Renold plc manufactures and sells high precision engineered power transmission products in the United Kingdom, rest of Europe, Americas, Australasia, China, India, and internationally. More Details
+ 1 more risk
Fair value with imperfect balance sheet.
Share Price & News
How has Renold's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RNO is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: RNO's weekly volatility (8%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: RNO underperformed the UK Machinery industry which returned 14.3% over the past year.
Return vs Market: RNO underperformed the UK Market which returned -8.7% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Renold's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StA Quick Analysis On Renold's (LON:RNO) CEO Salary
1 month ago | Simply Wall StHere's Why We Think Renold's (LON:RNO) Statutory Earnings Might Be Conservative
1 month ago | Simply Wall StEstimating The Fair Value Of Renold plc (LON:RNO)
Is Renold undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RNO (£0.15) is trading below our estimate of fair value (£0.16)
Significantly Below Fair Value: RNO is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: RNO is good value based on its PE Ratio (10.5x) compared to the GB Machinery industry average (29.2x).
PE vs Market: RNO is good value based on its PE Ratio (10.5x) compared to the UK market (22.6x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate RNO's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: RNO has negative assets, so we can't compare its PB Ratio to the GB Machinery industry average.
How is Renold forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if RNO's forecast earnings growth is above the savings rate (1%).
Earnings vs Market: Insufficient data to determine if RNO's earnings are forecast to grow faster than the UK market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RNO's revenue (1.8% per year) is forecast to grow slower than the UK market (6.5% per year).
High Growth Revenue: RNO's revenue (1.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if RNO's Return on Equity is forecast to be high in 3 years time
How has Renold performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RNO has a large one-off loss of £1.6M impacting its September 30 2020 financial results.
Growing Profit Margin: RNO's current net profit margins (1.8%) are lower than last year (3.4%).
Past Earnings Growth Analysis
Earnings Trend: RNO's earnings have declined by 5.8% per year over the past 5 years.
Accelerating Growth: RNO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: RNO had negative earnings growth (-54.3%) over the past year, making it difficult to compare to the Machinery industry average (-13%).
Return on Equity
High ROE: RNO's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
How is Renold's financial position?
Financial Position Analysis
Short Term Liabilities: RNO has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: RNO has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: RNO has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: RNO's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: RNO's debt is well covered by operating cash flow (47.2%).
Interest Coverage: RNO's interest payments on its debt are well covered by EBIT (3.3x coverage).
What is Renold current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate RNO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate RNO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if RNO's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if RNO's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of RNO's dividend in 3 years as they are not forecast to pay a notable one for the UK market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Rob Purcell (58 yo)
Mr. Robert Purcell, also known as Rob, has been the Chief Executive of Renold plc since January 21, 2013. Mr. Purcell served as Managing Director of Protection and Finishing products of Filtrona plc until ...
CEO Compensation Analysis
Compensation vs Market: Rob's total compensation ($USD513.81K) is above average for companies of similar size in the UK market ($USD335.74K).
Compensation vs Earnings: Rob's compensation has been consistent with company performance over the past year.
|Chief Executive & Executive Director||8yrs||UK£378.00k||2.1% |
|Group Finance Director||0.25yr||no data||no data|
|Group Legal Counsel & Company Secretary||2.5yrs||no data||no data|
Experienced Management: RNO's management team is considered experienced (2.5 years average tenure).
|Chief Executive & Executive Director||8yrs||UK£378.00k||2.1% |
|Senior Independent Non-Executive Director||1.17yrs||UK£47.00k||0.016% |
|Non-Executive Chairman||8.5yrs||UK£121.00k||0.56% |
|Non-Executive Director||0.083yr||no data||no data|
|Independent Non-Executive Director||2.17yrs||UK£42.00k||0.019% |
Experienced Board: RNO's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.
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.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Renold plc's company bio, employee growth, exchange listings and data sources
- Name: Renold plc
- Ticker: RNO
- Exchange: AIM
- Founded: 1864
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: UK£32.686m
- Shares outstanding: 225.42m
- Website: https://www.renold.com
Number of Employees
- Renold plc
- Trident 2
- Trident Business Park
- Greater Manchester
- M22 5XB
- United Kingdom
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|RNO||AIM (London Stock Exchange AIM Market)||Yes||Ordinary Shares||GB||GBP||Jan 1992|
Renold plc manufactures and sells high precision engineered power transmission products in the United Kingdom, rest of Europe, Americas, Australasia, China, India, and internationally. The company operates...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/01/17 19:46|
|End of Day Share Price||2021/01/15 00:00|
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.