Rectitude Holdings Ltd. (RECT) stock analysis
Close on Nov 11, 2026Market cap $19.46MP/E 6.9Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Weak6 of 30 checks passed
Rectitude passes 6 of the 30 checks behind our score; 18 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 0/6
- Growth
- 2/6
- Past performance
- 2/6
- Financial health
- 2/6
- Dividend
- 0/6
What stands out
Return on capital over 10%
Return on invested capital was 16.1%, above the 10% that usually covers the cost of capital.
Revenue growing 10%+ a year
Revenue grew 10.8% a year over the last three fiscal years.
Interest well covered
Operating income covers interest expense 24.3 times.
Growing faster than the industry
Revenue grew 17.1% over the last twelve months; the Cutlery, Handtools, and General Hardware median is 4.3%.
What to watch
Return on equity under 15%
Return on equity was 13.6% over the last twelve months and averaged 22.2% over five years; we look for 15% on both.
EPS growing under 10% a year
Diluted EPS grew -6.9% a year over the last three fiscal years.
Gross margin slipping
Gross margin was 32.2% over the last twelve months, against 33.7% a year earlier.
Return on equity below the industry
Rectitude's return on equity of 13.6% is below the Cutlery, Handtools, and General Hardware median of 13.6%.
Valuation0/6
P/E against its history
Not enough price and earnings history to compare.
P/E against the industry
Needs positive earnings and enough profitable companies in the industry.
EV/EBITDA against its history
Needs positive EBITDA and price history.
P/B against the industry
Needs positive book value.
Price against fair value
We could not estimate a fair value: it needs at least two valuation methods with positive inputs.
Margin of safety
Depends on the fair value estimate.
Growth2/6
Revenue growing 10%+ a year
Revenue grew 10.8% a year over the last three fiscal years.
EPS growing under 10% a year
Diluted EPS grew -6.9% a year over the last three fiscal years.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing faster than the industry
Revenue grew 17.1% over the last twelve months; the Cutlery, Handtools, and General Hardware median is 4.3%.
Company guidance
No outlook found in earnings releases from the last twelve months.
Gross margin slipping
Gross margin was 32.2% over the last twelve months, against 33.7% a year earlier.
Past performance2/6
Return on equity under 15%
Return on equity was 13.6% over the last twelve months and averaged 22.2% over five years; we look for 15% on both.
Return on capital over 10%
Return on invested capital was 16.1%, above the 10% that usually covers the cost of capital.
Return on equity below the industry
Rectitude's return on equity of 13.6% is below the Cutlery, Handtools, and General Hardware median of 13.6%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin below its 5-year average
Net margin was 7.0% over the last twelve months, against a 5-year average of 7.5%.
Net margin above the industry
Rectitude's net margin of 7.0% is above the Cutlery, Handtools, and General Hardware median of 5.5%.
Financial health2/6
Debt level
Needs debt and equity figures.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt coverage
Needs operating cash flow.
Interest well covered
Operating income covers interest expense 24.3 times.
Short-term assets cover short-term debts
Current assets are 2.53 times current liabilities.
Bankruptcy risk (Altman Z)
Needs market value, working capital and retained earnings.
Dividend0/6
No dividend
Rectitude has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itWe don't publish a fair value for Rectitude. It needs a US-dollar share price, at least two valuation methods with positive inputs (earnings, EBITDA, book value or sales) and, for companies with several share classes, classes that trade at the same price.
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
High risk
- Average value traded per day
- $8.33K
- Value traded per 1% price move
- $1.05K
Downside
High risk
- Typical loss in a bad month
- 26.1%
- Volatility (annualized)
- 115%
- Sharpe ratio, 1 year
- -0.37
- Beta to the S&P 500 (5Y)
- 0.60
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2021 to 2026
Gross margin
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2026
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +17.1% | +10.8% | – | – | |
| Gross profit | +11.9% | +10.7% | – | – | |
| Operating income | +90.6% | -3.8% | – | – | |
| Net income | +60.5% | -2.9% | – | – | |
| EPS, diluted | +56.3% | -6.9% | – | – |
Returns and balance sheet
6 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2021 | FY2021 | FY2026 | Trend |
|---|---|---|---|---|
| Return on equity | – | – | 13.6% | |
| Return on assets | – | – | 7.8% | |
| Current ratio | – | – | 2.53 | |
| Interest coverage | – | – | 24.3× | |
| Inventory turnover | – | – | 4.4× | |
| Capex to revenue | – | – | 0.4% | |
| Diluted shares | – | – | 15M |
Where the cash went
Fiscal 2022 to 2026, five years combined
Rectitude generated 11.48M SGD from operations and spent 5.35M SGD on capital expenditure, dividends and share buybacks. 23% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2026 | 7.0% | 1.11× | 1.75× | 13.6% |
| FY2025 | 5.1% | 1.12× | 1.98× | 11.4% |
| FY2024 | 8.1% | 1.31× | 2.44× | 26.0% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2026 against fiscal 2025
- ProfitableNet income above zero3.59M SGD
- Cash generatingOperating cash flow above zero-2.15M SGD
- Return on assets improvedROA up on the prior year6.5% → 8.2%
- Earnings backed by cashOperating cash flow above net income-2.15M SGD vs 3.59M SGD
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose2.26 → 2.53
- No dilutionShare count did not rise14M → 15M
- Gross margin improvedGross margin up on the prior year33.65% → 32.17%
- More efficientAsset turnover rose1.28 → 1.17
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