Logo image of BBD-B.CA

BOMBARDIER INC-B (BBD-B.CA) Stock Fundamental Analysis

TSX:BBD-B - Toronto Stock Exchange - CA0977518616 - Common Stock - Currency: CAD

88  +6.05 (+7.38%)

Fundamental Rating

4

Overall BBD-B gets a fundamental rating of 4 out of 10. We evaluated BBD-B against 12 industry peers in the Aerospace & Defense industry. While BBD-B is still in line with the averages on profitability rating, there are concerns on its financial health. BBD-B is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

In the past year BBD-B was profitable.
BBD-B had a positive operating cash flow in the past year.
In multiple years BBD-B reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: BBD-B reported negative operating cash flow in multiple years.
BBD-B.CA Yearly Net Income VS EBIT VS OCF VS FCFBBD-B.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B -4B

1.2 Ratios

BBD-B's Return On Assets of 2.68% is fine compared to the rest of the industry. BBD-B outperforms 63.64% of its industry peers.
BBD-B has a better Return On Invested Capital (9.88%) than 72.73% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BBD-B is in line with the industry average of 7.67%.
The last Return On Invested Capital (9.88%) for BBD-B is above the 3 year average (8.03%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 2.68%
ROE N/A
ROIC 9.88%
ROA(3y)1.52%
ROA(5y)8%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)8.03%
ROIC(5y)N/A
BBD-B.CA Yearly ROA, ROE, ROICBBD-B.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50 -50 100 -100 -150

1.3 Margins

Looking at the Profit Margin, with a value of 3.91%, BBD-B is in line with its industry, outperforming 54.55% of the companies in the same industry.
BBD-B's Profit Margin has declined in the last couple of years.
BBD-B has a Operating Margin of 10.92%. This is in the better half of the industry: BBD-B outperforms 63.64% of its industry peers.
BBD-B's Operating Margin has improved in the last couple of years.
BBD-B has a Gross Margin of 20.60%. This is in the lower half of the industry: BBD-B underperforms 63.64% of its industry peers.
BBD-B's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 10.92%
PM (TTM) 3.91%
GM 20.6%
OM growth 3Y42.21%
OM growth 5Y20.26%
PM growth 3Y-63.79%
PM growth 5YN/A
GM growth 3Y10.7%
GM growth 5Y8.18%
BBD-B.CA Yearly Profit, Operating, Gross MarginsBBD-B.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 60 80

3

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BBD-B is creating some value.
BBD-B has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, BBD-B has less shares outstanding
Compared to 1 year ago, BBD-B has an improved debt to assets ratio.
BBD-B.CA Yearly Shares OutstandingBBD-B.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B
BBD-B.CA Yearly Total Debt VS Total AssetsBBD-B.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

2.2 Solvency

Based on the Altman-Z score of 0.63, we must say that BBD-B is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of BBD-B (0.63) is comparable to the rest of the industry.
BBD-B has a debt to FCF ratio of 23.90. This is a negative value and a sign of low solvency as BBD-B would need 23.90 years to pay back of all of its debts.
BBD-B's Debt to FCF ratio of 23.90 is in line compared to the rest of the industry. BBD-B outperforms 45.45% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 23.9
Altman-Z 0.63
ROIC/WACC1.17
WACC8.41%
BBD-B.CA Yearly LT Debt VS Equity VS FCFBBD-B.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B -5B

2.3 Liquidity

A Current Ratio of 1.10 indicates that BBD-B should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.10, BBD-B is in line with its industry, outperforming 45.45% of the companies in the same industry.
A Quick Ratio of 0.40 indicates that BBD-B may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.40, BBD-B is doing worse than 81.82% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.1
Quick Ratio 0.4
BBD-B.CA Yearly Current Assets VS Current LiabilitesBBD-B.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

4

3. Growth

3.1 Past

BBD-B shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.74%.
The earnings per share for BBD-B have been decreasing by -59.76% on average. This is quite bad
The Revenue has been growing slightly by 7.69% in the past year.
Measured over the past years, BBD-B shows a small growth in Revenue. The Revenue has been growing by 2.96% on average per year.
EPS 1Y (TTM)-19.74%
EPS 3Y-59.76%
EPS 5YN/A
EPS Q2Q%-46.36%
Revenue 1Y (TTM)7.69%
Revenue growth 3Y12.5%
Revenue growth 5Y2.96%
Sales Q2Q%1.5%

3.2 Future

BBD-B is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 36.94% yearly.
BBD-B is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.10% yearly.
EPS Next Y61.02%
EPS Next 2Y36.94%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.2%
Revenue Next 2Y4.1%
Revenue Next 3YN/A
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
BBD-B.CA Yearly Revenue VS EstimatesBBD-B.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 5B 10B 15B 20B
BBD-B.CA Yearly EPS VS EstimatesBBD-B.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 5 -5 -10 -15

6

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 18.37, BBD-B is valued on the expensive side.
Based on the Price/Earnings ratio, BBD-B is valued a bit cheaper than the industry average as 72.73% of the companies are valued more expensively.
BBD-B is valuated rather cheaply when we compare the Price/Earnings ratio to 30.43, which is the current average of the S&P500 Index.
BBD-B is valuated reasonably with a Price/Forward Earnings ratio of 8.93.
72.73% of the companies in the same industry are more expensive than BBD-B, based on the Price/Forward Earnings ratio.
BBD-B is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.78, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 18.37
Fwd PE 8.93
BBD-B.CA Price Earnings VS Forward Price EarningsBBD-B.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, BBD-B is valued a bit cheaper than 63.64% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BBD-B is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 26.74
EV/EBITDA 7.06
BBD-B.CA Per share dataBBD-B.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 -50 100

4.3 Compensation for Growth

BBD-B's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
BBD-B's earnings are expected to grow with 36.94% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y36.94%
EPS Next 3YN/A

0

5. Dividend

5.1 Amount

No dividends for BBD-B!.
Industry RankSector Rank
Dividend Yield N/A

BOMBARDIER INC-B

TSX:BBD-B (2/18/2025, 7:00:00 PM)

88

+6.05 (+7.38%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)02-06 2025-02-06/amc
Earnings (Next)04-23 2025-04-23/amc
Inst Owners23.69%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap8.80B
Analysts80
Price Target122.94 (39.7%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly Dividend0.22
Dividend Growth(5Y)92.86%
DP6.49%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)3.38%
Min Revenue beat(2)-5.85%
Max Revenue beat(2)12.6%
Revenue beat(4)2
Avg Revenue beat(4)1.46%
Min Revenue beat(4)-16.05%
Max Revenue beat(4)15.16%
Revenue beat(8)4
Avg Revenue beat(8)1.1%
Revenue beat(12)5
Avg Revenue beat(12)-1.43%
Revenue beat(16)8
Avg Revenue beat(16)-0.07%
PT rev (1m)0.67%
PT rev (3m)2.71%
EPS NQ rev (1m)3.31%
EPS NQ rev (3m)-9.25%
EPS NY rev (1m)0.61%
EPS NY rev (3m)0.68%
Revenue NQ rev (1m)-0.74%
Revenue NQ rev (3m)-8.72%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)1.74%
Valuation
Industry RankSector Rank
PE 18.37
Fwd PE 8.93
P/S 0.72
P/FCF 26.74
P/OCF 15.32
P/B N/A
P/tB N/A
EV/EBITDA 7.06
EPS(TTM)4.79
EY5.44%
EPS(NY)9.86
Fwd EY11.2%
FCF(TTM)3.29
FCFY3.74%
OCF(TTM)5.75
OCFY6.53%
SpS122.93
BVpS-28.25
TBVpS-75.4
PEG (NY)0.3
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 2.68%
ROE N/A
ROCE 13.72%
ROIC 9.88%
ROICexc 13.07%
ROICexgc 36.08%
OM 10.92%
PM (TTM) 3.91%
GM 20.6%
FCFM 2.68%
ROA(3y)1.52%
ROA(5y)8%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)8.03%
ROIC(5y)N/A
ROICexc(3y)10.74%
ROICexc(5y)N/A
ROICexgc(3y)37.07%
ROICexgc(5y)N/A
ROCE(3y)11.15%
ROCE(5y)N/A
ROICexcg growth 3Y66.19%
ROICexcg growth 5Y-15.41%
ROICexc growth 3Y69.93%
ROICexc growth 5Y30.71%
OM growth 3Y42.21%
OM growth 5Y20.26%
PM growth 3Y-63.79%
PM growth 5YN/A
GM growth 3Y10.7%
GM growth 5Y8.18%
F-Score8
Asset Turnover0.68
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 23.9
Debt/EBITDA 3.77
Cap/Depr 38.88%
Cap/Sales 2%
Interest Coverage 2.22
Cash Conversion 29.12%
Profit Quality 68.44%
Current Ratio 1.1
Quick Ratio 0.4
Altman-Z 0.63
F-Score8
WACC8.41%
ROIC/WACC1.17
Cap/Depr(3y)69.78%
Cap/Depr(5y)67.51%
Cap/Sales(3y)3.89%
Cap/Sales(5y)4.24%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.74%
EPS 3Y-59.76%
EPS 5YN/A
EPS Q2Q%-46.36%
EPS Next Y61.02%
EPS Next 2Y36.94%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.69%
Revenue growth 3Y12.5%
Revenue growth 5Y2.96%
Sales Q2Q%1.5%
Revenue Next Year6.2%
Revenue Next 2Y4.1%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y16.65%
EBIT growth 3Y59.99%
EBIT growth 5Y23.82%
EBIT Next Year82.77%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-9.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-34.99%
OCF growth 3YN/A
OCF growth 5YN/A