RE/MAX HOLDINGS INC-CL A (RMAX) Stock Fundamental Analysis
USA - NYSE:RMAX - US75524W1080 - Common Stock
7.53 USD
-0.01 (-0.13%)
7.53 USD
0 (0%)
RMAX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 63 industry peers in the Real Estate Management & Development industry. There are concerns on the financial health of RMAX while its profitability can be described as average. RMAX is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year RMAX was profitable.
RMAX had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: RMAX reported negative net income in multiple years.
Each year in the past 5 years RMAX had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.65%, RMAX is in the better half of the industry, outperforming 68.25% of the companies in the same industry.
RMAX has a Return On Equity of 2.15%. This is in the better half of the industry: RMAX outperforms 68.25% of its industry peers.
With an excellent Return On Invested Capital value of 8.40%, RMAX belongs to the best of the industry, outperforming 93.65% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for RMAX is in line with the industry average of 6.25%.
The last Return On Invested Capital (8.40%) for RMAX is above the 3 year average (7.69%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 2.15% | ||
| ROIC | 8.4% |
ROA(3y)-3.29%
ROA(5y)-1.96%
ROE(3y)-4.62%
ROE(5y)-2.95%
ROIC(3y)7.69%
ROIC(5y)7.23%
1.3 Margins
RMAX's Profit Margin of 3.19% is fine compared to the rest of the industry. RMAX outperforms 73.02% of its industry peers.
RMAX's Profit Margin has declined in the last couple of years.
RMAX's Operating Margin of 15.48% is amongst the best of the industry. RMAX outperforms 82.54% of its industry peers.
RMAX's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.48% | ||
| PM (TTM) | 3.19% | ||
| GM | N/A |
OM growth 3Y11.65%
OM growth 5Y-9.02%
PM growth 3YN/A
PM growth 5Y-23.72%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
RMAX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
RMAX has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, RMAX has more shares outstanding
RMAX has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.32, we must say that RMAX is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of RMAX (1.32) is comparable to the rest of the industry.
RMAX has a debt to FCF ratio of 11.20. This is a negative value and a sign of low solvency as RMAX would need 11.20 years to pay back of all of its debts.
RMAX has a better Debt to FCF ratio (11.20) than 68.25% of its industry peers.
RMAX has a Debt/Equity ratio of 0.98. This is a neutral value indicating RMAX is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.98, RMAX is not doing good in the industry: 61.90% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 11.2 | ||
| Altman-Z | 1.32 |
ROIC/WACC0.96
WACC8.72%
2.3 Liquidity
RMAX has a Current Ratio of 1.57. This is a normal value and indicates that RMAX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.57, RMAX is in line with its industry, outperforming 49.21% of the companies in the same industry.
RMAX has a Quick Ratio of 1.57. This is a normal value and indicates that RMAX is financially healthy and should not expect problems in meeting its short term obligations.
RMAX has a Quick ratio of 1.57. This is comparable to the rest of the industry: RMAX outperforms 50.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.57 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.78% over the past year.
RMAX shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.21% yearly.
Looking at the last year, RMAX shows a decrease in Revenue. The Revenue has decreased by -5.52% in the last year.
The Revenue has been growing slightly by 1.74% on average over the past years.
EPS 1Y (TTM)0.78%
EPS 3Y-18.69%
EPS 5Y-10.21%
EPS Q2Q%-2.63%
Revenue 1Y (TTM)-5.52%
Revenue growth 3Y-2.28%
Revenue growth 5Y1.74%
Sales Q2Q%-6.67%
3.2 Future
RMAX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.22% yearly.
Based on estimates for the next years, RMAX will show a decrease in Revenue. The Revenue will decrease by -0.31% on average per year.
EPS Next Y3.78%
EPS Next 2Y2.93%
EPS Next 3Y5.22%
EPS Next 5YN/A
Revenue Next Year-5.83%
Revenue Next 2Y-2.51%
Revenue Next 3Y-0.31%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
With a Price/Earnings ratio of 5.79, the valuation of RMAX can be described as very cheap.
Based on the Price/Earnings ratio, RMAX is valued cheaply inside the industry as 95.24% of the companies are valued more expensively.
RMAX is valuated cheaply when we compare the Price/Earnings ratio to 25.83, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 5.51, which indicates a rather cheap valuation of RMAX.
RMAX's Price/Forward Earnings ratio is rather cheap when compared to the industry. RMAX is cheaper than 100.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 32.68, RMAX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.79 | ||
| Fwd PE | 5.51 |
4.2 Price Multiples
RMAX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. RMAX is cheaper than 98.41% of the companies in the same industry.
96.83% of the companies in the same industry are more expensive than RMAX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.85 | ||
| EV/EBITDA | 6.73 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of RMAX may justify a higher PE ratio.
PEG (NY)1.53
PEG (5Y)N/A
EPS Next 2Y2.93%
EPS Next 3Y5.22%
5. Dividend
5.1 Amount
RMAX has a Yearly Dividend Yield of 10.10%, which is a nice return.
RMAX's Dividend Yield is rather good when compared to the industry average which is at 3.55. RMAX pays more dividend than 98.41% of the companies in the same industry.
RMAX's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.1% |
5.2 History
The dividend of RMAX decreases each year by -48.00%.
RMAX has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-48%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
RMAX pays out 3.60% of its income as dividend. This is a sustainable payout ratio.
DP3.6%
EPS Next 2Y2.93%
EPS Next 3Y5.22%
7.53
-0.01 (-0.13%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners80.63%
Inst Owner Change-1.82%
Ins Owners8.03%
Ins Owner Change-4.58%
Market Cap150.83M
Revenue(TTM)307.69M
Net Income(TTM)9.50M
Analysts46.67
Price Target9.18 (21.91%)
Short Float %3.12%
Short Ratio2.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.1% |
Yearly Dividend0.03
Dividend Growth(5Y)-48%
DP3.6%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.26%
Min EPS beat(2)9.24%
Max EPS beat(2)29.28%
EPS beat(4)4
Avg EPS beat(4)11.3%
Min EPS beat(4)2.01%
Max EPS beat(4)29.28%
EPS beat(8)8
Avg EPS beat(8)8.99%
EPS beat(12)8
Avg EPS beat(12)4.84%
EPS beat(16)11
Avg EPS beat(16)4.86%
Revenue beat(2)0
Avg Revenue beat(2)-2.04%
Min Revenue beat(2)-3.93%
Max Revenue beat(2)-0.14%
Revenue beat(4)0
Avg Revenue beat(4)-2.53%
Min Revenue beat(4)-4.45%
Max Revenue beat(4)-0.14%
Revenue beat(8)0
Avg Revenue beat(8)-2.07%
Revenue beat(12)1
Avg Revenue beat(12)-2.01%
Revenue beat(16)2
Avg Revenue beat(16)-1.72%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.01%
EPS NY rev (1m)0%
EPS NY rev (3m)0.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.79 | ||
| Fwd PE | 5.51 | ||
| P/S | 0.51 | ||
| P/FCF | 3.85 | ||
| P/OCF | 3.38 | ||
| P/B | 0.34 | ||
| P/tB | 1.3 | ||
| EV/EBITDA | 6.73 |
EPS(TTM)1.3
EY17.26%
EPS(NY)1.37
Fwd EY18.15%
FCF(TTM)1.96
FCFY25.98%
OCF(TTM)2.23
OCFY29.57%
SpS14.89
BVpS22.09
TBVpS5.8
PEG (NY)1.53
PEG (5Y)N/A
Graham Number25.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 2.15% | ||
| ROCE | 10.63% | ||
| ROIC | 8.4% | ||
| ROICexc | 10.73% | ||
| ROICexgc | 266.32% | ||
| OM | 15.48% | ||
| PM (TTM) | 3.19% | ||
| GM | N/A | ||
| FCFM | 13.14% |
ROA(3y)-3.29%
ROA(5y)-1.96%
ROE(3y)-4.62%
ROE(5y)-2.95%
ROIC(3y)7.69%
ROIC(5y)7.23%
ROICexc(3y)9.67%
ROICexc(5y)9.18%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)9.74%
ROCE(5y)9.16%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y25.58%
ROICexc growth 5Y-6.23%
OM growth 3Y11.65%
OM growth 5Y-9.02%
PM growth 3YN/A
PM growth 5Y-23.72%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 11.2 | ||
| Debt/EBITDA | 5.9 | ||
| Cap/Depr | 19.71% | ||
| Cap/Sales | 1.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.55% | ||
| Profit Quality | 412.51% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.57 | ||
| Altman-Z | 1.32 |
F-Score7
WACC8.72%
ROIC/WACC0.96
Cap/Depr(3y)23.32%
Cap/Depr(5y)28.89%
Cap/Sales(3y)2.31%
Cap/Sales(5y)2.83%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.78%
EPS 3Y-18.69%
EPS 5Y-10.21%
EPS Q2Q%-2.63%
EPS Next Y3.78%
EPS Next 2Y2.93%
EPS Next 3Y5.22%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.52%
Revenue growth 3Y-2.28%
Revenue growth 5Y1.74%
Sales Q2Q%-6.67%
Revenue Next Year-5.83%
Revenue Next 2Y-2.51%
Revenue Next 3Y-0.31%
Revenue Next 5YN/A
EBIT growth 1Y19.95%
EBIT growth 3Y9.1%
EBIT growth 5Y-7.44%
EBIT Next Year101.02%
EBIT Next 3Y29.95%
EBIT Next 5YN/A
FCF growth 1Y40.73%
FCF growth 3Y24.93%
FCF growth 5Y-4.21%
OCF growth 1Y29.42%
OCF growth 3Y12.02%
OCF growth 5Y-5.46%
RE/MAX HOLDINGS INC-CL A / RMAX FAQ
Can you provide the ChartMill fundamental rating for RE/MAX HOLDINGS INC-CL A?
ChartMill assigns a fundamental rating of 5 / 10 to RMAX.
What is the valuation status of RE/MAX HOLDINGS INC-CL A (RMAX) stock?
ChartMill assigns a valuation rating of 8 / 10 to RE/MAX HOLDINGS INC-CL A (RMAX). This can be considered as Undervalued.
What is the profitability of RMAX stock?
RE/MAX HOLDINGS INC-CL A (RMAX) has a profitability rating of 6 / 10.
What is the earnings growth outlook for RE/MAX HOLDINGS INC-CL A?
The Earnings per Share (EPS) of RE/MAX HOLDINGS INC-CL A (RMAX) is expected to grow by 3.78% in the next year.
How sustainable is the dividend of RE/MAX HOLDINGS INC-CL A (RMAX) stock?
The dividend rating of RE/MAX HOLDINGS INC-CL A (RMAX) is 6 / 10 and the dividend payout ratio is 3.6%.