ENXTLS:RAM

Stock Analysis Report

Ramada Investimentos e Industria

Executive Summary

Ramada Investimentos e Industria, S.A. primarily engages in the manufacture and commercialization of steel products in Portugal and internationally.

Snowflake

Fundamentals

Adequate balance sheet with limited growth.

Share Price & News

How has Ramada Investimentos e Industria's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.6%

RAM

1.2%

PT Metals and Mining

0.3%

PT Market


1 Year Return

-28.4%

RAM

-3.5%

PT Metals and Mining

5.0%

PT Market

Return vs Industry: RAM underperformed the Portuguese Metals and Mining industry which returned -3.5% over the past year.

Return vs Market: RAM underperformed the Portuguese Market which returned 5% over the past year.


Shareholder returns

RAMIndustryMarket
7 Day0.6%1.2%0.3%
30 Day5.0%-4.0%-0.7%
90 Day-9.5%-9.0%-0.8%
1 Year-10.5%-28.4%3.2%-3.5%9.6%5.0%
3 Year92.2%21.9%26.3%9.2%22.3%-16.1%
5 Year302.7%133.3%40.1%10.8%8.1%-60.8%

Price Volatility Vs. Market

How volatile is Ramada Investimentos e Industria's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ramada Investimentos e Industria undervalued compared to its fair value and its price relative to the market?

18.48x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: RAM (€6.3) is trading above our estimate of fair value (€3.09)

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


Price To Earnings Ratio

PE vs Industry: RAM is poor value based on its PE Ratio (18.5x) compared to the Metals and Mining industry average (9.1x).

PE vs Market: RAM is poor value based on its PE Ratio (18.5x) compared to the Portuguese market (15.3x).


Price to Earnings Growth Ratio

PEG Ratio: RAM is poor value based on its PEG Ratio (5.5x)


Price to Book Ratio

PB vs Industry: RAM is overvalued based on its PB Ratio (1.4x) compared to the XE Metals and Mining industry average (1x).


Next Steps

Future Growth

How is Ramada Investimentos e Industria forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

3.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RAM's forecast earnings growth (3.4% per year) is above the savings rate (1.8%).

Earnings vs Market: RAM's earnings (3.4% per year) are forecast to grow slower than the Portuguese market (7.7% per year).

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

Revenue vs Market: RAM's revenue (3.7% per year) is forecast to grow faster than the Portuguese market (2.8% per year).

High Growth Revenue: RAM's revenue (3.7% 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 RAM's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Ramada Investimentos e Industria performed over the past 5 years?

23.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: RAM's earnings have grown significantly by 23.1% per year over the past 5 years.

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

Earnings vs Industry: RAM had negative earnings growth (-82.9%) over the past year, making it difficult to compare to the Metals and Mining industry average (-7.4%).


Return on Equity

High ROE: RAM's Return on Equity (7.4%) is considered low.


Return on Assets

ROA vs Industry: RAM's Return on Assets is below or equal to the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: RAM's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Ramada Investimentos e Industria's financial position?


Financial Position Analysis

Short Term Liabilities: RAM's short term assets (€121.7M) exceeds its short term liabilities (€61.8M)

Long Term Liabilities: RAM's short term assets (121.7M) exceeds its long term liabilities (55.9M)


Debt to Equity History and Analysis

Debt Level: RAM's debt to equity ratio (67.8%) is considered high

Reducing Debt: RAM's debt to equity ratio has reduced from 139.7% to 67.8% over the past 5 years.

Debt Coverage: RAM's debt is not well covered by operating cash flow (8.7%).

Interest Coverage: RAM's interest payments on its debt are well covered by EBIT (9.8x coverage).


Balance Sheet

Inventory Level: RAM has a high level of physical assets or inventory.

Debt Coverage by Assets: RAM's debt is covered by short term assets (assets are 1.5x debt).


Next Steps

Dividend

What is Ramada Investimentos e Industria's current dividend yield, its reliability and sustainability?

27.78%

Current Dividend Yield


Dividend Yield vs Market

company27.8%marketbottom25%3.0%markettop25%6.7%industryaverage6.9%forecastin3Years2.5%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: RAM's dividend (27.78%) is higher than the bottom 25% of dividend payers in the Portuguese market (2.98%).

High Dividend: RAM's dividend (27.78%) is in the top 25% of dividend payers in the Portuguese market (6.66%)

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

Growing Dividend: RAM's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (513.2%), RAM's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Ramada Investimentos e Industria's salary, the management and board of directors tenure and is there insider trading?

10.4yrs

Average board tenure


CEO

Ramada Investimentos e Industria has no CEO, or we have no data on them.


Board Age and Tenure

10.4yrs

Average Tenure

Experienced Board: RAM's board of directors are seasoned and experienced ( 10.4 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • João Manuel Borges de Oliveira (59yo)

    Chairman & President

    • Tenure: 0yrs
    • Compensation: €123.00k

Board Members

  • Paulo dos Santos Fernandes

    Director

    • Tenure: 11.3yrs
    • Compensation: €123.00k
  • Ana Rebelo De Carvalho Menéres Mendonça

    Non-Executive Director

    • Tenure: 10.4yrs
    • Compensation: €59.50k
  • João Manuel Borges de Oliveira (59yo)

    Chairman & President

    • Tenure: 0yrs
    • Compensation: €123.00k
  • Domingos José de Matos

    Director

    • Tenure: 11.3yrs
    • Compensation: €109.00k
  • Pedro Miguel Matos de Oliveira

    Director

    • Tenure: 10.4yrs
    • Compensation: €109.00k
  • Pedro Nuno de Sá Pessanha da Costa

    Chairman of Statutory Audit Board

    • Tenure: 0yrs
    • Compensation: €12.00k
  • André Seabra Pinto

    Alternate Statutory Audit Board Member

    • Tenure: 0yrs
    • Compensation: €2.27k
  • António Isidro De Pinho

    Member of Statutory Audit Board

    • Tenure: 2.4yrs
    • Compensation: €8.31k
  • Guilherme Aires Da Mota Correia Monteiro

    Member of Statutory Audit Board

    • Tenure: 2.4yrs
    • Compensation: €8.31k

Company Information

Ramada Investimentos e Industria, S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ramada Investimentos e Industria, S.A.
  • Ticker: RAM
  • Exchange: ENXTLS
  • Founded: 1935
  • Industry: Steel
  • Sector: Materials
  • Market Cap: €161.541m
  • Shares outstanding: 25.64m
  • Website: https://www.ramadainvestimentos.pt

Number of Employees


Location

  • Ramada Investimentos e Industria, S.A.
  • Rua do General Norton de Matos, 68, r/c
  • Porto
  • Norte
  • 4050-424
  • Portugal

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RAMENXTLS (Euronext Lisbon)YesBearer SharesPTEURJul 2008
0JOPLSE (London Stock Exchange)YesBearer SharesGBEURJul 2008
RAMUBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURJul 2008

Biography

Ramada Investimentos e Industria, S.A. primarily engages in the manufacture and commercialization of steel products in Portugal and internationally. The company operates through Industry and Real Estate se ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 21:00
End of Day Share Price2019/10/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.