RPM INTERNATIONAL INC (RPM) Stock Fundamental Analysis
USA - NYSE:RPM - US7496851038 - Common Stock
117.14 USD
+1 (+0.86%)
Overall RPM gets a fundamental rating of 6 out of 10. We evaluated RPM against 83 industry peers in the Chemicals industry. RPM gets an excellent profitability rating and is at the same time showing great financial health properties. RPM has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year RPM was profitable.
RPM had a positive operating cash flow in the past year.
In the past 5 years RPM has always been profitable.
Each year in the past 5 years RPM had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.82%, RPM belongs to the top of the industry, outperforming 93.98% of the companies in the same industry.
The Return On Equity of RPM (23.77%) is better than 92.77% of its industry peers.
RPM's Return On Invested Capital of 11.55% is amongst the best of the industry. RPM outperforms 89.16% of its industry peers.
RPM had an Average Return On Invested Capital over the past 3 years of 12.55%. This is significantly above the industry average of 6.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.82% | ||
| ROE | 23.77% | ||
| ROIC | 11.55% |
ROA(3y)8.25%
ROA(5y)8%
ROE(3y)23.12%
ROE(5y)24.52%
ROIC(3y)12.55%
ROIC(5y)12.2%
1.3 Margins
RPM has a better Profit Margin (9.30%) than 85.54% of its industry peers.
RPM's Profit Margin has improved in the last couple of years.
RPM has a Operating Margin of 12.21%. This is in the better half of the industry: RPM outperforms 66.27% of its industry peers.
RPM's Operating Margin has improved in the last couple of years.
RPM's Gross Margin of 41.38% is amongst the best of the industry. RPM outperforms 87.95% of its industry peers.
In the last couple of years the Gross Margin of RPM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.21% | ||
| PM (TTM) | 9.3% | ||
| GM | 41.38% |
OM growth 3Y8.29%
OM growth 5Y4.32%
PM growth 3Y8.58%
PM growth 5Y11.13%
GM growth 3Y4.49%
GM growth 5Y1.71%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RPM is creating some value.
Compared to 1 year ago, RPM has less shares outstanding
The number of shares outstanding for RPM has been reduced compared to 5 years ago.
Compared to 1 year ago, RPM has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.00 indicates that RPM is not in any danger for bankruptcy at the moment.
RPM has a Altman-Z score of 4.00. This is amongst the best in the industry. RPM outperforms 86.75% of its industry peers.
RPM has a debt to FCF ratio of 4.92. This is a neutral value as RPM would need 4.92 years to pay back of all of its debts.
RPM's Debt to FCF ratio of 4.92 is amongst the best of the industry. RPM outperforms 84.34% of its industry peers.
A Debt/Equity ratio of 0.91 indicates that RPM is somewhat dependend on debt financing.
RPM's Debt to Equity ratio of 0.91 is on the low side compared to the rest of the industry. RPM is outperformed by 63.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | 4.92 | ||
| Altman-Z | 4 |
ROIC/WACC1.32
WACC8.73%
2.3 Liquidity
RPM has a Current Ratio of 2.16. This indicates that RPM is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of RPM (2.16) is better than 60.24% of its industry peers.
RPM has a Quick Ratio of 1.45. This is a normal value and indicates that RPM is financially healthy and should not expect problems in meeting its short term obligations.
RPM has a Quick ratio of 1.45. This is in the better half of the industry: RPM outperforms 63.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.45 |
3. Growth
3.1 Past
RPM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.29%.
The Earnings Per Share has been growing by 11.54% on average over the past years. This is quite good.
Looking at the last year, RPM shows a very negative growth in Revenue. The Revenue has decreased by -21.12% in the last year.
Measured over the past years, RPM shows a small growth in Revenue. The Revenue has been growing by 6.01% on average per year.
EPS 1Y (TTM)7.29%
EPS 3Y13.03%
EPS 5Y11.54%
EPS Q2Q%10.26%
Revenue 1Y (TTM)-21.12%
Revenue growth 3Y3.2%
Revenue growth 5Y6.01%
Sales Q2Q%3.68%
3.2 Future
The Earnings Per Share is expected to grow by 9.02% on average over the next years. This is quite good.
Based on estimates for the next years, RPM will show a small growth in Revenue. The Revenue will grow by 4.06% on average per year.
EPS Next Y9.82%
EPS Next 2Y10.01%
EPS Next 3Y9.02%
EPS Next 5YN/A
Revenue Next Year5.9%
Revenue Next 2Y4.6%
Revenue Next 3Y4.06%
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 decreasing.
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
The Price/Earnings ratio is 22.10, which indicates a rather expensive current valuation of RPM.
RPM's Price/Earnings is on the same level as the industry average.
RPM is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.06, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 20.13 indicates a rather expensive valuation of RPM.
RPM's Price/Forward Earnings ratio is in line with the industry average.
RPM's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.64.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 20.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RPM is valued a bit more expensive than 60.24% of the companies in the same industry.
RPM's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.92 | ||
| EV/EBITDA | 15.77 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RPM does not grow enough to justify the current Price/Earnings ratio.
RPM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.25
PEG (5Y)1.92
EPS Next 2Y10.01%
EPS Next 3Y9.02%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.64%, RPM has a reasonable but not impressive dividend return.
RPM's Dividend Yield is comparable with the industry average which is at 3.47.
Compared to the average S&P500 Dividend Yield of 2.38, RPM is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
5.2 History
The dividend of RPM is nicely growing with an annual growth rate of 6.96%!
RPM has been paying a dividend for at least 10 years, so it has a reliable track record.
RPM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.96%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
RPM pays out 37.26% of its income as dividend. This is a sustainable payout ratio.
The dividend of RPM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP37.26%
EPS Next 2Y10.01%
EPS Next 3Y9.02%
NYSE:RPM (9/26/2025, 3:23:37 PM)
117.14
+1 (+0.86%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners85.39%
Inst Owner Change0.26%
Ins Owners1.2%
Ins Owner Change1.05%
Market Cap15.03B
Analysts73.64
Price Target137.04 (16.99%)
Short Float %1.53%
Short Ratio2.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
Yearly Dividend1.99
Dividend Growth(5Y)6.96%
DP37.26%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-11.34%
Min EPS beat(2)-29.89%
Max EPS beat(2)7.22%
EPS beat(4)3
Avg EPS beat(4)-3.9%
Min EPS beat(4)-29.89%
Max EPS beat(4)7.22%
EPS beat(8)5
Avg EPS beat(8)-0.19%
EPS beat(12)8
Avg EPS beat(12)2.39%
EPS beat(16)10
Avg EPS beat(16)3.15%
Revenue beat(2)1
Avg Revenue beat(2)-0.26%
Min Revenue beat(2)-2.99%
Max Revenue beat(2)2.46%
Revenue beat(4)2
Avg Revenue beat(4)-0.41%
Min Revenue beat(4)-3.25%
Max Revenue beat(4)2.46%
Revenue beat(8)3
Avg Revenue beat(8)-0.7%
Revenue beat(12)7
Avg Revenue beat(12)8.57%
Revenue beat(16)9
Avg Revenue beat(16)6.76%
PT rev (1m)0.85%
PT rev (3m)9.3%
EPS NQ rev (1m)-0.28%
EPS NQ rev (3m)0.31%
EPS NY rev (1m)0%
EPS NY rev (3m)2.72%
Revenue NQ rev (1m)0.34%
Revenue NQ rev (3m)1.22%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)1.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 20.13 | ||
| P/S | 2.04 | ||
| P/FCF | 27.92 | ||
| P/OCF | 19.56 | ||
| P/B | 5.21 | ||
| P/tB | 30.86 | ||
| EV/EBITDA | 15.77 |
EPS(TTM)5.3
EY4.52%
EPS(NY)5.82
Fwd EY4.97%
FCF(TTM)4.2
FCFY3.58%
OCF(TTM)5.99
OCFY5.11%
SpS57.47
BVpS22.49
TBVpS3.8
PEG (NY)2.25
PEG (5Y)1.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.82% | ||
| ROE | 23.77% | ||
| ROCE | 14.27% | ||
| ROIC | 11.55% | ||
| ROICexc | 12.13% | ||
| ROICexgc | 20.19% | ||
| OM | 12.21% | ||
| PM (TTM) | 9.3% | ||
| GM | 41.38% | ||
| FCFM | 7.3% |
ROA(3y)8.25%
ROA(5y)8%
ROE(3y)23.12%
ROE(5y)24.52%
ROIC(3y)12.55%
ROIC(5y)12.2%
ROICexc(3y)13.15%
ROICexc(5y)12.78%
ROICexgc(3y)21.16%
ROICexgc(5y)21.22%
ROCE(3y)15.51%
ROCE(5y)15.07%
ROICexcg growth 3Y-0.33%
ROICexcg growth 5Y2.51%
ROICexc growth 3Y1.42%
ROICexc growth 5Y3.45%
OM growth 3Y8.29%
OM growth 5Y4.32%
PM growth 3Y8.58%
PM growth 5Y11.13%
GM growth 3Y4.49%
GM growth 5Y1.71%
F-Score6
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | 4.92 | ||
| Debt/EBITDA | 2.41 | ||
| Cap/Depr | 118.62% | ||
| Cap/Sales | 3.12% | ||
| Interest Coverage | 9.63 | ||
| Cash Conversion | 70.23% | ||
| Profit Quality | 78.47% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.45 | ||
| Altman-Z | 4 |
F-Score6
WACC8.73%
ROIC/WACC1.32
Cap/Depr(3y)135.92%
Cap/Depr(5y)132.01%
Cap/Sales(3y)3.18%
Cap/Sales(5y)3.09%
Profit Quality(3y)100.41%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.29%
EPS 3Y13.03%
EPS 5Y11.54%
EPS Q2Q%10.26%
EPS Next Y9.82%
EPS Next 2Y10.01%
EPS Next 3Y9.02%
EPS Next 5YN/A
Revenue 1Y (TTM)-21.12%
Revenue growth 3Y3.2%
Revenue growth 5Y6.01%
Sales Q2Q%3.68%
Revenue Next Year5.9%
Revenue Next 2Y4.6%
Revenue Next 3Y4.06%
Revenue Next 5YN/A
EBIT growth 1Y-22.96%
EBIT growth 3Y11.76%
EBIT growth 5Y10.58%
EBIT Next Year34.35%
EBIT Next 3Y15.4%
EBIT Next 5YN/A
FCF growth 1Y-40.74%
FCF growth 3YN/A
FCF growth 5Y6.01%
OCF growth 1Y-31.55%
OCF growth 3Y62.59%
OCF growth 5Y6.91%