Renewable Energy Group, Inc.
Renewable Energy Group, Inc. Fundamental Analysis
Renewable Energy Group, Inc. (REGI) shows moderate financial fundamentals with a PE ratio of 13.61, profit margin of 6.59%, and ROE of 14.74%. The company generates $3.5B 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 53.3/100 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 REGI's fundamental strength across five key dimensions:
Efficiency Score
WeakREGI struggles to generate sufficient returns from assets.
Valuation Score
ExcellentREGI trades at attractive valuation levels.
Growth Score
ModerateREGI shows steady but slowing expansion.
Financial Health Score
ExcellentREGI maintains a strong and stable balance sheet.
Profitability Score
WeakREGI struggles to sustain strong margins.
Key Financial Metrics
Is REGI Expensive or Cheap?
P/E Ratio
REGI trades at 13.61 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, REGI's PEG of 0.14 indicates potential undervaluation.
Price to Book
The market values Renewable Energy Group, Inc. at 1.68 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.39 times EBITDA. This signals the market has high growth expectations.
How Well Does REGI Make Money?
Net Profit Margin
For every $100 in sales, Renewable Energy Group, Inc. keeps $6.59 as profit after all expenses.
Operating Margin
Core operations generate 6.89 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $14.74 in profit for every $100 of shareholder equity.
ROA
Renewable Energy Group, Inc. generates $8.36 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Renewable Energy Group, Inc. generates limited operating cash flow of $-17.34M, signaling weaker underlying cash strength.
Free Cash Flow
Renewable Energy Group, Inc. generates weak or negative free cash flow of $-123.63M, restricting financial flexibility.
FCF Per Share
Each share generates $-2.45 in free cash annually.
FCF Yield
REGI converts -3.73% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.61
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.14
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.68
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.96
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.34
vs 25 benchmark
Current Ratio
Current assets to current liabilities
6.07
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.15
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How REGI Stacks Against Its Sector Peers
| Metric | REGI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.61 | 20.19 | Better (Cheaper) |
| ROE | 14.74% | 1019.00% | Weak |
| Net Margin | 6.59% | -44017.00% (disorted) | Weak |
| Debt/Equity | 0.34 | -0.65 (disorted) | Distorted |
| Current Ratio | 6.07 | 4.60 | Strong Liquidity |
| ROA | 8.36% | -11655350.00% (disorted) | Weak |
REGI outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Renewable Energy Group, Inc.'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, Value, Commodity
EPS CAGR
N/A
Industry Style: Cyclical, Value, Commodity
FCF CAGR
N/A
Industry Style: Cyclical, Value, Commodity