RF INDUSTRIES LTD (RFIL) Stock Fundamental Analysis
USA - NASDAQ:RFIL - US7495521053 - Common Stock
7.75 USD
+0.19 (+2.51%)
7.87 USD
+0.12 (+1.55%)
Overall RFIL gets a fundamental rating of 4 out of 10. We evaluated RFIL against 124 industry peers in the Electronic Equipment, Instruments & Components industry. The financial health of RFIL is average, but there are quite some concerns on its profitability. RFIL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year RFIL was profitable.
In the past year RFIL had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: RFIL reported negative net income in multiple years.
Of the past 5 years RFIL 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -1.97%, RFIL perfoms like the industry average, outperforming 45.97% of the companies in the same industry.
RFIL has a Return On Equity (-4.19%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 0.05%, RFIL perfoms like the industry average, outperforming 46.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.97% | ||
| ROE | -4.19% | ||
| ROIC | 0.05% |
ROA(3y)-3.8%
ROA(5y)0.17%
ROE(3y)-7.88%
ROE(5y)-1.66%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
RFIL's Operating Margin of 0.05% is in line compared to the rest of the industry. RFIL outperforms 46.77% of its industry peers.
With a Gross Margin value of 30.53%, RFIL perfoms like the industry average, outperforming 47.58% of the companies in the same industry.
RFIL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.05% | ||
| PM (TTM) | N/A | ||
| GM | 30.53% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.03%
GM growth 5Y0.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RFIL is destroying value.
Compared to 1 year ago, RFIL has more shares outstanding
RFIL has more shares outstanding than it did 5 years ago.
RFIL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.63 indicates that RFIL is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.63, RFIL is not doing good in the industry: 65.32% of the companies in the same industry are doing better.
RFIL has a debt to FCF ratio of 1.80. This is a very positive value and a sign of high solvency as it would only need 1.80 years to pay back of all of its debts.
RFIL's Debt to FCF ratio of 1.80 is fine compared to the rest of the industry. RFIL outperforms 77.42% of its industry peers.
RFIL has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
RFIL has a Debt to Equity ratio (0.23) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.8 | ||
| Altman-Z | 2.63 |
ROIC/WACC0.01
WACC9.53%
2.3 Liquidity
RFIL has a Current Ratio of 1.59. This is a normal value and indicates that RFIL is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.59, RFIL is not doing good in the industry: 69.35% of the companies in the same industry are doing better.
RFIL has a Quick Ratio of 1.59. This is a bad value and indicates that RFIL is not financially healthy enough and could expect problems in meeting its short term obligations.
RFIL has a Quick ratio of 0.98. This is in the lower half of the industry: RFIL underperforms 78.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 457.14% over the past year.
The Revenue for RFIL has decreased by -10.13% in the past year. This is quite bad
The Revenue has been growing slightly by 3.23% on average over the past years.
EPS 1Y (TTM)457.14%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1100%
Revenue 1Y (TTM)-10.13%
Revenue growth 3Y4.14%
Revenue growth 5Y3.23%
Sales Q2Q%17.55%
3.2 Future
RFIL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 284.06% yearly.
The Revenue is expected to grow by 12.22% on average over the next years. This is quite good.
EPS Next Y1324%
EPS Next 2Y284.06%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year18.87%
Revenue Next 2Y12.22%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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
RFIL is valuated quite expensively with a Price/Earnings ratio of 31.00.
Compared to the rest of the industry, the Price/Earnings ratio of RFIL indicates a somewhat cheap valuation: RFIL is cheaper than 63.71% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of RFIL to the average of the S&P500 Index (27.38), we can say RFIL is valued inline with the index average.
A Price/Forward Earnings ratio of 30.39 indicates a quite expensive valuation of RFIL.
The rest of the industry has a similar Price/Forward Earnings ratio as RFIL.
RFIL is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31 | ||
| Fwd PE | 30.39 |
4.2 Price Multiples
RFIL's Enterprise Value to EBITDA is on the same level as the industry average.
RFIL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. RFIL is cheaper than 87.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.65 | ||
| EV/EBITDA | 31.14 |
4.3 Compensation for Growth
RFIL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RFIL's earnings are expected to grow with 284.06% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.02
PEG (5Y)N/A
EPS Next 2Y284.06%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for RFIL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.75
+0.19 (+2.51%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners22.12%
Inst Owner Change9.63%
Ins Owners8.44%
Ins Owner Change4.82%
Market Cap82.69M
Analysts82.86
Price Target6.38 (-17.68%)
Short Float %0.52%
Short Ratio0.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)51.14%
Min EPS beat(2)30.72%
Max EPS beat(2)71.57%
EPS beat(4)2
Avg EPS beat(4)-12.7%
Min EPS beat(4)-116.34%
Max EPS beat(4)71.57%
EPS beat(8)5
Avg EPS beat(8)-4.18%
EPS beat(12)7
Avg EPS beat(12)18.22%
EPS beat(16)10
Avg EPS beat(16)24.3%
Revenue beat(2)2
Avg Revenue beat(2)4.76%
Min Revenue beat(2)1.98%
Max Revenue beat(2)7.55%
Revenue beat(4)3
Avg Revenue beat(4)0.85%
Min Revenue beat(4)-7.49%
Max Revenue beat(4)7.55%
Revenue beat(8)3
Avg Revenue beat(8)-5.48%
Revenue beat(12)6
Avg Revenue beat(12)-3%
Revenue beat(16)10
Avg Revenue beat(16)0.96%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-14.29%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.76%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31 | ||
| Fwd PE | 30.39 | ||
| P/S | 1.13 | ||
| P/FCF | 18.65 | ||
| P/OCF | 16.81 | ||
| P/B | 2.42 | ||
| P/tB | 5.98 | ||
| EV/EBITDA | 31.14 |
EPS(TTM)0.25
EY3.23%
EPS(NY)0.26
Fwd EY3.29%
FCF(TTM)0.42
FCFY5.36%
OCF(TTM)0.46
OCFY5.95%
SpS6.88
BVpS3.2
TBVpS1.3
PEG (NY)0.02
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.97% | ||
| ROE | -4.19% | ||
| ROCE | 0.07% | ||
| ROIC | 0.05% | ||
| ROICexc | 0.05% | ||
| ROICexgc | 0.09% | ||
| OM | 0.05% | ||
| PM (TTM) | N/A | ||
| GM | 30.53% | ||
| FCFM | 6.04% |
ROA(3y)-3.8%
ROA(5y)0.17%
ROE(3y)-7.88%
ROE(5y)-1.66%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.03%
GM growth 5Y0.58%
F-Score7
Asset Turnover1.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.8 | ||
| Debt/EBITDA | 3.15 | ||
| Cap/Depr | 19.47% | ||
| Cap/Sales | 0.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 193.7% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.59 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 2.63 |
F-Score7
WACC9.53%
ROIC/WACC0.01
Cap/Depr(3y)96.58%
Cap/Depr(5y)68.67%
Cap/Sales(3y)2.57%
Cap/Sales(5y)1.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)457.14%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1100%
EPS Next Y1324%
EPS Next 2Y284.06%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-10.13%
Revenue growth 3Y4.14%
Revenue growth 5Y3.23%
Sales Q2Q%17.55%
Revenue Next Year18.87%
Revenue Next 2Y12.22%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y100.71%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year246.12%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y45.82%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-27.11%
OCF growth 3YN/A
OCF growth 5YN/A