RealNetworks Stock Analysis, Valuation (NASDAQ:RNWK)
View the RealNetworks stock analysis video on Amigobulls. Our RNWK analysis video highlights revenue and profit trends along with other important metrics such as valuation to find what makes the stock attractive.
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.
RealNetworks Inc Stock Rating 1.7/5
Amigobulls RNWK stock analysis uses latest quarter 2018 Q2 financial data like RealNetworks revenue growth, profit margins and cash flows. We also use relative valuation metrics like PE ratio and price to sales ratio for RealNetworks valuation analysis. Based on a company's historical fundamentals we arrive at RealNetworks stock rating which is indicative of the company's financial performance.
Should you buy RNWK stock?
- When compared with the Computer and Technology sector average PS ratio of 2.9, the price-to-sales ratio of 1.5 for RNWK stock is attractive.
Should you sell RNWK stock?
- RealNetworks sales declined by -35.7% year on year in 2018-03.
- Revenue declined at a CAGR of -16.4 over the last 5 years.
- RealNetworks registered a negative operating margin of -17.22 (average) over the Trailing Twelve Months (TTM).
- Over the last 12 months, RealNetworks had an average Net loss of -11.9%.
- PE ratio is meaningless for RNWK stock as the company has losses.
- The company has a negative Return on Invested Capital of -70.5, which is a red flag.
- A negative ROE of -15.3 indicates that the company is not able to generate profits with the money shareholders have invested.
- The company has a negative free cash flow margin of -29.2.
Investors can make use of the Amigobulls RealNetworks stock analysis to ascertain how RNWK stock fares in fundamental analysis investment criteria. Company's fundamentals remain one of the key driver of RNWK stock and helps investors in making good buy and sell decision.
RealNetworks revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. One can also combine technical analysis and fundamental analysis to get a holistic picture about RNWK stock.