| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 66.69 | -41 |
| Intrinsic value (DCF) | 100.68 | -11 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 53.49 | -53 |
RB Global, Inc. (NYSE: RBA) is a leading omnichannel marketplace providing insights, services, and transaction solutions for buyers and sellers of commercial assets and vehicles worldwide. The company operates under well-known brands such as Ritchie Bros., a premier auctioneer of commercial assets and vehicles, and IAA, a digital marketplace for vehicle transactions. RB Global also offers specialized services through Rouse Services (asset management and benchmarking), SmartEquip (equipment lifecycle management), Xcira (live simulcast auction tech), and Veritread (heavy haul transport solutions). Serving industries like automotive, construction, mining, and agriculture, RB Global leverages its digital and physical auction platforms to facilitate efficient asset transactions. Headquartered in Westchester, Illinois, the company has established itself as a key player in the industrial asset resale market, combining technology with deep industry expertise to drive liquidity and value for stakeholders.
RB Global presents a compelling investment case due to its diversified revenue streams, strong market position in industrial asset auctions, and growing digital capabilities. The company's acquisition of IAA expands its footprint in the automotive salvage market, enhancing its omnichannel strategy. With a market cap of ~$19.8B, solid operating cash flow ($932M), and a moderate beta (0.77), RB Global offers stability with growth potential. However, investors should monitor its debt levels ($4.29B) and integration risks from recent acquisitions. The dividend yield (~1.7%) adds income appeal, but competitive pressures in digital marketplaces and cyclical exposure to industrial sectors remain key risks.
RB Global’s competitive advantage lies in its hybrid auction model, combining physical and digital platforms (Ritchie Bros. and IAA) to maximize asset liquidity. Its scale and global reach (operations in multiple countries) provide network effects, attracting a large buyer/seller base. The company’s proprietary technologies (SmartEquip, Xcira) enhance operational efficiency and customer stickiness. Unlike pure-play digital competitors, RB Global’s physical auction infrastructure offers credibility in high-value industrial asset transactions. However, it faces competition from niche auctioneers and online marketplaces that may undercut fees or specialize in certain asset classes. The integration of IAA positions RB Global against Copart in vehicle salvage but requires execution to realize synergies. Pricing transparency and data analytics (Rouse Services) further differentiate RB Global, though tech-first rivals could disrupt its moat over time.