BUILD-A-BEAR WORKSHOP INC (BBW) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BBW - US1200761047 - Common Stock
52.74 USD
-0.77 (-1.44%)
52.38 USD
-0.36 (-0.68%)
Overall BBW gets a fundamental rating of 7 out of 10. We evaluated BBW against 122 industry peers in the Specialty Retail industry. BBW scores excellent points on both the profitability and health parts. This is a solid base for a good stock. BBW has a correct valuation and a medium growth rate. These ratings could make BBW a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
BBW had positive earnings in the past year.
In the past year BBW had a positive cash flow from operations.
BBW had positive earnings in 4 of the past 5 years.
In the past 5 years BBW always reported a positive cash flow from operatings.
1.2 Ratios
BBW has a Return On Assets of 18.61%. This is amongst the best in the industry. BBW outperforms 95.87% of its industry peers.
With an excellent Return On Equity value of 38.12%, BBW belongs to the best of the industry, outperforming 90.08% of the companies in the same industry.
BBW has a Return On Invested Capital of 24.74%. This is amongst the best in the industry. BBW outperforms 93.39% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BBW is significantly above the industry average of 12.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.61% | ||
| ROE | 38.12% | ||
| ROIC | 24.74% |
ROA(3y)18.11%
ROA(5y)12.66%
ROE(3y)39.42%
ROE(5y)26.91%
ROIC(3y)26.41%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of BBW (11.34%) is better than 92.56% of its industry peers.
BBW's Profit Margin has improved in the last couple of years.
BBW's Operating Margin of 14.33% is amongst the best of the industry. BBW outperforms 90.08% of its industry peers.
In the last couple of years the Operating Margin of BBW has grown nicely.
The Gross Margin of BBW (56.32%) is better than 85.12% of its industry peers.
BBW's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.33% | ||
| PM (TTM) | 11.34% | ||
| GM | 56.32% |
OM growth 3Y2.48%
OM growth 5Y92.84%
PM growth 3Y-3.18%
PM growth 5Y159.51%
GM growth 3Y1.19%
GM growth 5Y3.88%
2. Health
2.1 Basic Checks
BBW has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
BBW has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, BBW has less shares outstanding
There is no outstanding debt for BBW. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
BBW has an Altman-Z score of 5.67. This indicates that BBW is financially healthy and has little risk of bankruptcy at the moment.
BBW's Altman-Z score of 5.67 is amongst the best of the industry. BBW outperforms 90.08% of its industry peers.
There is no outstanding debt for BBW. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 5.67 |
ROIC/WACC2.56
WACC9.67%
2.3 Liquidity
A Current Ratio of 1.78 indicates that BBW should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.78, BBW is doing good in the industry, outperforming 76.86% of the companies in the same industry.
BBW has a Quick Ratio of 1.78. This is a bad value and indicates that BBW is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.77, BBW is in the better half of the industry, outperforming 66.12% of the companies in the same industry.
The current and quick ratio evaluation for BBW is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.38% over the past year.
The Earnings Per Share has been growing by 185.29% on average over the past years. This is a very strong growth
BBW shows a small growth in Revenue. In the last year, the Revenue has grown by 6.17%.
BBW shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.96% yearly.
EPS 1Y (TTM)22.38%
EPS 3Y16.67%
EPS 5Y185.29%
EPS Q2Q%-15.07%
Revenue 1Y (TTM)6.17%
Revenue growth 3Y6.45%
Revenue growth 5Y7.96%
Sales Q2Q%2.72%
3.2 Future
Based on estimates for the next years, BBW will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.90% on average per year.
Based on estimates for the next years, BBW will show a small growth in Revenue. The Revenue will grow by 4.82% on average per year.
EPS Next Y10.55%
EPS Next 2Y8.59%
EPS Next 3Y10.5%
EPS Next 5Y9.9%
Revenue Next Year7.92%
Revenue Next 2Y5.75%
Revenue Next 3Y5.35%
Revenue Next 5Y4.82%
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
Based on the Price/Earnings ratio of 12.21, the valuation of BBW can be described as correct.
BBW's Price/Earnings ratio is a bit cheaper when compared to the industry. BBW is cheaper than 79.34% of the companies in the same industry.
When comparing the Price/Earnings ratio of BBW to the average of the S&P500 Index (26.56), we can say BBW is valued rather cheaply.
BBW is valuated reasonably with a Price/Forward Earnings ratio of 11.83.
BBW's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BBW is cheaper than 78.51% of the companies in the same industry.
BBW's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.21 | ||
| Fwd PE | 11.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BBW is valued a bit cheaper than the industry average as 73.55% of the companies are valued more expensively.
BBW's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BBW is cheaper than 78.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.81 | ||
| EV/EBITDA | 7.28 |
4.3 Compensation for Growth
BBW's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
BBW has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.16
PEG (5Y)0.07
EPS Next 2Y8.59%
EPS Next 3Y10.5%
5. Dividend
5.1 Amount
BBW has a Yearly Dividend Yield of 1.64%. Purely for dividend investing, there may be better candidates out there.
In the last 3 months the price of BBW has falen by -28.71%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
BBW's Dividend Yield is a higher than the industry average which is at 1.84.
BBW's Dividend Yield is comparable with the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
5.2 History
BBW has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
BBW pays out 18.92% of its income as dividend. This is a sustainable payout ratio.
DP18.92%
EPS Next 2Y8.59%
EPS Next 3Y10.5%
52.74
-0.77 (-1.44%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners99.07%
Inst Owner Change4.93%
Ins Owners3.65%
Ins Owner Change-3.71%
Market Cap692.48M
Revenue(TTM)525.77M
Net Income(TTM)59.23M
Analysts80
Price Target76.5 (45.05%)
Short Float %18.43%
Short Ratio6.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
Yearly Dividend0.8
Dividend Growth(5Y)N/A
DP18.92%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)36.76%
Min EPS beat(2)33.92%
Max EPS beat(2)39.6%
EPS beat(4)4
Avg EPS beat(4)22.22%
Min EPS beat(4)4.72%
Max EPS beat(4)39.6%
EPS beat(8)7
Avg EPS beat(8)11.63%
EPS beat(12)10
Avg EPS beat(12)14.55%
EPS beat(16)13
Avg EPS beat(16)32.34%
Revenue beat(2)2
Avg Revenue beat(2)5.95%
Min Revenue beat(2)5.88%
Max Revenue beat(2)6.02%
Revenue beat(4)4
Avg Revenue beat(4)4.29%
Min Revenue beat(4)0.97%
Max Revenue beat(4)6.02%
Revenue beat(8)5
Avg Revenue beat(8)1.27%
Revenue beat(12)9
Avg Revenue beat(12)1.82%
Revenue beat(16)12
Avg Revenue beat(16)3.37%
PT rev (1m)-6.25%
PT rev (3m)-2.17%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.87%
EPS NY rev (1m)0%
EPS NY rev (3m)3.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.64%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.21 | ||
| Fwd PE | 11.83 | ||
| P/S | 1.33 | ||
| P/FCF | 14.81 | ||
| P/OCF | 10.38 | ||
| P/B | 4.46 | ||
| P/tB | 4.46 | ||
| EV/EBITDA | 7.28 |
EPS(TTM)4.32
EY8.19%
EPS(NY)4.46
Fwd EY8.45%
FCF(TTM)3.56
FCFY6.75%
OCF(TTM)5.08
OCFY9.63%
SpS39.8
BVpS11.84
TBVpS11.84
PEG (NY)1.16
PEG (5Y)0.07
Graham Number33.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.61% | ||
| ROE | 38.12% | ||
| ROCE | 31.57% | ||
| ROIC | 24.74% | ||
| ROICexc | 29.62% | ||
| ROICexgc | 29.62% | ||
| OM | 14.33% | ||
| PM (TTM) | 11.34% | ||
| GM | 56.32% | ||
| FCFM | 8.95% |
ROA(3y)18.11%
ROA(5y)12.66%
ROE(3y)39.42%
ROE(5y)26.91%
ROIC(3y)26.41%
ROIC(5y)N/A
ROICexc(3y)33.24%
ROICexc(5y)N/A
ROICexgc(3y)33.24%
ROICexgc(5y)N/A
ROCE(3y)33.7%
ROCE(5y)N/A
ROICexgc growth 3Y-1.12%
ROICexgc growth 5Y108.59%
ROICexc growth 3Y-1.12%
ROICexc growth 5Y108.59%
OM growth 3Y2.48%
OM growth 5Y92.84%
PM growth 3Y-3.18%
PM growth 5Y159.51%
GM growth 3Y1.19%
GM growth 5Y3.88%
F-Score8
Asset Turnover1.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 134.35% | ||
| Cap/Sales | 3.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.34% | ||
| Profit Quality | 78.92% | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 5.67 |
F-Score8
WACC9.67%
ROIC/WACC2.56
Cap/Depr(3y)124.65%
Cap/Depr(5y)95.63%
Cap/Sales(3y)3.52%
Cap/Sales(5y)2.9%
Profit Quality(3y)70.29%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)22.38%
EPS 3Y16.67%
EPS 5Y185.29%
EPS Q2Q%-15.07%
EPS Next Y10.55%
EPS Next 2Y8.59%
EPS Next 3Y10.5%
EPS Next 5Y9.9%
Revenue 1Y (TTM)6.17%
Revenue growth 3Y6.45%
Revenue growth 5Y7.96%
Sales Q2Q%2.72%
Revenue Next Year7.92%
Revenue Next 2Y5.75%
Revenue Next 3Y5.35%
Revenue Next 5Y4.82%
EBIT growth 1Y21.19%
EBIT growth 3Y9.1%
EBIT growth 5Y108.19%
EBIT Next Year25.49%
EBIT Next 3Y10.22%
EBIT Next 5Y10.21%
FCF growth 1Y-17.54%
FCF growth 3Y11.65%
FCF growth 5Y24.65%
OCF growth 1Y-7.89%
OCF growth 3Y18.81%
OCF growth 5Y16.86%
BUILD-A-BEAR WORKSHOP INC / BBW FAQ
Can you provide the ChartMill fundamental rating for BUILD-A-BEAR WORKSHOP INC?
ChartMill assigns a fundamental rating of 7 / 10 to BBW.
What is the valuation status of BUILD-A-BEAR WORKSHOP INC (BBW) stock?
ChartMill assigns a valuation rating of 6 / 10 to BUILD-A-BEAR WORKSHOP INC (BBW). This can be considered as Fairly Valued.
How profitable is BUILD-A-BEAR WORKSHOP INC (BBW) stock?
BUILD-A-BEAR WORKSHOP INC (BBW) has a profitability rating of 9 / 10.
What is the expected EPS growth for BUILD-A-BEAR WORKSHOP INC (BBW) stock?
The Earnings per Share (EPS) of BUILD-A-BEAR WORKSHOP INC (BBW) is expected to grow by 10.55% in the next year.
How sustainable is the dividend of BUILD-A-BEAR WORKSHOP INC (BBW) stock?
The dividend rating of BUILD-A-BEAR WORKSHOP INC (BBW) is 3 / 10 and the dividend payout ratio is 18.92%.