BADGER INFRASTRUCTURE SOLUTI (BDGI.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:BDGI - CA0565331026 - Common Stock
77.86 CAD
-0.16 (-0.21%)
We assign a fundamental rating of 6 out of 10 to BDGI. BDGI was compared to 8 industry peers in the Construction & Engineering industry. While BDGI has a great health rating, its profitability is only average at the moment. BDGI is growing strongly while it is still valued neutral. This is a good combination! With these ratings, BDGI could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
- BDGI had positive earnings in the past year.
- BDGI had a positive operating cash flow in the past year.
- Of the past 5 years BDGI 4 years were profitable.
- BDGI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- BDGI has a better Return On Assets (7.99%) than 75.00% of its industry peers.
- The Return On Equity of BDGI (21.06%) is better than 75.00% of its industry peers.
- With a decent Return On Invested Capital value of 9.84%, BDGI is doing good in the industry, outperforming 75.00% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for BDGI is significantly below the industry average of 71.07%.
- The 3 year average ROIC (8.92%) for BDGI is below the current ROIC(9.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.99% | ||
| ROE | 21.06% | ||
| ROIC | 9.84% |
ROA(3y)5.73%
ROA(5y)3.86%
ROE(3y)14.6%
ROE(5y)9.48%
ROIC(3y)8.92%
ROIC(5y)N/A
1.3 Margins
- BDGI's Profit Margin of 7.66% is amongst the best of the industry. BDGI outperforms 87.50% of its industry peers.
- BDGI's Profit Margin has declined in the last couple of years.
- BDGI has a Operating Margin of 10.16%. This is amongst the best in the industry. BDGI outperforms 87.50% of its industry peers.
- In the last couple of years the Operating Margin of BDGI has declined.
- With a decent Gross Margin value of 29.83%, BDGI is doing good in the industry, outperforming 75.00% of the companies in the same industry.
- In the last couple of years the Gross Margin of BDGI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.16% | ||
| PM (TTM) | 7.66% | ||
| GM | 29.83% |
OM growth 3YN/A
OM growth 5Y-2.07%
PM growth 3YN/A
PM growth 5Y-6.77%
GM growth 3Y11.8%
GM growth 5Y-0.97%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BDGI is still creating some value.
- BDGI has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for BDGI has been reduced compared to 5 years ago.
- BDGI has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 4.35 indicates that BDGI is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 4.35, BDGI belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
- The Debt to FCF ratio of BDGI is 4.54, which is a neutral value as it means it would take BDGI, 4.54 years of fcf income to pay off all of its debts.
- BDGI has a Debt to FCF ratio of 4.54. This is in the better half of the industry: BDGI outperforms 75.00% of its industry peers.
- A Debt/Equity ratio of 0.82 indicates that BDGI is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.82, BDGI is doing worse than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 4.54 | ||
| Altman-Z | 4.35 |
ROIC/WACC1.02
WACC9.62%
2.3 Liquidity
- A Current Ratio of 1.48 indicates that BDGI should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.48, BDGI belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- BDGI has a Quick Ratio of 1.40. This is a normal value and indicates that BDGI is financially healthy and should not expect problems in meeting its short term obligations.
- BDGI has a better Quick ratio (1.40) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
- BDGI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36.88%, which is quite impressive.
- The Earnings Per Share has been growing slightly by 4.88% on average over the past years.
- BDGI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.18%.
- BDGI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.63% yearly.
EPS 1Y (TTM)36.88%
EPS 3YN/A
EPS 5Y4.88%
EPS Q2Q%26.47%
Revenue 1Y (TTM)10.18%
Revenue growth 3Y17.96%
Revenue growth 5Y2.63%
Sales Q2Q%8.11%
3.2 Future
- BDGI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.41% yearly.
- The Revenue is expected to grow by 10.20% on average over the next years. This is quite good.
EPS Next Y29.09%
EPS Next 2Y26.6%
EPS Next 3Y25.41%
EPS Next 5YN/A
Revenue Next Year11.38%
Revenue Next 2Y10.41%
Revenue Next 3Y10.2%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 29.38 indicates a quite expensive valuation of BDGI.
- The rest of the industry has a similar Price/Earnings ratio as BDGI.
- Compared to an average S&P500 Price/Earnings ratio of 28.87, BDGI is valued at the same level.
- The Price/Forward Earnings ratio is 22.14, which indicates a rather expensive current valuation of BDGI.
- Based on the Price/Forward Earnings ratio, BDGI is valued a bit cheaper than 75.00% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.96, BDGI is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.38 | ||
| Fwd PE | 22.14 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BDGI indicates a rather cheap valuation: BDGI is cheaper than 87.50% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of BDGI indicates a somewhat cheap valuation: BDGI is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.57 | ||
| EV/EBITDA | 13.01 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- BDGI has a very decent profitability rating, which may justify a higher PE ratio.
- BDGI's earnings are expected to grow with 25.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.01
PEG (5Y)6.03
EPS Next 2Y26.6%
EPS Next 3Y25.41%
5. Dividend
5.1 Amount
- BDGI has a yearly dividend return of 0.92%, which is pretty low.
- BDGI's Dividend Yield is a higher than the industry average which is at 0.90.
- Compared to an average S&P500 Dividend Yield of 1.82, BDGI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
5.2 History
- The dividend of BDGI decreases each year by -1.23%.
- BDGI has paid a dividend for at least 10 years, which is a reliable track record.
- BDGI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-1.23%
Div Incr Years9
Div Non Decr Years13
5.3 Sustainability
- BDGI pays out 29.17% of its income as dividend. This is a sustainable payout ratio.
DP29.17%
EPS Next 2Y26.6%
EPS Next 3Y25.41%
BADGER INFRASTRUCTURE SOLUTI / BDGI.CA FAQ
What is the ChartMill fundamental rating of BADGER INFRASTRUCTURE SOLUTI (BDGI.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to BDGI.CA.
What is the valuation status of BADGER INFRASTRUCTURE SOLUTI (BDGI.CA) stock?
ChartMill assigns a valuation rating of 5 / 10 to BADGER INFRASTRUCTURE SOLUTI (BDGI.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for BADGER INFRASTRUCTURE SOLUTI?
BADGER INFRASTRUCTURE SOLUTI (BDGI.CA) has a profitability rating of 6 / 10.
What is the earnings growth outlook for BADGER INFRASTRUCTURE SOLUTI?
The Earnings per Share (EPS) of BADGER INFRASTRUCTURE SOLUTI (BDGI.CA) is expected to grow by 29.09% in the next year.
Is the dividend of BADGER INFRASTRUCTURE SOLUTI sustainable?
The dividend rating of BADGER INFRASTRUCTURE SOLUTI (BDGI.CA) is 5 / 10 and the dividend payout ratio is 29.17%.