RS Group plc
RS Group plc Fundamental Analysis
RS Group plc (EENEF) shows weak financial fundamentals with a PE ratio of 20.73, profit margin of 5.49%, and ROE of 11.47%. The company generates $2.9B in annual revenue with weak year-over-year growth of -1.34%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 40.8/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze EENEF's fundamental strength across five key dimensions:
Efficiency Score
WeakEENEF struggles to generate sufficient returns from assets.
Valuation Score
ModerateEENEF shows balanced valuation metrics.
Growth Score
WeakEENEF faces weak or negative growth trends.
Financial Health Score
ExcellentEENEF maintains a strong and stable balance sheet.
Profitability Score
WeakEENEF struggles to sustain strong margins.
Key Financial Metrics
Is EENEF Expensive or Cheap?
P/E Ratio
EENEF trades at 20.73 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, EENEF's PEG of 9.02 indicates potential overvaluation.
Price to Book
The market values RS Group plc at 2.35 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 9.73 times EBITDA. This is generally considered low.
How Well Does EENEF Make Money?
Net Profit Margin
For every $100 in sales, RS Group plc keeps $5.49 as profit after all expenses.
Operating Margin
Core operations generate 8.19 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.47 in profit for every $100 of shareholder equity.
ROA
RS Group plc generates $5.91 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
RS Group plc generates limited operating cash flow of $266.53M, signaling weaker underlying cash strength.
Free Cash Flow
RS Group plc produces free cash flow of $245.85M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.52 in free cash annually.
FCF Yield
EENEF converts 7.54% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
20.73
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
9.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.35
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.14
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.40
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.95
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How EENEF Stacks Against Its Sector Peers
| Metric | EENEF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 20.73 | 25.96 | Better (Cheaper) |
| ROE | 11.47% | 1263.00% | Weak |
| Net Margin | 5.49% | -41827.00% (disorted) | Weak |
| Debt/Equity | 0.40 | 0.79 | Strong (Low Leverage) |
| Current Ratio | 1.95 | 10.05 | Neutral |
| ROA | 5.91% | -1497918.00% (disorted) | Weak |
EENEF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews RS Group plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
46.12%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
16.08%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
44.53%
Industry Style: Cyclical, Value, Infrastructure
High Growth