BOMBARDIER INC-B (BBD-B.CA) Stock Fundamental Analysis
TSX:BBD-B - Toronto Stock Exchange - CA0977518616 - Common Stock - Currency: CAD
Overall BBD-B gets a fundamental rating of 3 out of 10. We evaluated BBD-B against 11 industry peers in the Aerospace & Defense industry. There are concerns on the financial health of BBD-B while its profitability can be described as average. BBD-B has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year BBD-B was profitable.
BBD-B had a positive operating cash flow in the past year.
In multiple years BBD-B reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: BBD-B reported negative operating cash flow in multiple years.
1.2 Ratios
With a decent Return On Assets value of 2.68%, BBD-B is doing good in the industry, outperforming 63.64% of the companies in the same industry.
With a decent Return On Invested Capital value of 9.88%, BBD-B is doing good in the industry, outperforming 72.73% of the companies in the same industry.
BBD-B had an Average Return On Invested Capital over the past 3 years of 8.03%. This is in line with the industry average of 7.49%.
The 3 year average ROIC (8.03%) for BBD-B is below the current ROIC(9.88%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.68% | ||
| ROE | N/A | ||
| ROIC | 9.88% |
ROA(3y)1.52%
ROA(5y)8%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)8.03%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of BBD-B (3.91%) is comparable to the rest of the industry.
BBD-B's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 10.92%, BBD-B perfoms like the industry average, outperforming 54.55% of the companies in the same industry.
In the last couple of years the Operating Margin of BBD-B has grown nicely.
BBD-B has a worse Gross Margin (20.60%) than 63.64% of its industry peers.
BBD-B's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.92% | ||
| PM (TTM) | 3.91% | ||
| GM | 20.6% |
OM growth 3Y42.21%
OM growth 5Y20.26%
PM growth 3Y-63.79%
PM growth 5YN/A
GM growth 3Y10.7%
GM growth 5Y8.18%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BBD-B is creating some value.
Compared to 1 year ago, BBD-B has more shares outstanding
Compared to 5 years ago, BBD-B has less shares outstanding
BBD-B has a better debt/assets ratio than last year.
2.2 Solvency
BBD-B has an Altman-Z score of 0.64. This is a bad value and indicates that BBD-B is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of BBD-B (0.64) is comparable to the rest of the industry.
The Debt to FCF ratio of BBD-B is 23.90, which is on the high side as it means it would take BBD-B, 23.90 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BBD-B (23.90) is worse than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 23.9 | ||
| Altman-Z | 0.64 |
ROIC/WACC1.17
WACC8.46%
2.3 Liquidity
BBD-B has a Current Ratio of 1.10. This is a normal value and indicates that BBD-B is financially healthy and should not expect problems in meeting its short term obligations.
BBD-B has a Current ratio of 1.10. This is comparable to the rest of the industry: BBD-B outperforms 45.45% of its industry peers.
A Quick Ratio of 0.40 indicates that BBD-B may have some problems paying its short term obligations.
BBD-B has a Quick ratio of 0.40. This is amonst the worse of the industry: BBD-B underperforms 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.4 |
3. Growth
3.1 Past
BBD-B shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.74%.
The earnings per share for BBD-B have been decreasing by -59.76% on average. This is quite bad
BBD-B shows a small growth in Revenue. In the last year, the Revenue has grown by 7.69%.
The Revenue has been growing slightly by 2.96% on average over the past years.
EPS 1Y (TTM)-19.74%
EPS 3Y-59.76%
EPS 5YN/A
EPS Q2Q%-46.36%
Revenue 1Y (TTM)7.69%
Revenue growth 3Y12.5%
Revenue growth 5Y2.96%
Sales Q2Q%1.5%
3.2 Future
The Earnings Per Share is expected to grow by 28.55% on average over the next years. This is a very strong growth
BBD-B is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.09% yearly.
EPS Next Y51.97%
EPS Next 2Y34.32%
EPS Next 3Y28.55%
EPS Next 5YN/A
Revenue Next Year4.15%
Revenue Next 2Y3.67%
Revenue Next 3Y3.09%
Revenue Next 5YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
BBD-B is valuated rather expensively with a Price/Earnings ratio of 18.49.
Compared to the rest of the industry, the Price/Earnings ratio of BBD-B indicates a somewhat cheap valuation: BBD-B is cheaper than 72.73% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of BBD-B to the average of the S&P500 Index (29.63), we can say BBD-B is valued slightly cheaper.
A Price/Forward Earnings ratio of 9.58 indicates a reasonable valuation of BBD-B.
72.73% of the companies in the same industry are more expensive than BBD-B, based on the Price/Forward Earnings ratio.
BBD-B is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.49 | ||
| Fwd PE | 9.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BBD-B is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
The rest of the industry has a similar Price/Free Cash Flow ratio as BBD-B.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.9 | ||
| EV/EBITDA | 7.23 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
BBD-B's earnings are expected to grow with 28.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.36
PEG (5Y)N/A
EPS Next 2Y34.32%
EPS Next 3Y28.55%
5. Dividend
5.1 Amount
No dividends for BBD-B!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:BBD-B (2/21/2025, 7:00:00 PM)
88.58
-1.41 (-1.57%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners31.25%
Inst Owner ChangeN/A
Ins Owners0.17%
Ins Owner ChangeN/A
Market Cap8.86B
Analysts80
Price Target115.94 (30.89%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.22
Dividend Growth(5Y)92.86%
DP6.49%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)3.38%
Min Revenue beat(2)-5.85%
Max Revenue beat(2)12.6%
Revenue beat(4)2
Avg Revenue beat(4)1.46%
Min Revenue beat(4)-16.05%
Max Revenue beat(4)15.16%
Revenue beat(8)4
Avg Revenue beat(8)1.1%
Revenue beat(12)5
Avg Revenue beat(12)-1.43%
Revenue beat(16)8
Avg Revenue beat(16)-0.07%
PT rev (1m)-5.07%
PT rev (3m)-3.51%
EPS NQ rev (1m)3.31%
EPS NQ rev (3m)-9.25%
EPS NY rev (1m)-5.67%
EPS NY rev (3m)-5.6%
Revenue NQ rev (1m)-0.74%
Revenue NQ rev (3m)-8.72%
Revenue NY rev (1m)-2.24%
Revenue NY rev (3m)-0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.49 | ||
| Fwd PE | 9.58 | ||
| P/S | 0.72 | ||
| P/FCF | 26.9 | ||
| P/OCF | 15.41 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.23 |
EPS(TTM)4.79
EY5.41%
EPS(NY)9.24
Fwd EY10.44%
FCF(TTM)3.29
FCFY3.72%
OCF(TTM)5.75
OCFY6.49%
SpS122.98
BVpS-28.26
TBVpS-75.44
PEG (NY)0.36
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.68% | ||
| ROE | N/A | ||
| ROCE | 13.72% | ||
| ROIC | 9.88% | ||
| ROICexc | 13.07% | ||
| ROICexgc | 36.08% | ||
| OM | 10.92% | ||
| PM (TTM) | 3.91% | ||
| GM | 20.6% | ||
| FCFM | 2.68% |
ROA(3y)1.52%
ROA(5y)8%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)8.03%
ROIC(5y)N/A
ROICexc(3y)10.74%
ROICexc(5y)N/A
ROICexgc(3y)37.07%
ROICexgc(5y)N/A
ROCE(3y)11.15%
ROCE(5y)N/A
ROICexcg growth 3Y66.19%
ROICexcg growth 5Y-15.41%
ROICexc growth 3Y69.93%
ROICexc growth 5Y30.71%
OM growth 3Y42.21%
OM growth 5Y20.26%
PM growth 3Y-63.79%
PM growth 5YN/A
GM growth 3Y10.7%
GM growth 5Y8.18%
F-Score8
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 23.9 | ||
| Debt/EBITDA | 3.77 | ||
| Cap/Depr | 38.88% | ||
| Cap/Sales | 2% | ||
| Interest Coverage | 2.22 | ||
| Cash Conversion | 29.12% | ||
| Profit Quality | 68.44% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.4 | ||
| Altman-Z | 0.64 |
F-Score8
WACC8.46%
ROIC/WACC1.17
Cap/Depr(3y)69.78%
Cap/Depr(5y)67.51%
Cap/Sales(3y)3.89%
Cap/Sales(5y)4.24%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.74%
EPS 3Y-59.76%
EPS 5YN/A
EPS Q2Q%-46.36%
EPS Next Y51.97%
EPS Next 2Y34.32%
EPS Next 3Y28.55%
EPS Next 5YN/A
Revenue 1Y (TTM)7.69%
Revenue growth 3Y12.5%
Revenue growth 5Y2.96%
Sales Q2Q%1.5%
Revenue Next Year4.15%
Revenue Next 2Y3.67%
Revenue Next 3Y3.09%
Revenue Next 5YN/A
EBIT growth 1Y16.65%
EBIT growth 3Y59.99%
EBIT growth 5Y23.82%
EBIT Next Year82.77%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-9.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-34.99%
OCF growth 3YN/A
OCF growth 5YN/A