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RUSHB

BEARISH
$74.2 Live
Rush Enterprises, Inc. · NASDAQ
$47.71 52W Range $75.27

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AI Analysis

AI-powered fundamental assessment

Confidence
85%
RUSHB exhibits a strong deterministic health profile with a Piotroski F-Score of 7/9, indicating solid operational efficiency. However, the stock is severely overvalued, trading at $74.20—well above its Graham Number ($46.02) and Intrinsic Value ($22.89). This valuation gap is exacerbated by negative YoY revenue (-11.80%) and earnings growth (-11.00%), suggesting the current price is driven by momentum rather than fundamentals. Despite strong recent price performance, the combination of a high PEG ratio (3.09) and declining growth metrics points to a significant correction risk.

Key Strengths

Strong Piotroski F-Score (7/9) indicating high financial health
Manageable Debt/Equity ratio of 0.65
Consistent earnings beat record (3 of last 4 quarters)
Positive ROE of 12.13% and ROA of 5.43%
Strong 5-year price appreciation (+167.6%)

Key Risks

Severe overvaluation relative to Graham Number and Intrinsic Value
Negative YoY revenue and earnings growth
Very low Quick Ratio (0.33) indicating high reliance on inventory liquidation
Thin profit margins (3.55%) leaving little room for operational error
High PEG ratio (3.09) indicating price is disconnected from growth
AI Fair Value Estimate
Based on comprehensive analysis
$42.5
-42.7% below current price

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