BJ'S WHOLESALE CLUB HOLDINGS (BJ)
US05550J1016 - Common Stock
BJ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 41 industry peers in the Consumer Staples Distribution & Retail industry. BJ scores excellent on profitability, but there are some minor concerns on its financial health. BJ is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
BJ had positive earnings in the past year.
BJ had a positive operating cash flow in the past year.
In the past 5 years BJ has always been profitable.
In the past 5 years BJ always reported a positive cash flow from operatings.
1.2 Ratios
BJ has a better Return On Assets (7.68%) than 82.93% of its industry peers.
With an excellent Return On Equity value of 32.17%, BJ belongs to the best of the industry, outperforming 95.12% of the companies in the same industry.
The Return On Invested Capital of BJ (12.86%) is better than 85.37% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BJ is above the industry average of 9.18%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.68% | ||
| ROE | 32.17% | ||
| ROIC | 12.86% |
ROA(3y)7.82%
ROA(5y)6.96%
ROE(3y)50.26%
ROE(5y)N/A
ROIC(3y)13.58%
ROIC(5y)12.45%
1.3 Margins
BJ's Profit Margin of 2.61% is fine compared to the rest of the industry. BJ outperforms 78.05% of its industry peers.
In the last couple of years the Profit Margin of BJ has grown nicely.
With a decent Operating Margin value of 3.81%, BJ is doing good in the industry, outperforming 65.85% of the companies in the same industry.
In the last couple of years the Operating Margin of BJ has grown nicely.
BJ's Gross Margin of 18.16% is on the low side compared to the rest of the industry. BJ is outperformed by 60.98% of its industry peers.
BJ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.81% | ||
| PM (TTM) | 2.61% | ||
| GM | 18.16% |
OM growth 3Y-0.67%
OM growth 5Y11.85%
PM growth 3Y-1.31%
PM growth 5Y21.85%
GM growth 3Y-1.87%
GM growth 5Y0.1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BJ is creating some value.
Compared to 1 year ago, BJ has less shares outstanding
Compared to 5 years ago, BJ has less shares outstanding
The debt/assets ratio for BJ has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.79 indicates that BJ is not in any danger for bankruptcy at the moment.
BJ's Altman-Z score of 4.79 is fine compared to the rest of the industry. BJ outperforms 68.29% of its industry peers.
BJ has a debt to FCF ratio of 1.62. This is a very positive value and a sign of high solvency as it would only need 1.62 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.62, BJ belongs to the best of the industry, outperforming 85.37% of the companies in the same industry.
BJ has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.24, BJ is doing good in the industry, outperforming 73.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.62 | ||
| Altman-Z | 4.79 |
ROIC/WACC1.47
WACC8.77%
2.3 Liquidity
A Current Ratio of 0.76 indicates that BJ may have some problems paying its short term obligations.
BJ's Current ratio of 0.76 is on the low side compared to the rest of the industry. BJ is outperformed by 80.49% of its industry peers.
BJ has a Quick Ratio of 0.76. This is a bad value and indicates that BJ is not financially healthy enough and could expect problems in meeting its short term obligations.
BJ has a worse Quick ratio (0.15) than 97.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.15 |
3. Growth
3.1 Past
BJ shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.77%.
The Earnings Per Share has been growing by 21.12% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 5.18% in the past year.
The Revenue has been growing by 8.95% on average over the past years. This is quite good.
EPS 1Y (TTM)5.77%
EPS 3Y8.28%
EPS 5Y21.12%
EPS Q2Q%12.37%
Revenue 1Y (TTM)5.18%
Revenue growth 3Y8.98%
Revenue growth 5Y8.95%
Sales Q2Q%2.59%
3.2 Future
The Earnings Per Share is expected to grow by 10.15% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.94% on average over the next years.
EPS Next Y1.19%
EPS Next 2Y5.83%
EPS Next 3Y7.84%
EPS Next 5Y10.15%
Revenue Next Year3.16%
Revenue Next 2Y4.71%
Revenue Next 3Y5.01%
Revenue Next 5Y4.94%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.27 indicates a rather expensive valuation of BJ.
BJ's Price/Earnings ratio is in line with the industry average.
BJ's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.65.
A Price/Forward Earnings ratio of 19.57 indicates a rather expensive valuation of BJ.
The rest of the industry has a similar Price/Forward Earnings ratio as BJ.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.56, BJ is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.27 | ||
| Fwd PE | 19.57 |
4.2 Price Multiples
BJ's Enterprise Value to EBITDA is on the same level as the industry average.
BJ's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.97 | ||
| EV/EBITDA | 11.65 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of BJ may justify a higher PE ratio.
PEG (NY)17.87
PEG (5Y)1.01
EPS Next 2Y5.83%
EPS Next 3Y7.84%
5. Dividend
5.1 Amount
BJ does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BJ'S WHOLESALE CLUB HOLDINGS
NYSE:BJ (11/20/2024, 8:09:37 PM)
Premarket: 89 +3.3 (+3.85%)85.7
-0.63 (-0.73%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap11.36B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.27 | ||
| Fwd PE | 19.57 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)17.87
PEG (5Y)1.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.68% | ||
| ROE | 32.17% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 3.81% | ||
| PM (TTM) | 2.61% | ||
| GM | 18.16% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover2.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.15 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)5.77%
EPS 3Y8.28%
EPS 5Y
EPS Q2Q%
EPS Next Y1.19%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)5.18%
Revenue growth 3Y8.98%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y