BOISE CASCADE CO (BCC) Stock Fundamental Analysis
NYSE:BCC - New York Stock Exchange, Inc. - US09739D1000 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to BCC. BCC was compared to 48 industry peers in the Trading Companies & Distributors industry. BCC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. BCC is valued quite cheap, but it does not seem to be growing. These ratings could make BCC a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year BCC was profitable.
BCC had a positive operating cash flow in the past year.
Each year in the past 5 years BCC has been profitable.
Each year in the past 5 years BCC had a positive operating cash flow.
1.2 Ratios
BCC's Return On Assets of 8.98% is fine compared to the rest of the industry. BCC outperforms 77.08% of its industry peers.
Looking at the Return On Equity, with a value of 14.70%, BCC is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
BCC has a better Return On Invested Capital (11.11%) than 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BCC is significantly above the industry average of 9.62%.
The last Return On Invested Capital (11.11%) for BCC is well below the 3 year average (20.56%), which needs to be investigated, but indicates that BCC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 14.7% | ||
| ROIC | 11.11% |
ROA(3y)17.21%
ROA(5y)17.64%
ROE(3y)27.07%
ROE(5y)30.89%
ROIC(3y)20.56%
ROIC(5y)23.38%
1.3 Margins
BCC has a better Profit Margin (4.73%) than 64.58% of its industry peers.
BCC's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 6.22%, BCC is in line with its industry, outperforming 52.08% of the companies in the same industry.
BCC's Operating Margin has improved in the last couple of years.
BCC's Gross Margin of 18.94% is on the low side compared to the rest of the industry. BCC is outperformed by 85.42% of its industry peers.
BCC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.22% | ||
| PM (TTM) | 4.73% | ||
| GM | 18.94% |
OM growth 3Y-15.92%
OM growth 5Y19.91%
PM growth 3Y-14.61%
PM growth 5Y26.29%
GM growth 3Y-1.19%
GM growth 5Y6.28%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BCC is creating value.
The number of shares outstanding for BCC has been reduced compared to 1 year ago.
BCC has less shares outstanding than it did 5 years ago.
The debt/assets ratio for BCC is higher compared to a year ago.
2.2 Solvency
BCC has an Altman-Z score of 4.96. This indicates that BCC is financially healthy and has little risk of bankruptcy at the moment.
BCC has a better Altman-Z score (4.96) than 75.00% of its industry peers.
BCC has a debt to FCF ratio of 3.54. This is a good value and a sign of high solvency as BCC would need 3.54 years to pay back of all of its debts.
BCC has a better Debt to FCF ratio (3.54) than 60.42% of its industry peers.
BCC has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
BCC has a Debt to Equity ratio of 0.22. This is in the better half of the industry: BCC outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.54 | ||
| Altman-Z | 4.96 |
ROIC/WACC1.11
WACC10.02%
2.3 Liquidity
A Current Ratio of 2.82 indicates that BCC has no problem at all paying its short term obligations.
BCC has a Current ratio of 2.82. This is in the better half of the industry: BCC outperforms 75.00% of its industry peers.
BCC has a Quick Ratio of 1.51. This is a normal value and indicates that BCC is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.51, BCC is in the better half of the industry, outperforming 64.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
BCC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -34.88%.
BCC shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 35.93% yearly.
Looking at the last year, BCC shows a decrease in Revenue. The Revenue has decreased by -4.67% in the last year.
BCC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.69% yearly.
EPS 1Y (TTM)-34.88%
EPS 3Y-18.94%
EPS 5Y35.93%
EPS Q2Q%-59.39%
Revenue 1Y (TTM)-4.67%
Revenue growth 3Y-5.33%
Revenue growth 5Y7.69%
Sales Q2Q%-6.62%
3.2 Future
The Earnings Per Share is expected to grow by 0.65% on average over the next years.
BCC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.76% yearly.
EPS Next Y-33.53%
EPS Next 2Y-9.31%
EPS Next 3Y0.65%
EPS Next 5YN/A
Revenue Next Year-1.25%
Revenue Next 2Y1.65%
Revenue Next 3Y1.76%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BCC is valuated reasonably with a Price/Earnings ratio of 10.47.
Based on the Price/Earnings ratio, BCC is valued cheaper than 89.58% of the companies in the same industry.
BCC is valuated cheaply when we compare the Price/Earnings ratio to 27.50, which is the current average of the S&P500 Index.
BCC is valuated reasonably with a Price/Forward Earnings ratio of 10.67.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BCC indicates a rather cheap valuation: BCC is cheaper than 83.33% of the companies listed in the same industry.
BCC is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.47 | ||
| Fwd PE | 10.67 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCC is valued cheaply inside the industry as 97.92% of the companies are valued more expensively.
66.67% of the companies in the same industry are more expensive than BCC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.57 | ||
| EV/EBITDA | 5.67 |
4.3 Compensation for Growth
The decent profitability rating of BCC may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.29
EPS Next 2Y-9.31%
EPS Next 3Y0.65%
5. Dividend
5.1 Amount
BCC has a yearly dividend return of 0.90%, which is pretty low.
BCC's Dividend Yield is a higher than the industry average which is at 2.02.
Compared to an average S&P500 Dividend Yield of 2.35, BCC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
5.2 History
The dividend of BCC is nicely growing with an annual growth rate of 33.47%!
BCC has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)33.47%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
BCC pays out 72.97% of its income as dividend. This is not a sustainable payout ratio.
The dividend of BCC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP72.97%
EPS Next 2Y-9.31%
EPS Next 3Y0.65%
83.89
-2.83 (-3.26%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners111.8%
Inst Owner Change0%
Ins Owners0.96%
Ins Owner Change1.67%
Market Cap3.16B
Analysts70.91
Price Target114.07 (35.98%)
Short Float %2.58%
Short Ratio2.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
Yearly Dividend5.89
Dividend Growth(5Y)33.47%
DP72.97%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.81%
Min EPS beat(2)-19.89%
Max EPS beat(2)-1.73%
EPS beat(4)1
Avg EPS beat(4)-4.3%
Min EPS beat(4)-19.89%
Max EPS beat(4)5.12%
EPS beat(8)4
Avg EPS beat(8)4.58%
EPS beat(12)7
Avg EPS beat(12)10.38%
EPS beat(16)11
Avg EPS beat(16)17.87%
Revenue beat(2)1
Avg Revenue beat(2)-0.12%
Min Revenue beat(2)-0.54%
Max Revenue beat(2)0.29%
Revenue beat(4)2
Avg Revenue beat(4)-0.26%
Min Revenue beat(4)-1.28%
Max Revenue beat(4)0.48%
Revenue beat(8)4
Avg Revenue beat(8)0.77%
Revenue beat(12)6
Avg Revenue beat(12)0.72%
Revenue beat(16)10
Avg Revenue beat(16)3.54%
PT rev (1m)0%
PT rev (3m)-11.48%
EPS NQ rev (1m)-2.55%
EPS NQ rev (3m)-23.17%
EPS NY rev (1m)-2.76%
EPS NY rev (3m)-24.06%
Revenue NQ rev (1m)-0.11%
Revenue NQ rev (3m)-2.36%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-1.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.47 | ||
| Fwd PE | 10.67 | ||
| P/S | 0.48 | ||
| P/FCF | 23.57 | ||
| P/OCF | 8.26 | ||
| P/B | 1.48 | ||
| P/tB | 1.77 | ||
| EV/EBITDA | 5.67 |
EPS(TTM)8.01
EY9.55%
EPS(NY)7.86
Fwd EY9.37%
FCF(TTM)3.56
FCFY4.24%
OCF(TTM)10.16
OCFY12.11%
SpS175.8
BVpS56.53
TBVpS47.49
PEG (NY)N/A
PEG (5Y)0.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 14.7% | ||
| ROCE | 14.81% | ||
| ROIC | 11.11% | ||
| ROICexc | 13.92% | ||
| ROICexgc | 16.44% | ||
| OM | 6.22% | ||
| PM (TTM) | 4.73% | ||
| GM | 18.94% | ||
| FCFM | 2.02% |
ROA(3y)17.21%
ROA(5y)17.64%
ROE(3y)27.07%
ROE(5y)30.89%
ROIC(3y)20.56%
ROIC(5y)23.38%
ROICexc(3y)31.07%
ROICexc(5y)35.84%
ROICexgc(3y)37.77%
ROICexgc(5y)41.09%
ROCE(3y)27.41%
ROCE(5y)31.18%
ROICexcg growth 3Y-31.63%
ROICexcg growth 5Y14.19%
ROICexc growth 3Y-34.18%
ROICexc growth 5Y11.92%
OM growth 3Y-15.92%
OM growth 5Y19.91%
PM growth 3Y-14.61%
PM growth 5Y26.29%
GM growth 3Y-1.19%
GM growth 5Y6.28%
F-Score4
Asset Turnover1.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.54 | ||
| Debt/EBITDA | 0.84 | ||
| Cap/Depr | 167.03% | ||
| Cap/Sales | 3.76% | ||
| Interest Coverage | 18.88 | ||
| Cash Conversion | 68.24% | ||
| Profit Quality | 42.85% | ||
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 4.96 |
F-Score4
WACC10.02%
ROIC/WACC1.11
Cap/Depr(3y)141.55%
Cap/Depr(5y)127.1%
Cap/Sales(3y)2.64%
Cap/Sales(5y)2.14%
Profit Quality(3y)87.05%
Profit Quality(5y)92.55%
High Growth Momentum
Growth
EPS 1Y (TTM)-34.88%
EPS 3Y-18.94%
EPS 5Y35.93%
EPS Q2Q%-59.39%
EPS Next Y-33.53%
EPS Next 2Y-9.31%
EPS Next 3Y0.65%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.67%
Revenue growth 3Y-5.33%
Revenue growth 5Y7.69%
Sales Q2Q%-6.62%
Revenue Next Year-1.25%
Revenue Next 2Y1.65%
Revenue Next 3Y1.76%
Revenue Next 5YN/A
EBIT growth 1Y-34.65%
EBIT growth 3Y-20.41%
EBIT growth 5Y29.13%
EBIT Next Year-1.49%
EBIT Next 3Y8.36%
EBIT Next 5YN/A
FCF growth 1Y-82.46%
FCF growth 3Y-28.05%
FCF growth 5Y5.09%
OCF growth 1Y-57.05%
OCF growth 3Y-13.06%
OCF growth 5Y12.28%