36.78 USD
-0.12 (-0.33%)
36.78 USD
0 (0%)
BBSI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 86 industry peers in the Professional Services industry. BBSI has an excellent financial health rating, but there are some minor concerns on its profitability. BBSI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
BBSI had positive earnings in the past year.
BBSI had a positive operating cash flow in the past year.
Each year in the past 5 years BBSI has been profitable.
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
With a decent Return On Assets value of 7.05%, BBSI is doing good in the industry, outperforming 70.93% of the companies in the same industry.
BBSI has a Return On Equity of 22.84%. This is in the better half of the industry: BBSI outperforms 73.26% of its industry peers.
BBSI has a Return On Invested Capital of 12.83%. This is in the better half of the industry: BBSI outperforms 77.91% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BBSI is in line with the industry average of 12.04%.
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
Looking at the Profit Margin, with a value of 4.48%, BBSI is in line with its industry, outperforming 58.14% of the companies in the same industry.
BBSI's Profit Margin has declined in the last couple of years.
BBSI has a Operating Margin (5.25%) which is in line with its industry peers.
In the last couple of years the Operating Margin of BBSI has remained more or less at the same level.
Looking at the Gross Margin, with a value of 21.57%, BBSI is doing worse than 70.93% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BBSI is still creating some value.
The number of shares outstanding for BBSI has been reduced compared to 1 year ago.
Compared to 5 years ago, BBSI has more shares outstanding
BBSI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 3.44 indicates that BBSI is not in any danger for bankruptcy at the moment.
BBSI has a better Altman-Z score (3.44) than 66.28% 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 | 3.44 |
ROIC/WACC1.46
WACC8.76%
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 (1.27) which is comparable to the rest of the industry.
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 has a Quick ratio of 1.27. This is comparable to the rest of the industry: BBSI outperforms 40.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
BBSI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.76%, which is quite good.
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.
BBSI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.64%.
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
Based on estimates for the next years, BBSI will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.29% on average per year.
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
The Price/Earnings ratio is 17.68, which indicates a rather expensive current valuation of BBSI.
Based on the Price/Earnings ratio, BBSI is valued a bit cheaper than the industry average as 66.28% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.77. BBSI is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 15.18, the valuation of BBSI can be described as correct.
Based on the Price/Forward Earnings ratio, BBSI is valued a bit cheaper than 67.44% of the companies in the same industry.
BBSI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.68 | ||
| Fwd PE | 15.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BBSI is valued a bit cheaper than 74.42% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as BBSI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.22 | ||
| EV/EBITDA | 10.66 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
BBSI's earnings are expected to grow with 13.29% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.13
PEG (5Y)3.61
EPS Next 2Y10.47%
EPS Next 3Y13.29%
5. Dividend
5.1 Amount
BBSI has a yearly dividend return of 0.89%, which is pretty low.
Compared to an average industry Dividend Yield of 1.58, BBSI pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.89, BBSI pays less dividend than the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
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
15.02% of the earnings are spent on dividend by BBSI. This is a low number and sustainable payout ratio.
DP15.02%
EPS Next 2Y10.47%
EPS Next 3Y13.29%
36.78
-0.12 (-0.33%)
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 Cap942.30M
Revenue(TTM)1.22B
Net Income(TTM)54.85M
Analysts86
Price Target52.02 (41.44%)
Short Float %2.09%
Short Ratio2.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
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)-1.45%
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)-2.54%
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 | 17.68 | ||
| Fwd PE | 15.18 | ||
| P/S | 0.77 | ||
| P/FCF | 35.22 | ||
| P/OCF | 21.81 | ||
| P/B | 3.92 | ||
| P/tB | 4.9 | ||
| EV/EBITDA | 10.66 |
EPS(TTM)2.08
EY5.66%
EPS(NY)2.42
Fwd EY6.59%
FCF(TTM)1.04
FCFY2.84%
OCF(TTM)1.69
OCFY4.58%
SpS47.77
BVpS9.37
TBVpS7.51
PEG (NY)2.13
PEG (5Y)3.61
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 | 3.44 |
F-Score6
WACC8.76%
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%.