ScoreWhy is RCM Technologies, Inc. ?
1
High Management Efficiency with a high ROCE of 35.97%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 13.64
3
Healthy long term growth as Operating profit has grown by an annual rate 59.94%
4
The company has declared Negative results for the last 5 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at USD 2.8 MM
- INTEREST(9M) At USD 1.97 MM has Grown at 32.06%
- ROCE(HY) Lowest at 41.02%
5
With ROE of 37.45%, it has a attractive valuation with a 8.93 Price to Book Value
- Over the past year, while the stock has generated a return of -13.96%, its profits have fallen by -23.5%
6
High Institutional Holdings at 52.32%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
7
Below par performance in long term as well as near term
- Along with generating -13.96% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to RCM Technologies, Inc. should be less than 10%
- Overall Portfolio exposure to Diversified Commercial Services should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Diversified Commercial Services)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is RCM Technologies, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
RCM Technologies, Inc.
-13.76%
0.08
42.34%
S&P 500
13.22%
0.61
20.17%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
12.49%
EBIT Growth (5y)
59.94%
EBIT to Interest (avg)
13.64
Debt to EBITDA (avg)
2.80
Net Debt to Equity (avg)
0.58
Sales to Capital Employed (avg)
5.37
Tax Ratio
34.38%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
52.32%
ROCE (avg)
35.97%
ROE (avg)
42.41%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
Price to Book Value
8.93
EV to EBIT
14.83
EV to EBITDA
13.80
EV to Capital Employed
6.02
EV to Sales
1.13
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
40.59%
ROE (Latest)
37.45%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by 1.39% (YoY
CASH AND EQV(HY)
Highest at USD 10.65 MM
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 2.8 MM
INTEREST(9M)
At USD 1.97 MM has Grown at 32.06%
ROCE(HY)
Lowest at 41.02%
Here's what is working for RCM Technologies, Inc.
Cash and Eqv
Highest at USD 10.65 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by 1.39% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for RCM Technologies, Inc.
Operating Cash Flow
Lowest at USD 2.8 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Interest
At USD 1.97 MM has Grown at 32.06%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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