Ritchie Bros. Auctioneers Incorporated (NYSE:RBA) shares fell to a low of $59.05 before closing at $59.19. Intraday shares traded counted 0.64 million, which was -15.05% lower than its 30-day average trading volume of 558.73K. RBA’s previous close was $59.32 while the outstanding shares total 109.97M. The firm has a beta of 1.16, a 12-month trailing P/E ratio of 35.66, and a growth ratio of 5.09. The stock’s Relative Strength Index (RSI) is 44.18, with weekly volatility at 1.83% and ATR at 1.38. The RBA stock’s 52-week price range has touched low of $39.14 and a $78.64 high. The stock traded lower over the last trading session, losing -0.22% on 06/16/21.
Investors have identified the Specialty Business Services company Ritchie Bros. Auctioneers Incorporated as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $6.42 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Ritchie Bros. Auctioneers Incorporated (RBA) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For RBA, the company has in raw cash 441.62 million on their books with 36.45 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on a decline. In terms of their assets, the company currently has 843.67 million total, with 784.87 million as their total liabilities.
RBA were able to record 179.13 million as free cash flow during the 08/12/2021 quarter of the year, this saw their quarterly net cash flow reduce by 134.72 million. In cash movements, the company had a total of 180.69 million as operating cash flow.
Potential earnings growth for Ritchie Bros. Auctioneers Incorporated (RBA)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 08/12/2021 quarter of the year, Ritchie Bros. Auctioneers Incorporated recorded a total of 331.56 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 17.58% coming in sequential stages and their sales for the 08/12/2021 quarter reducing by -15.64%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 146.77 million trying to sell their products during the last quarter, with the result yielding a gross income of 184.78 million. This allows shareholders to hold on to 109.97M with the recently reported earning now reading 0.26 cents per share. This is a figure that compared to analyst’s prediction for their 08/12/2021 (0.25 cents a share).
Having a look at the company’s valuation, the company is expected to record 2.09 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on RBA sounds very interesting.
Is the stock of RBA attractive?
In related news, President, Sales U.S., JETER JAMES J sold 3,200 shares of the company’s stock in a transaction that recorded on May 24. The sale was performed at an average price of 62.34, for a total value of 199,488. As the sale deal closes, the Chief Marketing Officer, ACKLEY MATTHEW now sold 2,000 shares of the company’s stock, valued at 121,140. Also, President, Sales U.S., JETER JAMES J sold 20,455 shares of the company’s stock in a deal that was recorded on May 13. The shares were price at an average price of 61.42 per share, with a total market value of 1,256,250. Following this completion of acquisition, the President, Sales U.S., JETER JAMES J now holds 600 shares of the company’s stock, valued at 33,858. In the last 6 months, insiders have changed their ownership in shares of company stock by 14.30%.
1 out of 10 analysts covering the stock have rated it a Buy, while 6 have maintained a Hold recommendation on Ritchie Bros. Auctioneers Incorporated. 0 analysts has assigned a Sell rating on the RBA stock. The 12-month mean consensus price target for the company’s shares has been set at $65.00.