RPC INC (RES)
US7496601060 - Common Stock
We assign a fundamental rating of 7 out of 10 to RES. RES was compared to 65 industry peers in the Energy Equipment & Services industry. Both the health and profitability get an excellent rating, making RES a very profitable company, without any liquidiy or solvency issues. RES is cheap, but on the other hand it scores bad on growth. These ratings could make RES a good candidate for value investing.
1. Profitability
1.1 Basic Checks
RES had positive earnings in the past year.
In the past year RES had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: RES reported negative net income in multiple years.
In the past 5 years RES always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 15.01%, RES belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
Looking at the Return On Equity, with a value of 18.89%, RES belongs to the top of the industry, outperforming 81.54% of the companies in the same industry.
With an excellent Return On Invested Capital value of 16.95%, RES belongs to the best of the industry, outperforming 95.38% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for RES is above the industry average of 8.51%.
The 3 year average ROIC (13.33%) for RES is below the current ROIC(16.95%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.01% | ||
| ROE | 18.89% | ||
| ROIC | 16.95% |
ROA(3y)11.6%
ROA(5y)-0.06%
ROE(3y)15%
ROE(5y)0.18%
ROIC(3y)13.33%
ROIC(5y)N/A
1.3 Margins
RES has a Profit Margin of 11.94%. This is amongst the best in the industry. RES outperforms 81.54% of its industry peers.
RES's Profit Margin has improved in the last couple of years.
The Operating Margin of RES (15.70%) is better than 70.77% of its industry peers.
RES's Operating Margin has improved in the last couple of years.
RES has a Gross Margin of 32.64%. This is in the better half of the industry: RES outperforms 61.54% of its industry peers.
RES's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.7% | ||
| PM (TTM) | 11.94% | ||
| GM | 32.64% |
OM growth 3YN/A
OM growth 5Y5.5%
PM growth 3YN/A
PM growth 5Y3.31%
GM growth 3Y18.42%
GM growth 5Y0.87%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), RES is creating value.
RES has less shares outstanding than it did 1 year ago.
The number of shares outstanding for RES has been increased compared to 5 years ago.
RES has a worse debt/assets ratio than last year.
2.2 Solvency
RES has an Altman-Z score of 7.41. This indicates that RES is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.41, RES belongs to the top of the industry, outperforming 98.46% of the companies in the same industry.
The Debt to FCF ratio of RES is 0.01, which is an excellent value as it means it would take RES, only 0.01 years of fcf income to pay off all of its debts.
RES has a Debt to FCF ratio of 0.01. This is amongst the best in the industry. RES outperforms 96.92% of its industry peers.
A Debt/Equity ratio of 0.00 indicates that RES is not too dependend on debt financing.
The Debt to Equity ratio of RES (0.00) is better than 90.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Altman-Z | 7.41 |
ROIC/WACC1.82
WACC9.29%
2.3 Liquidity
A Current Ratio of 4.79 indicates that RES has no problem at all paying its short term obligations.
RES has a Current ratio of 4.79. This is amongst the best in the industry. RES outperforms 93.85% of its industry peers.
RES has a Quick Ratio of 4.06. This indicates that RES is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of RES (4.06) is better than 96.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.79 | ||
| Quick Ratio | 4.06 |
3. Growth
3.1 Past
The earnings per share for RES have decreased strongly by -10.89% in the last year.
RES shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.17% yearly.
Looking at the last year, RES shows a small growth in Revenue. The Revenue has grown by 0.98% in the last year.
Measured over the past years, RES shows a decrease in Revenue. The Revenue has been decreasing by -1.23% on average per year.
EPS 1Y (TTM)-10.89%
EPS 3YN/A
EPS 5Y3.17%
EPS growth Q2Q-52.5%
Revenue 1Y (TTM)0.98%
Revenue growth 3Y39.31%
Revenue growth 5Y-1.23%
Revenue growth Q2Q-18.15%
3.2 Future
RES is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -6.01% yearly.
Based on estimates for the next years, RES will show a small growth in Revenue. The Revenue will grow by 0.33% on average per year.
EPS Next Y-12%
EPS Next 2Y3.74%
EPS Next 3Y-6.01%
EPS Next 5YN/A
Revenue Next Year1.06%
Revenue Next 2Y4.67%
Revenue Next 3Y0.33%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.18 indicates a reasonable valuation of RES.
RES's Price/Earnings ratio is rather cheap when compared to the industry. RES is cheaper than 86.15% of the companies in the same industry.
RES's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.20.
With a Price/Forward Earnings ratio of 9.29, the valuation of RES can be described as very reasonable.
Based on the Price/Forward Earnings ratio, RES is valued a bit cheaper than 80.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.63, RES is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.18 | ||
| Fwd PE | 9.29 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RES is valued a bit cheaper than 80.00% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RES indicates a rather cheap valuation: RES is cheaper than 81.54% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.42 | ||
| EV/EBITDA | 4.1 |
4.3 Compensation for Growth
RES has an outstanding profitability rating, which may justify a higher PE ratio.
RES's earnings are expected to decrease with -6.01% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)2.58
EPS Next 2Y3.74%
EPS Next 3Y-6.01%
5. Dividend
5.1 Amount
RES has a Yearly Dividend Yield of 2.05%.
Compared to an average industry Dividend Yield of 3.25, RES pays a bit more dividend than its industry peers.
RES's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.05% |
5.2 History
The dividend of RES decreases each year by -4.30%.
RES has paid a dividend for at least 10 years, which is a reliable track record.
RES has decreased its dividend recently.
Dividend Growth(5Y)-4.3%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
17.89% of the earnings are spent on dividend by RES. This is a low number and sustainable payout ratio.
RES's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP17.89%
EPS Next 2Y3.74%
EPS Next 3Y-6.01%
RPC INC
NYSE:RES (4/25/2024, 6:23:57 PM)
After market: 7.36 0 (0%)7.36
-0.56 (-7.07%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.59B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.05% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.18 | ||
| Fwd PE | 9.29 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)2.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.01% | ||
| ROE | 18.89% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.7% | ||
| PM (TTM) | 11.94% | ||
| GM | 32.64% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 4.79 | ||
| Quick Ratio | 4.06 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-10.89%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-12%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)0.98%
Revenue growth 3Y39.31%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y