RS Group plc (RS1.L) stock analysis

In our weekly check, RS Group plc is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 5, red flags: 3.

About RS Group plc

RS Group plc is an Industrials company (Industrial - Distribution) based in the United Kingdom, listed on LSE as RS1.L.

What our checks show for RS1.L

Red flags

• The net margin fell by 3.4 points over 5 years, to 5.6%: the company keeps less of each sale as profit.
• Revenue fell 1.1% a year over the last 3 years.
• The stock has fallen as much as 61% from a peak. Would you have held through that?

Warning signs

• Analysts expect only about 4.7% a year of growth in revenue.
• Earnings per share fell 16.4% a year over the last 3 years.
• Net profit fell 17.1% a year over the last 3 years.
• The net margin is only 5.6%: little room if costs rise.
• The stock is still below its previous peak.

Strengths

• Net debt is only 1x a year of EBITDA: the balance sheet has room.
• Operating profit covers interest 14.3 times over.
• Operating cash flow is 1.63x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 15.6% a year over the next years.
• The dividend takes 49% of profit: there is a cushion.
• Pay in shares is only 4.2% of free cash flow.

Next earnings report: 2026-11-05

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Questions

What grade does RS Group plc (RS1.L) have?

In our weekly check, RS Group plc is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 5, red flags: 3. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of RS1.L stock?

This week's biggest flags for RS Group plc: Margins falling, Weak revenue growth, Deep past fall. In total 8 of 25 checks show a warning or a red flag.

What does RS Group plc do?

RS Group plc is an Industrials company (Industrial - Distribution) based in the United Kingdom, listed on LSE as RS1.L.

When does RS Group plc report earnings next?

The next earnings report is expected on 2026-11-05. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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