Rexel S.A. (RXL.PA) stock analysis

In our weekly check, Rexel S.A. is graded C (A to F). Of 24 checks on debt, profit, cash flow and trend: 14 pass, warnings: 8, red flags: 2.

About Rexel S.A.

Rexel S.A. is a Technology company (Technology Distributors) based in France, listed on PAR as RXL.PA.

What our checks show for RXL.PA

Red flags

• The net margin is only 3.4%: little room if costs rise.
• The stock has fallen as much as 79% from a peak. Would you have held through that?

Warning signs

• Net debt is 3.1x a year of EBITDA (debt/equity 1.07). That limits room in a downturn and raises refinancing risk.
• The net margin fell by 0.7 points over 5 years, to 3.4%: the company keeps less of each sale as profit.
• The gross margin fell by 1.2 points, to 25.2%: costs are rising faster than prices.
• Revenue grew only 1.6% a year over the last 3 years.
• Earnings per share fell 9.1% a year over the last 3 years.
• Net profit fell 10.2% a year over the last 3 years.
• Free cash flow is only 4% of revenue.
• Recovering from its deepest fall took about 1.9 years.

Strengths

• Operating cash flow is 1.4x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 15.7% a year over the next years.
• The price is 14.3 times earnings (P/E), reasonable for its growth.
• A large company: market value $11.27 billion.
• Pay in shares is only 3.3% of free cash flow.

Similar companies

QXO · DPLM.L · BNZL.L · AIT · CNM · WSO

Questions

What grade does Rexel S.A. (RXL.PA) have?

In our weekly check, Rexel S.A. is graded C (A to F). Of 24 checks on debt, profit, cash flow and trend: 14 pass, warnings: 8, red flags: 2. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of RXL.PA stock?

This week's biggest flags for Rexel S.A.: Thin margins, Deep past fall, High debt. In total 10 of 24 checks show a warning or a red flag.

What does Rexel S.A. do?

Rexel S.A. is a Technology company (Technology Distributors) based in France, listed on PAR as RXL.PA.

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 2026-10-24

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