NOT FOR DISTRIBUTION
Header cover image

Market Cap

US$2.9b

Last Updated

2021/04/11 22:11 UTC

Data Sources

Company Financials +

Executive Summary

Renewable Energy Group, Inc. provides lower carbon transportation fuels in the United States and internationally. More Details


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Renewable Energy Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: REGI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: REGI's weekly volatility (11%) has been stable over the past year.


Market Performance


7 Day Return

-6.9%

REGI

-3.4%

US Oil and Gas

2.1%

US Market


1 Year Return

172.1%

REGI

47.6%

US Oil and Gas

56.3%

US Market

Return vs Industry: REGI exceeded the US Oil and Gas industry which returned 47.6% over the past year.

Return vs Market: REGI exceeded the US Market which returned 56.3% over the past year.


Shareholder returns

REGIIndustryMarket
7 Day-6.9%-3.4%2.1%
30 Day-20.8%-7.7%2.4%
90 Day-25.7%15.9%6.8%
1 Year172.1%172.1%57.5%47.6%59.1%56.3%
3 Year372.4%372.4%-15.6%-27.2%65.7%55.1%
5 Year587.3%587.3%0.9%-18.8%122.3%97.7%

Long-Term Price Volatility Vs. Market

How volatile is Renewable Energy Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Renewable Energy Group undervalued compared to its fair value and its price relative to the market?

20.76x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

PE vs Industry: REGI is poor value based on its PE Ratio (20.8x) compared to the US Oil and Gas industry average (13.6x).

PE vs Market: REGI is good value based on its PE Ratio (20.8x) compared to the US market (22.3x).


Price to Earnings Growth Ratio

PEG Ratio: REGI is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: REGI is overvalued based on its PB Ratio (2.1x) compared to the US Oil and Gas industry average (1.4x).


Future Growth

How is Renewable Energy Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

24.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: REGI's forecast earnings growth (24.3% per year) is above the savings rate (2%).

Earnings vs Market: REGI's earnings (24.3% per year) are forecast to grow faster than the US market (18.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: REGI's revenue (7% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: REGI's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: REGI's Return on Equity is forecast to be low in 3 years time (15.7%).


Past Performance

How has Renewable Energy Group performed over the past 5 years?

57.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: REGI has high quality earnings.

Growing Profit Margin: REGI's current net profit margins (5.6%) are lower than last year (13.9%).


Past Earnings Growth Analysis

Earnings Trend: REGI has become profitable over the past 5 years, growing earnings by 57.7% per year.

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

Earnings vs Industry: REGI had negative earnings growth (-67.1%) over the past year, making it difficult to compare to the Oil and Gas industry average (-44.1%).


Return on Equity

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


Financial Health

How is Renewable Energy Group's financial position?


Financial Position Analysis

Short Term Liabilities: REGI's short term assets ($658.2M) exceed its short term liabilities ($246.0M).

Long Term Liabilities: REGI's short term assets ($658.2M) exceed its long term liabilities ($41.5M).


Debt to Equity History and Analysis

Debt Level: REGI's debt to equity ratio (5.6%) is considered satisfactory.

Reducing Debt: REGI's debt to equity ratio has reduced from 44.8% to 5.6% over the past 5 years.

Debt Coverage: REGI's debt is well covered by operating cash flow (832.9%).

Interest Coverage: REGI's interest payments on its debt are well covered by EBIT (18.8x coverage).


Balance Sheet


Dividend

What is Renewable Energy Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if REGI'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 REGI'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?

1.8yrs

Average management tenure


CEO

CJ Warner (62 yo)

2.25yrs

Tenure

US$4,550,676

Compensation

Ms. Cynthia J. Warner, also known as CJ, served as an Executive Vice President of Operations at Andeavor (Formerly, Tesoro Corporation) since August 24, 2016 until October 2018. Ms. Warner oversaw Andeavor...


CEO Compensation Analysis

Compensation vs Market: CJ's total compensation ($USD4.55M) is about average for companies of similar size in the US market ($USD5.07M).

Compensation vs Earnings: Insufficient data to compare CJ's compensation with company performance.


Leadership Team

Experienced Management: REGI's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: REGI's board of directors are considered experienced (3.1 years average tenure).


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: Shareholders have been diluted in the past year, with total shares outstanding growing by 16.1%.


Top Shareholders

Company Information

Renewable Energy Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Renewable Energy Group, Inc.
  • Ticker: REGI
  • Exchange: NasdaqGS
  • Founded: 1996
  • Industry: Oil and Gas Refining and Marketing
  • Sector: Energy
  • Market Cap: US$2.889b
  • Shares outstanding: 45.29m
  • Website: https://www.regi.com

Number of Employees


Location

  • Renewable Energy Group, Inc.
  • 416 South Bell Avenue
  • PO Box 888
  • Ames
  • Iowa
  • 50010
  • United States

Listings


Biography

Renewable Energy Group, Inc. provides lower carbon transportation fuels in the United States and internationally. The company utilizes a production, distribution, and logistics system to convert natural fa...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/11 22:11
End of Day Share Price2021/04/09 00:00
Earnings2020/12/31
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.