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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 7/10

vs
industry
vs
history
Cash to Debt 0.04
RCII's Cash to Debt is ranked lower than
54% of the 1286 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.84 vs. RCII: 0.04 )
RCII' s 10-Year Cash to Debt Range
Min: 0.03   Max: 0.87
Current: 0.04

0.03
0.87
Equity to Asset 0.43
RCII's Equity to Asset is ranked higher than
68% of the 1280 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.47 vs. RCII: 0.43 )
RCII' s 10-Year Equity to Asset Range
Min: 0.25   Max: 0.73
Current: 0.43

0.25
0.73
Interest Coverage 4.04
RCII's Interest Coverage is ranked higher than
56% of the 880 Companies
in the Global Specialty Retail industry.

( Industry Median: 28.57 vs. RCII: 4.04 )
RCII' s 10-Year Interest Coverage Range
Min: 2.15   Max: 51.67
Current: 4.04

2.15
51.67
F-Score: 3
Z-Score: 2.72
M-Score: -2.31
WACC vs ROIC
7.91%
5.81%
WACC
ROIC
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry
vs
history
Operating margin (%) 6.13
RCII's Operating margin (%) is ranked higher than
79% of the 1288 Companies
in the Global Specialty Retail industry.

( Industry Median: 5.00 vs. RCII: 6.13 )
RCII' s 10-Year Operating margin (%) Range
Min: 6.13   Max: 81.45
Current: 6.13

6.13
81.45
Net-margin (%) 3.05
RCII's Net-margin (%) is ranked higher than
74% of the 1288 Companies
in the Global Specialty Retail industry.

( Industry Median: 3.24 vs. RCII: 3.05 )
RCII' s 10-Year Net-margin (%) Range
Min: 2.62   Max: 8.57
Current: 3.05

2.62
8.57
ROE (%) 7.05
RCII's ROE (%) is ranked higher than
71% of the 1266 Companies
in the Global Specialty Retail industry.

( Industry Median: 8.68 vs. RCII: 7.05 )
RCII' s 10-Year ROE (%) Range
Min: 7.08   Max: 27.6
Current: 7.05

7.08
27.6
ROA (%) 3.13
RCII's ROA (%) is ranked higher than
70% of the 1292 Companies
in the Global Specialty Retail industry.

( Industry Median: 4.12 vs. RCII: 3.13 )
RCII' s 10-Year ROA (%) Range
Min: 2.84   Max: 13.51
Current: 3.13

2.84
13.51
ROC (Joel Greenblatt) (%) 21.86
RCII's ROC (Joel Greenblatt) (%) is ranked higher than
84% of the 1288 Companies
in the Global Specialty Retail industry.

( Industry Median: 16.81 vs. RCII: 21.86 )
RCII' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 20.24   Max: 334.35
Current: 21.86

20.24
334.35
Revenue Growth (3Y)(%) 8.50
RCII's Revenue Growth (3Y)(%) is ranked higher than
86% of the 1084 Companies
in the Global Specialty Retail industry.

( Industry Median: 5.30 vs. RCII: 8.50 )
RCII' s 10-Year Revenue Growth (3Y)(%) Range
Min: -0.3   Max: 73.7
Current: 8.5

-0.3
73.7
EBITDA Growth (3Y)(%) 6.60
RCII's EBITDA Growth (3Y)(%) is ranked higher than
81% of the 907 Companies
in the Global Specialty Retail industry.

( Industry Median: 5.50 vs. RCII: 6.60 )
RCII' s 10-Year EBITDA Growth (3Y)(%) Range
Min: 2.3   Max: 76.3
Current: 6.6

2.3
76.3
EPS Growth (3Y)(%) -12.00
RCII's EPS Growth (3Y)(%) is ranked higher than
66% of the 852 Companies
in the Global Specialty Retail industry.

( Industry Median: 6.90 vs. RCII: -12.00 )
RCII' s 10-Year EPS Growth (3Y)(%) Range
Min: -17.2   Max: 42.2
Current: -12

-17.2
42.2
» RCII's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2014

RCII Guru Trades in Q1 2014

First Pacific Advisors 985,300 sh (New)
David Dreman 1,284 sh (New)
Charles Brandes 582,020 sh (+3252.26%)
Chuck Royce 772,529 sh (+204.11%)
Private Capital 361,890 sh (+65.89%)
Richard Pzena 1,533,547 sh (+60.61%)
HOTCHKIS & WILEY 5,715,772 sh (+11.99%)
Jim Simons Sold Out
Paul Tudor Jones Sold Out
Jeremy Grantham Sold Out
Pioneer Investments Sold Out
Manning & Napier Advisors, Inc 15,070 sh (-94.26%)
» More
Q2 2014

RCII Guru Trades in Q2 2014

Tom Gayner 110,000 sh (New)
John Hussman 6,000 sh (New)
David Dreman 2,202 sh (+71.5%)
Charles Brandes 749,256 sh (+28.73%)
Chuck Royce 908,035 sh (+17.54%)
Manning & Napier Advisors, Inc Sold Out
HOTCHKIS & WILEY 5,596,926 sh (-2.08%)
First Pacific Advisors 960,400 sh (-2.53%)
Private Capital 350,365 sh (-3.18%)
Richard Pzena 1,319,702 sh (-13.94%)
» More
Q3 2014

RCII Guru Trades in Q3 2014

Tom Gayner 174,000 sh (+58.18%)
Charles Brandes 880,008 sh (+17.45%)
Chuck Royce 988,735 sh (+8.89%)
Richard Pzena 1,331,683 sh (+0.91%)
First Pacific Advisors 961,000 sh (+0.06%)
John Hussman 6,000 sh (unchged)
David Dreman Sold Out
Private Capital 344,140 sh (-1.78%)
HOTCHKIS & WILEY 4,061,776 sh (-27.43%)
» More
Q4 2014

RCII Guru Trades in Q4 2014

Paul Tudor Jones 8,959 sh (New)
Tom Gayner 190,000 sh (+9.2%)
Private Capital 339,610 sh (-1.32%)
Chuck Royce 809,935 sh (-18.08%)
Richard Pzena 921,503 sh (-30.8%)
Charles Brandes 596,553 sh (-32.21%)
John Hussman 3,000 sh (-50%)
HOTCHKIS & WILEY 1,364,330 sh (-66.41%)
First Pacific Advisors 190,100 sh (-80.22%)
» More
» Details

Insider Trades

Latest Guru Trades with RCII

(List those with share number changes of more than 20%, or impact to portfolio more than 0.1%)

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
HOTCHKIS & WILEY 2014-12-31 Reduce -66.41%0.3%$28.77 - $37.38 $ 27.11-16%1364330
Charles Brandes 2014-12-31 Reduce -32.21%0.11%$28.77 - $37.38 $ 27.11-16%596553
Richard Pzena 2014-12-31 Reduce -30.8%0.07%$28.77 - $37.38 $ 27.11-16%921503
John Hussman 2014-12-31 Reduce -50%0.01%$28.77 - $37.38 $ 27.11-16%3000
HOTCHKIS & WILEY 2014-09-30 Reduce -27.43%0.16%$23.86 - $30.99 $ 27.111%4061776
Tom Gayner 2014-09-30 Add 58.18%0.06%$23.86 - $30.99 $ 27.111%174000
David Dreman 2014-09-30 Sold Out $23.86 - $30.99 $ 27.111%0
Tom Gayner 2014-06-30 New Buy0.09%$25.77 - $29.95 $ 27.11-4%110000
Charles Brandes 2014-06-30 Add 28.73%0.06%$25.77 - $29.95 $ 27.11-4%749256
John Hussman 2014-06-30 New Buy0.01%$25.77 - $29.95 $ 27.11-4%6000
David Dreman 2014-06-30 Add 71.5%$25.77 - $29.95 $ 27.11-4%2202
Private Capital 2014-03-31 Add 65.89%0.48%$23.94 - $33.58 $ 27.11-1%361890
Charles Brandes 2014-03-31 Add 3252.26%0.19%$23.94 - $33.58 $ 27.11-1%582020
Richard Pzena 2014-03-31 Add 60.61%0.09%$23.94 - $33.58 $ 27.11-1%1533547
David Dreman 2014-03-31 New Buy$23.94 - $33.58 $ 27.11-1%1284
Premium More recent guru trades are included for Premium Members only!!
Premium More recent guru trades are included for USA Subscribe Members only!!
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Top Ranked Articles about Rent-A-Center Inc

Outperform with Historical Low P/B Portfolios
The value strategies of investing in predictable companies traded at historical low price/sales (P/S) and price/book (P/B) ratios worked extremely well this year. These strategies have outperformed the broad market by wide margins. As of yesterday, both the strategies have gained more than 15%, doubling the performance of S&P 500 index. Read more...
Rent-A-Center CFO Invests in 10,000 Shares
Guy J. Constant, EVP-finance, CFO and treasurer of Rent-A-Center Inc. (RCII), bought 10,000 shares in RCII on August 11 at an average price per share of $24.84. The total transaction amount was $248,400.Rent-A-Center, Inc., leases household durable goods to customers on a rent-to-own basis. The company was incorporated in Delaware in 1986 and has a market cap of $1.32 billion. The dividend yield of Rent-A-Center stocks is 3.50%; Rent-A-Center had an annual average earnings growth of 6.60% over the past 10 years.As of June 30, Rent-A-Center operated 3,023 stores in the U.S., Canada, Mexico and Puerto Rico. The company offers high-quality durable products – i.e., major consumer electronics, appliances, computers, and furniture and accessories – on rent-to-own agreements.The company's corporate headquarters is located in Plano, Texas.GuruFocus rated Rent-A-Center the business predictability rank of 4.5-star. Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 14.90
RCII's P/E(ttm) is ranked higher than
83% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 27.30 vs. RCII: 14.90 )
RCII' s 10-Year P/E(ttm) Range
Min: 7.04   Max: 26.25
Current: 14.9

7.04
26.25
Forward P/E 9.83
RCII's Forward P/E is ranked higher than
92% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 24.04 vs. RCII: 9.83 )
N/A
PE(NRI) 15.00
RCII's PE(NRI) is ranked higher than
83% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 27.00 vs. RCII: 15.00 )
RCII' s 10-Year PE(NRI) Range
Min: 7.03   Max: 26.18
Current: 15

7.03
26.18
P/B 1.00
RCII's P/B is ranked higher than
83% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 2.39 vs. RCII: 1.00 )
RCII' s 10-Year P/B Range
Min: 0.83   Max: 3.24
Current: 1

0.83
3.24
P/S 0.50
RCII's P/S is ranked higher than
79% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.90 vs. RCII: 0.50 )
RCII' s 10-Year P/S Range
Min: 0.3   Max: 1.27
Current: 0.5

0.3
1.27
POCF 75.53
RCII's POCF is ranked higher than
60% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 16.20 vs. RCII: 75.53 )
RCII' s 10-Year POCF Range
Min: 2.6   Max: 100.89
Current: 75.53

2.6
100.89
EV-to-EBIT 12.68
RCII's EV-to-EBIT is ranked higher than
81% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 18.35 vs. RCII: 12.68 )
RCII' s 10-Year EV-to-EBIT Range
Min: 1.4   Max: 16.7
Current: 12.68

1.4
16.7
PEG 2.00
RCII's PEG is ranked higher than
84% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.00 vs. RCII: 2.00 )
RCII' s 10-Year PEG Range
Min: 0.89   Max: 74.95
Current: 2

0.89
74.95
Shiller P/E 10.60
RCII's Shiller P/E is ranked higher than
94% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 50.33 vs. RCII: 10.60 )
RCII' s 10-Year Shiller P/E Range
Min: 6.56   Max: 25.84
Current: 10.6

6.56
25.84
Current Ratio 1.86
RCII's Current Ratio is ranked higher than
79% of the 1287 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.56 vs. RCII: 1.86 )
RCII' s 10-Year Current Ratio Range
Min: 1.12   Max: 11.31
Current: 1.86

1.12
11.31
Quick Ratio 0.38
RCII's Quick Ratio is ranked higher than
50% of the 1287 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.85 vs. RCII: 0.38 )
RCII' s 10-Year Quick Ratio Range
Min: 0.16   Max: 4.61
Current: 0.38

0.16
4.61
Days Inventory 428.59
RCII's Days Inventory is ranked higher than
50% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 99.91 vs. RCII: 428.59 )
RCII' s 10-Year Days Inventory Range
Min: 130.37   Max: 2576.97
Current: 428.59

130.37
2576.97
Days Sales Outstanding 7.57
RCII's Days Sales Outstanding is ranked higher than
83% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 22.48 vs. RCII: 7.57 )
RCII' s 10-Year Days Sales Outstanding Range
Min: 0.34   Max: 8.41
Current: 7.57

0.34
8.41

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 3.40
RCII's Dividend Yield is ranked higher than
78% of the 906 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.90 vs. RCII: 3.40 )
RCII' s 10-Year Dividend Yield Range
Min: 0.21   Max: 3.77
Current: 3.4

0.21
3.77
Dividend Payout 0.51
RCII's Dividend Payout is ranked higher than
71% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.77 vs. RCII: 0.51 )
RCII' s 10-Year Dividend Payout Range
Min: 0.07   Max: 0.51
Current: 0.51

0.07
0.51
Dividend growth (3y) 19.90
RCII's Dividend growth (3y) is ranked higher than
99% of the 650 Companies
in the Global Specialty Retail industry.

( Industry Median: 7.90 vs. RCII: 19.90 )
RCII' s 10-Year Dividend growth (3y) Range
Min: 0   Max: 68.4
Current: 19.9

0
68.4
Yield on cost (5-Year) 3.40
RCII's Yield on cost (5-Year) is ranked higher than
67% of the 924 Companies
in the Global Specialty Retail industry.

( Industry Median: 2.27 vs. RCII: 3.40 )
RCII' s 10-Year Yield on cost (5-Year) Range
Min: 0.21   Max: 3.77
Current: 3.4

0.21
3.77
Share Buyback Rate 5.00
RCII's Share Buyback Rate is ranked higher than
96% of the 834 Companies
in the Global Specialty Retail industry.

( Industry Median: -0.30 vs. RCII: 5.00 )
RCII' s 10-Year Share Buyback Rate Range
Min: 6.8   Max: -7.6
Current: 5

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 123.20
RCII's Price/Tangible Book is ranked higher than
87% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 3.44 vs. RCII: 123.20 )
RCII' s 10-Year Price/Tangible Book Range
Min: 2.38   Max: 264.29
Current: 123.2

2.38
264.29
Price/DCF (Projected) 0.60
RCII's Price/DCF (Projected) is ranked higher than
94% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 3.10 vs. RCII: 0.60 )
RCII' s 10-Year Price/DCF (Projected) Range
Min: 0.3   Max: 23.44
Current: 0.6

0.3
23.44
Price/Median PS Value 0.70
RCII's Price/Median PS Value is ranked higher than
91% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 1.13 vs. RCII: 0.70 )
RCII' s 10-Year Price/Median PS Value Range
Min: 0.53   Max: 2.97
Current: 0.7

0.53
2.97
Price/Peter Lynch Fair Value 1.80
RCII's Price/Peter Lynch Fair Value is ranked higher than
89% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 0.00 vs. RCII: 1.80 )
RCII' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.42   Max: 2.46
Current: 1.8

0.42
2.46
Price/Graham Number 9.10
RCII's Price/Graham Number is ranked higher than
63% of the 1369 Companies
in the Global Specialty Retail industry.

( Industry Median: 2.59 vs. RCII: 9.10 )
RCII' s 10-Year Price/Graham Number Range
Min: 2.02   Max: 12.42
Current: 9.1

2.02
12.42
Earnings Yield (Greenblatt) 7.90
RCII's Earnings Yield (Greenblatt) is ranked higher than
79% of the 1286 Companies
in the Global Specialty Retail industry.

( Industry Median: 5.80 vs. RCII: 7.90 )
RCII' s 10-Year Earnings Yield (Greenblatt) Range
Min: 6   Max: 69.6
Current: 7.9

6
69.6
Forward Rate of Return (Yacktman) 12.41
RCII's Forward Rate of Return (Yacktman) is ranked higher than
69% of the 893 Companies
in the Global Specialty Retail industry.

( Industry Median: 10.45 vs. RCII: 12.41 )
RCII' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 10.8   Max: 25.3
Current: 12.41

10.8
25.3

Business Description

Industry: Retail - Apparel & Specialty » Specialty Retail
Compare:BOX, TAL, HTZ, URI, AYR » details
Traded in other countries:RAC.Germany,
Rent-A-Center Inc was incorporated in Delaware in 1986. The Company is the operator in the United States rent-to-own industry. Its main operating segment consists of leasing household durable goods to customers on a rent-to-own basis. It offers merchandise on an installment sales basis in certain of its stores. At December 31, 2013, this segment franchised 179 stores in 30 states operating under the Rent-A-Center (92 stores), ColorTyme (61 stores) and RimTyme (26 stores) names. These rent-to-own stores primarily offer high quality durable products such as consumer electronics, appliances, computers, furniture and accessories, wheels and tires. ColorTyme is its nationwide franchisor of rent-to-own stores. ColorTymes main source of revenue is the sale of rental merchandise to its franchisees, who in turn offer the merchandise to the general public for rent or purchase under a rent-to-own program. The Company stores generally offer high quality durable products such as major consumer electronics, appliances, computers, and furniture and accessories under flexible rental purchase agreements that generally allow the customer to obtain ownership of the merchandise at the conclusion of an agreed-upon rental period. The Company's main suppliers are Whirlpool and Ashley. It promotes the products and services in its stores through television and radio commercials, print advertisements, Internet sites, direct response and store signage, all of which are designed to increase its name recognition among its customers and potential customers. The Companys financial services business is subject to regulation and supervision primarily at the state and federal levels. It intends to offer its financial services products only in those jurisdictions with favorable regulatory environments.
» More Articles for RCII

Headlines

Articles On GuruFocus.com
Hotchkis & Wiley Adds to Third-Largest Stake Feb 11 2015 
Dividend Achievers Series: Aaron's Dec 21 2014 
Outperform with Historical Low P/B Portfolios Sep 12 2014 
Rent-A-Center CFO Invests in 10,000 Shares Aug 12 2014 
Tom Gayner’s Top 5 New Portfolio Picks Aug 11 2014 
Conservative Scott Black – Delphi's High-Impact Sells in Third Quarter Oct 20 2013 
Weekly CEO Sells Highlight: Aspen Technology, Inc, Rent-A-Center Inc, Illinois Tool Works Inc, and H Sep 04 2012 
Stocks With Fastest Dividend Growth May 2011 May 20 2011 
Notable Dividend News: RCII, KRO, CY, CP, UG May 13 2011 
Weekly CEO Sells Highlight: URZ, RCII, HANS, CBG Mar 06 2011 


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