BRUKER CORP (BRKR) Stock Fundamental Analysis
NASDAQ:BRKR - Nasdaq - US1167941087 - Common Stock - Currency: USD
Overall BRKR gets a fundamental rating of 4 out of 10. We evaluated BRKR against 56 industry peers in the Life Sciences Tools & Services industry. While BRKR is still in line with the averages on profitability rating, there are concerns on its financial health. BRKR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year BRKR was profitable.
In the past year BRKR had a positive cash flow from operations.
Each year in the past 5 years BRKR has been profitable.
In the past 5 years BRKR always reported a positive cash flow from operatings.
1.2 Ratios
BRKR has a Return On Assets of 1.95%. This is in the better half of the industry: BRKR outperforms 73.21% of its industry peers.
BRKR has a better Return On Equity (6.29%) than 78.57% of its industry peers.
The Return On Invested Capital of BRKR (4.53%) is better than 71.43% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BRKR is in line with the industry average of 10.21%.
The 3 year average ROIC (8.64%) for BRKR is well above the current ROIC(4.53%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.95% | ||
| ROE | 6.29% | ||
| ROIC | 4.53% |
ROA(3y)6.74%
ROA(5y)6.6%
ROE(3y)21.31%
ROE(5y)21.25%
ROIC(3y)8.64%
ROIC(5y)8.88%
1.3 Margins
The Profit Margin of BRKR (3.36%) is better than 73.21% of its industry peers.
In the last couple of years the Profit Margin of BRKR has declined.
BRKR has a Operating Margin of 9.07%. This is in the better half of the industry: BRKR outperforms 67.86% of its industry peers.
In the last couple of years the Operating Margin of BRKR has declined.
BRKR has a Gross Margin (49.29%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of BRKR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.07% | ||
| PM (TTM) | 3.36% | ||
| GM | 49.29% |
OM growth 3Y-24.74%
OM growth 5Y-12.59%
PM growth 3Y-33.57%
PM growth 5Y-18.8%
GM growth 3Y-0.69%
GM growth 5Y0.4%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BRKR is destroying value.
Compared to 1 year ago, BRKR has more shares outstanding
The number of shares outstanding for BRKR has been reduced compared to 5 years ago.
BRKR has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of BRKR is 15.65, which is on the high side as it means it would take BRKR, 15.65 years of fcf income to pay off all of its debts.
BRKR's Debt to FCF ratio of 15.65 is fine compared to the rest of the industry. BRKR outperforms 60.71% of its industry peers.
BRKR has a Debt/Equity ratio of 1.15. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.15, BRKR is not doing good in the industry: 78.57% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 15.65 | ||
| Altman-Z | N/A |
ROIC/WACC0.42
WACC10.81%
2.3 Liquidity
A Current Ratio of 1.60 indicates that BRKR should not have too much problems paying its short term obligations.
BRKR has a worse Current ratio (1.60) than 69.64% of its industry peers.
A Quick Ratio of 0.77 indicates that BRKR may have some problems paying its short term obligations.
BRKR's Quick ratio of 0.77 is on the low side compared to the rest of the industry. BRKR is outperformed by 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
BRKR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.07%.
The Earnings Per Share has been growing by 8.95% on average over the past years. This is quite good.
BRKR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.56%.
The Revenue has been growing by 10.19% on average over the past years. This is quite good.
EPS 1Y (TTM)-10.07%
EPS 3Y4.7%
EPS 5Y8.95%
EPS Q2Q%-5%
Revenue 1Y (TTM)13.56%
Revenue growth 3Y11.66%
Revenue growth 5Y10.19%
Sales Q2Q%14.64%
3.2 Future
The Earnings Per Share is expected to grow by 12.03% on average over the next years. This is quite good.
Based on estimates for the next years, BRKR will show a small growth in Revenue. The Revenue will grow by 5.77% on average per year.
EPS Next Y12.74%
EPS Next 2Y14.33%
EPS Next 3Y14.28%
EPS Next 5Y12.03%
Revenue Next Year4.53%
Revenue Next 2Y5.39%
Revenue Next 3Y5.62%
Revenue Next 5Y5.77%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.09, BRKR is valued on the expensive side.
Based on the Price/Earnings ratio, BRKR is valued cheaply inside the industry as 89.29% of the companies are valued more expensively.
BRKR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.62.
With a Price/Forward Earnings ratio of 18.70, BRKR is valued on the expensive side.
85.71% of the companies in the same industry are more expensive than BRKR, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of BRKR to the average of the S&P500 Index (22.70), we can say BRKR is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.09 | ||
| Fwd PE | 18.7 |
4.2 Price Multiples
85.71% of the companies in the same industry are more expensive than BRKR, based on the Enterprise Value to EBITDA ratio.
66.07% of the companies in the same industry are more expensive than BRKR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.58 | ||
| EV/EBITDA | 19.65 |
4.3 Compensation for Growth
BRKR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of BRKR may justify a higher PE ratio.
BRKR's earnings are expected to grow with 14.28% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.65
PEG (5Y)2.36
EPS Next 2Y14.33%
EPS Next 3Y14.28%
5. Dividend
5.1 Amount
With a yearly dividend of 0.38%, BRKR is not a good candidate for dividend investing.
BRKR's Dividend Yield is rather good when compared to the industry average which is at 0.42. BRKR pays more dividend than 91.07% of the companies in the same industry.
With a Dividend Yield of 0.38, BRKR pays less dividend than the S&P500 average, which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
5.2 History
The dividend of BRKR has a limited annual growth rate of 4.75%.
BRKR has been paying a dividend for over 5 years, so it has already some track record.
BRKR has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)4.75%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
26.61% of the earnings are spent on dividend by BRKR. This is a low number and sustainable payout ratio.
BRKR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP26.61%
EPS Next 2Y14.33%
EPS Next 3Y14.28%
50.82
-2.1 (-3.97%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners82.93%
Inst Owner Change-82%
Ins Owners26.92%
Ins Owner Change0.3%
Market Cap7.70B
Analysts80
Price Target67.98 (33.77%)
Short Float %6.54%
Short Ratio4.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
Yearly Dividend0.2
Dividend Growth(5Y)4.75%
DP26.61%
Div Incr Years0
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.13%
Min EPS beat(2)-0.9%
Max EPS beat(2)1.16%
EPS beat(4)2
Avg EPS beat(4)2.43%
Min EPS beat(4)-2.58%
Max EPS beat(4)12.06%
EPS beat(8)6
Avg EPS beat(8)6.88%
EPS beat(12)9
Avg EPS beat(12)7.2%
EPS beat(16)12
Avg EPS beat(16)10.84%
Revenue beat(2)0
Avg Revenue beat(2)-1%
Min Revenue beat(2)-1.39%
Max Revenue beat(2)-0.62%
Revenue beat(4)0
Avg Revenue beat(4)-1.63%
Min Revenue beat(4)-3.06%
Max Revenue beat(4)-0.62%
Revenue beat(8)4
Avg Revenue beat(8)0.92%
Revenue beat(12)7
Avg Revenue beat(12)1%
Revenue beat(16)11
Avg Revenue beat(16)1.66%
PT rev (1m)-7.93%
PT rev (3m)-8.71%
EPS NQ rev (1m)-8.27%
EPS NQ rev (3m)-34.12%
EPS NY rev (1m)-1.31%
EPS NY rev (3m)-1.86%
Revenue NQ rev (1m)-3.64%
Revenue NQ rev (3m)0.77%
Revenue NY rev (1m)-2.45%
Revenue NY rev (3m)-3.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.09 | ||
| Fwd PE | 18.7 | ||
| P/S | 2.29 | ||
| P/FCF | 57.58 | ||
| P/OCF | 30.67 | ||
| P/B | 4.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.65 |
EPS(TTM)2.41
EY4.74%
EPS(NY)2.72
Fwd EY5.35%
FCF(TTM)0.88
FCFY1.74%
OCF(TTM)1.66
OCFY3.26%
SpS22.21
BVpS11.85
TBVpS-8.48
PEG (NY)1.65
PEG (5Y)2.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.95% | ||
| ROE | 6.29% | ||
| ROCE | 6.75% | ||
| ROIC | 4.53% | ||
| ROICexc | 4.72% | ||
| ROICexgc | 16.27% | ||
| OM | 9.07% | ||
| PM (TTM) | 3.36% | ||
| GM | 49.29% | ||
| FCFM | 3.97% |
ROA(3y)6.74%
ROA(5y)6.6%
ROE(3y)21.31%
ROE(5y)21.25%
ROIC(3y)8.64%
ROIC(5y)8.88%
ROICexc(3y)10.57%
ROICexc(5y)12.4%
ROICexgc(3y)18.88%
ROICexgc(5y)20.77%
ROCE(3y)12.87%
ROCE(5y)13.24%
ROICexcg growth 3Y-22.4%
ROICexcg growth 5Y-9.65%
ROICexc growth 3Y-40.48%
ROICexc growth 5Y-22.75%
OM growth 3Y-24.74%
OM growth 5Y-12.59%
PM growth 3Y-33.57%
PM growth 5Y-18.8%
GM growth 3Y-0.69%
GM growth 5Y0.4%
F-Score3
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 15.65 | ||
| Debt/EBITDA | 4.21 | ||
| Cap/Depr | 63.87% | ||
| Cap/Sales | 3.49% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 51.34% | ||
| Profit Quality | 118.3% | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | N/A |
F-Score3
WACC10.81%
ROIC/WACC0.42
Cap/Depr(3y)100.8%
Cap/Depr(5y)105.31%
Cap/Sales(3y)4.07%
Cap/Sales(5y)4.18%
Profit Quality(3y)74.73%
Profit Quality(5y)88.36%
High Growth Momentum
Growth
EPS 1Y (TTM)-10.07%
EPS 3Y4.7%
EPS 5Y8.95%
EPS Q2Q%-5%
EPS Next Y12.74%
EPS Next 2Y14.33%
EPS Next 3Y14.28%
EPS Next 5Y12.03%
Revenue 1Y (TTM)13.56%
Revenue growth 3Y11.66%
Revenue growth 5Y10.19%
Sales Q2Q%14.64%
Revenue Next Year4.53%
Revenue Next 2Y5.39%
Revenue Next 3Y5.62%
Revenue Next 5Y5.77%
EBIT growth 1Y-37.23%
EBIT growth 3Y-15.97%
EBIT growth 5Y-3.68%
EBIT Next Year36.59%
EBIT Next 3Y16.72%
EBIT Next 5Y12.12%
FCF growth 1Y-44.98%
FCF growth 3Y-11.09%
FCF growth 5Y-0.96%
OCF growth 1Y-28.25%
OCF growth 3Y-3.83%
OCF growth 5Y3.32%