Rogers Communications, Inc. (RCI.B) 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

Rogers Communications, Inc.

AirIQ, Inc.

Fintech Select Ltd.

Wi2Wi Corp.

TELUS Corp.

Trilogy International Partners, Inc.

Why is Rogers Communications, Inc. ?

High Management Efficiency with a high ROCE of 10.47%

Poor long term growth as Net Sales has grown by an annual rate of 9.70% and Operating profit at 9.01% over the last 5 years

Flat results in Jun 26

INTEREST COVERAGE RATIO(Q) Lowest at 430.43
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
EPS(Q) Lowest at CAD -1.34

With ROE of 38.93%, it has a fair valuation with a 1.21 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 6.83%, its profits have risen by 254.4% ; the PEG ratio of the company is 0

High Institutional Holdings at 60.8%

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

Underperformed the market in the last 1 year

The stock has generated a return of 6.83% in the last 1 year, much lower than market (S&P/TSX 60) returns of 28.13%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Rogers Communications, Inc. should be less than 10%
Overall Portfolio exposure to Telecom - Equipment & Accessories should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)

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

Is Rogers Communications, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Rogers Communications, Inc.

6.83%

0.11

28.13%

S&P/TSX 60

28.13%

2.33

12.07%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.70%

EBIT Growth (5y)

9.01%

EBIT to Interest (avg)

2.69

Debt to EBITDA (avg)

4.03

Net Debt to Equity (avg)

4.18

Sales to Capital Employed (avg)

0.37

Tax Ratio

10.09%

Dividend Payout Ratio

15.67%

Pledged Shares

Institutional Holding

63.25%

ROCE (avg)

9.79%

ROE (avg)

16.46%

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

1.21

EV to EBIT

12.33

EV to EBITDA

6.23

EV to Capital Employed

1.06

EV to Sales

2.82

PEG Ratio

0.01

Dividend Yield

ROCE (Latest)

8.62%

ROE (Latest)

38.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Mildly 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

5What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CAD 6,145 MM

RAW MATERIAL COST(Y)

Fallen by 1.62% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 31.71 times

-4What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 430.43

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

EPS(Q)

Lowest at CAD -1.34

Here's what is working for Rogers Communications, Inc.

Operating Cash Flow

Highest at CAD 6,145 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CAD MM)

Inventory Turnover Ratio

Highest at 31.71 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 1.62% (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 Rogers Communications, Inc.

Interest Coverage Ratio

Lowest at 430.43

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

EPS

Lowest at CAD -1.34

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CAD)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)