BRUNSWICK CORP (BC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BC - US1170431092 - Common Stock
75.48 USD
-0.61 (-0.8%)
75.48 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. There are concerns on the financial health of BC while its profitability can be described as average. BC has a correct valuation and a medium growth rate.
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.
In the past 5 years BC has always been profitable.
Each year in the past 5 years BC had a positive operating cash flow.
1.2 Ratios
BC has a Return On Assets (-4.41%) which is comparable to the rest of the industry.
BC has a Return On Equity of -14.60%. This is in the lower half of the industry: BC underperforms 61.29% of its industry peers.
BC has a better Return On Invested Capital (4.96%) than 64.52% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BC is above the industry average of 7.16%.
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.
BC has a better Operating Margin (5.65%) than 70.97% of its industry peers.
In the last couple of years the Operating Margin of BC has declined.
BC has a Gross Margin of 24.65%. This is in the lower half of the industry: BC underperforms 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
BC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it 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.
Compared to 1 year ago, BC has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of BC is 3.72, which is a good value as it means it would take BC, 3.72 years of fcf income to pay off all of its debts.
BC has a better Debt to FCF ratio (3.72) than 70.97% of its industry peers.
A Debt/Equity ratio of 1.28 is on the high side and indicates that BC has dependencies on debt financing.
BC has a worse Debt to Equity ratio (1.28) than 74.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | 3.72 | ||
| Altman-Z | N/A |
ROIC/WACC0.49
WACC10.16%
2.3 Liquidity
A Current Ratio of 1.78 indicates that BC should not have too much problems paying its short term obligations.
The Current ratio of BC (1.78) is comparable to the rest of the industry.
A Quick Ratio of 0.73 indicates that BC may have some problems paying 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.
BC shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.13% yearly.
BC shows a decrease in Revenue. In the last year, the revenue decreased by -4.78%.
BC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.97% yearly.
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
The Price/Earnings ratio is 25.76, which means the current valuation is very expensive for BC.
BC's Price/Earnings ratio is in line with the industry average.
BC is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 17.68, the valuation of BC can be described as rather expensive.
Based on the Price/Forward Earnings ratio, BC is valued a bit cheaper than 67.74% of the companies in the same industry.
BC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.76 | ||
| Fwd PE | 17.68 |
4.2 Price Multiples
BC's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BC is cheaper than 70.97% 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 | 8.34 | ||
| EV/EBITDA | 11.67 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)22.72
EPS Next 2Y-3.25%
EPS Next 3Y5.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.26%, BC has a reasonable but not impressive dividend return.
BC's Dividend Yield is a higher than the industry average which is at 1.34.
Compared to an average S&P500 Dividend Yield of 2.00, BC has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.26% |
5.2 History
The dividend of BC is nicely growing with an annual growth rate of 13.66%!
BC has paid a dividend for at least 10 years, which is a reliable track record.
BC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)13.66%
Div Incr Years12
Div Non Decr Years16
5.3 Sustainability
The earnings of BC are negative and hence is the payout ratio. BC will probably not be able to sustain this dividend level.
BC's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP-47.09%
EPS Next 2Y-3.25%
EPS Next 3Y5.65%
75.48
-0.61 (-0.8%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners111.04%
Inst Owner Change-0.15%
Ins Owners0.94%
Ins Owner Change0.54%
Market Cap4.91B
Revenue(TTM)5.18B
Net Income(TTM)-238.50M
Analysts75.56
Price Target77.59 (2.8%)
Short Float %4.83%
Short Ratio3.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.26% |
Yearly Dividend1.67
Dividend Growth(5Y)13.66%
DP-47.09%
Div Incr Years12
Div Non Decr Years16
Ex-Date
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)-14.24%
EPS NY rev (1m)-0.08%
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)1.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.76 | ||
| Fwd PE | 17.68 | ||
| P/S | 0.95 | ||
| P/FCF | 8.34 | ||
| P/OCF | 6.67 | ||
| P/B | 3 | ||
| P/tB | 55.85 | ||
| EV/EBITDA | 11.67 |
EPS(TTM)2.93
EY3.88%
EPS(NY)4.27
Fwd EY5.65%
FCF(TTM)9.05
FCFY11.99%
OCF(TTM)11.31
OCFY14.98%
SpS79.7
BVpS25.12
TBVpS1.35
PEG (NY)N/A
PEG (5Y)22.72
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
WACC10.16%
ROIC/WACC0.49
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 for 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 financial health of BRUNSWICK CORP (BC) stock?
The financial health rating of BRUNSWICK CORP (BC) is 3 / 10.
Can you provide the dividend sustainability for BC stock?
The dividend rating of BRUNSWICK CORP (BC) is 5 / 10 and the dividend payout ratio is -47.09%.