BUILD-A-BEAR WORKSHOP INC (BBW) Stock Fundamental Analysis
USA - NYSE:BBW - US1200761047 - Common Stock
55.54 USD
-0.97 (-1.72%)
56.9025 USD
+1.36 (+2.45%)
We assign a fundamental rating of 7 out of 10 to BBW. BBW was compared to 121 industry peers in the Specialty Retail industry. BBW has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. BBW is not valued too expensively and it also shows a decent growth rate. This makes BBW very considerable for quality investing!
1. Profitability
1.1 Basic Checks
BBW had positive earnings in the past year.
BBW had a positive operating cash flow in the past year.
Of the past 5 years BBW 4 years were profitable.
BBW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BBW has a better Return On Assets (18.61%) than 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 92.56% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BBW is significantly above the industry average of 11.83%.
| 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
BBW has a Profit Margin of 11.34%. This is amongst the best in the industry. BBW outperforms 92.56% of its industry peers.
In the last couple of years the Profit Margin of BBW has grown nicely.
BBW has a better Operating Margin (14.33%) than 90.91% of its industry peers.
In the last couple of years the Operating Margin of BBW has grown nicely.
BBW's Gross Margin of 56.32% is amongst the best of the industry. BBW outperforms 85.12% of its industry peers.
In the last couple of years the Gross Margin of BBW has grown nicely.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BBW is creating value.
The number of shares outstanding for BBW has been reduced compared to 1 year ago.
BBW has less shares outstanding than it did 5 years ago.
BBW has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 5.81 indicates that BBW is not in any danger for bankruptcy at the moment.
BBW has a Altman-Z score of 5.81. This is amongst the best in the industry. BBW outperforms 89.26% of its industry peers.
BBW has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 5.81 |
ROIC/WACC2.62
WACC9.46%
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.
BBW has a better Quick ratio (0.77) than 65.29% of its industry peers.
BBW does not score too well on the current and quick ratio evaluation. However, as it has 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
BBW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.03%, which is quite impressive.
The Earnings Per Share has been growing by 185.29% on average over the past years. This is a very strong growth
The Revenue has grown by 8.10% in the past year. This is quite good.
Measured over the past years, BBW shows a small growth in Revenue. The Revenue has been growing by 7.96% on average per year.
EPS 1Y (TTM)33.03%
EPS 3Y16.67%
EPS 5Y185.29%
EPS Q2Q%46.87%
Revenue 1Y (TTM)8.1%
Revenue growth 3Y6.45%
Revenue growth 5Y7.96%
Sales Q2Q%11.14%
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.
BBW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.82% yearly.
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.
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
The Price/Earnings ratio is 12.54, which indicates a correct valuation of BBW.
Based on the Price/Earnings ratio, BBW is valued cheaply inside the industry as 80.17% of the companies are valued more expensively.
BBW is valuated cheaply when we compare the Price/Earnings ratio to 26.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 12.46 indicates a correct valuation of BBW.
BBW's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BBW is cheaper than 76.03% of the companies in the same industry.
BBW is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.99, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.54 | ||
| Fwd PE | 12.46 |
4.2 Price Multiples
68.59% of the companies in the same industry are more expensive than BBW, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, BBW is valued a bit cheaper than the industry average as 77.69% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.6 | ||
| EV/EBITDA | 7.69 |
4.3 Compensation for Growth
The 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)1.19
PEG (5Y)0.07
EPS Next 2Y8.59%
EPS Next 3Y10.5%
5. Dividend
5.1 Amount
BBW has a Yearly Dividend Yield of 1.52%.
BBW's Dividend Yield is a higher than the industry average which is at 5.23.
Compared to the average S&P500 Dividend Yield of 2.31, BBW is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
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
18.92% of the earnings are spent on dividend by BBW. This is a low number and sustainable payout ratio.
DP18.92%
EPS Next 2Y8.59%
EPS Next 3Y10.5%
55.54
-0.97 (-1.72%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners96.15%
Inst Owner Change0.2%
Ins Owners3.85%
Ins Owner Change-7.41%
Market Cap729.24M
Revenue(TTM)522.52M
Net Income(TTM)59.23M
Analysts80
Price Target81.6 (46.92%)
Short Float %16.53%
Short Ratio4.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
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)4.35%
PT rev (3m)29.73%
EPS NQ rev (1m)-13.87%
EPS NQ rev (3m)-0.56%
EPS NY rev (1m)0%
EPS NY rev (3m)4.68%
Revenue NQ rev (1m)-2.64%
Revenue NQ rev (3m)0.92%
Revenue NY rev (1m)-2.18%
Revenue NY rev (3m)2.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.54 | ||
| Fwd PE | 12.46 | ||
| P/S | 1.4 | ||
| P/FCF | 15.6 | ||
| P/OCF | 10.93 | ||
| P/B | 4.69 | ||
| P/tB | 4.69 | ||
| EV/EBITDA | 7.69 |
EPS(TTM)4.43
EY7.98%
EPS(NY)4.46
Fwd EY8.03%
FCF(TTM)3.56
FCFY6.41%
OCF(TTM)5.08
OCFY9.15%
SpS39.8
BVpS11.84
TBVpS11.84
PEG (NY)1.19
PEG (5Y)0.07
Graham Number34.35
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 | 5.81 |
F-Score8
WACC9.46%
ROIC/WACC2.62
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)33.03%
EPS 3Y16.67%
EPS 5Y185.29%
EPS Q2Q%46.87%
EPS Next Y10.55%
EPS Next 2Y8.59%
EPS Next 3Y10.5%
EPS Next 5Y9.9%
Revenue 1Y (TTM)8.1%
Revenue growth 3Y6.45%
Revenue growth 5Y7.96%
Sales Q2Q%11.14%
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 Year26.21%
EBIT Next 3Y14.38%
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%.