RPM International, Inc. (RPM) 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

WD-40 Co.

PPG Industries, Inc.

H.B. Fuller Co.

UFP Technologies, Inc.

RPM International, Inc.

CSW Industrials, Inc.

The Sherwin-Williams Co.

Montauk Renewables, Inc.

Axalta Coating Systems Ltd.

Olin Corp.

Chase Corp.

Why is RPM International, Inc. ?

High Management Efficiency with a high ROCE of 18.45%

Flat results in May 25

INTEREST(Q) At USD 25.94 MM has Grown at 12.81%

With ROCE of 19.53%, it has a fair valuation with a 4.07 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -19.75%, its profits have risen by 21% ; the PEG ratio of the company is 1.2

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -19.75% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to RPM International, Inc. should be less than 10%
Overall Portfolio exposure to Other Industrial Products should be less than 30%

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

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

Is RPM International, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

RPM International, Inc.

-3.42%

-0.08

27.24%

S&P 500

21.51%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.78%

EBIT Growth (5y)

4.65%

EBIT to Interest (avg)

7.98

Debt to EBITDA (avg)

2.34

Net Debt to Equity (avg)

0.69

Sales to Capital Employed (avg)

1.49

Tax Ratio

17.67%

Dividend Payout Ratio

37.19%

Pledged Shares

Institutional Holding

86.78%

ROCE (avg)

18.45%

ROE (avg)

27.06%

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

4.46

EV to EBIT

17.71

EV to EBITDA

14.47

EV to Capital Employed

3.03

EV to Sales

2.13

PEG Ratio

2.57

Dividend Yield

1.93%

ROCE (Latest)

17.11%

ROE (Latest)

22.58%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

Mildly Bullish

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

10What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 4.76

INTEREST COVERAGE RATIO(Q)

Highest at 1,404.02

RAW MATERIAL COST(Y)

Fallen by -0.53% (YoY

CASH AND EQV(HY)

Highest at USD 612.59 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 4.4 times

NET SALES(Q)

Highest at USD 2,231.84 MM

OPERATING PROFIT(Q)

Highest at USD 382.82 MM

PRE-TAX PROFIT(Q)

Highest at USD 301.93 MM

-3What is not working for the Company

ROCE(HY)

Lowest at 21.26%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.76 times

Here's what is working for RPM International, Inc.

Interest Coverage Ratio

Highest at 1,404.02

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Dividend per share

Highest at USD 4.76 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Net Sales

Highest at USD 2,231.84 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit

Highest at USD 382.82 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 301.93 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Cash and Eqv

Highest at USD 612.59 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Inventory Turnover Ratio

Highest at 4.4 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 -0.53% (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

Depreciation

Highest at USD 57.69 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for RPM International, Inc.

Debtors Turnover Ratio

Lowest at 4.76 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio