RAI WAY SPA (RWAY.MI) Stock Fundamental Analysis
Europe - BIT:RWAY - IT0005054967 - Common Stock
5.98 EUR
-0.05 (-0.83%)
Taking everything into account, RWAY scores 6 out of 10 in our fundamental rating. RWAY was compared to 29 industry peers in the Diversified Telecommunication Services industry. RWAY scores excellent points on both the profitability and health parts. This is a solid base for a good stock. RWAY is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RWAY had positive earnings in the past year.
RWAY had a positive operating cash flow in the past year.
In the past 5 years RWAY has always been profitable.
Each year in the past 5 years RWAY had a positive operating cash flow.
1.2 Ratios
The Return On Assets of RWAY (19.67%) is better than 100.00% of its industry peers.
RWAY's Return On Equity of 59.91% is amongst the best of the industry. RWAY outperforms 100.00% of its industry peers.
RWAY has a better Return On Invested Capital (31.28%) than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RWAY is significantly above the industry average of 7.77%.
The 3 year average ROIC (29.45%) for RWAY is below the current ROIC(31.28%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.67% | ||
| ROE | 59.91% | ||
| ROIC | 31.28% |
ROA(3y)18.18%
ROA(5y)18.2%
ROE(3y)44.84%
ROE(5y)42.55%
ROIC(3y)29.45%
ROIC(5y)27.7%
1.3 Margins
Looking at the Profit Margin, with a value of 32.27%, RWAY belongs to the top of the industry, outperforming 96.55% of the companies in the same industry.
In the last couple of years the Profit Margin of RWAY has grown nicely.
Looking at the Operating Margin, with a value of 47.69%, RWAY belongs to the top of the industry, outperforming 96.55% of the companies in the same industry.
RWAY's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 99.52%, RWAY belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Gross Margin of RWAY has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47.69% | ||
| PM (TTM) | 32.27% | ||
| GM | 99.52% |
OM growth 3Y6.59%
OM growth 5Y3.51%
PM growth 3Y4.63%
PM growth 5Y2.62%
GM growth 3Y0.06%
GM growth 5Y3.33%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), RWAY is creating value.
The number of shares outstanding for RWAY remains at a similar level compared to 1 year ago.
Compared to 5 years ago, RWAY has less shares outstanding
The debt/assets ratio for RWAY is higher compared to a year ago.
2.2 Solvency
RWAY has an Altman-Z score of 4.91. This indicates that RWAY is financially healthy and has little risk of bankruptcy at the moment.
RWAY has a Altman-Z score of 4.91. This is amongst the best in the industry. RWAY outperforms 96.55% of its industry peers.
RWAY has a debt to FCF ratio of 2.41. This is a good value and a sign of high solvency as RWAY would need 2.41 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 2.41, RWAY belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
A Debt/Equity ratio of 0.84 indicates that RWAY is somewhat dependend on debt financing.
RWAY has a better Debt to Equity ratio (0.84) than 65.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 2.41 | ||
| Altman-Z | 4.91 |
ROIC/WACC4.04
WACC7.74%
2.3 Liquidity
RWAY has a Current Ratio of 0.58. This is a bad value and indicates that RWAY is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of RWAY (0.58) is worse than 75.86% of its industry peers.
A Quick Ratio of 0.58 indicates that RWAY may have some problems paying its short term obligations.
With a Quick ratio value of 0.58, RWAY is not doing good in the industry: 75.86% of the companies in the same industry are doing better.
RWAY does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.03% over the past year.
RWAY shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.53% yearly.
Looking at the last year, RWAY shows a small growth in Revenue. The Revenue has grown by 1.95% in the last year.
RWAY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.52% yearly.
EPS 1Y (TTM)1.03%
EPS 3Y11.19%
EPS 5Y7.53%
EPS Q2Q%5.75%
Revenue 1Y (TTM)1.95%
Revenue growth 3Y6.29%
Revenue growth 5Y4.52%
Sales Q2Q%2.38%
3.2 Future
RWAY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.19% yearly.
RWAY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.13% yearly.
EPS Next Y-2.5%
EPS Next 2Y-0.55%
EPS Next 3Y1.19%
EPS Next 5YN/A
Revenue Next Year2.65%
Revenue Next 2Y3.78%
Revenue Next 3Y4.16%
Revenue Next 5Y0.13%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
Based on the Price/Earnings ratio of 17.59, the valuation of RWAY can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of RWAY indicates a somewhat cheap valuation: RWAY is cheaper than 68.97% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.00. RWAY is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 17.86 indicates a rather expensive valuation of RWAY.
RWAY's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of RWAY to the average of the S&P500 Index (22.87), we can say RWAY is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.59 | ||
| Fwd PE | 17.86 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RWAY is valued a bit more expensive than 65.52% of the companies in the same industry.
RWAY's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. RWAY is more expensive than 68.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.82 | ||
| EV/EBITDA | 9.76 |
4.3 Compensation for Growth
RWAY has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.33
EPS Next 2Y-0.55%
EPS Next 3Y1.19%
5. Dividend
5.1 Amount
RWAY has a Yearly Dividend Yield of 5.53%, which is a nice return.
RWAY's Dividend Yield is rather good when compared to the industry average which is at 4.74. RWAY pays more dividend than 82.76% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, RWAY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.53% |
5.2 History
The dividend of RWAY is nicely growing with an annual growth rate of 7.98%!
Dividend Growth(5Y)7.98%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
99.29% of the earnings are spent on dividend by RWAY. This is not a sustainable payout ratio.
The dividend of RWAY is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP99.29%
EPS Next 2Y-0.55%
EPS Next 3Y1.19%
BIT:RWAY (10/29/2025, 5:29:52 PM)
5.98
-0.05 (-0.83%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners18.07%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.63B
Revenue(TTM)278.87M
Net Income(TTM)89.99M
Analysts86.15
Price Target7.33 (22.58%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.53% |
Yearly Dividend0.32
Dividend Growth(5Y)7.98%
DP99.29%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0.4%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.15%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.59 | ||
| Fwd PE | 17.86 | ||
| P/S | 5.83 | ||
| P/FCF | 20.82 | ||
| P/OCF | 12.62 | ||
| P/B | 10.83 | ||
| P/tB | 13.08 | ||
| EV/EBITDA | 9.76 |
EPS(TTM)0.34
EY5.69%
EPS(NY)0.33
Fwd EY5.6%
FCF(TTM)0.29
FCFY4.8%
OCF(TTM)0.47
OCFY7.93%
SpS1.03
BVpS0.55
TBVpS0.46
PEG (NY)N/A
PEG (5Y)2.33
Graham Number2.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.67% | ||
| ROE | 59.91% | ||
| ROCE | 43.72% | ||
| ROIC | 31.28% | ||
| ROICexc | 32.4% | ||
| ROICexgc | 35.53% | ||
| OM | 47.69% | ||
| PM (TTM) | 32.27% | ||
| GM | 99.52% | ||
| FCFM | 28.02% |
ROA(3y)18.18%
ROA(5y)18.2%
ROE(3y)44.84%
ROE(5y)42.55%
ROIC(3y)29.45%
ROIC(5y)27.7%
ROICexc(3y)32.98%
ROICexc(5y)30.23%
ROICexgc(3y)36.29%
ROICexgc(5y)32.96%
ROCE(3y)41.16%
ROCE(5y)38.71%
ROICexgc growth 3Y6.89%
ROICexgc growth 5Y-0.52%
ROICexc growth 3Y6.17%
ROICexc growth 5Y-0.84%
OM growth 3Y6.59%
OM growth 5Y3.51%
PM growth 3Y4.63%
PM growth 5Y2.62%
GM growth 3Y0.06%
GM growth 5Y3.33%
F-Score4
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 2.41 | ||
| Debt/EBITDA | 0.68 | ||
| Cap/Depr | 95.39% | ||
| Cap/Sales | 18.21% | ||
| Interest Coverage | 26.11 | ||
| Cash Conversion | 69.22% | ||
| Profit Quality | 86.82% | ||
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.58 | ||
| Altman-Z | 4.91 |
F-Score4
WACC7.74%
ROIC/WACC4.04
Cap/Depr(3y)126.44%
Cap/Depr(5y)135.59%
Cap/Sales(3y)23.34%
Cap/Sales(5y)26.66%
Profit Quality(3y)92.68%
Profit Quality(5y)83.3%
High Growth Momentum
Growth
EPS 1Y (TTM)1.03%
EPS 3Y11.19%
EPS 5Y7.53%
EPS Q2Q%5.75%
EPS Next Y-2.5%
EPS Next 2Y-0.55%
EPS Next 3Y1.19%
EPS Next 5YN/A
Revenue 1Y (TTM)1.95%
Revenue growth 3Y6.29%
Revenue growth 5Y4.52%
Sales Q2Q%2.38%
Revenue Next Year2.65%
Revenue Next 2Y3.78%
Revenue Next 3Y4.16%
Revenue Next 5Y0.13%
EBIT growth 1Y1.73%
EBIT growth 3Y13.29%
EBIT growth 5Y8.19%
EBIT Next Year40.81%
EBIT Next 3Y15.92%
EBIT Next 5Y5.49%
FCF growth 1Y12.3%
FCF growth 3Y35.02%
FCF growth 5Y1.74%
OCF growth 1Y-3.88%
OCF growth 3Y4.07%
OCF growth 5Y3.62%
RAI WAY SPA / RWAY.MI FAQ
What is the fundamental rating for RWAY stock?
ChartMill assigns a fundamental rating of 6 / 10 to RWAY.MI.
What is the valuation status of RAI WAY SPA (RWAY.MI) stock?
ChartMill assigns a valuation rating of 3 / 10 to RAI WAY SPA (RWAY.MI). This can be considered as Overvalued.
How profitable is RAI WAY SPA (RWAY.MI) stock?
RAI WAY SPA (RWAY.MI) has a profitability rating of 10 / 10.
What is the valuation of RAI WAY SPA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for RAI WAY SPA (RWAY.MI) is 17.59 and the Price/Book (PB) ratio is 10.83.
What is the earnings growth outlook for RAI WAY SPA?
The Earnings per Share (EPS) of RAI WAY SPA (RWAY.MI) is expected to decline by -2.5% in the next year.