RAI WAY SPA (RWAY.MI) Stock Fundamental Analysis
BIT:RWAY - IT0005054967 - Common Stock
6.04 EUR
0 (-0.08%)
We assign a fundamental rating of 7 out of 10 to RWAY. RWAY was compared to 32 industry peers in the Diversified Telecommunication Services industry. Both the health and profitability get an excellent rating, making RWAY a very profitable company, without any liquidiy or solvency issues. RWAY is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year RWAY was profitable.
RWAY had a positive operating cash flow in the past year.
RWAY had positive earnings in each of the past 5 years.
RWAY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RWAY has a better Return On Assets (19.67%) than 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 59.91%, RWAY belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
RWAY's Return On Invested Capital of 31.28% is amongst the best of the industry. RWAY outperforms 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RWAY is significantly above the industry average of 7.60%.
The last Return On Invested Capital (31.28%) for RWAY is above the 3 year average (29.45%), which is a sign of increasing profitability.
| 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
RWAY has a better Profit Margin (32.27%) than 96.77% of its industry peers.
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 96.77% of the companies in the same industry.
In the last couple of years the Operating Margin of RWAY has grown nicely.
With an excellent Gross Margin value of 99.52%, RWAY belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
RWAY's Gross Margin has improved in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RWAY is creating value.
Compared to 1 year ago, RWAY has about the same amount of shares outstanding.
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
An Altman-Z score of 4.92 indicates that RWAY is not in any danger for bankruptcy at the moment.
RWAY has a Altman-Z score of 4.92. This is amongst the best in the industry. RWAY outperforms 96.77% 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.
RWAY has a Debt to FCF ratio of 2.41. This is amongst the best in the industry. RWAY outperforms 100.00% of its industry peers.
RWAY has a Debt/Equity ratio of 0.84. This is a neutral value indicating RWAY is somewhat dependend on debt financing.
RWAY has a better Debt to Equity ratio (0.84) than 64.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 2.41 | ||
| Altman-Z | 4.92 |
ROIC/WACC4.07
WACC7.69%
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.
With a Current ratio value of 0.58, RWAY is not doing good in the industry: 74.19% of the companies in the same industry are doing better.
A Quick Ratio of 0.58 indicates that RWAY may have some problems paying its short term obligations.
RWAY's Quick ratio of 0.58 is on the low side compared to the rest of the industry. RWAY is outperformed by 74.19% of its industry peers.
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.
The Revenue has been growing slightly by 1.95% in the past year.
Measured over the past years, RWAY shows a small growth in Revenue. The Revenue has been growing by 4.52% on average per year.
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
The Earnings Per Share is expected to grow by 1.19% on average over the next years.
The Revenue is expected to grow by 0.13% on average over the next years.
EPS Next Y16105.55%
EPS Next 2Y-0.55%
EPS Next 3Y1.19%
EPS Next 5YN/A
Revenue Next Year2.68%
Revenue Next 2Y3.71%
Revenue Next 3Y4.18%
Revenue Next 5Y0.13%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.76, which indicates a rather expensive current valuation of RWAY.
RWAY's Price/Earnings ratio is a bit cheaper when compared to the industry. RWAY is cheaper than 64.52% of the companies in the same industry.
RWAY's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.08.
With a Price/Forward Earnings ratio of 18.04, RWAY is valued on the expensive side.
RWAY's Price/Forward Earnings ratio is in line with the industry average.
RWAY is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.72, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 18.04 |
4.2 Price Multiples
64.52% of the companies in the same industry are cheaper than RWAY, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RWAY indicates a slightly more expensive valuation: RWAY is more expensive than 70.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.03 | ||
| EV/EBITDA | 9.78 |
4.3 Compensation for Growth
RWAY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RWAY has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0
PEG (5Y)2.36
EPS Next 2Y-0.55%
EPS Next 3Y1.19%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.53%, RWAY is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 199709.43, RWAY pays a better dividend. On top of this RWAY pays more dividend than 80.65% of the companies listed in the same industry.
RWAY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| 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
RWAY pays out 99.29% of its income as dividend. This is not a sustainable payout ratio.
RWAY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP99.29%
EPS Next 2Y-0.55%
EPS Next 3Y1.19%
BIT:RWAY (8/29/2025, 7:00:00 PM)
6.04
0 (-0.08%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners18.85%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.64B
Analysts86.15
Price Target7.33 (21.36%)
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)0.4%
PT rev (3m)0.27%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)16495.7%
EPS NY rev (3m)16495.7%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 18.04 | ||
| P/S | 5.89 | ||
| P/FCF | 21.03 | ||
| P/OCF | 12.74 | ||
| P/B | 10.94 | ||
| P/tB | 13.22 | ||
| EV/EBITDA | 9.78 |
EPS(TTM)0.34
EY5.63%
EPS(NY)0.33
Fwd EY5.54%
FCF(TTM)0.29
FCFY4.76%
OCF(TTM)0.47
OCFY7.85%
SpS1.03
BVpS0.55
TBVpS0.46
PEG (NY)0
PEG (5Y)2.36
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%
ROICexcg growth 3Y6.89%
ROICexcg 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 | 4.92 |
F-Score4
WACC7.69%
ROIC/WACC4.07
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 Y16105.55%
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 Year2.68%
Revenue Next 2Y3.71%
Revenue Next 3Y4.18%
Revenue Next 5Y0.13%
EBIT growth 1Y1.73%
EBIT growth 3Y13.29%
EBIT growth 5Y8.19%
EBIT Next Year40.65%
EBIT Next 3Y16.38%
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%