RANGER ENERGY SERVICES-CL A (RNGR) Stock Fundamental Analysis
NYSE:RNGR - New York Stock Exchange, Inc. - US75282U1043 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to RNGR. RNGR was compared to 63 industry peers in the Energy Equipment & Services industry. RNGR has an excellent financial health rating, but there are some minor concerns on its profitability. RNGR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year RNGR was profitable.
In the past year RNGR had a positive cash flow from operations.
RNGR had positive earnings in 4 of the past 5 years.
RNGR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
RNGR has a Return On Assets (5.26%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of 7.26%, RNGR is in line with its industry, outperforming 49.21% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 7.11%, RNGR is in line with its industry, outperforming 52.38% of the companies in the same industry.
RNGR had an Average Return On Invested Capital over the past 3 years of 6.50%. This is in line with the industry average of 8.44%.
The 3 year average ROIC (6.50%) for RNGR is below the current ROIC(7.11%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 7.26% | ||
| ROIC | 7.11% |
ROA(3y)5.03%
ROA(5y)2.6%
ROE(3y)7.05%
ROE(5y)2.9%
ROIC(3y)6.5%
ROIC(5y)N/A
1.3 Margins
RNGR has a worse Profit Margin (3.48%) than 63.49% of its industry peers.
In the last couple of years the Profit Margin of RNGR has grown nicely.
RNGR has a worse Operating Margin (5.32%) than 69.84% of its industry peers.
In the last couple of years the Operating Margin of RNGR has grown nicely.
RNGR has a Gross Margin of 17.91%. This is in the lower half of the industry: RNGR underperforms 76.19% of its industry peers.
RNGR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.32% | ||
| PM (TTM) | 3.48% | ||
| GM | 17.91% |
OM growth 3YN/A
OM growth 5Y4.66%
PM growth 3Y3.17%
PM growth 5Y43.24%
GM growth 3Y19.18%
GM growth 5Y-4.73%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RNGR is destroying value.
Compared to 1 year ago, RNGR has less shares outstanding
Compared to 5 years ago, RNGR has more shares outstanding
RNGR has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.79 indicates that RNGR is not in any danger for bankruptcy at the moment.
RNGR has a Altman-Z score of 3.79. This is amongst the best in the industry. RNGR outperforms 85.71% of its industry peers.
RNGR has a debt to FCF ratio of 0.54. This is a very positive value and a sign of high solvency as it would only need 0.54 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.54, RNGR belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
RNGR has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.07, RNGR is doing good in the industry, outperforming 79.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.54 | ||
| Altman-Z | 3.79 |
ROIC/WACC0.8
WACC8.92%
2.3 Liquidity
RNGR has a Current Ratio of 2.30. This indicates that RNGR is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.30, RNGR is in the better half of the industry, outperforming 73.02% of the companies in the same industry.
RNGR has a Quick Ratio of 2.21. This indicates that RNGR is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 2.21, RNGR belongs to the best of the industry, outperforming 82.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.3 | ||
| Quick Ratio | 2.21 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 29.41% over the past year.
Measured over the past years, RNGR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.56% on average per year.
RNGR shows a decrease in Revenue. In the last year, the revenue decreased by -7.56%.
RNGR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.13% yearly.
EPS 1Y (TTM)29.41%
EPS 3Y8.74%
EPS 5Y18.56%
EPS Q2Q%200%
Revenue 1Y (TTM)-7.56%
Revenue growth 3Y24.9%
Revenue growth 5Y11.13%
Sales Q2Q%-1.24%
3.2 Future
The Earnings Per Share is expected to grow by 16.39% on average over the next years. This is quite good.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y-2.48%
EPS Next 2Y16.39%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year12%
Revenue Next 2YN/A
Revenue Next 3YN/A
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 stable.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.02 indicates a correct valuation of RNGR.
RNGR's Price/Earnings ratio is a bit cheaper when compared to the industry. RNGR is cheaper than 65.08% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.45. RNGR is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 11.11, the valuation of RNGR can be described as very reasonable.
Based on the Price/Forward Earnings ratio, RNGR is valued a bit cheaper than 61.90% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of RNGR to the average of the S&P500 Index (21.90), we can say RNGR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.02 | ||
| Fwd PE | 11.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RNGR is valued cheaply inside the industry as 84.13% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RNGR indicates a rather cheap valuation: RNGR is cheaper than 90.48% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.75 | ||
| EV/EBITDA | 3.57 |
4.3 Compensation for Growth
A more expensive valuation may be justified as RNGR's earnings are expected to grow with 16.39% in the coming years.
PEG (NY)N/A
PEG (5Y)0.76
EPS Next 2Y16.39%
EPS Next 3YN/A
5. Dividend
5.1 Amount
RNGR has a Yearly Dividend Yield of 1.80%.
RNGR's Dividend Yield is a higher than the industry average which is at 3.70.
Compared to the average S&P500 Dividend Yield of 2.42, RNGR is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
RNGR has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
RNGR pays out 29.29% of its income as dividend. This is a sustainable payout ratio.
DP29.29%
EPS Next 2Y16.39%
EPS Next 3YN/A
12.34
+0.1 (+0.82%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners59.72%
Inst Owner Change3.33%
Ins Owners2.31%
Ins Owner Change-1.14%
Market Cap277.65M
Analysts80
Price Target15.56 (26.09%)
Short Float %1.41%
Short Ratio1.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Yearly Dividend0.2
Dividend Growth(5Y)N/A
DP29.29%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-26.06%
Min EPS beat(2)-78.13%
Max EPS beat(2)26.01%
EPS beat(4)3
Avg EPS beat(4)9.03%
Min EPS beat(4)-78.13%
Max EPS beat(4)54.8%
EPS beat(8)3
Avg EPS beat(8)-30.42%
EPS beat(12)4
Avg EPS beat(12)-30.29%
EPS beat(16)4
Avg EPS beat(16)-138.33%
Revenue beat(2)0
Avg Revenue beat(2)-7.49%
Min Revenue beat(2)-13.37%
Max Revenue beat(2)-1.62%
Revenue beat(4)1
Avg Revenue beat(4)-4.23%
Min Revenue beat(4)-13.37%
Max Revenue beat(4)6.46%
Revenue beat(8)1
Avg Revenue beat(8)-4.52%
Revenue beat(12)3
Avg Revenue beat(12)-2.02%
Revenue beat(16)7
Avg Revenue beat(16)0.73%
PT rev (1m)0%
PT rev (3m)-6.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-15.88%
EPS NY rev (1m)0%
EPS NY rev (3m)-18.33%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.02 | ||
| Fwd PE | 11.11 | ||
| P/S | 0.49 | ||
| P/FCF | 5.75 | ||
| P/OCF | 3.34 | ||
| P/B | 1.02 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 3.57 |
EPS(TTM)0.88
EY7.13%
EPS(NY)1.11
Fwd EY9%
FCF(TTM)2.15
FCFY17.4%
OCF(TTM)3.69
OCFY29.93%
SpS25.31
BVpS12.12
TBVpS11.88
PEG (NY)N/A
PEG (5Y)0.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 7.26% | ||
| ROCE | 9.64% | ||
| ROIC | 7.11% | ||
| ROICexc | 8.16% | ||
| ROICexgc | 8.33% | ||
| OM | 5.32% | ||
| PM (TTM) | 3.48% | ||
| GM | 17.91% | ||
| FCFM | 8.48% |
ROA(3y)5.03%
ROA(5y)2.6%
ROE(3y)7.05%
ROE(5y)2.9%
ROIC(3y)6.5%
ROIC(5y)N/A
ROICexc(3y)6.98%
ROICexc(5y)N/A
ROICexgc(3y)7.13%
ROICexgc(5y)N/A
ROCE(3y)8.81%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y11.88%
ROICexc growth 3YN/A
ROICexc growth 5Y12.34%
OM growth 3YN/A
OM growth 5Y4.66%
PM growth 3Y3.17%
PM growth 5Y43.24%
GM growth 3Y19.18%
GM growth 5Y-4.73%
F-Score7
Asset Turnover1.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.54 | ||
| Debt/EBITDA | 0.26 | ||
| Cap/Depr | 80% | ||
| Cap/Sales | 6.11% | ||
| Interest Coverage | 14.43 | ||
| Cash Conversion | 112.6% | ||
| Profit Quality | 243.94% | ||
| Current Ratio | 2.3 | ||
| Quick Ratio | 2.21 | ||
| Altman-Z | 3.79 |
F-Score7
WACC8.92%
ROIC/WACC0.8
Cap/Depr(3y)66.63%
Cap/Depr(5y)47.13%
Cap/Sales(3y)4.66%
Cap/Sales(5y)3.94%
Profit Quality(3y)235.13%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)29.41%
EPS 3Y8.74%
EPS 5Y18.56%
EPS Q2Q%200%
EPS Next Y-2.48%
EPS Next 2Y16.39%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-7.56%
Revenue growth 3Y24.9%
Revenue growth 5Y11.13%
Sales Q2Q%-1.24%
Revenue Next Year12%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y18.82%
EBIT growth 3YN/A
EBIT growth 5Y16.32%
EBIT Next Year313.58%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-14.36%
FCF growth 3YN/A
FCF growth 5Y12.72%
OCF growth 1Y12.3%
OCF growth 3YN/A
OCF growth 5Y10.24%