BARCO N.V. (BAR.BR) Stock Fundamental Analysis
Europe - Euronext Brussels - EBR:BAR - BE0974362940 - Common Stock
11.86 EUR
+0.01 (+0.08%)
We assign a fundamental rating of 6 out of 10 to BAR. BAR was compared to 51 industry peers in the Electronic Equipment, Instruments & Components industry. While BAR has a great health rating, its profitability is only average at the moment. BAR is valued quite cheap, while showing a decent growth score. This is a good combination! Finally BAR also has an excellent dividend rating. These ratings could make BAR a good candidate for value and dividend investing.
1. Profitability
1.1 Basic Checks
- In the past year BAR was profitable.
- In the past year BAR had a positive cash flow from operations.
- Of the past 5 years BAR 4 years were profitable.
- BAR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- BAR has a better Return On Assets (7.10%) than 90.20% of its industry peers.
- BAR has a better Return On Equity (11.09%) than 76.47% of its industry peers.
- The Return On Invested Capital of BAR (7.42%) is better than 74.51% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for BAR is in line with the industry average of 7.51%.
- The 3 year average ROIC (7.25%) for BAR is below the current ROIC(7.42%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.1% | ||
| ROE | 11.09% | ||
| ROIC | 7.42% |
ROA(3y)6.2%
ROA(5y)3.79%
ROE(3y)9.3%
ROE(5y)5.7%
ROIC(3y)7.25%
ROIC(5y)4.83%
1.3 Margins
- BAR's Profit Margin of 7.99% is amongst the best of the industry. BAR outperforms 84.31% of its industry peers.
- In the last couple of years the Profit Margin of BAR has declined.
- BAR's Operating Margin of 7.95% is fine compared to the rest of the industry. BAR outperforms 76.47% of its industry peers.
- In the last couple of years the Operating Margin of BAR has declined.
- The Gross Margin of BAR (40.80%) is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of BAR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.95% | ||
| PM (TTM) | 7.99% | ||
| GM | 40.8% |
OM growth 3Y51.51%
OM growth 5Y-8.88%
PM growth 3Y81.95%
PM growth 5Y-5.47%
GM growth 3Y4.44%
GM growth 5Y0.53%
2. Health
2.1 Basic Checks
- BAR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- BAR has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, BAR has more shares outstanding
- Compared to 1 year ago, BAR has a worse debt to assets ratio.
2.2 Solvency
- BAR has an Altman-Z score of 4.07. This indicates that BAR is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.07, BAR is in the better half of the industry, outperforming 78.43% of the companies in the same industry.
- BAR has a debt to FCF ratio of 0.83. This is a very positive value and a sign of high solvency as it would only need 0.83 years to pay back of all of its debts.
- BAR's Debt to FCF ratio of 0.83 is amongst the best of the industry. BAR outperforms 90.20% of its industry peers.
- BAR has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
- BAR has a Debt to Equity ratio of 0.11. This is in the better half of the industry: BAR outperforms 74.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.83 | ||
| Altman-Z | 4.07 |
ROIC/WACC0.97
WACC7.67%
2.3 Liquidity
- A Current Ratio of 2.49 indicates that BAR has no problem at all paying its short term obligations.
- BAR has a better Current ratio (2.49) than 86.27% of its industry peers.
- BAR has a Quick Ratio of 1.74. This is a normal value and indicates that BAR is financially healthy and should not expect problems in meeting its short term obligations.
- BAR has a better Quick ratio (1.74) than 88.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.49 | ||
| Quick Ratio | 1.74 |
3. Growth
3.1 Past
- BAR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.81%, which is quite impressive.
- BAR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -8.09% yearly.
- Looking at the last year, BAR shows a small growth in Revenue. The Revenue has grown by 0.28% in the last year.
- BAR shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.65% yearly.
EPS 1Y (TTM)42.81%
EPS 3Y91.91%
EPS 5Y-8.09%
EPS Q2Q%170%
Revenue 1Y (TTM)0.28%
Revenue growth 3Y5.58%
Revenue growth 5Y-2.65%
Sales Q2Q%4.58%
3.2 Future
- The Earnings Per Share is expected to grow by 16.52% on average over the next years. This is quite good.
- BAR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.17% yearly.
EPS Next Y37.93%
EPS Next 2Y23.99%
EPS Next 3Y19.62%
EPS Next 5Y16.52%
Revenue Next Year2.68%
Revenue Next 2Y3.2%
Revenue Next 3Y3.44%
Revenue Next 5Y5.17%
3.3 Evolution
- 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.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 13.48, BAR is valued correctly.
- Based on the Price/Earnings ratio, BAR is valued cheaply inside the industry as 88.24% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, BAR is valued rather cheaply.
- A Price/Forward Earnings ratio of 12.49 indicates a correct valuation of BAR.
- Based on the Price/Forward Earnings ratio, BAR is valued a bit cheaper than the industry average as 70.59% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, BAR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.48 | ||
| Fwd PE | 12.49 |
4.2 Price Multiples
- 72.55% of the companies in the same industry are more expensive than BAR, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, BAR is valued a bit cheaper than the industry average as 70.59% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.2 | ||
| EV/EBITDA | 7.29 |
4.3 Compensation for Growth
- BAR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of BAR may justify a higher PE ratio.
- BAR's earnings are expected to grow with 19.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.36
PEG (5Y)N/A
EPS Next 2Y23.99%
EPS Next 3Y19.62%
5. Dividend
5.1 Amount
- BAR has a Yearly Dividend Yield of 3.00%. Purely for dividend investing, there may be better candidates out there.
- BAR's Dividend Yield is a higher than the industry average which is at 1.56.
- Compared to an average S&P500 Dividend Yield of 1.81, BAR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3% |
5.2 History
- The dividend of BAR is nicely growing with an annual growth rate of 7.79%!
Dividend Growth(5Y)7.79%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
- 57.24% of the earnings are spent on dividend by BAR. This is a bit on the high side, but may be sustainable.
- The dividend of BAR is growing, but earnings are growing more, so the dividend growth is sustainable.
DP57.24%
EPS Next 2Y23.99%
EPS Next 3Y19.62%
BARCO N.V. / BAR.BR FAQ
Can you provide the ChartMill fundamental rating for BARCO N.V.?
ChartMill assigns a fundamental rating of 6 / 10 to BAR.BR.
Can you provide the valuation status for BARCO N.V.?
ChartMill assigns a valuation rating of 7 / 10 to BARCO N.V. (BAR.BR). This can be considered as Undervalued.
Can you provide the profitability details for BARCO N.V.?
BARCO N.V. (BAR.BR) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for BAR stock?
The Price/Earnings (PE) ratio for BARCO N.V. (BAR.BR) is 13.48 and the Price/Book (PB) ratio is 1.58.
How financially healthy is BARCO N.V.?
The financial health rating of BARCO N.V. (BAR.BR) is 7 / 10.