Ruth's Hospitality Group, Inc., together with its subsidiaries, develops, operates, and franchises fine dining restaurants under the Ruth’s Chris Steak House name.
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Fair value with moderate growth potential.
Share Price & News
How has Ruth's Hospitality Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RUTH's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: RUTH underperformed the US Hospitality industry which returned -28.1% over the past year.
Return vs Market: RUTH underperformed the US Market which returned 3.7% over the past year.
Price Volatility Vs. Market
How volatile is Ruth's Hospitality Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StShould You Like Ruth's Hospitality Group, Inc.’s (NASDAQ:RUTH) High Return On Capital Employed?
1 month ago | Simply Wall StRuth's Hospitality Group, Inc. (NASDAQ:RUTH) Analysts Are Way More Bearish Than They Used To Be
1 month ago | Simply Wall StA Sliding Share Price Has Us Looking At Ruth's Hospitality Group, Inc.'s (NASDAQ:RUTH) P/E Ratio
Is Ruth's Hospitality Group undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: RUTH ($7.99) is trading above our estimate of fair value ($6.3)
Significantly Below Fair Value: RUTH is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: RUTH is good value based on its PE Ratio (9.4x) compared to the Hospitality industry average (16.7x).
PE vs Market: RUTH is good value based on its PE Ratio (9.4x) compared to the US market (15.1x).
Price to Earnings Growth Ratio
PEG Ratio: RUTH is good value based on its PEG Ratio (0.1x)
Price to Book Ratio
PB vs Industry: RUTH is overvalued based on its PB Ratio (3x) compared to the US Hospitality industry average (1.5x).
How is Ruth's Hospitality Group forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RUTH's forecast earnings growth (66.6% per year) is above the savings rate (2.2%).
Earnings vs Market: RUTH's earnings (66.6% per year) are forecast to grow faster than the US market (21.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RUTH's revenue (8.8% per year) is forecast to grow slower than the US market (8.9% per year).
High Growth Revenue: RUTH's revenue (8.8% 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 RUTH's Return on Equity is forecast to be high in 3 years time
How has Ruth's Hospitality Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RUTH has a large one-off loss of $9.2M impacting its March 29 2020 financial results.
Growing Profit Margin: RUTH's current net profit margins (5.4%) are lower than last year (9.2%).
Past Earnings Growth Analysis
Earnings Trend: RUTH's earnings have grown by 6.6% per year over the past 5 years.
Accelerating Growth: RUTH's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: RUTH had negative earnings growth (-41.5%) over the past year, making it difficult to compare to the Hospitality industry average (-13.9%).
Return on Equity
High ROE: Whilst RUTH's Return on Equity (33.04%) is high, this metric is skewed due to their high level of debt.
How is Ruth's Hospitality Group's financial position?
Financial Position Analysis
Short Term Liabilities: RUTH's short term assets ($90.8M) do not cover its short term liabilities ($91.3M).
Long Term Liabilities: RUTH's short term assets ($90.8M) do not cover its long term liabilities ($370.4M).
Debt to Equity History and Analysis
Debt Level: RUTH's debt to equity ratio (195.7%) is considered high.
Reducing Debt: RUTH's debt to equity ratio has increased from 2.9% to 195.7% over the past 5 years.
Debt Coverage: RUTH's debt is well covered by operating cash flow (46.5%).
Interest Coverage: RUTH's interest payments on its debt are well covered by EBIT (16.8x coverage).
What is Ruth's Hospitality Group's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RUTH's dividend (7.51%) is higher than the bottom 25% of dividend payers in the US market (1.75%).
High Dividend: RUTH's dividend (7.51%) is in the top 25% of dividend payers in the US market (4.73%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, RUTH has been paying a dividend for less than 10 years.
Growing Dividend: RUTH's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (63.4%), RUTH's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Cheryl Henry (45yo)
Ms. Cheryl Janet Henry has been President of Ruth's Hospitality Group Inc. since July 20, 2016. She has been Chief Executive Officer at Ruth's Hospitality Group, Inc. since August 10, 2018. She served as C ...
CEO Compensation Analysis
Compensation vs Market: Cheryl's total compensation ($USD2.83M) is above average for companies of similar size in the US market ($USD1.42M).
Compensation vs Earnings: Cheryl's compensation has been consistent with company performance over the past year.
|Executive Chairman||9.58yrs||US$2.59m||4.05% $10.7m|
|Executive VP & CFO||8.75yrs||US$1.02m||1.2% $3.2m|
|Executive VP & Chief Administrative Officer||1.58yrs||US$1.26m||0.53% $1.4m|
|Chief Compliance Officer||4.25yrs||US$823.23k||0.16% $435.5k|
|Vice President of Accounting||5.08yrs||no data||no data|
|Senior VP & Chief People Officer||0.92yr||no data||no data|
|Vice President of Franchise Operations & Development||3yrs||US$571.97k||no data|
|Vice President of Financial Planning & Analysis||no data||no data||no data|
Experienced Management: RUTH's management team is considered experienced (2.4 years average tenure).
|Executive Chairman||9.58yrs||US$2.59m||4.05% $10.7m|
|Independent Lead Director||9.58yrs||US$194.97k||0.033% $88.4k|
|Independent Director||16.42yrs||US$174.97k||0.13% $354.8k|
|Independent Director||2.33yrs||US$180.13k||0.014% $37.8k|
|Independent Director||3yrs||US$167.53k||0.030% $80.2k|
|Independent Director||1.75yrs||US$164.39k||0.011% $28.2k|
|Independent Director||4.25yrs||US$170.12k||0.053% $139.9k|
Experienced Board: RUTH's board of directors are considered experienced (3.6 years average tenure).
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.
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 13.1%.
Ruth's Hospitality Group, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Ruth's Hospitality Group, Inc.
- Ticker: RUTH
- Exchange: NasdaqGS
- Founded: 1965
- Industry: Restaurants
- Sector: Consumer Services
- Market Cap: US$265.600m
- Shares outstanding: 33.24m
- Website: https://www.rhgi.com
Number of Employees
- Ruth's Hospitality Group, Inc.
- 1030 West Canton Avenue
- Suite 100
- Winter Park
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|RUTH||NasdaqGS (Nasdaq Global Select)||Yes||Common Stock||US||USD||Aug 2005|
|R6R||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Aug 2005|
Ruth's Hospitality Group, Inc., together with its subsidiaries, develops, operates, and franchises fine dining restaurants under the Ruth’s Chris Steak House name. The company’s restaurants offer food and beverage products to special occasion diners and frequent customers, as well as business clientele. As of February 28, 2020, it had approximately 150 company-owned and franchisee-owned restaurants worldwide. The company was formerly known as Ruth’s Chris Steak House, Inc. and changed its name to Ruth’s Hospitality Group, Inc. in May 2008. Ruth's Hospitality Group, Inc. was founded in 1965 and is headquartered in Winter Park, Florida.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/05/26 00:33|
|End of Day Share Price||2020/05/22 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.