RE/MAX HOLDINGS INC-CL A (RMAX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RMAX - US75524W1080 - Common Stock
8.36 USD
-0.1 (-1.18%)
8.36 USD
0 (0%)
Overall RMAX gets a fundamental rating of 5 out of 10. We evaluated RMAX against 63 industry peers in the Real Estate Management & Development industry. While RMAX is still in line with the averages on profitability rating, there are concerns on its financial health. RMAX has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
RMAX had positive earnings in the past year.
In the past year RMAX had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: RMAX reported negative net income in multiple years.
In the past 5 years RMAX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of RMAX (2.15%) is better than 71.43% of its industry peers.
Looking at the Return On Equity, with a value of 2.79%, RMAX is in the better half of the industry, outperforming 68.25% of the companies in the same industry.
RMAX has a Return On Invested Capital of 8.48%. This is amongst the best in the industry. RMAX outperforms 95.24% of its industry peers.
RMAX had an Average Return On Invested Capital over the past 3 years of 7.69%. This is in line with the industry average of 6.28%.
The last Return On Invested Capital (8.48%) for RMAX is above the 3 year average (7.69%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 2.79% | ||
| ROIC | 8.48% |
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
Looking at the Profit Margin, with a value of 4.27%, RMAX is in the better half of the industry, outperforming 73.02% of the companies in the same industry.
RMAX's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 16.10%, RMAX belongs to the top of the industry, outperforming 84.13% of the companies in the same industry.
In the last couple of years the Operating Margin of RMAX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.1% | ||
| PM (TTM) | 4.27% | ||
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RMAX is destroying value.
Compared to 1 year ago, RMAX has more shares outstanding
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 1.41, we must say that RMAX is in the distress zone and has some risk of bankruptcy.
RMAX has a Altman-Z score (1.41) which is in line with its industry peers.
RMAX has a debt to FCF ratio of 11.14. This is a negative value and a sign of low solvency as RMAX would need 11.14 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 11.14, RMAX is doing good in the industry, outperforming 66.67% of the companies in the same industry.
RMAX has a Debt/Equity ratio of 0.97. This is a neutral value indicating RMAX is somewhat dependend on debt financing.
RMAX has a worse Debt to Equity ratio (0.97) than 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 11.14 | ||
| Altman-Z | 1.41 |
ROIC/WACC0.95
WACC8.92%
2.3 Liquidity
RMAX has a Current Ratio of 1.65. This is a normal value and indicates that RMAX is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of RMAX (1.65) is comparable to the rest of the industry.
A Quick Ratio of 1.65 indicates that RMAX should not have too much problems paying its short term obligations.
RMAX has a Quick ratio (1.65) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.65 | ||
| Quick Ratio | 1.65 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.78% over the past year.
The earnings per share for RMAX have been decreasing by -10.21% on average. This is quite bad
RMAX shows a decrease in Revenue. In the last year, the revenue decreased by -6.06%.
RMAX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.74% yearly.
EPS 1Y (TTM)0.78%
EPS 3Y-18.69%
EPS 5Y-10.21%
EPS Q2Q%-2.63%
Revenue 1Y (TTM)-6.06%
Revenue growth 3Y-2.28%
Revenue growth 5Y1.74%
Sales Q2Q%-6.67%
3.2 Future
The Earnings Per Share is expected to grow by 5.26% on average over the next years.
The Revenue is expected to decrease by -0.92% on average over the next years.
EPS Next Y0.68%
EPS Next 2Y1.77%
EPS Next 3Y5.26%
EPS Next 5YN/A
Revenue Next Year-5.85%
Revenue Next 2Y-2.53%
Revenue Next 3Y-0.92%
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 6.43, the valuation of RMAX can be described as very cheap.
Based on the Price/Earnings ratio, RMAX is valued cheaper than 95.24% of the companies in the same industry.
When comparing the Price/Earnings ratio of RMAX to the average of the S&P500 Index (26.76), we can say RMAX is valued rather cheaply.
RMAX is valuated cheaply with a Price/Forward Earnings ratio of 6.26.
Based on the Price/Forward Earnings ratio, RMAX is valued cheaper than 100.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.96, RMAX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.43 | ||
| Fwd PE | 6.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RMAX is valued cheaply inside the industry as 98.41% of the companies are valued more expensively.
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 | 4.27 | ||
| EV/EBITDA | 6.74 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RMAX does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of RMAX may justify a higher PE ratio.
PEG (NY)9.43
PEG (5Y)N/A
EPS Next 2Y1.77%
EPS Next 3Y5.26%
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 3.48. RMAX pays more dividend than 98.41% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, RMAX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.1% |
5.2 History
The dividend of RMAX decreases each year by -48.00%.
RMAX has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-48%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
2.79% of the earnings are spent on dividend by RMAX. This is a low number and sustainable payout ratio.
DP2.79%
EPS Next 2Y1.77%
EPS Next 3Y5.26%
8.36
-0.1 (-1.18%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners80.86%
Inst Owner Change0.87%
Ins Owners7.97%
Ins Owner Change-5.79%
Market Cap167.70M
Revenue(TTM)292.93M
Net Income(TTM)12.52M
Analysts46.67
Price Target9.18 (9.81%)
Short Float %2.72%
Short Ratio2.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.1% |
Yearly Dividend0.03
Dividend Growth(5Y)-48%
DP2.79%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.67%
Min EPS beat(2)-3.91%
Max EPS beat(2)9.24%
EPS beat(4)3
Avg EPS beat(4)9.16%
Min EPS beat(4)-3.91%
Max EPS beat(4)29.28%
EPS beat(8)7
Avg EPS beat(8)7.38%
EPS beat(12)8
Avg EPS beat(12)4.92%
EPS beat(16)10
Avg EPS beat(16)3.92%
Revenue beat(2)0
Avg Revenue beat(2)-3.1%
Min Revenue beat(2)-3.93%
Max Revenue beat(2)-2.26%
Revenue beat(4)0
Avg Revenue beat(4)-2.7%
Min Revenue beat(4)-4.45%
Max Revenue beat(4)-0.14%
Revenue beat(8)0
Avg Revenue beat(8)-2.08%
Revenue beat(12)1
Avg Revenue beat(12)-2.05%
Revenue beat(16)1
Avg Revenue beat(16)-1.94%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-14.58%
EPS NY rev (1m)-2.98%
EPS NY rev (3m)-3.35%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.32%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.43 | ||
| Fwd PE | 6.26 | ||
| P/S | 0.57 | ||
| P/FCF | 4.27 | ||
| P/OCF | 3.75 | ||
| P/B | 0.37 | ||
| P/tB | 1.31 | ||
| EV/EBITDA | 6.74 |
EPS(TTM)1.3
EY15.55%
EPS(NY)1.34
Fwd EY15.98%
FCF(TTM)1.96
FCFY23.44%
OCF(TTM)2.23
OCFY26.68%
SpS14.6
BVpS22.34
TBVpS6.39
PEG (NY)9.43
PEG (5Y)N/A
Graham Number25.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.15% | ||
| ROE | 2.79% | ||
| ROCE | 10.73% | ||
| ROIC | 8.48% | ||
| ROICexc | 11.22% | ||
| ROICexgc | 308.9% | ||
| OM | 16.1% | ||
| PM (TTM) | 4.27% | ||
| GM | N/A | ||
| FCFM | 13.42% |
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 Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 11.14 | ||
| Debt/EBITDA | 5.87 | ||
| Cap/Depr | 20.31% | ||
| Cap/Sales | 1.85% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.57% | ||
| Profit Quality | 314.08% | ||
| Current Ratio | 1.65 | ||
| Quick Ratio | 1.65 | ||
| Altman-Z | 1.41 |
F-Score7
WACC8.92%
ROIC/WACC0.95
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 Y0.68%
EPS Next 2Y1.77%
EPS Next 3Y5.26%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.06%
Revenue growth 3Y-2.28%
Revenue growth 5Y1.74%
Sales Q2Q%-6.67%
Revenue Next Year-5.85%
Revenue Next 2Y-2.53%
Revenue Next 3Y-0.92%
Revenue Next 5YN/A
EBIT growth 1Y5.7%
EBIT growth 3Y9.1%
EBIT growth 5Y-7.44%
EBIT Next Year97.99%
EBIT Next 3Y28.83%
EBIT Next 5YN/A
FCF growth 1Y69.84%
FCF growth 3Y24.93%
FCF growth 5Y-4.21%
OCF growth 1Y52.28%
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 0.68% 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 2.79%.