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RCO

Rémy CointreauENXTPA:RCO Stock Report

Market Cap

€8.8b

7D

0.7%

1Y

15.1%

Updated

23 Oct, 2021

Data

Company Financials +
RCO fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance4/6
Financial Health6/6
Dividends3/6

RCO Overview

Rémy Cointreau SA, together with its subsidiaries, produces and distributes liqueurs and spirits.

Rewards

Earnings are forecast to grow 14.41% per year

Earnings have grown 0.6% per year over the past 5 years

Risk Analysis

No risks detected for RCO from our risk checks.

Rémy Cointreau Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Rémy Cointreau
Historical stock prices
Current Share Price€176.60
52 Week High€140.30
52 Week Low€188.00
Beta0.067
1 Month Change6.32%
3 Month Change-3.18%
1 Year Change15.12%
3 Year Change70.79%
5 Year Change136.54%
Change since IPO480.34%

Recent News & Updates

Sep 24
These 4 Measures Indicate That Rémy Cointreau (EPA:RCO) Is Using Debt Reasonably Well

These 4 Measures Indicate That Rémy Cointreau (EPA:RCO) Is Using Debt Reasonably Well

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Sep 06
Estimating The Intrinsic Value Of Rémy Cointreau SA (EPA:RCO)

Estimating The Intrinsic Value Of Rémy Cointreau SA (EPA:RCO)

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Rémy Cointreau SA...

Jul 29
Rémy Cointreau (EPA:RCO) Hasn't Managed To Accelerate Its Returns

Rémy Cointreau (EPA:RCO) Hasn't Managed To Accelerate Its Returns

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Shareholder Returns

RCOFR BeverageFR Market
7D0.7%0.9%0.7%
1Y15.1%31.5%35.2%

Return vs Industry: RCO underperformed the French Beverage industry which returned 31.5% over the past year.

Return vs Market: RCO underperformed the French Market which returned 35.2% over the past year.

Price Volatility

Is RCO's price volatile compared to industry and market?
RCO volatility
RCO Beta0.067
Industry Beta0.50
Market Beta1

Stable Share Price: RCO is less volatile than 75% of French stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: RCO's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
17241,832Éric Vallathttps://www.remy-cointreau.com

Rémy Cointreau SA, together with its subsidiaries, produces and distributes liqueurs and spirits. The company operates through Rémy Martin, Liqueurs & Spirits, and Partner Brands segments. It offers liqueurs, brandy, gin, single malt whisky, rum, wine, and champagne primarily under the Cointreau, Metaxa, St-Rémy, Mount Gay, Bruichladdich, Port Charlotte, Octomore, The Botanist, Westland, LOUIS XIII, and Domaine des Hautes Glaces brands.

Rémy Cointreau Fundamentals Summary

How do Rémy Cointreau's earnings and revenue compare to its market cap?
RCO fundamental statistics
Market Cap€8.79b
Earnings (TTM)€144.50m
Revenue (TTM)€1.01b

60.8x

P/E Ratio

8.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RCO income statement (TTM)
Revenue€1.01b
Cost of Revenue€330.10m
Gross Profit€680.10m
Expenses€535.60m
Earnings€144.50m

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)2.90
Gross Margin67.32%
Net Profit Margin14.30%
Debt/Equity Ratio32.0%

How did RCO perform over the long term?

See historical performance and comparison

Dividends

1.0%

Current Dividend Yield

64%

Payout Ratio

Valuation

Is Rémy Cointreau undervalued compared to its fair value and its price relative to the market?

60.82x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: RCO (€176.6) is trading above our estimate of fair value (€126.36)

Significantly Below Fair Value: RCO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: RCO is poor value based on its PE Ratio (60.8x) compared to the French Beverage industry average (36.8x).

PE vs Market: RCO is poor value based on its PE Ratio (60.8x) compared to the French market (19.5x).


Price to Earnings Growth Ratio

PEG Ratio: RCO is poor value based on its PEG Ratio (4.2x)


Price to Book Ratio

PB vs Industry: RCO is overvalued based on its PB Ratio (5.7x) compared to the FR Beverage industry average (0.9x).


Future Growth

How is Rémy Cointreau forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

14.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RCO's forecast earnings growth (14.4% per year) is above the savings rate (0.3%).

Earnings vs Market: RCO's earnings (14.4% per year) are forecast to grow faster than the French market (12.4% per year).

High Growth Earnings: RCO's earnings are forecast to grow, but not significantly.

Revenue vs Market: RCO's revenue (9.8% per year) is forecast to grow faster than the French market (6.2% per year).

High Growth Revenue: RCO's revenue (9.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RCO's Return on Equity is forecast to be low in 3 years time (13%).


Past Performance

How has Rémy Cointreau performed over the past 5 years?

0.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RCO has high quality earnings.

Growing Profit Margin: RCO's current net profit margins (14.3%) are higher than last year (10.4%).


Past Earnings Growth Analysis

Earnings Trend: RCO's earnings have grown by 0.6% per year over the past 5 years.

Accelerating Growth: RCO's earnings growth over the past year (35%) exceeds its 5-year average (0.6% per year).

Earnings vs Industry: RCO earnings growth over the past year (35%) underperformed the Beverage industry 56.9%.


Return on Equity

High ROE: RCO's Return on Equity (9.3%) is considered low.


Financial Health

How is Rémy Cointreau's financial position?


Financial Position Analysis

Short Term Liabilities: RCO's short term assets (€1.9B) exceed its short term liabilities (€719.8M).

Long Term Liabilities: RCO's short term assets (€1.9B) exceed its long term liabilities (€512.1M).


Debt to Equity History and Analysis

Debt Level: RCO's debt to equity ratio (32%) is considered satisfactory.

Reducing Debt: RCO's debt to equity ratio has reduced from 45.5% to 32% over the past 5 years.

Debt Coverage: RCO's debt is well covered by operating cash flow (35.7%).

Interest Coverage: RCO's interest payments on its debt are well covered by EBIT (22.1x coverage).


Balance Sheet


Dividend

What is Rémy Cointreau current dividend yield, its reliability and sustainability?

1.05%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: RCO's dividend (1.05%) isn’t notable compared to the bottom 25% of dividend payers in the French market (1.32%).

High Dividend: RCO's dividend (1.05%) is low compared to the top 25% of dividend payers in the French market (3.93%).


Stability and Growth of Payments

Stable Dividend: RCO's dividend payments have been volatile in the past 10 years.

Growing Dividend: RCO's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (64.1%), RCO's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RCO's dividends in 3 years are forecast to be covered by earnings (50.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.3yrs

Average management tenure


CEO

Éric Vallat

1.83yrs

Tenure

€9,727,934

Compensation

Mr. Éric Vallat serves as Chief Executive Officer of Rémy Cointreau since December 1, 2019. Mr. Éric Vallat served as Head of Fashion & Accessories Maisons at Compagnie Financière Richemont SA since June 1...


CEO Compensation Analysis

Compensation vs Market: Éric's total compensation ($USD11.32M) is above average for companies of similar size in the French market ($USD3.25M).

Compensation vs Earnings: Éric's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: RCO's management team is seasoned and experienced (6.3 years average tenure).


Board Members

Experienced Board: RCO's board of directors are considered experienced (4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Rémy Cointreau SA's employee growth, exchange listings and data sources


Key Information

  • Name: Rémy Cointreau SA
  • Ticker: RCO
  • Exchange: ENXTPA
  • Founded: 1724
  • Industry: Distillers and Vintners
  • Sector: Food, Beverage & Tobacco
  • Market Cap: €8.789b
  • Shares outstanding: 49.77m
  • Website: https://www.remy-cointreau.com

Number of Employees


Location

  • Rémy Cointreau SA
  • Rue Joseph Pataa
  • Cognac
  • Poitou-Charentes
  • 16100
  • France

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/23 17:56
End of Day Share Price2021/10/22 00:00
Earnings2021/03/31
Annual Earnings2021/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.