Retail Opportunity Investments Corp.
Retail Opportunity Investments Corp. Fundamental Analysis
Retail Opportunity Investments Corp. (ROIC) shows weak financial fundamentals with a PE ratio of 63.31, profit margin of 10.54%, and ROE of 2.67%. The company generates $0.3B 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 29.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ROIC's fundamental strength across five key dimensions:
Efficiency Score
WeakROIC struggles to generate sufficient returns from assets.
Valuation Score
ModerateROIC shows balanced valuation metrics.
Growth Score
ModerateROIC shows steady but slowing expansion.
Financial Health Score
WeakROIC carries high financial risk with limited liquidity.
Profitability Score
ModerateROIC maintains healthy but balanced margins.
Key Financial Metrics
Is ROIC Expensive or Cheap?
P/E Ratio
ROIC trades at 63.31 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ROIC's PEG of 0.90 indicates potential undervaluation.
Price to Book
The market values Retail Opportunity Investments Corp. at 1.70 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.48 times EBITDA. This is generally considered low.
How Well Does ROIC Make Money?
Net Profit Margin
For every $100 in sales, Retail Opportunity Investments Corp. keeps $10.54 as profit after all expenses.
Operating Margin
Core operations generate 33.52 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.67 in profit for every $100 of shareholder equity.
ROA
Retail Opportunity Investments Corp. generates $1.16 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Retail Opportunity Investments Corp. generates strong operating cash flow of $152.11M, reflecting robust business health.
Free Cash Flow
Retail Opportunity Investments Corp. generates strong free cash flow of $152.11M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.18 in free cash annually.
FCF Yield
ROIC converts 6.54% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
63.31
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.90
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.70
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.88
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.18
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.58
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How ROIC Stacks Against Its Sector Peers
| Metric | ROIC Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 63.31 | 23.43 | Worse (Expensive) |
| ROE | 2.67% | 685.00% | Weak |
| Net Margin | 10.54% | 2002.00% | Weak |
| Debt/Equity | 1.18 | -21.97 (disorted) | Distorted |
| Current Ratio | 0.58 | 11.11 | Weak Liquidity |
| ROA | 1.16% | 166.00% | Weak |
ROIC outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Retail Opportunity Investments Corp.'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: Income, Inflation Hedge, REIT
EPS CAGR
N/A
Industry Style: Income, Inflation Hedge, REIT
FCF CAGR
N/A
Industry Style: Income, Inflation Hedge, REIT