REVOLVE GROUP INC (RVLV) Stock Fundamental Analysis
NYSE:RVLV - New York Stock Exchange, Inc. - US76156B1070 - Common Stock - Currency: USD
Taking everything into account, RVLV scores 6 out of 10 in our fundamental rating. RVLV was compared to 121 industry peers in the Specialty Retail industry. While RVLV has a great health rating, its profitability is only average at the moment. RVLV is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year RVLV was profitable.
RVLV had a positive operating cash flow in the past year.
Each year in the past 5 years RVLV has been profitable.
In the past 5 years RVLV always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of RVLV (7.45%) is better than 78.51% of its industry peers.
Looking at the Return On Equity, with a value of 11.31%, RVLV is in the better half of the industry, outperforming 66.94% of the companies in the same industry.
RVLV's Return On Invested Capital of 8.62% is fine compared to the rest of the industry. RVLV outperforms 71.07% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RVLV is below the industry average of 13.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.45% | ||
| ROE | 11.31% | ||
| ROIC | 8.62% |
ROA(3y)7.4%
ROA(5y)12.31%
ROE(3y)11.36%
ROE(5y)18.79%
ROIC(3y)9.81%
ROIC(5y)15.41%
1.3 Margins
With a decent Profit Margin value of 4.39%, RVLV is doing good in the industry, outperforming 74.38% of the companies in the same industry.
In the last couple of years the Profit Margin of RVLV has declined.
Looking at the Operating Margin, with a value of 4.77%, RVLV is in the better half of the industry, outperforming 66.94% of the companies in the same industry.
In the last couple of years the Operating Margin of RVLV has declined.
RVLV's Gross Margin of 52.51% is amongst the best of the industry. RVLV outperforms 80.17% of its industry peers.
RVLV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.77% | ||
| PM (TTM) | 4.39% | ||
| GM | 52.51% |
OM growth 3Y-26.1%
OM growth 5Y-9.84%
PM growth 3Y-26.83%
PM growth 5YN/A
GM growth 3Y-1.5%
GM growth 5Y-0.4%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RVLV is still creating some value.
Compared to 1 year ago, RVLV has about the same amount of shares outstanding.
Compared to 5 years ago, RVLV has more shares outstanding
There is no outstanding debt for RVLV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 6.92 indicates that RVLV is not in any danger for bankruptcy at the moment.
RVLV has a Altman-Z score of 6.92. This is amongst the best in the industry. RVLV outperforms 95.87% of its industry peers.
There is no outstanding debt for RVLV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.92 |
ROIC/WACC0.94
WACC9.16%
2.3 Liquidity
RVLV has a Current Ratio of 2.86. This indicates that RVLV is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of RVLV (2.86) is better than 92.56% of its industry peers.
A Quick Ratio of 1.69 indicates that RVLV should not have too much problems paying its short term obligations.
RVLV has a better Quick ratio (1.69) than 86.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.86 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
RVLV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 78.95%, which is quite impressive.
The earnings per share for RVLV have been decreasing by -20.04% on average. This is quite bad
Looking at the last year, RVLV shows a small growth in Revenue. The Revenue has grown by 5.73% in the last year.
Measured over the past years, RVLV shows a quite strong growth in Revenue. The Revenue has been growing by 13.46% on average per year.
EPS 1Y (TTM)78.95%
EPS 3Y-20.04%
EPS 5YN/A
EPS Q2Q%240%
Revenue 1Y (TTM)5.73%
Revenue growth 3Y8.22%
Revenue growth 5Y13.46%
Sales Q2Q%13.95%
3.2 Future
Based on estimates for the next years, RVLV will show a very strong growth in Earnings Per Share. The EPS will grow by 30.57% on average per year.
Based on estimates for the next years, RVLV will show a quite strong growth in Revenue. The Revenue will grow by 14.87% on average per year.
EPS Next Y6.78%
EPS Next 2Y14.63%
EPS Next 3Y17.2%
EPS Next 5Y30.57%
Revenue Next Year9.63%
Revenue Next 2Y9.17%
Revenue Next 3Y9.76%
Revenue Next 5Y14.87%
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.72, which means the current valuation is very expensive for RVLV.
Compared to the rest of the industry, the Price/Earnings ratio of RVLV is on the same level as its industry peers.
RVLV's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.22.
With a Price/Forward Earnings ratio of 26.90, RVLV can be considered very expensive at the moment.
RVLV's Price/Forward Earnings ratio is in line with the industry average.
RVLV is valuated rather expensively when we compare the Price/Forward Earnings ratio to 20.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.72 | ||
| Fwd PE | 26.9 |
4.2 Price Multiples
RVLV's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. RVLV is more expensive than 60.33% of the companies in the same industry.
RVLV's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 77.26 | ||
| EV/EBITDA | 19.13 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of RVLV may justify a higher PE ratio.
A more expensive valuation may be justified as RVLV's earnings are expected to grow with 17.20% in the coming years.
PEG (NY)4.23
PEG (5Y)N/A
EPS Next 2Y14.63%
EPS Next 3Y17.2%
5. Dividend
5.1 Amount
RVLV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.53
+0.07 (+0.36%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners121.94%
Inst Owner Change-0.16%
Ins Owners0.65%
Ins Owner Change3.16%
Market Cap1.39B
Analysts77.27
Price Target28.49 (45.88%)
Short Float %15.11%
Short Ratio3.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)59.41%
Min EPS beat(2)47.89%
Max EPS beat(2)70.94%
EPS beat(4)4
Avg EPS beat(4)66.72%
Min EPS beat(4)47.89%
Max EPS beat(4)86.58%
EPS beat(8)7
Avg EPS beat(8)48.11%
EPS beat(12)10
Avg EPS beat(12)38.41%
EPS beat(16)14
Avg EPS beat(16)52.41%
Revenue beat(2)2
Avg Revenue beat(2)2%
Min Revenue beat(2)1.58%
Max Revenue beat(2)2.43%
Revenue beat(4)2
Avg Revenue beat(4)0.37%
Min Revenue beat(4)-2.41%
Max Revenue beat(4)2.43%
Revenue beat(8)3
Avg Revenue beat(8)-0.54%
Revenue beat(12)6
Avg Revenue beat(12)0.77%
Revenue beat(16)10
Avg Revenue beat(16)3.13%
PT rev (1m)-12.71%
PT rev (3m)-8.84%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-14.43%
EPS NY rev (1m)-3.31%
EPS NY rev (3m)-7.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.38%
Revenue NY rev (1m)-0.4%
Revenue NY rev (3m)0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.72 | ||
| Fwd PE | 26.9 | ||
| P/S | 1.23 | ||
| P/FCF | 77.26 | ||
| P/OCF | 52.12 | ||
| P/B | 3.17 | ||
| P/tB | 3.21 | ||
| EV/EBITDA | 19.13 |
EPS(TTM)0.68
EY3.48%
EPS(NY)0.73
Fwd EY3.72%
FCF(TTM)0.25
FCFY1.29%
OCF(TTM)0.37
OCFY1.92%
SpS15.86
BVpS6.15
TBVpS6.09
PEG (NY)4.23
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.45% | ||
| ROE | 11.31% | ||
| ROCE | 11.47% | ||
| ROIC | 8.62% | ||
| ROICexc | 19.01% | ||
| ROICexgc | 19.4% | ||
| OM | 4.77% | ||
| PM (TTM) | 4.39% | ||
| GM | 52.51% | ||
| FCFM | 1.59% |
ROA(3y)7.4%
ROA(5y)12.31%
ROE(3y)11.36%
ROE(5y)18.79%
ROIC(3y)9.81%
ROIC(5y)15.41%
ROICexc(3y)23.19%
ROICexc(5y)N/A
ROICexgc(3y)23.7%
ROICexgc(5y)N/A
ROCE(3y)13.06%
ROCE(5y)20.52%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-26.1%
OM growth 5Y-9.84%
PM growth 3Y-26.83%
PM growth 5YN/A
GM growth 3Y-1.5%
GM growth 5Y-0.4%
F-Score7
Asset Turnover1.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 168.19% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 45.22% | ||
| Profit Quality | 36.33% | ||
| Current Ratio | 2.86 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | 6.92 |
F-Score7
WACC9.16%
ROIC/WACC0.94
Cap/Depr(3y)119.51%
Cap/Depr(5y)91.07%
Cap/Sales(3y)0.54%
Cap/Sales(5y)0.46%
Profit Quality(3y)68.84%
Profit Quality(5y)78.51%
High Growth Momentum
Growth
EPS 1Y (TTM)78.95%
EPS 3Y-20.04%
EPS 5YN/A
EPS Q2Q%240%
EPS Next Y6.78%
EPS Next 2Y14.63%
EPS Next 3Y17.2%
EPS Next 5Y30.57%
Revenue 1Y (TTM)5.73%
Revenue growth 3Y8.22%
Revenue growth 5Y13.46%
Sales Q2Q%13.95%
Revenue Next Year9.63%
Revenue Next 2Y9.17%
Revenue Next 3Y9.76%
Revenue Next 5Y14.87%
EBIT growth 1Y65.3%
EBIT growth 3Y-20.02%
EBIT growth 5Y2.29%
EBIT Next Year65.34%
EBIT Next 3Y43.06%
EBIT Next 5Y37.05%
FCF growth 1Y-54%
FCF growth 3Y-33.09%
FCF growth 5Y-11.73%
OCF growth 1Y-38.42%
OCF growth 3Y-24.62%
OCF growth 5Y-10.34%