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RHIM

RHI MagnesitaLSE:RHIM Stock Report

Last Price

UK£36.70

Market Cap

UK£1.7b

7D

3.6%

1Y

-7.0%

Updated

19 Jan, 2022

Data

Company Financials +
RHIM fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance2/6
Financial Health3/6
Dividends2/6

RHIM Stock Overview

RHI Magnesita N.V. develops, produces, sells, installs, and maintains refractory products and systems used in industrial high-temperature processes worldwide.

RHI Magnesita Competitors

AGC

TSE:5201

JP¥1.1t

Dalmia Bharat

NSEI:DALBHARAT

₹371.2b

Imerys

ENXTPA:NK

€3.4b

Vesuvius

LSE:VSVS

UK£1.3b

Price History & Performance

Summary of all time highs, changes and price drops for RHI Magnesita
Historical stock prices
Current Share PriceUK£36.70
52 Week HighUK£47.62
52 Week LowUK£28.72
Beta1.49
1 Month Change17.63%
3 Month Change13.06%
1 Year Change-7.04%
3 Year Change-12.45%
5 Year Changen/a
Change since IPO12.96%

Recent News & Updates

Jan 01
What Is RHI Magnesita N.V.'s (LON:RHIM) Share Price Doing?

What Is RHI Magnesita N.V.'s (LON:RHIM) Share Price Doing?

RHI Magnesita N.V. ( LON:RHIM ), is not the largest company out there, but it saw a decent share price growth in the...

Dec 13
RHI Magnesita (LON:RHIM) Has A Somewhat Strained Balance Sheet

RHI Magnesita (LON:RHIM) Has A Somewhat Strained Balance Sheet

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Sep 15
When Should You Buy RHI Magnesita N.V. (LON:RHIM)?

When Should You Buy RHI Magnesita N.V. (LON:RHIM)?

While RHI Magnesita N.V. ( LON:RHIM ) might not be the most widely known stock at the moment, it saw significant share...

Aug 31
RHI Magnesita (LON:RHIM) Hasn't Managed To Accelerate Its Returns

RHI Magnesita (LON:RHIM) Hasn't Managed To Accelerate Its Returns

There are a few key trends to look for if we want to identify the next multi-bagger. Firstly, we'll want to see a...

Shareholder Returns

RHIMGB Basic MaterialsGB Market
7D3.6%1.8%-1.0%
1Y-7.0%6.6%8.3%

Return vs Industry: RHIM underperformed the UK Basic Materials industry which returned 6.6% over the past year.

Return vs Market: RHIM underperformed the UK Market which returned 8.3% over the past year.

Price Volatility

Is RHIM's price volatile compared to industry and market?
RHIM volatility
RHIM Average Weekly Movement3.8%
Basic Materials Industry Average Movement3.9%
Market Average Movement5.0%
10% most volatile stocks in GB Market10.6%
10% least volatile stocks in GB Market2.5%

Stable Share Price: RHIM is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: RHIM's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
183412,000Stefan Borgashttps://www.rhimagnesita.com

RHI Magnesita N.V. develops, produces, sells, installs, and maintains refractory products and systems used in industrial high-temperature processes worldwide. The company operates in Steel and Industrial segments. It offers magnesia spinel, dolomite, dolomite-magnesia, magnesia-chrome, alumina, alumina silicate, and mortars for the cement industry; shaped products based on silicon carbide, magnesia, zirconium, fireclay, and alumina; unshaped refractories; and high-temperature insulation, and ceramic and metallic anchoring systems.

RHI Magnesita Fundamentals Summary

How do RHI Magnesita's earnings and revenue compare to its market cap?
RHIM fundamental statistics
Market Cap€2.07b
Earnings (TTM)€71.50m
Revenue (TTM)€2.29b

29.0x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RHIM income statement (TTM)
Revenue€2.29b
Cost of Revenue€1.75b
Gross Profit€542.60m
Expenses€471.10m
Earnings€71.50m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.52
Gross Margin23.71%
Net Profit Margin3.12%
Debt/Equity Ratio152.5%

How did RHIM perform over the long term?

See historical performance and comparison

Dividends

3.4%

Current Dividend Yield

102%

Payout Ratio

Valuation

Is RHI Magnesita undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RHIM (£36.7) is trading below our estimate of fair value (£124.35)

Significantly Below Fair Value: RHIM is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: RHIM is poor value based on its PE Ratio (29x) compared to the UK Basic Materials industry average (22.7x).

PE vs Market: RHIM is poor value based on its PE Ratio (29x) compared to the UK market (19.1x).


Price to Earnings Growth Ratio

PEG Ratio: RHIM is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: RHIM is overvalued based on its PB Ratio (3x) compared to the GB Basic Materials industry average (2.1x).


Future Growth

How is RHI Magnesita forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

19.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RHIM's forecast earnings growth (19.4% per year) is above the savings rate (0.9%).

Earnings vs Market: RHIM's earnings (19.4% per year) are forecast to grow faster than the UK market (12.1% per year).

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

Revenue vs Market: RHIM's revenue (4.4% per year) is forecast to grow slower than the UK market (4.8% per year).

High Growth Revenue: RHIM's revenue (4.4% 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 RHIM's Return on Equity is forecast to be high in 3 years time


Past Performance

How has RHI Magnesita performed over the past 5 years?

16.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RHIM has a large one-off loss of €106.9M impacting its June 30 2021 financial results.

Growing Profit Margin: RHIM's current net profit margins (3.1%) are higher than last year (3%).


Past Earnings Growth Analysis

Earnings Trend: RHIM's earnings have grown by 16% per year over the past 5 years.

Accelerating Growth: RHIM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: RHIM had negative earnings growth (-5.8%) over the past year, making it difficult to compare to the Basic Materials industry average (53.8%).


Return on Equity

High ROE: RHIM's Return on Equity (10.5%) is considered low.


Financial Health

How is RHI Magnesita's financial position?


Financial Position Analysis

Short Term Liabilities: RHIM's short term assets (€1.5B) exceed its short term liabilities (€1.0B).

Long Term Liabilities: RHIM's short term assets (€1.5B) exceed its long term liabilities (€1.4B).


Debt to Equity History and Analysis

Debt Level: RHIM's net debt to equity ratio (106.2%) is considered high.

Reducing Debt: RHIM's debt to equity ratio has increased from 112.8% to 152.5% over the past 5 years.

Debt Coverage: RHIM's debt is not well covered by operating cash flow (17.2%).

Interest Coverage: RHIM's interest payments on its debt are well covered by EBIT (10.7x coverage).


Balance Sheet


Dividend

What is RHI Magnesita current dividend yield, its reliability and sustainability?

3.40%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: RHIM's dividend (3.4%) is higher than the bottom 25% of dividend payers in the UK market (1.41%).

High Dividend: RHIM's dividend (3.4%) is low compared to the top 25% of dividend payers in the UK market (4.06%).


Stability and Growth of Payments

Stable Dividend: RHIM has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: RHIM's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (102.2%), RHIM's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RHIM's dividends in 3 years are forecast to be well covered by earnings (34.4% payout ratio).


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Stefan Borgas (57 yo)

4.25yrs

Tenure

€1,892,862

Compensation

Mr. Stefan Borgas, MBA, serves as an Independent Chairman of the Board at AFYREN SAS since October 2020. He has been the Chief Executive Officer of Magnesita Refratários S.A. (formerly known as RHI Magnesi...


CEO Compensation Analysis

Compensation vs Market: Stefan's total compensation ($USD2.15M) is above average for companies of similar size in the UK market ($USD1.55M).

Compensation vs Earnings: Stefan's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: RHIM's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: RHIM's board of directors are considered experienced (4.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: RHIM insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

RHI Magnesita N.V.'s employee growth, exchange listings and data sources


Key Information

  • Name: RHI Magnesita N.V.
  • Ticker: RHIM
  • Exchange: LSE
  • Founded: 1834
  • Industry: Construction Materials
  • Sector: Materials
  • Implied Market Cap: UK£1.725b
  • Shares outstanding: 47.00m
  • Website: https://www.rhimagnesita.com

Number of Employees


Location

  • RHI Magnesita N.V.
  • Kranichberggasse 6
  • Vienna
  • Vienna
  • 1120
  • Austria

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 21:11
End of Day Share Price2022/01/19 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.