Roadrunner Transportation Systems, Inc.
Roadrunner Transportation Systems, Inc. Fundamental Analysis
Roadrunner Transportation Systems, Inc. (RRTS) shows weak financial fundamentals with a PE ratio of -4.23, profit margin of -5.61%, and ROE of 2.05%. The company generates $0.4B in annual revenue with weak year-over-year growth of 1.97%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 23.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze RRTS's fundamental strength across five key dimensions:
Efficiency Score
WeakRRTS struggles to generate sufficient returns from assets.
Valuation Score
ExcellentRRTS trades at attractive valuation levels.
Growth Score
ModerateRRTS shows steady but slowing expansion.
Financial Health Score
ModerateRRTS shows balanced financial health with some risks.
Profitability Score
WeakRRTS struggles to sustain strong margins.
Key Financial Metrics
Is RRTS Expensive or Cheap?
P/E Ratio
RRTS trades at -4.23 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, RRTS's PEG of -0.04 indicates potential undervaluation.
Price to Book
The market values Roadrunner Transportation Systems, Inc. at 6.40 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 4.78 times EBITDA. This is generally considered low.
How Well Does RRTS Make Money?
Net Profit Margin
For every $100 in sales, Roadrunner Transportation Systems, Inc. keeps $-5.61 as profit after all expenses.
Operating Margin
Core operations generate -3.38 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.05 in profit for every $100 of shareholder equity.
ROA
Roadrunner Transportation Systems, Inc. generates $-10.58 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Roadrunner Transportation Systems, Inc. generates limited operating cash flow of $-5.02M, signaling weaker underlying cash strength.
Free Cash Flow
Roadrunner Transportation Systems, Inc. generates weak or negative free cash flow of $-5.41M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.14 in free cash annually.
FCF Yield
RRTS converts -5.48% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-4.23
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
6.40
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.24
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
9.01
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.11
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
2.05
vs 25 benchmark
ROA
Return on assets percentage
-0.11
vs 25 benchmark
ROCE
Return on capital employed
-0.09
vs 25 benchmark
How RRTS Stacks Against Its Sector Peers
| Metric | RRTS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -4.23 | 25.96 | Better (Cheaper) |
| ROE | 205.33% | 1263.00% | Weak |
| Net Margin | -5.61% | -41827.00% (disorted) | Weak |
| Debt/Equity | 9.01 | 0.79 | Weak (High Leverage) |
| Current Ratio | 1.11 | 10.05 | Neutral |
| ROA | -10.58% | -1497918.00% (disorted) | Weak |
RRTS outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Roadrunner Transportation Systems, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-77.70%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
93.22%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
94.88%
Industry Style: Cyclical, Value, Infrastructure
High Growth