growth 3Y5.01%
OCF growth 5Y12.33%