Reading the tape
NASDAQ: RGCO
RGC Resources, Inc.
Utilities · Regulated Gas
Market Cap
$237.51M
52w High
$24.50
52w Low
$19.68
P/E
18.11
Volume
15.99K
Outstanding Shares
10.39M
Price vs Fundamentals
Why The Stock Is Moving
Mixed / unclearLow confidence
Note: The most recent financial data is over 3 months old. Metrics shown may not reflect the latest reporting period.
1Y Price: 8.81%Revenue (TTM): 12.33%FCF (TTM): 330.73%P/E: 39th pct
What changed
The stock rose 8.81% over the last year. Revenue grew 12.33% over the trailing twelve months. Operating margin moved from 20.29% to 17.97%. Free cash flow grew 330.73% over the trailing twelve months.
What the market seems to be pricing
The stock has moved higher against modestly improving underlying metrics. The operating data does not yet tell a clear story — the move may reflect sentiment, sector rotation, or macro factors rather than company-specific earnings power.
What would invalidate this read
Operating margin currently stands at 17.97%. A decisive move in revenue — currently up 12.33% — would be the clearest signal to resolve the ambiguity.
Company profile
RGC Resources, Inc., through its subsidiaries, operates as an energy services company.
CEOPaul W. Nester
SectorUtilities
IndustryRegulated Gas
Employees104
IPO dateFeb 1, 1994
Valuation
Forward P/E—
EV/EBITDA10.68
Enterprise value$377.86M
Stock splits
Mar 2, 2017↑ Forward
Every 2 shares became 3
Sep 2, 2011↑ Forward
Every 1 shares became 2
Jul 5, 1994↑ Forward
Every 1 shares became 2
Profitability & growth
Revenue growth10.89%
Gross margin29.4%▼3.72%vs FY2024
Operating margin17.97%▼4.12%vs FY2024
ROE11.69%▲7.53%vs FY2024
Analyst consensus
RatingBuy
Target price—
2
Buy
2
Hold
0
Sell
Analyst ratings tend to be lagging indicators. Use as one signal among many.
Earnings
Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.
Next report
May 8, 2026
Q2 FY26 · EPS est $0.78 · Revenue est $38.2M
View
Dividends
$0.85/shareQuarterlyDividend Achiever · 12yrStretchedRGCO pays a dividend with a 3.72% dividend yield, 12 consecutive years of growth, growing at 3.39% annually, covered 1.0× by free cash flow.
Dividend Yield
3.72%
Annual Div / Share
$0.85
5yr CAGR
+3.39%
Doubles every ~20.8yr
Payout Ratio
66.43%
Stretched
Dividend Growth Rate
3yr CAGR
+2.71%
5yr CAGR
+3.39%
10yr CAGR
+4.88%
Dividend Safety
3/10Stretched
Dividend History
Annualized dividend cycles per share
YearAnnual DivYoY
2026$0.85+4.4%
2025$0.81+2.5%
2024$0.80+1.3%
2023$0.79+3.3%
2022$0.76+5.6%
2021$0.72+5.9%
2020$0.68+6.2%
Income Projection
Invest
$
Growth rate:
Reinvest dividends
Today
$37/yr
$3/mo
In 5 yrs
$44/yr+18%
$4/mo
In 10 yrs
$52/yr+40%
$4/mo
| Today | In 5 yrs | In 10 yrs |
|---|---|---|
$37/yr $3/mo | $44/yr+18% $4/mo | $52/yr+40% $4/mo |
Yield-on-cost grows from 3.72% → 5.19% over 10yr
Analysis
Dividend Strengths
Dividend Achiever
RGCO has raised its dividend for 12 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.
Risks to Watch
Dividend exceeds free cash flow
Free cash flow covers only 0.97× the dividend. The company is paying out more than it generates in cash, which is unsustainable without borrowing or asset sales.