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RMO

Romeo PowerNYSE:RMO Stock Report

Market Cap

US$539.2m

7D

-4.3%

1Y

-77.2%

Updated

29 Nov, 2021

Data

Company Financials +
RMO fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance1/6
Financial Health3/6
Dividends0/6

RMO Stock Overview

Romeo Power, Inc., an energy storage technology company, designs and manufactures lithium-ion battery modules and packs for commercial electric vehicles in North America.

Romeo Power Competitors

Contemporary Amperex Technology

SZSE:300750

CN¥1.6t

Samsung SDI

KOSE:A006400

₩46.9t

BorgWarner

NYSE:BWA

US$10.8b

Proterra

NasdaqGS:PTRA

US$2.5b

Price History & Performance

Summary of all time highs, changes and price drops for Romeo Power
Historical stock prices
Current Share PriceUS$4.04
52 Week HighUS$38.90
52 Week LowUS$3.94
Beta0.72
1 Month Change-6.91%
3 Month Change-17.04%
1 Year Change-77.24%
3 Year Changen/a
5 Year Changen/a
Change since IPO-58.56%

Recent News & Updates

Sep 17

Romeo Power: Battery Technology Junior May Have Got Strategy Wrong

Romeo Power is a small EV battery manufacturer based out of Los Angeles, California. The product of a SPAC deal consummated pre-pandemic, the timing could not have been harsher. Premised on out-of-the park growth and revenue numbers, the venture may have missed shifts in the automotive supply chain. With OEMs progressively looking to control battery manufacturing, this firm could possibly be left out in the cold.

Shareholder Returns

RMOUS ElectricalUS Market
7D-4.3%-4.0%-2.7%
1Y-77.2%24.4%21.3%

Return vs Industry: RMO underperformed the US Electrical industry which returned 24.4% over the past year.

Return vs Market: RMO underperformed the US Market which returned 21.3% over the past year.

Price Volatility

Is RMO's price volatile compared to industry and market?
RMO volatility
RMO Average Weekly Movement11.7%
Electrical Industry Average Movement8.8%
Market Average Movement6.0%
10% most volatile stocks in US Market15.0%
10% least volatile stocks in US Market2.3%

Stable Share Price: RMO is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: RMO's weekly volatility (12%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
2014165Susan Brennanhttps://romeopower.com

Romeo Power, Inc., an energy storage technology company, designs and manufactures lithium-ion battery modules and packs for commercial electric vehicles in North America. The company operates through two segments, Romeo Power North America and Joint Venture Support. The Romeo Power North America segment designs and manufactures battery modules, battery packs, and battery management system technologies in North America.

Romeo Power Fundamentals Summary

How do Romeo Power's earnings and revenue compare to its market cap?
RMO fundamental statistics
Market CapUS$539.23m
Earnings (TTM)US$62.60m
Revenue (TTM)US$12.39m

8.7x

P/E Ratio

43.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RMO income statement (TTM)
RevenueUS$12.39m
Cost of RevenueUS$31.36m
Gross Profit-US$18.97m
Expenses-US$81.57m
EarningsUS$62.60m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.47
Gross Margin-153.13%
Net Profit Margin505.38%
Debt/Equity Ratio0.01%

How did RMO perform over the long term?

See historical performance and comparison

Valuation

Is Romeo Power undervalued compared to its fair value and its price relative to the market?

8.66x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate RMO's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate RMO's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: RMO is good value based on its PE Ratio (8.7x) compared to the US Electrical industry average (23.7x).

PE vs Market: RMO is good value based on its PE Ratio (8.7x) compared to the US market (17.2x).


Price to Earnings Growth Ratio

PEG Ratio: RMO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: RMO is good value based on its PB Ratio (1.7x) compared to the US Electrical industry average (3.3x).


Future Growth

How is Romeo Power forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-33.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RMO's earnings are forecast to decline over the next 3 years (-33% per year).

Earnings vs Market: RMO's earnings are forecast to decline over the next 3 years (-33% per year).

High Growth Earnings: RMO's earnings are forecast to decline over the next 3 years.

Revenue vs Market: RMO's revenue (60.4% per year) is forecast to grow faster than the US market (10.1% per year).

High Growth Revenue: RMO's revenue (60.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RMO is forecast to be unprofitable in 3 years.


Past Performance

How has Romeo Power performed over the past 5 years?

66.1%

Last years revenue growth


Earnings and Revenue History

Quality Earnings: RMO has a high level of non-cash earnings.

Growing Profit Margin: RMO became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if RMO's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: RMO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: RMO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electrical industry (56.7%).


Return on Equity

High ROE: RMO's Return on Equity (20%) is considered low.


Financial Health

How is Romeo Power's financial position?


Financial Position Analysis

Short Term Liabilities: RMO's short term assets ($221.8M) exceed its short term liabilities ($28.6M).

Long Term Liabilities: RMO's short term assets ($221.8M) exceed its long term liabilities ($8.3M).


Debt to Equity History and Analysis

Debt Level: RMO has more cash than its total debt.

Reducing Debt: Insufficient data to determine if RMO's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: RMO's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if RMO's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Romeo Power current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate RMO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate RMO'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 RMO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RMO'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 RMO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

0.3yrs

Average management tenure


CEO

Susan Brennan (58 yo)

0.25

Tenure

Ms. Susan Seilheimer Brennan has been Non-Executive Director of Senior plc since January 1, 2016. She served as the Executive Vice President and Chief Operating Officer of Bloom Energy Corporation since No...


Leadership Team

Experienced Management: RMO's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: RMO's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Insufficient data to determine if shareholders have been diluted in the past year.


Top Shareholders

Company Information

Romeo Power, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Romeo Power, Inc.
  • Ticker: RMO
  • Exchange: NYSE
  • Founded: 2014
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$539.235m
  • Shares outstanding: 134.14m
  • Website: https://romeopower.com

Number of Employees


Location

  • Romeo Power, Inc.
  • 4380 Ayers Avenue
  • Vernon
  • California
  • 90058
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/29 23:40
End of Day Share Price2021/11/26 00:00
Earnings2021/09/30
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.