RPM International Inc. [NYSE:RPM]: Analyst Rating and Earnings
Equities traders frequently stay up to date regarding what leading market analysts think about a possible stock buy. As it relates to RPM International Inc. [RPM], the latest mean analyst recommendation that’s publicly available is from the fiscal three-month period ending in May. On average, stock market experts give RPM an Hold rating. Its stock price has been found in the range of 37.13 to 51.59. This is compared to its latest closing price of $56.53.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for RPM International Inc. [RPM] is sitting at 2.62. This is compared to 1 month ago, when its average rating was 2.62.
For the quarter ending in Nov-18 RPM International Inc. [RPM] generated $1.36 billion in sales. That’s 1.20% lower than the average estimate of $1.38 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Stay on the lookout for the next quarterly financial report – the company is expected to release the following results on Thu 4 Apr (In 52 Days).
Fundamental Analysis of RPM International Inc. [RPM]
Now let’s turn to look at profitability: with a current Operating Margin for RPM International Inc. [RPM] sitting at +9.92 and its Gross Margin at +40.99, this company’s Net Margin is now 4.40%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 14.39, and its Return on Invested Capital has reached 11.30%. Its Return on Equity is 21.78, and its Return on Assets is 6.44. These metrics show a mixed bag, which means that this investment’s attractiveness can be quickly increased or decreased in the short term, depending on future updates RPM financial performance.
Turning to investigate this organization’s capital structure, RPM International Inc. [RPM] has generated a Total Debt to Total Equity ratio of 133.32. Similarly, its Total Debt to Total Capital is 57.14, while its Total Debt to Total Assets stands at 41.24. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 133.11, and its Long-Term Debt to Total Capital is 57.05. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 14.11 and its Total Debt to EBITDA Value is 3.31. The Enterprise Value to Sales for this firm is now 1.69, and its Total Debt to Enterprise Value stands at 0.25. RPM International Inc. [RPM] has a Price to Book Ratio of 4.06, a Price to Cash Flow Ratio of 17.39 and P/E Ratio of 30.70. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, RPM International Inc. [RPM] earns $366,000 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 5.05 and its Total Asset Turnover is 1.03. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.63 and its Current Ratio is 2.45. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Let’s now turn our attention to trading performance: RPM International Inc. [RPM] has 131.88M shares outstanding, amounting to a total market cap of $7.44B. Its stock price has been found in the range of 46.36 to 68.13. At its current price, it has moved by -17.17% from its 52-week high, and it has moved 21.72% from its 52-week low.
This stock’s Beta value is currently 1.18, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 48.68. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is RPM International Inc. [RPM] a Reliable Buy?
Shares of RPM International Inc. [RPM], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.