4.4161 USD
+0.48 (+12.08%)
4.2668 USD
-0.15 (-3.38%)
We assign a fundamental rating of 4 out of 10 to RMCO. RMCO was compared to 80 industry peers in the Commercial Services & Supplies industry. The financial health of RMCO is average, but there are quite some concerns on its profitability. RMCO is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year RMCO has reported negative net income.
- RMCO had a negative operating cash flow in the past year.
- In the past 5 years RMCO reported 4 times negative net income.
- The reported operating cash flow has been mixed in the past 5 years: RMCO reported negative operating cash flow in multiple years.
1.2 Ratios
- Looking at the Return On Assets, with a value of -1.94%, RMCO is doing worse than 60.00% of the companies in the same industry.
- RMCO has a Return On Equity of -2.48%. This is comparable to the rest of the industry: RMCO outperforms 43.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.94% | ||
| ROE | -2.48% | ||
| ROIC | N/A |
ROA(3y)-0.75%
ROA(5y)N/A
ROE(3y)-0.21%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Gross Margin of RMCO (22.87%) is worse than 67.50% of its industry peers.
- RMCO does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 22.87% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- RMCO does not have a ROIC to compare to the WACC, probably because it is not profitable.
- The number of shares outstanding for RMCO has been increased compared to 1 year ago.
- RMCO has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 10.39 indicates that RMCO is not in any danger for bankruptcy at the moment.
- RMCO has a better Altman-Z score (10.39) than 91.25% of its industry peers.
- RMCO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 10.39 |
ROIC/WACCN/A
WACC8.8%
2.3 Liquidity
- A Current Ratio of 1.07 indicates that RMCO should not have too much problems paying its short term obligations.
- The Current ratio of RMCO (1.07) is worse than 72.50% of its industry peers.
- A Quick Ratio of 1.07 indicates that RMCO should not have too much problems paying its short term obligations.
- RMCO has a Quick ratio of 1.07. This is in the lower half of the industry: RMCO underperforms 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 90.26% over the past year.
- Looking at the last year, RMCO shows a very strong growth in Revenue. The Revenue has grown by 65.22%.
EPS 1Y (TTM)90.26%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-86.67%
Revenue 1Y (TTM)65.22%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%794.79%
3.2 Future
- The Earnings Per Share is expected to grow by 178.35% on average over the next years. This is a very strong growth
- Based on estimates for the next years, RMCO will show a very strong growth in Revenue. The Revenue will grow by 142.24% on average per year.
EPS Next Y234.21%
EPS Next 2Y411.45%
EPS Next 3Y335.38%
EPS Next 5Y178.35%
Revenue Next Year531.89%
Revenue Next 2Y335.39%
Revenue Next 3Y253.66%
Revenue Next 5Y142.24%
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
- RMCO reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- With a Price/Forward Earnings ratio of 24.05, RMCO is valued on the expensive side.
- 66.25% of the companies in the same industry are more expensive than RMCO, based on the Price/Forward Earnings ratio.
- RMCO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 24.05 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- A more expensive valuation may be justified as RMCO's earnings are expected to grow with 335.38% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y411.45%
EPS Next 3Y335.38%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.23%, RMCO is not a good candidate for dividend investing.
- RMCO's Dividend Yield is a higher than the industry average which is at 0.83.
- Compared to an average S&P500 Dividend Yield of 1.81, RMCO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
5.2 History
- RMCO does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y411.45%
EPS Next 3Y335.38%
ROYALTY MANAGEMENT HOLDING C / RMCO FAQ
What is the ChartMill fundamental rating of ROYALTY MANAGEMENT HOLDING C (RMCO) stock?
ChartMill assigns a fundamental rating of 4 / 10 to RMCO.
What is the valuation status of ROYALTY MANAGEMENT HOLDING C (RMCO) stock?
ChartMill assigns a valuation rating of 3 / 10 to ROYALTY MANAGEMENT HOLDING C (RMCO). This can be considered as Overvalued.
What is the profitability of RMCO stock?
ROYALTY MANAGEMENT HOLDING C (RMCO) has a profitability rating of 1 / 10.
What is the financial health of ROYALTY MANAGEMENT HOLDING C (RMCO) stock?
The financial health rating of ROYALTY MANAGEMENT HOLDING C (RMCO) is 6 / 10.