Rcm TECHNOLOGIES, Inc. (RCMT) intrinsic value & 10-year financials

Rcm TECHNOLOGIES, Inc. (RCMT) has a Graham intrinsic value of $71.08 per share. At $37.50 on Oct 17, 2026, the stock trades 47% below that value. Over the last 10 fiscal years revenue grew 6.2% a year to $319.4M, with an average return on invested capital of 35.0%.

Graham intrinsic value
$71.08
Share price (Oct 17, 2026)
$37.50
Price vs Graham value
47% below
Market cap
$286.3M
Revenue (FY2026)
$319.4M
Revenue growth (10-yr CAGR)
6.2%
ROIC (10-yr avg)
35.0%
Free cash flow (FY2026)
$17.4M

RCMT 10-year financial history

Fiscal year Revenue Net income EPS (diluted) Free cash flow Operating margin ROIC
FY2026 $319.4M $16.3M $2.14 $17.4M 7.9% 39.3%
FY2025 — — — — — —
FY2024 $278.4M $13.3M $1.68 $3.6M 8.0% 52.6%
FY2023 $263.2M $16.8M $1.96 $9.6M 9.0% 63.5%
FY2022 $284.7M $20.9M $2.00 $27.4M 10.1% 71.6%
FY2021 $150.4M -$8.9M -$0.73 $24.7M -7.3% -33.2%
FY2020 — — — — — —
FY2019 $191.1M $4.1M — -$5.1M 3.4% 15.9%
FY2018 $200.4M $2.7M $0.22 -$1.6M 2.7% —
FY2017 $186.7M $2.0M $0.17 $4.0M 0.1% —

Source: annual 10-K filings on SEC EDGAR. Figures in USD.

Executive summary

RCM TECHNOLOGIES, INC. has demonstrated mature, steady growth, with revenue compounding at 6.1% annually over the past decade.

RCM TECHNOLOGIES, INC. has earned high returns on invested capital, averaging 35.0% ROIC over the available history. High ROIC is consistent with a durable franchise, but it is not by itself proof of an economic moat.

Over the decade, RCM TECHNOLOGIES, INC. shows that management has aggressively returned capital to shareholders by retiring 37.0% of outstanding shares.

Benjamin Graham lens

Under Benjamin Graham's formula using SEC EDGAR fundamentals, RCM TECHNOLOGIES, INC. is modeled at 15.0% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $71.08 per share.

RCMT stock: frequently asked questions

What is the intrinsic value of Rcm TECHNOLOGIES, Inc. (RCMT) stock?

Using Benjamin Graham's revised formula, V = EPS × (8.5 + 2g) × 4.4 / Y, with reported diluted earnings per share, a 15.0% normalized growth rate (capped at 15%) and a 5.1% AAA corporate bond yield, RCMT's intrinsic value is about $71.08 per share.

Is RCMT stock undervalued?

At $37.50 (close on Oct 17, 2026), RCMT trades 47% below its Graham value of $71.08. On Graham's terms that leaves a margin of safety. A formula is a starting point for research, not a recommendation.

How fast has Rcm TECHNOLOGIES, Inc. grown?

Revenue went from $186.7M in fiscal 2017 to $319.4M in fiscal 2026, a compound annual growth rate of 6.2%. Net income was $16.3M in fiscal 2026.

Does Rcm TECHNOLOGIES, Inc. generate free cash flow?

Rcm TECHNOLOGIES, Inc. generated $17.4M of free cash flow (operating cash flow minus capital expenditures) in fiscal 2026. Free cash flow was positive in 6 of the last 8 reported years.

What is RCMT's return on invested capital?

Average ROIC over the last 10 fiscal years was 35.0%, and average return on equity was 26.2%. Sustained ROIC above about 15% usually points to a durable competitive advantage.

Where does this RCMT data come from?

From Rcm TECHNOLOGIES, Inc.'s annual 10-K filings on SEC EDGAR, most recently filed Aug 13, 2026. Prices are end-of-day snapshots; valuations are formula outputs, not investment advice.

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