RAI WAY SPA (RWAY.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:RWAY - IT0005054967 - Common Stock
5.5 EUR
0 (0%)
Overall RWAY gets a fundamental rating of 6 out of 10. We evaluated RWAY against 31 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 does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year RWAY was profitable.
RWAY had a positive operating cash flow in the past year.
Each year in the past 5 years RWAY has been profitable.
RWAY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 19.67%, RWAY belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
RWAY has a Return On Equity of 59.91%. This is amongst the best in the industry. RWAY outperforms 100.00% of its industry peers.
The Return On Invested Capital of RWAY (31.28%) is better than 100.00% of its industry peers.
RWAY had an Average Return On Invested Capital over the past 3 years of 29.45%. This is significantly above the industry average of 8.12%.
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
The Profit Margin of RWAY (32.27%) is better than 96.67% of its industry peers.
In the last couple of years the Profit Margin of RWAY has grown nicely.
RWAY has a Operating Margin of 47.69%. This is amongst the best in the industry. RWAY outperforms 96.67% of its industry peers.
In the last couple of years the Operating Margin of RWAY has grown nicely.
RWAY's Gross Margin of 99.52% is amongst the best of the industry. RWAY outperforms 100.00% of its industry peers.
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.
RWAY has about the same amout of shares outstanding than it did 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
An Altman-Z score of 4.63 indicates that RWAY is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.63, RWAY belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
The Debt to FCF ratio of RWAY is 2.41, which is a good value as it means it would take RWAY, 2.41 years of fcf income to pay off all of its debts.
RWAY's Debt to FCF ratio of 2.41 is amongst the best of the industry. RWAY outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 0.84 indicates that RWAY is somewhat dependend on debt financing.
RWAY's Debt to Equity ratio of 0.84 is fine compared to the rest of the industry. RWAY outperforms 63.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 2.41 | ||
| Altman-Z | 4.63 |
ROIC/WACC4.06
WACC7.7%
2.3 Liquidity
A Current Ratio of 0.58 indicates that RWAY may have some problems paying its short term obligations.
With a Current ratio value of 0.58, RWAY is not doing good in the industry: 76.67% of the companies in the same industry are doing better.
RWAY has a Quick 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.
RWAY has a worse Quick ratio (0.58) than 76.67% 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.
Measured over the past 5 years, RWAY shows a small growth in Earnings Per Share. The EPS has been growing by 7.53% on average per year.
The Revenue has been growing slightly by 1.95% in the past year.
The Revenue has been growing slightly by 4.52% on average over the past years.
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 Y-0.99%
EPS Next 2Y-0.3%
EPS Next 3Y1.19%
EPS Next 5YN/A
Revenue Next Year2.65%
Revenue Next 2Y3.77%
Revenue Next 3Y4.14%
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
A Price/Earnings ratio of 16.18 indicates a correct valuation of RWAY.
Based on the Price/Earnings ratio, RWAY is valued a bit cheaper than 63.33% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.45, RWAY is valued a bit cheaper.
RWAY is valuated correctly with a Price/Forward Earnings ratio of 16.35.
Based on the Price/Forward Earnings ratio, RWAY is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.46, RWAY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.18 | ||
| Fwd PE | 16.35 |
4.2 Price Multiples
RWAY's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. RWAY is more expensive than 66.67% 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 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.15 | ||
| EV/EBITDA | 8.99 |
4.3 Compensation for Growth
RWAY has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.15
EPS Next 2Y-0.3%
EPS Next 3Y1.19%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.07%, RWAY is a good candidate for dividend investing.
RWAY's Dividend Yield is a higher than the industry average which is at 4.69.
Compared to an average S&P500 Dividend Yield of 2.42, RWAY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.07% |
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.
RWAY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP99.29%
EPS Next 2Y-0.3%
EPS Next 3Y1.19%
BIT:RWAY (11/21/2025, 7:00:00 PM)
5.5
0 (0%)
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 Cap1.50B
Revenue(TTM)278.87M
Net Income(TTM)89.99M
Analysts86.15
Price Target7.26 (32%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.07% |
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)-0.96%
PT rev (3m)-0.96%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)1.55%
EPS NY rev (3m)-99.39%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.18 | ||
| Fwd PE | 16.35 | ||
| P/S | 5.36 | ||
| P/FCF | 19.15 | ||
| P/OCF | 11.6 | ||
| P/B | 9.96 | ||
| P/tB | 12.03 | ||
| EV/EBITDA | 8.99 |
EPS(TTM)0.34
EY6.18%
EPS(NY)0.34
Fwd EY6.12%
FCF(TTM)0.29
FCFY5.22%
OCF(TTM)0.47
OCFY8.62%
SpS1.03
BVpS0.55
TBVpS0.46
PEG (NY)N/A
PEG (5Y)2.15
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 | 4.63 |
F-Score4
WACC7.7%
ROIC/WACC4.06
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-0.99%
EPS Next 2Y-0.3%
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 2Y3.77%
Revenue Next 3Y4.14%
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 16.18 and the Price/Book (PB) ratio is 9.96.
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 -0.99% in the next year.