RigNet Stock Analysis (NASDAQ:RNET)
RigNet Analysis Video
View RigNet stock analysis video. This is our RNET analyst opinion covering the buy and sell arguments for RNET stock.
RigNet Inc Stock Rating (2.5/5)
Our RigNet stock opinion is based on fundamentals of the company. This RigNet stock analysis is based on latest Q4 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy RNET stock?
- When compared with the Wireless Non-US industry average PS ratio of 2.7, the price-to-sales ratio of 1.6 for RNET stock is attractive.
- The company has a good Free Cash Flow (FCF) margin of 26.4%.
Should you sell RNET stock?
- RigNet had a low YoY revenue growth of 1.1% in the 2016 Q4.
- RigNet reported an average operating margin of -1.1% over the Last Twelve Months (LTM).
- RigNet posted an average Net loss of -5.1% in the last twelve months.
- With a debt/equity ratio of 0.55, RigNet is highly leveraged in comparison to Computer and Technology peers.
- PE ratio is meaningless for RNET stock as the company has losses.
- RigNet's negative ROIC of -1% indicates operational inefficiency.
- A negative ROE of -9.5% indicates that the company is not able to generate profits with the money shareholders have invested.