Ranger Energy Services, Inc.
Ranger Energy Services, Inc. Fundamental Analysis
Ranger Energy Services, Inc. (RNGR) shows weak financial fundamentals with a PE ratio of 24.66, profit margin of 2.72%, and ROE of 5.45%. The company generates $0.6B in annual revenue with weak year-over-year growth of -10.29%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 30.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze RNGR's fundamental strength across five key dimensions:
Efficiency Score
WeakRNGR struggles to generate sufficient returns from assets.
Valuation Score
ExcellentRNGR trades at attractive valuation levels.
Growth Score
WeakRNGR faces weak or negative growth trends.
Financial Health Score
ExcellentRNGR maintains a strong and stable balance sheet.
Profitability Score
WeakRNGR struggles to sustain strong margins.
Key Financial Metrics
Is RNGR Expensive or Cheap?
P/E Ratio
RNGR trades at 24.66 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, RNGR's PEG of -0.75 indicates potential undervaluation.
Price to Book
The market values Ranger Energy Services, Inc. at 1.36 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.51 times EBITDA. This is generally considered low.
How Well Does RNGR Make Money?
Net Profit Margin
For every $100 in sales, Ranger Energy Services, Inc. keeps $2.72 as profit after all expenses.
Operating Margin
Core operations generate 3.85 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.45 in profit for every $100 of shareholder equity.
ROA
Ranger Energy Services, Inc. generates $4.00 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Ranger Energy Services, Inc. produces operating cash flow of $83.95M, showing steady but balanced cash generation.
Free Cash Flow
Ranger Energy Services, Inc. produces free cash flow of $57.44M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $2.44 in free cash annually.
FCF Yield
RNGR converts 13.31% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
24.66
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.75
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.36
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.73
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.04
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.47
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How RNGR Stacks Against Its Sector Peers
| Metric | RNGR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 24.66 | 20.19 | Worse (Expensive) |
| ROE | 5.45% | 1019.00% | Weak |
| Net Margin | 2.72% | -44017.00% (disorted) | Weak |
| Debt/Equity | 0.04 | -0.65 (disorted) | Distorted |
| Current Ratio | 2.47 | 4.60 | Strong Liquidity |
| ROA | 4.00% | -11655350.00% (disorted) | Weak |
RNGR outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Ranger Energy Services, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-35.01%
Industry Style: Cyclical, Value, Commodity
DecliningEPS CAGR
60.34%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
-37.58%
Industry Style: Cyclical, Value, Commodity
Declining