RR DONNELLEY & SONS CO (RRD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RRD - Common Stock
10.84
0 (0%)
10.84
0 (0%)
Overall RRD gets a fundamental rating of 2 out of 10. We evaluated RRD against 80 industry peers in the Commercial Services & Supplies industry. RRD may be in some trouble as it scores bad on both profitability and health. RRD is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- RRD had positive earnings in the past year.
1.2 Ratios
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.12% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.96% | ||
| PM (TTM) | 0.07% | ||
| GM | N/A |
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
- The number of shares outstanding for RRD has been increased compared to 1 year ago.
- RRD has a better debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.08, we must say that RRD is in the distress zone and has some risk of bankruptcy.
- A Debt/Equity ratio of -8.21 indicates that RRD is not too dependend on debt financing.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | -8.21 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.08 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- A Current Ratio of 1.37 indicates that RRD should not have too much problems paying its short term obligations.
- RRD has a Quick Ratio of 1.10. This is a normal value and indicates that RRD is financially healthy and should not expect problems in meeting its short term obligations.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
- RRD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.36%.
- The earnings per share for RRD have been decreasing by -25.36% on average. This is quite bad
- RRD shows a small growth in Revenue. In the last year, the Revenue has grown by 4.14%.
- RRD shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.19% yearly.
EPS 1Y (TTM)2.36%
EPS 3Y22.92%
EPS 5Y-25.36%
EPS Q2Q%-18.31%
Revenue 1Y (TTM)4.14%
Revenue growth 3Y-4.52%
Revenue growth 5Y-6.19%
Sales Q2Q%2.12%
3.2 Future
- The Earnings Per Share is expected to grow by 17.12% on average over the next years. This is quite good.
- The Revenue is expected to grow by 5.23% on average over the next years.
EPS Next Y1.78%
EPS Next 2Y16.66%
EPS Next 3Y22.5%
EPS Next 5Y17.12%
Revenue Next Year2.47%
Revenue Next 2Y3.46%
Revenue Next 3Y4.14%
Revenue Next 5Y5.23%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 8.34, the valuation of RRD can be described as very reasonable.
- RRD is valuated cheaply when we compare the Price/Earnings ratio to 28.60, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 8.19 indicates a reasonable valuation of RRD.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.83, RRD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.34 | ||
| Fwd PE | 8.19 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.11 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RRD does not grow enough to justify the current Price/Earnings ratio.
- RRD's earnings are expected to grow with 22.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.69
PEG (5Y)N/A
EPS Next 2Y16.66%
EPS Next 3Y22.5%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.33%, RRD is not a good candidate for dividend investing.
- With a Dividend Yield of 0.33, RRD pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.33% |
5.2 History
- RRD has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
DP0%
EPS Next 2Y16.66%
EPS Next 3Y22.5%
RR DONNELLEY & SONS CO / RRD FAQ
Can you provide the ChartMill fundamental rating for RR DONNELLEY & SONS CO?
ChartMill assigns a fundamental rating of 4 / 10 to RRD.
What is the valuation status of RR DONNELLEY & SONS CO (RRD) stock?
ChartMill assigns a valuation rating of 6 / 10 to RR DONNELLEY & SONS CO (RRD). This can be considered as Fairly Valued.
What is the profitability of RRD stock?
RR DONNELLEY & SONS CO (RRD) has a profitability rating of 2 / 10.
What is the valuation of RR DONNELLEY & SONS CO based on its PE and PB ratios?
The Price/Earnings (PE) ratio for RR DONNELLEY & SONS CO (RRD) is 8.34 and the Price/Book (PB) ratio is -4.56.
Is the dividend of RR DONNELLEY & SONS CO sustainable?
The dividend rating of RR DONNELLEY & SONS CO (RRD) is 2 / 10 and the dividend payout ratio is 0%.