Ritchie Bros. Auctioneers Stock Analysis, Valuation (NYSE:RBA)

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$32.71 $0.06 (0.18%) RBA stock closing price Jul 20, 2018 (Closing)

Take a look at Amigobulls Ritchie Bros. Auctioneers stock analysis video. This is our analyst opinion covering the buy and sell arguments for RBA stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Ritchie Bros. Auctioneers (USA) Stock Rating 2.9/5

Amigobulls RBA stock analysis takes into account various financial ratios like relative valuation, Ritchie Bros. Auctioneers revenue, growth and return on equity based on latest quarter 2018 Q1 financial statements. We also check Ritchie Bros. Auctioneers dividend performance. Ritchie Bros. Auctioneers valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Ritchie Bros. Auctioneers stock rating is our opinion about the business fundamentals of the company.

Should you buy RBA stock?

  • The Year Over Year (YoY) revenue growth for Ritchie Bros. Auctioneers was 109% in 2018-03.
  • Long term revenue growth has been strong with a 5 year compounded annual growth of 11.2.
  • The TTM operating margin was good at 15.64 for Ritchie Bros. Auctioneers.
  • Net margins stood at a healthy 11% (average) for Ritchie Bros. Auctioneers in the Trailing Twelve Months.
  • Ritchie Bros. Auctioneers's return on invested capital of 9.8 is good.
  • The company has a healthy free cash flow margin of 25.3.

Should you sell RBA stock?

  • With a debt/equity ratio of 1.04, Ritchie Bros. Auctioneers is highly leveraged in comparison to Business Services peers.
  • The RBA stock currently trades at a PE of 38.9, which is expensive, compared to the sector average of 23.8.
  • The company is trading at a price to sales multiple of 4.7, which is higher in comparison to the Business Services sector average of 1.6, making RBA stock expensive.

Comments on this video and Ritchie Bros. Auctioneers stock

Investors can use Amigobulls Ritchie Bros. Auctioneers stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Company's fundamentals remain one of the key driver of RBA stock and helps investors in making good buy and sell decision.

Among the financials of the company, Ritchie Bros. Auctioneers revenue growth along with the profit or net income give a clear picture of the financial health. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Ritchie Bros. Auctioneers stock.