TOPBUILD CORP (BLD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BLD - US89055F1030 - Common Stock
488.33 USD
-4.13 (-0.84%)
488.33 USD
0 (0%)
Taking everything into account, BLD scores 6 out of 10 in our fundamental rating. BLD was compared to 60 industry peers in the Household Durables industry. BLD has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. While showing a medium growth rate, BLD is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year BLD was profitable.
- BLD had a positive operating cash flow in the past year.
- In the past 5 years BLD has always been profitable.
- Each year in the past 5 years BLD had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 8.86%, BLD is doing good in the industry, outperforming 80.00% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 25.54%, BLD belongs to the top of the industry, outperforming 96.67% of the companies in the same industry.
- With a decent Return On Invested Capital value of 11.49%, BLD is doing good in the industry, outperforming 73.33% of the companies in the same industry.
- BLD had an Average Return On Invested Capital over the past 3 years of 15.92%. This is significantly above the industry average of 9.71%.
- The 3 year average ROIC (15.92%) for BLD is well above the current ROIC(11.49%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.86% | ||
| ROE | 25.54% | ||
| ROIC | 11.49% |
ROA(3y)12.37%
ROA(5y)10.7%
ROE(3y)26.98%
ROE(5y)23.81%
ROIC(3y)15.92%
ROIC(5y)13.9%
1.3 Margins
- BLD has a Profit Margin of 10.84%. This is amongst the best in the industry. BLD outperforms 88.33% of its industry peers.
- In the last couple of years the Profit Margin of BLD has grown nicely.
- BLD has a better Operating Margin (16.47%) than 91.67% of its industry peers.
- In the last couple of years the Operating Margin of BLD has grown nicely.
- With a decent Gross Margin value of 30.01%, BLD is doing good in the industry, outperforming 61.67% of the companies in the same industry.
- In the last couple of years the Gross Margin of BLD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.47% | ||
| PM (TTM) | 10.84% | ||
| GM | 30.01% |
OM growth 3Y6.74%
OM growth 5Y9.23%
PM growth 3Y7.92%
PM growth 5Y9.92%
GM growth 3Y2.94%
GM growth 5Y3.26%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BLD is still creating some value.
- The number of shares outstanding for BLD has been reduced compared to 1 year ago.
- The number of shares outstanding for BLD has been reduced compared to 5 years ago.
- BLD has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 4.29 indicates that BLD is not in any danger for bankruptcy at the moment.
- BLD has a better Altman-Z score (4.29) than 73.33% of its industry peers.
- The Debt to FCF ratio of BLD is 3.63, which is a good value as it means it would take BLD, 3.63 years of fcf income to pay off all of its debts.
- BLD has a Debt to FCF ratio of 3.63. This is in the better half of the industry: BLD outperforms 61.67% of its industry peers.
- BLD has a Debt/Equity ratio of 1.26. This is a high value indicating a heavy dependency on external financing.
- BLD's Debt to Equity ratio of 1.26 is on the low side compared to the rest of the industry. BLD is outperformed by 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.26 | ||
| Debt/FCF | 3.63 | ||
| Altman-Z | 4.29 |
ROIC/WACC1.23
WACC9.36%
2.3 Liquidity
- A Current Ratio of 2.90 indicates that BLD has no problem at all paying its short term obligations.
- The Current ratio of BLD (2.90) is comparable to the rest of the industry.
- BLD has a Quick Ratio of 2.45. This indicates that BLD is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 2.45, BLD belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.9 | ||
| Quick Ratio | 2.45 |
3. Growth
3.1 Past
- BLD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.83%.
- The Earnings Per Share has been growing by 30.78% on average over the past years. This is a very strong growth
- BLD shows a decrease in Revenue. In the last year, the revenue decreased by -1.28%.
- The Revenue has been growing by 15.22% on average over the past years. This is quite good.
EPS 1Y (TTM)-0.83%
EPS 3Y24.7%
EPS 5Y30.78%
EPS Q2Q%-5.63%
Revenue 1Y (TTM)-1.28%
Revenue growth 3Y15.2%
Revenue growth 5Y15.22%
Sales Q2Q%1.45%
3.2 Future
- BLD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.85% yearly.
- BLD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.30% yearly.
EPS Next Y-4.72%
EPS Next 2Y0.91%
EPS Next 3Y4.56%
EPS Next 5Y6.85%
Revenue Next Year1.54%
Revenue Next 2Y7.52%
Revenue Next 3Y6.67%
Revenue Next 5Y6.3%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
- BLD is valuated rather expensively with a Price/Earnings ratio of 23.90.
- Based on the Price/Earnings ratio, BLD is valued a bit more expensive than the industry average as 61.67% of the companies are valued more cheaply.
- Compared to an average S&P500 Price/Earnings ratio of 27.30, BLD is valued at the same level.
- With a Price/Forward Earnings ratio of 22.79, BLD is valued on the expensive side.
- The rest of the industry has a similar Price/Forward Earnings ratio as BLD.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.32, BLD is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.9 | ||
| Fwd PE | 22.79 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, BLD is valued a bit more expensive than 65.00% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of BLD is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.32 | ||
| EV/EBITDA | 15.37 |
4.3 Compensation for Growth
- BLD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.78
EPS Next 2Y0.91%
EPS Next 3Y4.56%
5. Dividend
5.1 Amount
- BLD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TOPBUILD CORP / BLD FAQ
What is the fundamental rating for BLD stock?
ChartMill assigns a fundamental rating of 6 / 10 to BLD.
What is the valuation status of TOPBUILD CORP (BLD) stock?
ChartMill assigns a valuation rating of 2 / 10 to TOPBUILD CORP (BLD). This can be considered as Overvalued.
What is the profitability of BLD stock?
TOPBUILD CORP (BLD) has a profitability rating of 9 / 10.
Can you provide the financial health for BLD stock?
The financial health rating of TOPBUILD CORP (BLD) is 7 / 10.
How sustainable is the dividend of TOPBUILD CORP (BLD) stock?
The dividend rating of TOPBUILD CORP (BLD) is 0 / 10 and the dividend payout ratio is 0%.