Rinnai Corp
Rinnai Corp Fundamental Analysis
Rinnai Corp (RINIY) shows weak financial fundamentals with a PE ratio of 48.15, profit margin of 7.39%, and ROE of 8.53%. The company generates $192.9B 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 49.8/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze RINIY's fundamental strength across five key dimensions:
Efficiency Score
WeakRINIY struggles to generate sufficient returns from assets.
Valuation Score
ModerateRINIY shows balanced valuation metrics.
Growth Score
ExcellentRINIY delivers strong and consistent growth momentum.
Financial Health Score
ExcellentRINIY maintains a strong and stable balance sheet.
Profitability Score
WeakRINIY struggles to sustain strong margins.
Key Financial Metrics
Is RINIY Expensive or Cheap?
P/E Ratio
RINIY trades at 48.15 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, RINIY's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Rinnai Corp at 4.05 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 11.62 times EBITDA. This signals the market has high growth expectations.
How Well Does RINIY Make Money?
Net Profit Margin
For every $100 in sales, Rinnai Corp keeps $7.39 as profit after all expenses.
Operating Margin
Core operations generate 10.26 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.53 in profit for every $100 of shareholder equity.
ROA
Rinnai Corp generates $5.79 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Rinnai Corp generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Rinnai Corp 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
RINIY converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
48.15
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.006
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.47
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
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How RINIY Stacks Against Its Sector Peers
| Metric | RINIY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 48.15 | 23.78 | Worse (Expensive) |
| ROE | 8.53% | 1098.00% | Weak |
| Net Margin | 7.39% | -626.00% (disorted) | Weak |
| Debt/Equity | 0.13 | 0.86 | Strong (Low Leverage) |
| Current Ratio | 3.51 | 2.64 | Strong Liquidity |
| ROA | 5.79% | -8081.00% (disorted) | Weak |
RINIY 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 Rinnai Corp'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