RAT
ConstructionValuation Breakdown
Construction and industrial firms have characteristics of both cyclical businesses (lumpy project-based revenue) and growth companies (expanding order books). This model blends two approaches 50/50: EV/EBITDA valuation (captures current earning power relative to peers) and FCF-based DCF (captures future cash generation potential). If EV/EBITDA produces a negative value (debt exceeds enterprise value), only DCF is used.
Valuation Track Record
Retroactive intrinsic value vs actual close price — RAT
Earnings Quality
Fiscal year 2024
Financial Forensics
Beneish M-Score · 2024
The Beneish M-Score of -2.1395 indicates a low likelihood of earnings manipulation, as it is below the threshold of -1.78. However, the earnings quality score of 40.6/100, particularly the zero scores in cash conversion and revenue quality, raises concerns about the sustainability of reported earnings.
- Earnings Quality Score of 40.6/100 indicates significant issues with cash conversion (0.0/100) and revenue quality (0.0/100), suggesting potential overstatement of earnings.
- Beneish M-Score of -2.1395 is below the manipulation threshold, suggesting a lower risk of earnings manipulation.
The top shareholders include several individuals with significant stakes, which may lead to concentrated decision-making and potential governance risks. The largest shareholder holds 19.3%, indicating a lack of majority control.
Investors should closely monitor cash flow and revenue recognition practices, given the low earnings quality score. It may be prudent to adopt a cautious approach until improvements in cash conversion and revenue quality are observed.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for RAT — hover nodes for intel, click to navigate