RB Global (RBA) AI Stock Analysis

• Market Cap: C$26.66B
• Dividend Yield: 1.11%
• Average Volume (3M): 267.14K
• Price to Earnings (P/E): 50.7
• Beta (1Y): 0.96
• Revenue Growth: 5.58%
• EPS Growth: 27.23%
• Country: CA
• Employees: 7,900
• Sector: Industrials
• Sector Strength: 84
• Industry: Specialty Business Services
• EPS (TTM): 1.24
• Shares Outstanding: 185,191,770
• 10 Day Avg. Volume: 320,156
• 30 Day Avg. Volume: 267,142
• PEG Ratio: 0.12
• Price to Book (P/B): 4.96
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.34
• Enterprise Value/Market Cap: 0.24
• Enterprise Value/Revenue: 0.43
• Enterprise Value/Gross Profit: 3.25
• Enterprise Value/Ebitda: 1.20
• 1Y Price Target: C$163.87
• Price Target Upside: 13.84% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 78 Outperform
• Price Target: C$172.00 ▲(19.49%Upside)

RB Global's strong revenue growth and solid financial performance are the primary strengths, providing a sound foundation for the stock. Technical indicators suggest positive momentum, though high valuation metrics and mixed earnings call insights present caution. Strategic acquisitions and operational efficiency improvements offer potential for future growth.

Positive Factors

Acquisition Impact

The auto vertical, new to RB following its acquisition of IAA, is where momentum is seen and there is more runway.

International Expansion

RB provides IAA a ‘larger umbrella’ to demonstrate to carriers an ability to improve critical areas, particularly leveraging its international network to bring in more buyers.

Strategic Partnership

RB announced it has been selected as the sole salvage partner of Direct Line Group in the UK, adding to its growing presence.

Negative Factors

Economic Uncertainty

In the CC&T end markets, RBA’s customers and enterprise partners continue to exercise caution amid ongoing economic uncertainty.

Tariff Impact

There is uncertainty on how tariffs ultimately impact the total loss ratio, with steel prices influencing market dynamics.

Volume Constraints

Near-term headwinds are present with RB's Commercial Construction and Transportation vertical, which is in a 'wait & see' period with constrained volumes.

RB Global Business Overview & Revenue Model

Company Description

RB Global Inc., operating under the ticker symbol RBA, is a leading global asset management and disposition company. It specializes in the sale of industrial equipment and other durable assets, serving sectors such as construction, transportation, agriculture, energy, and more. The company provides a comprehensive range of services to its clients, including auctions, private treaty sales, and asset management solutions, enabling businesses to effectively manage and monetize their equipment and other assets.

How the Company Makes Money

RB Global makes money primarily through its auction and sales services, where it facilitates the buying and selling of industrial equipment and durable assets. The company generates revenue by charging sellers a commission fee based on the sale price of items auctioned through its platforms. Additionally, it earns income from value-added services such as inventory management, appraisals, and financing solutions. RB Global also benefits from its online marketplace, which extends its reach and offers a digital sales channel for transactions. Strategic partnerships and collaborations with industry leaders enhance its service offerings and contribute to its revenue growth.

RB Global Financial Statement Overview

Summary

RB Global exhibits strong financial performance with significant revenue growth and robust profitability margins. The income statement is impressive with solid EBIT and EBITDA margins. The balance sheet is stable with a balanced leverage position, though the high debt level warrants careful monitoring. Cash flow management is efficient with substantial free cash flow growth.

Income Statement

RB Global has demonstrated strong revenue growth, with a remarkable increase from $1.73 billion in 2022 to $4.33 billion in TTM (Trailing-Twelve-Months) 2025. The gross profit margin remains robust at 46.2% TTM. Net profit margin improved to 9.7% TTM, indicating enhanced profitability. EBIT and EBITDA margins are solid at 17.4% and 31.9% TTM respectively. The consistent revenue growth trajectory and healthy margins reflect a sound income statement performance.

Balance Sheet

The balance sheet is stable with a debt-to-equity ratio of 0.74 TTM, indicating a balanced leverage position. The equity ratio is healthy at 48.5% TTM, providing a strong equity base. ROE has improved to 7.3% TTM, showcasing effective use of equity to generate profits. However, a high total debt level at $4.25 billion TTM could pose risks if not managed prudently.

Cash Flow

The cash flow statement is strong, with operating cash flow to net income ratio at 2.3 TTM, illustrating efficient cash generation from operations. Free cash flow has grown consistently, with a growth rate of 247% from 2023 to TTM 2025. The free cash flow to net income ratio is high at 1.6 TTM, indicating robust free cash flow generation relative to net income.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
4.33B	4.28B	3.68B	1.73B	1.42B	1.38B
	Gross Profit
2.00B	2.00B	1.78B	957.11M	822.19M	761.67M
	EBIT
751.80M	761.20M	471.30M	453.50M	240.15M	263.16M
	EBITDA
1.38B	1.38B	958.30M	444.61M	343.00M	358.62M
	Net Income Common Stockholders
419.10M	413.10M	206.50M	319.70M	119.14M	170.09M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
578.10M	533.90M	576.20M	494.32M	326.11M	278.77M
	Total Assets
11.89B	11.81B	12.04B	2.86B	3.59B	2.35B
	Total Debt
4.25B	4.29B	4.64B	610.62M	1.74B	665.79M
	Net Debt
3.67B	3.75B	4.06B	116.29M	1.42B	387.03M
	Total Liabilities
6.11B	6.09B	6.53B	1.57B	2.52B	1.34B
	Stockholders Equity
5.77B	5.71B	5.50B	1.29B	1.07B	1.01B
Cash Flow		Free Cash Flow
678.70M	655.10M	197.80M	391.12M	274.10M	214.74M
	Operating Cash Flow
964.00M	932.00M	544.00M	463.06M	317.59M	257.87M
	Investing Cash Flow
-326.00M	-301.60M	-3.11B	77.33M	-214.07M	-276.72M
	Financing Cash Flow
-499.60M	-645.50M	2.68B	-1.26B	960.91M	-111.46M

RB Global Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 143.94
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:RBA, the sentiment is Neutral. The current price of 143.94 is below the 20-day moving average (MA) of 144.70, above the 50-day MA of 142.07, and above the 200-day MA of 131.68, indicating a neutral trend. The MACD of 0.16 indicates Positive momentum. The RSI at 48.82 is Neutral, neither overbought nor oversold. The STOCH value of 20.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:RBA.

RB Global Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRI	80 Outperform	C$120.35B	40.06	18.46%	1.25%	8.16%	-5.93%
RBA	78 Outperform	C$26.66B	50.69	7.74%	1.11%	5.58%	27.23%
TCL.B	77 Outperform	C$1.75B	9.66	9.65%	23.74%	-2.58%	100.21%
TCL.A	76 Outperform	C$1.73B	9.70	9.65%	23.65%	-2.58%	100.21%
GDI	71 Outperform	C$749.26M	19.65	7.93%	―	1.49%	152.09%
Sector *	66 Neutral	$4.44B	12.08	5.34%	5.82%	4.17%	-11.81%
CGY	58 Neutral	C$526.87M	12,521.62	0.01%	2.42%	3.03%	-99.78%

RB Global Corporate Events

RB Global Reports Strong 2024 Financial Results, Sets Positive Outlook for 2025

RB Global reported positive fourth-quarter and full-year 2024 financial results, with total revenue increasing by 10% and net income rising by 41% year over year. The company emphasized its strategic focus on enhancing operational efficiency and reducing leverage, setting a foundation for continued growth in 2025.