RHI Magnesita India Limited
RHI Magnesita India Limited Fundamental Analysis
RHI Magnesita India Limited (RHIM.BO) shows weak financial fundamentals with a PE ratio of 52.48, profit margin of 4.28%, and ROE of 4.30%. The company generates $40.1B in annual revenue with weak year-over-year growth of -2.82%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 33.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze RHIM.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakRHIM.BO struggles to generate sufficient returns from assets.
Valuation Score
WeakRHIM.BO trades at a premium to fair value.
Growth Score
WeakRHIM.BO faces weak or negative growth trends.
Financial Health Score
ExcellentRHIM.BO maintains a strong and stable balance sheet.
Profitability Score
WeakRHIM.BO struggles to sustain strong margins.
Key Financial Metrics
Is RHIM.BO Expensive or Cheap?
P/E Ratio
RHIM.BO trades at 52.48 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, RHIM.BO's PEG of 5.87 indicates potential overvaluation.
Price to Book
The market values RHI Magnesita India Limited at 2.24 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 19.09 times EBITDA. This signals the market has high growth expectations.
How Well Does RHIM.BO Make Money?
Net Profit Margin
For every $100 in sales, RHI Magnesita India Limited keeps $4.28 as profit after all expenses.
Operating Margin
Core operations generate 6.37 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.30 in profit for every $100 of shareholder equity.
ROA
RHI Magnesita India Limited generates $3.19 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
RHI Magnesita India Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
RHI Magnesita India Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
RHIM.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
52.48
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
5.87
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.24
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.24
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.10
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.61
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How RHIM.BO Stacks Against Its Sector Peers
| Metric | RHIM.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 52.48 | 26.71 | Worse (Expensive) |
| ROE | 4.30% | 1311.00% | Weak |
| Net Margin | 4.28% | -29317.00% (disorted) | Weak |
| Debt/Equity | 0.10 | 0.75 | Strong (Low Leverage) |
| Current Ratio | 2.61 | 10.53 | Strong Liquidity |
| ROA | 3.19% | -1537638.00% (disorted) | Weak |
RHIM.BO 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 RHI Magnesita India Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
55.19%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
-13.37%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
13.03%
Industry Style: Cyclical, Value, Infrastructure
High Growth