Ritchie Bros. Auctioneers
Market Cap
US$6.8b
Last Updated
2021/01/19 23:48 UTC
Data Sources
Company Financials +
Executive Summary
Ritchie Bros. Auctioneers Incorporated, an asset management and disposition company, sells industrial equipment and other durable assets through its unreserved live on site auctions, online marketplaces, listing services, and private brokerage services. More Details
Rewards
Risk Analysis
Snowflake Analysis
Solid track record established dividend payer.
Similar Companies
Share Price & News
How has Ritchie Bros. Auctioneers's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RBA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: RBA's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
-4.6%
RBA
-2.9%
US Commercial Services
0.3%
US Market
1 Year Return
43.1%
RBA
6.2%
US Commercial Services
21.1%
US Market
Return vs Industry: RBA exceeded the US Commercial Services industry which returned 6% over the past year.
Return vs Market: RBA exceeded the US Market which returned 19.5% over the past year.
Shareholder returns
| RBA | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.6% | -2.9% | 0.3% |
| 30 Day | -8.5% | -1.6% | 3.3% |
| 90 Day | 1.3% | 4.8% | 14.2% |
| 1 Year | 45.5%43.1% | 7.6%6.2% | 23.8%21.1% |
| 3 Year | 106.3%94.9% | 40.8%31.0% | 45.0%35.4% |
| 5 Year | 211.2%181.2% | 133.7%109.1% | 127.7%102.3% |
Long-Term Price Volatility Vs. Market
How volatile is Ritchie Bros. Auctioneers's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Ritchie Bros. Auctioneers Incorporated's (NYSE:RBA) Intrinsic Value Is Potentially 25% Below Its Share Price3 weeks ago | Simply Wall St
Ritchie Bros. Auctioneers (NYSE:RBA) Has Gifted Shareholders With A Fantastic 227% Total Return On Their Investment1 month ago | Simply Wall St
Ritchie Bros. Auctioneers (NYSE:RBA) Seems To Use Debt Rather SparinglyValuation
Is Ritchie Bros. Auctioneers undervalued compared to its fair value and its price relative to the market?
39.28x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: RBA ($62.36) is trading above our estimate of fair value ($58.24)
Significantly Below Fair Value: RBA is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: RBA is poor value based on its PE Ratio (39.3x) compared to the US Commercial Services industry average (25.2x).
PE vs Market: RBA is poor value based on its PE Ratio (39.3x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: RBA is poor value based on its PEG Ratio (3.2x)
Price to Book Ratio
PB vs Industry: RBA is overvalued based on its PB Ratio (7.1x) compared to the US Commercial Services industry average (2.2x).
Next Steps
Future Growth
How is Ritchie Bros. Auctioneers forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
12.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RBA's forecast earnings growth (12.4% per year) is above the savings rate (2%).
Earnings vs Market: RBA's earnings (12.4% per year) are forecast to grow slower than the US market (21.6% per year).
High Growth Earnings: RBA's earnings are forecast to grow, but not significantly.
Revenue vs Market: RBA's revenue (7.9% per year) is forecast to grow slower than the US market (10.3% per year).
High Growth Revenue: RBA's revenue (7.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RBA's Return on Equity is forecast to be high in 3 years time (20%)
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Past Performance
How has Ritchie Bros. Auctioneers performed over the past 5 years?
7.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RBA has high quality earnings.
Growing Profit Margin: RBA's current net profit margins (13%) are higher than last year (9.9%).
Past Earnings Growth Analysis
Earnings Trend: RBA's earnings have grown by 7.9% per year over the past 5 years.
Accelerating Growth: RBA's earnings growth over the past year (29.8%) exceeds its 5-year average (7.9% per year).
Earnings vs Industry: RBA earnings growth over the past year (29.8%) exceeded the Commercial Services industry -9%.
Return on Equity
High ROE: RBA's Return on Equity (17.9%) is considered low.
Next Steps
Financial Health
How is Ritchie Bros. Auctioneers's financial position?
Financial Position Analysis
Short Term Liabilities: RBA's short term assets ($1.0B) exceed its short term liabilities ($753.5M).
Long Term Liabilities: RBA's short term assets ($1.0B) exceed its long term liabilities ($819.6M).
Debt to Equity History and Analysis
Debt Level: RBA's debt to equity ratio (67.7%) is considered high.
Reducing Debt: RBA's debt to equity ratio has increased from 15.7% to 67.7% over the past 5 years.
Debt Coverage: RBA's debt is well covered by operating cash flow (44.3%).
Interest Coverage: RBA's interest payments on its debt are well covered by EBIT (7.1x coverage).
Balance Sheet
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Dividend
What is Ritchie Bros. Auctioneers's current dividend yield, its reliability and sustainability?
1.41%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RBA's dividend (1.41%) is higher than the bottom 25% of dividend payers in the US market (1.39%).
High Dividend: RBA's dividend (1.41%) is low compared to the top 25% of dividend payers in the US market (3.85%).
Stability and Growth of Payments
Stable Dividend: RBA's dividends per share have been stable in the past 10 years.
Growing Dividend: RBA's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (52.9%), RBA's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: RBA's dividends in 3 years are forecast to be well covered by earnings (43% payout ratio).
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Management
How experienced are the management team and are they aligned to shareholders interests?
1.5yrs
Average management tenure
CEO
Ann Fandozzi (49 yo)
1
Tenure
Ms. Ann M. Fandozzi serves as Chief Executive Officer & Director at Ritchie Bros. Auctioneers Incorporated since January 6, 2020. She has been the President of ABRA Auto Body & Glass LP since October 10, 2...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chief Financial Officer | 5.5yrs | US$1.80m | 0.014% $ 953.7k | |
| President of International | 1yr | US$1.25m | 0.032% $ 2.2m | |
| President of Global Strategic Accounts | 3.58yrs | US$1.26m | 0.018% $ 1.2m | |
| President of North America Sales | 1.5yrs | US$1.20m | no data | |
| CEO & Director | 1yr | no data | 0.00073% $ 49.9k | |
| Founder and Chairman Emeritus | 14.17yrs | US$142.50k | no data | |
| Chief Operating Officer | 0.67yr | no data | 0.000040% $ 2.7k | |
| Chief Information Officer | 0.75yr | no data | no data | |
| Vice President of Investor Relations | no data | no data | no data | |
| Senior VP | 8yrs | no data | 0.012% $ 809.4k | |
| Media Relations Manager | no data | no data | no data | |
| Chief Marketing Officer | 2yrs | no data | 0.014% $ 968.1k |
1.5yrs
Average Tenure
52yo
Average Age
Experienced Management: RBA's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1yr | no data | 0.00073% $ 49.9k | |
| Founder and Chairman Emeritus | 14.17yrs | US$142.50k | no data | |
| Independent Director | 4.5yrs | US$221.15k | no data | |
| Independent Director | 12.75yrs | US$215.22k | 0% $ 0 | |
| Independent Director | 8.75yrs | US$234.43k | no data | |
| Independent Director | 3.5yrs | US$203.87k | no data | |
| Independent Chair of the Board | 6.5yrs | US$372.50k | 0.020% $ 1.4m | |
| Independent Vice Chairman | 1.33yrs | US$231.50k | no data | |
| Independent Director | 3.5yrs | US$203.87k | no data | |
| Independent Director | 0.67yr | no data | no data |
4.0yrs
Average Tenure
60yo
Average Age
Experienced Board: RBA'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: RBA insiders have only sold shares 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
Ritchie Bros. Auctioneers Incorporated's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Ritchie Bros. Auctioneers Incorporated
- Ticker: RBA
- Exchange: NYSE
- Founded: 1958
- Industry: Diversified Support Services
- Sector: Commercial Services
- Market Cap: US$6.842b
- Shares outstanding: 109.71m
- Website: https://www.ritchiebros.com
Number of Employees
Location
- Ritchie Bros. Auctioneers Incorporated
- 9500 Glenlyon Parkway
- Burnaby
- British Columbia
- V5J 0C6
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| RBA | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Mar 1998 |
| RBA | TSX (The Toronto Stock Exchange) | Yes | Common Shares | CA | CAD | Mar 1998 |
| 2R8 | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Mar 1998 |
Biography
Ritchie Bros. Auctioneers Incorporated, an asset management and disposition company, sells industrial equipment and other durable assets through its unreserved live on site auctions, online marketplaces, l...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/19 23:48 |
| End of Day Share Price | 2021/01/19 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.