RGC Resources, Inc. (RGCO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

New Jersey Resources Corp.

Chesapeake Utilities Corp.

Northwest Natural Holding Co.

Spire Inc.

RGC Resources, Inc.

ONE Gas, Inc.

Excelerate Energy, Inc.

Southwest Gas Holdings, Inc.

MDU Resources Group, Inc.

Clean Energy Fuels Corp.

New Fortress Energy, Inc.

Why is RGC Resources, Inc. ?

Poor long term growth as Net Sales has grown by an annual rate of 9.37% and Operating profit at 6.30% over the last 5 years

With a growth in Net Sales of 24.67%, the company declared Very Positive results in Mar 26

INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
DEBT-EQUITY RATIO (HY) Lowest at 115.83 %
INVENTORY TURNOVER RATIO(HY) Highest at 22.7 times

With ROE of 11.07%, it has a fair valuation with a 1.89 Price to Book Value

Over the past year, while the stock has generated a return of 19.39%, its profits have risen by 7.3% ; the PEG ratio of the company is 2.8

High Institutional Holdings at 42.63%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to RGC Resources, Inc. should be less than 10%
Overall Portfolio exposure to Gas should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gas)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is RGC Resources, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

RGC Resources, Inc.

-100.0%

0.56

35.53%

S&P 500

26.39%

2.01

13.16%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.37%

EBIT Growth (5y)

6.30%

EBIT to Interest (avg)

3.08

Debt to EBITDA (avg)

5.05

Net Debt to Equity (avg)

1.19

Sales to Capital Employed (avg)

0.35

Tax Ratio

23.81%

Dividend Payout Ratio

64.40%

Pledged Shares

Institutional Holding

42.63%

ROCE (avg)

6.96%

ROE (avg)

13.26%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.89

EV to EBIT

21.13

EV to EBITDA

12.71

EV to Capital Employed

1.38

EV to Sales

3.80

PEG Ratio

2.75

Dividend Yield

3.93%

ROCE (Latest)

6.55%

ROE (Latest)

11.07%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

Mildly Bullish

Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

12What is working for the Company

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

DEBT-EQUITY RATIO (HY)

Lowest at 115.83 %

INVENTORY TURNOVER RATIO(HY)

Highest at 22.7 times

DIVIDEND PER SHARE(HY)

Highest at USD 8.04

NET SALES(Q)

Highest at USD 45.46 MM

OPERATING PROFIT(Q)

Highest at USD 14.36 MM

PRE-TAX PROFIT(Q)

Highest at USD 11.29 MM

NET PROFIT(Q)

Highest at USD 8.74 MM

EPS(Q)

Highest at USD 0.84

-1What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 13.54% (YoY

Here's what is working for RGC Resources, Inc.

Net Sales

Highest at USD 45.46 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit

Highest at USD 14.36 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Pre-Tax Profit

Highest at USD 11.29 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 8.74 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 0.84

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Debt-Equity Ratio

Lowest at 115.83 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 22.7 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at USD 8.04

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Here's what is not working for RGC Resources, Inc.

Raw Material Cost

Grown by 13.54% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales