36.51 USD
-0.49 (-1.32%)
36.51 USD
0 (0%)
Taking everything into account, BBSI scores 5 out of 10 in our fundamental rating. BBSI was compared to 87 industry peers in the Professional Services industry. While BBSI has a great health rating, its profitability is only average at the moment. BBSI has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
BBSI had positive earnings in the past year.
In the past year BBSI had a positive cash flow from operations.
BBSI had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: BBSI reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.05%, BBSI is in the better half of the industry, outperforming 71.26% of the companies in the same industry.
With a decent Return On Equity value of 22.84%, BBSI is doing good in the industry, outperforming 73.56% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 12.83%, BBSI is in the better half of the industry, outperforming 78.16% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BBSI is in line with the industry average of 11.98%.
The 3 year average ROIC (11.91%) for BBSI is below the current ROIC(12.83%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.05% | ||
| ROE | 22.84% | ||
| ROIC | 12.83% |
ROA(3y)7%
ROA(5y)6.09%
ROE(3y)25.31%
ROE(5y)22.25%
ROIC(3y)11.91%
ROIC(5y)9.76%
1.3 Margins
BBSI has a Profit Margin of 4.48%. This is comparable to the rest of the industry: BBSI outperforms 58.62% of its industry peers.
BBSI's Profit Margin has declined in the last couple of years.
BBSI has a Operating Margin of 5.25%. This is comparable to the rest of the industry: BBSI outperforms 51.72% of its industry peers.
BBSI's Operating Margin has been stable in the last couple of years.
BBSI has a Gross Margin of 21.57%. This is in the lower half of the industry: BBSI underperforms 71.26% of its industry peers.
BBSI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.25% | ||
| PM (TTM) | 4.48% | ||
| GM | 21.57% |
OM growth 3Y4.34%
OM growth 5Y-0.51%
PM growth 3Y5.11%
PM growth 5Y-2.01%
GM growth 3Y1.1%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
BBSI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for BBSI has been reduced compared to 1 year ago.
BBSI has more shares outstanding than it did 5 years ago.
There is no outstanding debt for BBSI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 3.45 indicates that BBSI is not in any danger for bankruptcy at the moment.
The Altman-Z score of BBSI (3.45) is better than 66.67% of its industry peers.
There is no outstanding debt for BBSI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.45 |
ROIC/WACC1.46
WACC8.8%
2.3 Liquidity
BBSI has a Current Ratio of 1.27. This is a normal value and indicates that BBSI is financially healthy and should not expect problems in meeting its short term obligations.
BBSI has a Current ratio of 1.27. This is comparable to the rest of the industry: BBSI outperforms 40.23% of its industry peers.
BBSI has a Quick Ratio of 1.27. This is a normal value and indicates that BBSI is financially healthy and should not expect problems in meeting its short term obligations.
BBSI's Quick ratio of 1.27 is in line compared to the rest of the industry. BBSI outperforms 40.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.76% over the past year.
Measured over the past 5 years, BBSI shows a small growth in Earnings Per Share. The EPS has been growing by 4.90% on average per year.
Looking at the last year, BBSI shows a quite strong growth in Revenue. The Revenue has grown by 9.64% in the last year.
BBSI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.96% yearly.
EPS 1Y (TTM)9.76%
EPS 3Y16.67%
EPS 5Y4.9%
EPS Q2Q%6.76%
Revenue 1Y (TTM)9.64%
Revenue growth 3Y6.21%
Revenue growth 5Y3.96%
Sales Q2Q%8.38%
3.2 Future
BBSI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.29% yearly.
Based on estimates for the next years, BBSI will show a small growth in Revenue. The Revenue will grow by 7.57% on average per year.
EPS Next Y8.29%
EPS Next 2Y10.47%
EPS Next 3Y13.29%
EPS Next 5YN/A
Revenue Next Year9.6%
Revenue Next 2Y8.58%
Revenue Next 3Y7.57%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 17.55 indicates a rather expensive valuation of BBSI.
Based on the Price/Earnings ratio, BBSI is valued a bit cheaper than 66.67% of the companies in the same industry.
BBSI is valuated rather cheaply when we compare the Price/Earnings ratio to 26.38, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 15.07 indicates a correct valuation of BBSI.
Based on the Price/Forward Earnings ratio, BBSI is valued a bit cheaper than 66.67% of the companies in the same industry.
BBSI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.55 | ||
| Fwd PE | 15.07 |
4.2 Price Multiples
73.56% of the companies in the same industry are more expensive than BBSI, based on the Enterprise Value to EBITDA ratio.
BBSI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.96 | ||
| EV/EBITDA | 10.74 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BBSI does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as BBSI's earnings are expected to grow with 13.29% in the coming years.
PEG (NY)2.12
PEG (5Y)3.58
EPS Next 2Y10.47%
EPS Next 3Y13.29%
5. Dividend
5.1 Amount
BBSI has a yearly dividend return of 0.86%, which is pretty low.
The stock price of BBSI dropped by -20.85% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 1.55, BBSI pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.86, BBSI pays less dividend than the S&P500 average, which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
5.2 History
The dividend of BBSI decreases each year by -22.36%.
BBSI has paid a dividend for at least 10 years, which is a reliable track record.
BBSI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-22.36%
Div Incr Years1
Div Non Decr Years18
5.3 Sustainability
BBSI pays out 15.02% of its income as dividend. This is a sustainable payout ratio.
DP15.02%
EPS Next 2Y10.47%
EPS Next 3Y13.29%
36.51
-0.49 (-1.32%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners87.36%
Inst Owner Change6.88%
Ins Owners4.24%
Ins Owner Change1.12%
Market Cap935.39M
Revenue(TTM)1.22B
Net Income(TTM)54.85M
Analysts86
Price Target52.02 (42.48%)
Short Float %1.88%
Short Ratio2.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
Yearly Dividend0.31
Dividend Growth(5Y)-22.36%
DP15.02%
Div Incr Years1
Div Non Decr Years18
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.53%
Min EPS beat(2)-2.88%
Max EPS beat(2)-0.18%
EPS beat(4)2
Avg EPS beat(4)16.55%
Min EPS beat(4)-2.88%
Max EPS beat(4)69.24%
EPS beat(8)6
Avg EPS beat(8)22.8%
EPS beat(12)10
Avg EPS beat(12)36.55%
EPS beat(16)14
Avg EPS beat(16)38.99%
Revenue beat(2)1
Avg Revenue beat(2)-0.75%
Min Revenue beat(2)-2.06%
Max Revenue beat(2)0.56%
Revenue beat(4)3
Avg Revenue beat(4)0.15%
Min Revenue beat(4)-2.06%
Max Revenue beat(4)1.77%
Revenue beat(8)4
Avg Revenue beat(8)-0.78%
Revenue beat(12)4
Avg Revenue beat(12)-1.99%
Revenue beat(16)5
Avg Revenue beat(16)-1.68%
PT rev (1m)-0.97%
PT rev (3m)-0.97%
EPS NQ rev (1m)-5.86%
EPS NQ rev (3m)-8.87%
EPS NY rev (1m)-2.54%
EPS NY rev (3m)-1.4%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)6.4%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)-0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.55 | ||
| Fwd PE | 15.07 | ||
| P/S | 0.76 | ||
| P/FCF | 34.96 | ||
| P/OCF | 21.65 | ||
| P/B | 3.9 | ||
| P/tB | 4.86 | ||
| EV/EBITDA | 10.74 |
EPS(TTM)2.08
EY5.7%
EPS(NY)2.42
Fwd EY6.64%
FCF(TTM)1.04
FCFY2.86%
OCF(TTM)1.69
OCFY4.62%
SpS47.77
BVpS9.37
TBVpS7.51
PEG (NY)2.12
PEG (5Y)3.58
Graham Number20.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.05% | ||
| ROE | 22.84% | ||
| ROCE | 17.31% | ||
| ROIC | 12.83% | ||
| ROICexc | 18.21% | ||
| ROICexgc | 22.28% | ||
| OM | 5.25% | ||
| PM (TTM) | 4.48% | ||
| GM | 21.57% | ||
| FCFM | 2.19% |
ROA(3y)7%
ROA(5y)6.09%
ROE(3y)25.31%
ROE(5y)22.25%
ROIC(3y)11.91%
ROIC(5y)9.76%
ROICexc(3y)19.77%
ROICexc(5y)16.02%
ROICexgc(3y)25.28%
ROICexgc(5y)20.16%
ROCE(3y)16.08%
ROCE(5y)13.18%
ROICexgc growth 3Y10.93%
ROICexgc growth 5Y13.42%
ROICexc growth 3Y10.91%
ROICexc growth 5Y11.86%
OM growth 3Y4.34%
OM growth 5Y-0.51%
PM growth 3Y5.11%
PM growth 5Y-2.01%
GM growth 3Y1.1%
GM growth 5Y0.02%
F-Score6
Asset Turnover1.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 204.71% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 59.75% | ||
| Profit Quality | 48.78% | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | 3.45 |
F-Score6
WACC8.8%
ROIC/WACC1.46
Cap/Depr(3y)203.57%
Cap/Depr(5y)183.63%
Cap/Sales(3y)1.29%
Cap/Sales(5y)1.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.76%
EPS 3Y16.67%
EPS 5Y4.9%
EPS Q2Q%6.76%
EPS Next Y8.29%
EPS Next 2Y10.47%
EPS Next 3Y13.29%
EPS Next 5YN/A
Revenue 1Y (TTM)9.64%
Revenue growth 3Y6.21%
Revenue growth 5Y3.96%
Sales Q2Q%8.38%
Revenue Next Year9.6%
Revenue Next 2Y8.58%
Revenue Next 3Y7.57%
Revenue Next 5YN/A
EBIT growth 1Y12.03%
EBIT growth 3Y10.82%
EBIT growth 5Y3.44%
EBIT Next Year33.79%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-5.45%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y5.62%
OCF growth 3YN/A
OCF growth 5Y-33.42%
BARRETT BUSINESS SVCS INC / BBSI FAQ
What is the fundamental rating for BBSI stock?
ChartMill assigns a fundamental rating of 5 / 10 to BBSI.
What is the valuation status for BBSI stock?
ChartMill assigns a valuation rating of 4 / 10 to BARRETT BUSINESS SVCS INC (BBSI). This can be considered as Fairly Valued.
How profitable is BARRETT BUSINESS SVCS INC (BBSI) stock?
BARRETT BUSINESS SVCS INC (BBSI) has a profitability rating of 5 / 10.
What is the earnings growth outlook for BARRETT BUSINESS SVCS INC?
The Earnings per Share (EPS) of BARRETT BUSINESS SVCS INC (BBSI) is expected to grow by 8.29% in the next year.
How sustainable is the dividend of BARRETT BUSINESS SVCS INC (BBSI) stock?
The dividend rating of BARRETT BUSINESS SVCS INC (BBSI) is 5 / 10 and the dividend payout ratio is 15.02%.