📊 RMR Key Takeaways
Is Rmr Group Inc.. (RMR) a Good Investment?
RMR exhibits explosive revenue growth of 283% YoY, likely acquisition-driven, but with concerning fundamental deterioration: net income grew only 2.3% and diluted EPS declined 25.4%, indicating poor growth quality and significant shareholder dilution. While the balance sheet remains healthy with conservative leverage, the disconnect between revenue and earnings growth suggests operational integration challenges or margin compression.
Revenue surged sharply, but earnings and EPS did not keep pace, pointing to lower-quality growth and potential margin or share-count pressures. The company maintains a conservative balance sheet with low leverage and solid liquidity, and remains profitable with positive free cash flow. Evidence of sustained margin expansion and stronger cash conversion would be needed to upgrade the outlook.
Why Buy Rmr Group Inc.. Stock? RMR Key Strengths
- Exceptional top-line growth of 283% YoY indicates substantial business expansion
- Conservative balance sheet with 0.19x debt/equity ratio and 1.82x current ratio providing financial stability
- Solid operating margin of 17.8% demonstrates operational efficiency in core business
- Conservative balance sheet with low leverage and solid liquidity (current ratio 1.82x, D/E 0.19x)
- Healthy operating profitability (17.8% operating margin)
- Positive free cash flow with low capex intensity
RMR Stock Risks: Rmr Group Inc.. Investment Risks
- Diluted EPS declined 25.4% YoY despite positive net income, indicating severe shareholder dilution or equity structure deterioration
- Massive gap between revenue growth (+283%) and net income growth (+2.3%) reveals poor monetization and quality-of-earnings concerns
- Weak returns on capital (ROE 5.2%, ROA 1.8%) suggest inefficient deployment of expanded asset base and acquired assets
- Operating cash flow of 10.7M vs net income of 12.2M indicates working capital deterioration and potential cash conversion issues
- Growth quality concerns: revenue up 283% YoY while EPS fell 25% and net income grew just 2%
- Low returns on capital (ROE 5.2%, ROA 1.8%)
- Weak cash conversion and potential working capital drag (FCF margin 4.8%, modest OCF vs revenue)
Key Metrics to Watch
- Diluted EPS trajectory and underlying share dilution rate in next periods
- Net income growth rate relative to revenue growth convergence during post-acquisition integration
- Operating cash flow to net income ratio as indicator of earnings quality normalization
- Operating margin
- Free cash flow margin
Rmr Group Inc.. (RMR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 4.8% FCF margin may limit capital allocation flexibility.
RMR Profit Margin, ROE & Profitability Analysis
RMR vs Services Sector: How Rmr Group Inc.. Compares
How Rmr Group Inc.. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Rmr Group Inc.. Stock Overvalued? RMR Valuation Analysis 2026
Based on fundamental analysis, Rmr Group Inc.. has mixed fundamental signals relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Rmr Group Inc.. Balance Sheet: RMR Debt, Cash & Liquidity
RMR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Rmr Group Inc..'s revenue has declined by 67% over the 5-year period, indicating business contraction. The most recent EPS of $3.44 reflects profitable operations.
RMR Revenue Growth, EPS Growth & YoY Performance
RMR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $47.4M | $6.4M | $0.38 |
| Q3 2025 | $44.1M | $4.2M | $0.25 |
| Q2 2025 | $45.5M | $3.6M | $0.21 |
| Q1 2025 | $46.5M | $6.4M | $0.38 |
| Q3 2024 | $205.5M | $4.9M | $0.29 |
| Q2 2024 | $208.4M | $5.9M | $0.34 |
| Q1 2024 | $250.7M | $6.3M | $0.37 |
| Q3 2023 | $211.1M | $7.6M | $0.46 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Rmr Group Inc.. Dividends, Buybacks & Capital Allocation
RMR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Rmr Group Inc.. (CIK: 0001644378)
📋 Recent SEC Filings
❓ Frequently Asked Questions about RMR
What is the AI rating for RMR?
Rmr Group Inc.. (RMR) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 65% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are RMR's key strengths?
Claude: Exceptional top-line growth of 283% YoY indicates substantial business expansion. Conservative balance sheet with 0.19x debt/equity ratio and 1.82x current ratio providing financial stability. ChatGPT: Conservative balance sheet with low leverage and solid liquidity (current ratio 1.82x, D/E 0.19x). Healthy operating profitability (17.8% operating margin).
What are the risks of investing in RMR?
Claude: Diluted EPS declined 25.4% YoY despite positive net income, indicating severe shareholder dilution or equity structure deterioration. Massive gap between revenue growth (+283%) and net income growth (+2.3%) reveals poor monetization and quality-of-earnings concerns. ChatGPT: Growth quality concerns: revenue up 283% YoY while EPS fell 25% and net income grew just 2%. Low returns on capital (ROE 5.2%, ROA 1.8%).
What is RMR's revenue and growth?
Rmr Group Inc.. reported revenue of $180.4M.
Does RMR pay dividends?
Rmr Group Inc.. pays dividends, with $7.7M distributed to shareholders in the trailing twelve months.
Where can I find RMR SEC filings?
Official SEC filings for Rmr Group Inc.. (CIK: 0001644378) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is RMR's EPS?
Rmr Group Inc.. has a diluted EPS of $0.71.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is RMR a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Rmr Group Inc.. has a HOLD rating with 65% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is RMR stock overvalued or undervalued?
Valuation metrics for RMR: ROE of 5.2% (sector avg: 16%), net margin of 6.8% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy RMR stock in 2026?
Our dual AI analysis gives Rmr Group Inc.. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is RMR's free cash flow?
Rmr Group Inc..'s operating cash flow is $10.7M, with capital expenditures of $2.1M. FCF margin is 4.8%.
How does RMR compare to other Services stocks?
Vs Services sector averages: Net margin 6.8% (avg: 10%), ROE 5.2% (avg: 16%), current ratio 1.82 (avg: 1.5).