Regions Financial Corporation [NYSE:RF]: Analyst Rating and Earnings
Stock market traders oftentimes pay a lot of attention to what top analysts say regarding a potential investment. Regarding Regions Financial Corporation [RF], the latest average analyst recommendation we can see is from the quarter closing in December. On average, stock market experts give RF an Hold rating. Its stock price has been found in the range of 12.39 to 19.99. This is compared to its latest closing price of $14.96.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Regions Financial Corporation [RF] is sitting at 2.54. This is compared to 1 month ago, when its average rating was 2.52.
For the quarter ending in Dec-18 Regions Financial Corporation [RF] generated $1.45 billion in sales. That’s 1.63% lower than the average estimate of $1.48 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.
Pay attention for this company’s financial results, of which the next release is scheduled to happen on Thu 18 Apr (In 28 Days).
Fundamental Analysis of Regions Financial Corporation [RF]
Now let’s turn to look at profitability: with a current Operating Margin for Regions Financial Corporation [RF] sitting at +30.79, this company’s Net Margin is now 38.60%. These measurements indicate that Regions Financial Corporation [RF] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 7.30, and its Return on Invested Capital has reached 15.90%. Its Return on Equity is 10.02, and its Return on Assets is 1.25. These metrics suggest that this Regions Financial Corporation does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Regions Financial Corporation [RF] has generated a Total Debt to Total Equity ratio of 92.94. Similarly, its Total Debt to Total Capital is 48.17, while its Total Debt to Total Assets stands at 11.10. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 55.85, and its Long-Term Debt to Total Capital is 27.38. 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 10.66. The Enterprise Value to Sales for this firm is now 4.15, and its Total Debt to Enterprise Value stands at 0.54. Regions Financial Corporation [RF] has a Price to Book Ratio of 0.96, a Price to Cash Flow Ratio of 6.78 and P/E Ratio of 10.60. These metrics all suggest that Regions Financial Corporation is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Regions Financial Corporation [RF] earns $320,096 for each employee under its payroll. Similarly, this company’s Total Asset Turnover is 0.05.
Regions Financial Corporation [RF] has 1.02B shares outstanding, amounting to a total market cap of $14.73B. Its stock price has been found in the range of 12.39 to 19.99. At its current price, it has moved by -27.81% from its 52-week high, and it has moved 16.46% from its 52-week low.
This stock’s Beta value is currently 1.52, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 28.09. This stock, according to these metrics, is currently Oversold.
Conclusion: Is Regions Financial Corporation [RF] a Reliable Buy?
Regions Financial Corporation [RF] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.