Rinnai Corporation
Rinnai Corporation Fundamental Analysis
Rinnai Corporation (RINIF) shows moderate financial fundamentals with a PE ratio of 15.46, profit margin of 7.35%, and ROE of 11.36%. The company generates $469.1B in annual revenue with moderate year-over-year growth of 7.00%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 52.6/100 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 RINIF's fundamental strength across five key dimensions:
Efficiency Score
WeakRINIF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentRINIF trades at attractive valuation levels.
Growth Score
ExcellentRINIF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentRINIF maintains a strong and stable balance sheet.
Profitability Score
WeakRINIF struggles to sustain strong margins.
Key Financial Metrics
Is RINIF Expensive or Cheap?
P/E Ratio
RINIF trades at 15.46 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, RINIF's PEG of 0.03 indicates potential undervaluation.
Price to Book
The market values Rinnai Corporation at 1.30 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 9.55 times EBITDA. This is generally considered low.
How Well Does RINIF Make Money?
Net Profit Margin
For every $100 in sales, Rinnai Corporation keeps $7.35 as profit after all expenses.
Operating Margin
Core operations generate 10.27 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
Rinnai Corporation generates $5.80 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Rinnai Corporation generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Rinnai Corporation 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
RINIF converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.46
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.03
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.14
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.13
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.51
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
0.10
vs 25 benchmark
How RINIF Stacks Against Its Sector Peers
| Metric | RINIF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.46 | 23.78 | Better (Cheaper) |
| ROE | 11.36% | 1098.00% | Weak |
| Net Margin | 7.35% | -626.00% (disorted) | Weak |
| Debt/Equity | 0.13 | 0.86 | Strong (Low Leverage) |
| Current Ratio | 3.51 | 2.64 | Strong Liquidity |
| ROA | 5.80% | -8081.00% (disorted) | Weak |
RINIF outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Rinnai Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
47.22%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
49.94%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
66.11%
Industry Style: Cyclical, Growth, Discretionary
High Growth