BRUNSWICK CORP (BC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BC - US1170431092 - Common Stock
85.92 USD
-1.65 (-1.88%)
85.92 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to BC. BC was compared to 31 industry peers in the Leisure Products industry. BC has a medium profitability rating, but doesn't score so well on its financial health evaluation. BC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year BC was profitable.
In the past year BC had a positive cash flow from operations.
BC had positive earnings in each of the past 5 years.
In the past 5 years BC always reported a positive cash flow from operatings.
1.2 Ratios
BC's Return On Assets of -4.41% is in line compared to the rest of the industry. BC outperforms 45.16% of its industry peers.
BC's Return On Equity of -14.60% is in line compared to the rest of the industry. BC outperforms 41.94% of its industry peers.
BC has a better Return On Invested Capital (4.96%) than 64.52% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BC is above the industry average of 7.35%.
The 3 year average ROIC (11.29%) for BC is well above the current ROIC(4.96%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.41% | ||
| ROE | -14.6% | ||
| ROIC | 4.96% |
ROA(3y)6.58%
ROA(5y)8.11%
ROE(3y)20.05%
ROE(5y)23.17%
ROIC(3y)11.29%
ROIC(5y)12.56%
1.3 Margins
In the last couple of years the Profit Margin of BC has declined.
The Operating Margin of BC (5.65%) is better than 70.97% of its industry peers.
In the last couple of years the Operating Margin of BC has declined.
BC's Gross Margin of 24.65% is on the low side compared to the rest of the industry. BC is outperformed by 61.29% of its industry peers.
In the last couple of years the Gross Margin of BC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.65% | ||
| PM (TTM) | N/A | ||
| GM | 24.65% |
OM growth 3Y-15.92%
OM growth 5Y-7.05%
PM growth 3Y-37.44%
PM growth 5YN/A
GM growth 3Y-2.7%
GM growth 5Y-0.86%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BC is creating some value.
BC has less shares outstanding than it did 1 year ago.
The number of shares outstanding for BC has been reduced compared to 5 years ago.
The debt/assets ratio for BC is higher compared to a year ago.
2.2 Solvency
BC has a debt to FCF ratio of 3.72. This is a good value and a sign of high solvency as BC would need 3.72 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.72, BC is in the better half of the industry, outperforming 70.97% of the companies in the same industry.
BC has a Debt/Equity ratio of 1.28. This is a high value indicating a heavy dependency on external financing.
BC has a Debt to Equity ratio of 1.28. This is in the lower half of the industry: BC underperforms 70.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | 3.72 | ||
| Altman-Z | N/A |
ROIC/WACC0.54
WACC9.14%
2.3 Liquidity
BC has a Current Ratio of 1.78. This is a normal value and indicates that BC is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.78, BC perfoms like the industry average, outperforming 41.94% of the companies in the same industry.
BC has a Quick Ratio of 1.78. This is a bad value and indicates that BC is not financially healthy enough and could expect problems in meeting its short term obligations.
BC has a worse Quick ratio (0.73) than 70.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
The earnings per share for BC have decreased strongly by -49.22% in the last year.
The Earnings Per Share has been growing slightly by 1.13% on average over the past years.
The Revenue has decreased by -4.78% in the past year.
The Revenue has been growing slightly by 4.97% on average over the past years.
EPS 1Y (TTM)-49.22%
EPS 3Y-18%
EPS 5Y1.13%
EPS Q2Q%-17.09%
Revenue 1Y (TTM)-4.78%
Revenue growth 3Y-3.6%
Revenue growth 5Y4.97%
Sales Q2Q%6.82%
3.2 Future
BC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.83% yearly.
Based on estimates for the next years, BC will show a small growth in Revenue. The Revenue will grow by 4.51% on average per year.
EPS Next Y-26.57%
EPS Next 2Y-3.25%
EPS Next 3Y5.65%
EPS Next 5Y14.83%
Revenue Next Year1.74%
Revenue Next 2Y3.63%
Revenue Next 3Y4.36%
Revenue Next 5Y4.51%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 29.32, BC can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of BC is on the same level as its industry peers.
BC's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.25.
A Price/Forward Earnings ratio of 20.13 indicates a rather expensive valuation of BC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BC indicates a somewhat cheap valuation: BC is cheaper than 67.74% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of BC to the average of the S&P500 Index (23.98), we can say BC is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.32 | ||
| Fwd PE | 20.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BC is valued a bit cheaper than 64.52% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BC is valued cheaper than 90.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.49 | ||
| EV/EBITDA | 12.94 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)25.86
EPS Next 2Y-3.25%
EPS Next 3Y5.65%
5. Dividend
5.1 Amount
BC has a Yearly Dividend Yield of 1.98%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.24, BC pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.92, BC has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.98% |
5.2 History
On average, the dividend of BC grows each year by 13.66%, which is quite nice.
BC has been paying a dividend for at least 10 years, so it has a reliable track record.
BC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)13.66%
Div Incr Years12
Div Non Decr Years16
5.3 Sustainability
BC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The dividend of BC is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP-47.09%
EPS Next 2Y-3.25%
EPS Next 3Y5.65%
85.92
-1.65 (-1.88%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners110.83%
Inst Owner Change-0.04%
Ins Owners0.94%
Ins Owner Change0.55%
Market Cap5.59B
Revenue(TTM)5.18B
Net Income(TTM)-238.50M
Analysts75.71
Price Target77.59 (-9.7%)
Short Float %4.57%
Short Ratio3.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.98% |
Yearly Dividend1.67
Dividend Growth(5Y)13.66%
DP-47.09%
Div Incr Years12
Div Non Decr Years16
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.81%
Min EPS beat(2)10.64%
Max EPS beat(2)18.98%
EPS beat(4)4
Avg EPS beat(4)44.16%
Min EPS beat(4)10.1%
Max EPS beat(4)136.9%
EPS beat(8)4
Avg EPS beat(8)18.17%
EPS beat(12)5
Avg EPS beat(12)11.62%
EPS beat(16)8
Avg EPS beat(16)9.25%
Revenue beat(2)2
Avg Revenue beat(2)8.79%
Min Revenue beat(2)4.71%
Max Revenue beat(2)12.87%
Revenue beat(4)4
Avg Revenue beat(4)7.27%
Min Revenue beat(4)4.71%
Max Revenue beat(4)12.87%
Revenue beat(8)4
Avg Revenue beat(8)0.51%
Revenue beat(12)4
Avg Revenue beat(12)-1.51%
Revenue beat(16)6
Avg Revenue beat(16)-1.59%
PT rev (1m)2.18%
PT rev (3m)12.65%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)-14.41%
EPS NY rev (1m)0%
EPS NY rev (3m)0.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.51%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)1.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.32 | ||
| Fwd PE | 20.13 | ||
| P/S | 1.08 | ||
| P/FCF | 9.49 | ||
| P/OCF | 7.6 | ||
| P/B | 3.42 | ||
| P/tB | 63.57 | ||
| EV/EBITDA | 12.94 |
EPS(TTM)2.93
EY3.41%
EPS(NY)4.27
Fwd EY4.97%
FCF(TTM)9.05
FCFY10.54%
OCF(TTM)11.31
OCFY13.16%
SpS79.7
BVpS25.12
TBVpS1.35
PEG (NY)N/A
PEG (5Y)25.86
Graham Number40.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.41% | ||
| ROE | -14.6% | ||
| ROCE | 6.97% | ||
| ROIC | 4.96% | ||
| ROICexc | 5.34% | ||
| ROICexgc | 8.84% | ||
| OM | 5.65% | ||
| PM (TTM) | N/A | ||
| GM | 24.65% | ||
| FCFM | 11.36% |
ROA(3y)6.58%
ROA(5y)8.11%
ROE(3y)20.05%
ROE(5y)23.17%
ROIC(3y)11.29%
ROIC(5y)12.56%
ROICexc(3y)12.61%
ROICexc(5y)14.42%
ROICexgc(3y)24.11%
ROICexgc(5y)28.09%
ROCE(3y)15.87%
ROCE(5y)17.66%
ROICexgc growth 3Y-26.29%
ROICexgc growth 5Y-12.51%
ROICexc growth 3Y-22.36%
ROICexc growth 5Y-13.21%
OM growth 3Y-15.92%
OM growth 5Y-7.05%
PM growth 3Y-37.44%
PM growth 5YN/A
GM growth 3Y-2.7%
GM growth 5Y-0.86%
F-Score5
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | 3.72 | ||
| Debt/EBITDA | 3.58 | ||
| Cap/Depr | 49.98% | ||
| Cap/Sales | 2.83% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 125.44% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | N/A |
F-Score5
WACC9.14%
ROIC/WACC0.54
Cap/Depr(3y)110.64%
Cap/Depr(5y)120.16%
Cap/Sales(3y)4.47%
Cap/Sales(5y)4.44%
Profit Quality(3y)112.61%
Profit Quality(5y)110.96%
High Growth Momentum
Growth
EPS 1Y (TTM)-49.22%
EPS 3Y-18%
EPS 5Y1.13%
EPS Q2Q%-17.09%
EPS Next Y-26.57%
EPS Next 2Y-3.25%
EPS Next 3Y5.65%
EPS Next 5Y14.83%
Revenue 1Y (TTM)-4.78%
Revenue growth 3Y-3.6%
Revenue growth 5Y4.97%
Sales Q2Q%6.82%
Revenue Next Year1.74%
Revenue Next 2Y3.63%
Revenue Next 3Y4.36%
Revenue Next 5Y4.51%
EBIT growth 1Y-44.16%
EBIT growth 3Y-18.95%
EBIT growth 5Y-2.43%
EBIT Next Year29.1%
EBIT Next 3Y17.34%
EBIT Next 5Y15.06%
FCF growth 1Y46.14%
FCF growth 3Y-4.9%
FCF growth 5Y5.54%
OCF growth 1Y1.46%
OCF growth 3Y-9.08%
OCF growth 5Y-0.13%
BRUNSWICK CORP / BC FAQ
What is the fundamental rating for BC stock?
ChartMill assigns a fundamental rating of 4 / 10 to BC.
What is the valuation status of BRUNSWICK CORP (BC) stock?
ChartMill assigns a valuation rating of 4 / 10 to BRUNSWICK CORP (BC). This can be considered as Fairly Valued.
How profitable is BRUNSWICK CORP (BC) stock?
BRUNSWICK CORP (BC) has a profitability rating of 5 / 10.
What is the valuation of BRUNSWICK CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for BRUNSWICK CORP (BC) is 29.32 and the Price/Book (PB) ratio is 3.42.
What is the financial health of BRUNSWICK CORP (BC) stock?
The financial health rating of BRUNSWICK CORP (BC) is 3 / 10.