Redox Limited
Redox Limited Fundamental Analysis
Redox Limited (RDX.AX) shows weak financial fundamentals with a PE ratio of 27.84, profit margin of 6.35%, and ROE of 11.36%. The company generates $1.0B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.4/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze RDX.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakRDX.AX struggles to generate sufficient returns from assets.
Valuation Score
WeakRDX.AX trades at a premium to fair value.
Growth Score
ModerateRDX.AX shows steady but slowing expansion.
Financial Health Score
ExcellentRDX.AX maintains a strong and stable balance sheet.
Profitability Score
WeakRDX.AX struggles to sustain strong margins.
Key Financial Metrics
Is RDX.AX Expensive or Cheap?
P/E Ratio
RDX.AX trades at 27.84 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, RDX.AX's PEG of 3.06 indicates potential overvaluation.
Price to Book
The market values Redox Limited at 3.14 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 16.07 times EBITDA. This signals the market has high growth expectations.
How Well Does RDX.AX Make Money?
Net Profit Margin
For every $100 in sales, Redox Limited keeps $6.35 as profit after all expenses.
Operating Margin
Core operations generate 10.04 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.36 in profit for every $100 of shareholder equity.
ROA
Redox Limited generates $8.37 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Redox Limited generates limited operating cash flow of $80.17M, signaling weaker underlying cash strength.
Free Cash Flow
Redox Limited produces free cash flow of $76.29M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.15 in free cash annually.
FCF Yield
RDX.AX converts 4.40% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
27.84
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.06
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.14
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.77
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.13
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.99
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.17
vs 25 benchmark
How RDX.AX Stacks Against Its Sector Peers
| Metric | RDX.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 27.84 | 24.02 | Worse (Expensive) |
| ROE | 11.36% | 867.00% | Weak |
| Net Margin | 6.35% | -103659.00% (disorted) | Weak |
| Debt/Equity | 0.13 | 0.51 | Strong (Low Leverage) |
| Current Ratio | 3.99 | 5.08 | Strong Liquidity |
| ROA | 8.37% | -6488.00% (disorted) | Weak |
RDX.AX outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Redox Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Commodity, Value
EPS CAGR
N/A
Industry Style: Cyclical, Commodity, Value
FCF CAGR
N/A
Industry Style: Cyclical, Commodity, Value