
TSE:RSI
This summary was created by AI, based on 3 opinions in the last 12 months.
Rogers Sugar Inc. (RSI-T) operates in a competitive market characterized by an oligopoly, with recent developments suggesting challenges posed by a new player in the industry. Experts advise caution regarding the sugar sector, noting that while the company's financials are stable—having not experienced an annual loss since 2001 and maintaining a relatively low payout ratio—the potential for disruption remains significant. Trevor Rose highlights that economic conditions like stagflation could affect stock attractiveness, particularly given the absence of recent dividend increases. Overall, while the business isn't overly sensitive to economic shifts, regulatory changes and competitive pressures could introduce risk, and the appeal might be limited to those seeking consistent dividends rather than aggressive growth. Analysts describe the stock as decent for small- to mid-cap dividend investors but lacking excitement and anticipatory growth.
Stagflation, or simply inflation, would likely hurt the stock quite a lot as investors would seek higher-paying alternatives. The lack of dividend increases would hurt its appeal in such a scenario as well. The company has not had an annual loss since 2001. Payout ratio is less than 30% Debt is a bit high but manageable. We would not really see the dividend at huge risk in the mid term. But it would be a change in government quotas or competition that would be more detrimental to the company, we think. Its busines is not overly sensitive to the economy. Sales only slipped slightly in 2008, for example.
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Valuation, dividend, and balance sheet are OK. Too boring for him. If you're a small- to mid-cap dividend player, it's a pretty good and steady name. Less sensitive to the economy. Protected by sugar quotas, which look pretty secure right now (though you never know what the government will do). #2 player in the space, and hard to get into.
Don't expect miracles. Take your 5% dividend, get the dividend tax credit, be happy with that.
RSI beat EPS estimates of 13c coming in at 14c. Revenue also beat estimates of $304.7M coming in at $333.03M increasing 10% year-over-year. Adjusted EBITDA was $141.6M up 28% year-over-year. The quarterly and full-year results look solid, with increasing sales driven by price increases and volume growth. The sales volume expectation for sugar in FY2025 is set at 800,000 metric tonnes. The sales volume for maple is expected to grow moderately by 0.5M pounds. We think the earnings were solid and RSI continues to be an OK value/income stock.
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EPS of 15c beat estimates of 12C. Revenue of $261M beat estimates of $246M.
EBITDA of $33.5M beat estimates of $28.9M.
Sales volume guidance was increased, with strong sugar demand and pricing.
The Maple segment is expected to do better as unfavourable conditions of last year subside.
These earnings are solid.
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Rogers Sugar Inc is a Canadian stock, trading under the symbol RSI.TO (previously RSI-T on Stockchase) on the Toronto Stock Exchange (RSI-CT). It is usually referred to as TSX:RSI or RSI.TO
In the last year, 3 stock analysts published opinions about RSI.TO (previously RSI-T on Stockchase). 1 analyst recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is HOLD. Read the latest stock experts' ratings for Rogers Sugar Inc.
Rogers Sugar Inc was recommended as a Top Pick by Peter Hodson on 2018-11-15. Read the latest stock experts ratings for Rogers Sugar Inc.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts' recommendations for help on deciding if you should buy, sell or hold the stock.
3 stock analysts on Stockchase covered Rogers Sugar Inc in the last year. It is a trending stock that is worth watching.
On 2026-06-02, Rogers Sugar Inc (RSI.TO) stock closed at a price of $6.72.
It enjoys an oligopoly. Be cautious about the sugar sector. The new third player is a disruptor and could be detrimental to the industry.