NASDAQ:BLBD is a prime example of a stock that offers more than what meets the eye in terms of fundamentals.

Last update: Nov 13, 2024

Our stock screener has singled out BLUE BIRD CORP (NASDAQ:BLBD) as a stellar value proposition. NASDAQ:BLBD not only scores well in profitability, solvency, and liquidity but also maintains a very reasonable price point. We'll explore this further.

Valuation Insights: NASDAQ:BLBD

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NASDAQ:BLBD has earned a 8 for valuation:

Based on the Price/Earnings ratio, BLBD is valued cheaply inside the industry as 87.40% of the companies are valued more expensively.
BLBD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.12.
Based on the Price/Forward Earnings ratio of 10.81, the valuation of BLBD can be described as reasonable.
Based on the Price/Forward Earnings ratio, BLBD is valued cheaply inside the industry as 92.13% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of BLBD to the average of the S&P500 Index (23.79), we can say BLBD is valued rather cheaply.
84.25% of the companies in the same industry are more expensive than BLBD, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, BLBD is valued cheaply inside the industry as 83.46% of the companies are valued more expensively.
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as BLBD's earnings are expected to grow with 60.39% in the coming years.

Understanding NASDAQ:BLBD's Profitability

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NASDAQ:BLBD, the assigned 5 is a significant indicator of profitability:

BLBD's Return On Assets of 21.26% is amongst the best of the industry. BLBD outperforms 99.21% of its industry peers.
BLBD has a Return On Equity of 72.48%. This is amongst the best in the industry. BLBD outperforms 98.43% of its industry peers.
BLBD has a Return On Invested Capital of 34.50%. This is amongst the best in the industry. BLBD outperforms 99.21% of its industry peers.
BLBD's Profit Margin of 7.65% is fine compared to the rest of the industry. BLBD outperforms 62.99% of its industry peers.
In the last couple of years the Operating Margin of BLBD has grown nicely.

What does the Health looks like for NASDAQ:BLBD

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NASDAQ:BLBD, the assigned 6 reflects its health status:

BLBD has an Altman-Z score of 6.45. This indicates that BLBD is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 6.45, BLBD belongs to the best of the industry, outperforming 83.46% of the companies in the same industry.
BLBD has a debt to FCF ratio of 1.23. This is a very positive value and a sign of high solvency as it would only need 1.23 years to pay back of all of its debts.
BLBD has a better Debt to FCF ratio (1.23) than 88.19% of its industry peers.
Even though the debt/equity ratio score it not favorable for BLBD, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.

How do we evaluate the Growth for NASDAQ:BLBD?

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NASDAQ:BLBD boasts a 6 out of 10:

BLBD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1448.00%, which is quite impressive.
The Revenue has grown by 19.53% in the past year. This is quite good.
Based on estimates for the next years, BLBD will show a very strong growth in Earnings Per Share. The EPS will grow by 60.39% on average per year.
BLBD is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.23% yearly.
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Our Decent Value screener lists more Decent Value stocks and is updated daily.

Our latest full fundamental report of BLBD contains the most current fundamental analsysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.