RAYMOND JAMES FINANCIAL INC (RJF)
US7547301090 - Common Stock
Overall RJF gets a fundamental rating of 3 out of 10. We evaluated RJF against 210 industry peers in the Capital Markets industry. There are concerns on the financial health of RJF while its profitability can be described as average. RJF has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year RJF was profitable.
RJF had a positive operating cash flow in the past year.
Each year in the past 5 years RJF has been profitable.
Of the past 5 years RJF 4 years had a positive operating cash flow.
1.2 Ratios
RJF's Return On Assets of 2.15% is in line compared to the rest of the industry. RJF outperforms 42.79% of its industry peers.
Looking at the Return On Equity, with a value of 15.97%, RJF is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
RJF has a worse Return On Invested Capital (2.53%) than 71.15% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RJF is significantly below the industry average of 8.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 15.97% | ||
| ROIC | 2.53% |
ROA(3y)2.11%
ROA(5y)2.14%
ROE(3y)16.63%
ROE(5y)15.41%
ROIC(3y)2.79%
ROIC(5y)2.85%
1.3 Margins
RJF has a Profit Margin of 12.78%. This is in the lower half of the industry: RJF underperforms 60.10% of its industry peers.
RJF's Profit Margin has improved in the last couple of years.
RJF has a Operating Margin of 17.65%. This is in the lower half of the industry: RJF underperforms 62.50% of its industry peers.
In the last couple of years the Operating Margin of RJF has remained more or less at the same level.
With an excellent Gross Margin value of 85.64%, RJF belongs to the best of the industry, outperforming 87.02% of the companies in the same industry.
RJF's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.65% | ||
| PM (TTM) | 12.78% | ||
| GM | 85.64% |
OM growth 3Y4.2%
OM growth 5Y1.18%
PM growth 3Y10.07%
PM growth 5Y3.1%
GM growth 3Y-2.98%
GM growth 5Y-1.72%
2. Health
2.1 Basic Checks
RJF has less shares outstanding than it did 1 year ago.
RJF has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, RJF has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -0.03, we must say that RJF is in the distress zone and has some risk of bankruptcy.
RJF's Altman-Z score of -0.03 is on the low side compared to the rest of the industry. RJF is outperformed by 77.88% of its industry peers.
RJF has a Debt/Equity ratio of 5.47. This is a high value indicating a heavy dependency on external financing.
RJF's Debt to Equity ratio of 5.47 is on the low side compared to the rest of the industry. RJF is outperformed by 85.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.47 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.03 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
RJF has a Current Ratio of 0.27. This is a bad value and indicates that RJF is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.27, RJF is doing worse than 77.88% of the companies in the same industry.
RJF has a Quick Ratio of 0.27. This is a bad value and indicates that RJF is not financially healthy enough and could expect problems in meeting its short term obligations.
RJF has a Quick ratio of 0.27. This is in the lower half of the industry: RJF underperforms 77.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.27 | ||
| Quick Ratio | 0.27 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.69% over the past year.
The Earnings Per Share has been growing by 13.99% on average over the past years. This is quite good.
RJF shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.09%.
RJF shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.69% yearly.
EPS 1Y (TTM)11.69%
EPS 3Y26.85%
EPS 5Y13.99%
EPS growth Q2Q4.8%
Revenue 1Y (TTM)17.09%
Revenue growth 3Y16.73%
Revenue growth 5Y11.69%
Revenue growth Q2Q16.29%
3.2 Future
The Earnings Per Share is expected to grow by 7.81% on average over the next years.
The Revenue is expected to grow by 6.77% on average over the next years.
EPS Next Y18.25%
EPS Next 2Y12.13%
EPS Next 3Y10.81%
EPS Next 5Y7.81%
Revenue Next Year9.48%
Revenue Next 2Y8.68%
Revenue Next 3Y8.94%
Revenue Next 5Y6.77%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.12, the valuation of RJF can be described as correct.
RJF's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of RJF to the average of the S&P500 Index (25.20), we can say RJF is valued slightly cheaper.
With a Price/Forward Earnings ratio of 12.18, RJF is valued correctly.
RJF's Price/Forward Earnings is on the same level as the industry average.
RJF's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.60.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.12 | ||
| Fwd PE | 12.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RJF is valued cheaply inside the industry as 88.46% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.52 |
4.3 Compensation for Growth
RJF's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.83
PEG (5Y)1.08
EPS Next 2Y12.13%
EPS Next 3Y10.81%
5. Dividend
5.1 Amount
RJF has a Yearly Dividend Yield of 1.48%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 7.77, RJF is paying slightly less dividend.
RJF's Dividend Yield is slightly below the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
The dividend of RJF is nicely growing with an annual growth rate of 9.97%!
RJF has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)9.97%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
RJF pays out 21.53% of its income as dividend. This is a sustainable payout ratio.
RJF's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP21.53%
EPS Next 2Y12.13%
EPS Next 3Y10.81%
RAYMOND JAMES FINANCIAL INC
NYSE:RJF (4/23/2024, 7:22:46 PM)
After market: 127.14 0 (0%)127.14
+1.66 (+1.32%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap26.58B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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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 | 15.12 | ||
| Fwd PE | 12.18 | ||
| 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)0.83
PEG (5Y)1.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 15.97% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 17.65% | ||
| PM (TTM) | 12.78% | ||
| GM | 85.64% | ||
| 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 Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.47 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.27 | ||
| Quick Ratio | 0.27 | ||
| 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)11.69%
EPS 3Y26.85%
EPS 5Y
EPS growth Q2Q
EPS Next Y18.25%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)17.09%
Revenue growth 3Y16.73%
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