BUILD-A-BEAR WORKSHOP INC (BBW) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BBW - US1200761047 - Common Stock
63.63 USD
+0.62 (+0.98%)
63.63 USD
0 (0%)
BBW gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 122 industry peers in the Specialty Retail industry. BBW gets an excellent profitability rating and is at the same time showing great financial health properties. 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.
BBW had a positive operating cash flow in the past year.
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 better Return On Assets (17.61%) than 95.90% of its industry peers.
Looking at the Return On Equity, with a value of 38.17%, BBW belongs to the top of the industry, outperforming 89.34% of the companies in the same industry.
The Return On Invested Capital of BBW (23.35%) is better than 90.98% 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 | 17.61% | ||
| ROE | 38.17% | ||
| ROIC | 23.35% |
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
With an excellent Profit Margin value of 10.93%, BBW belongs to the best of the industry, outperforming 91.80% of the companies in the same industry.
BBW's Profit Margin has improved in the last couple of years.
BBW has a better Operating Margin (13.77%) than 90.16% of its industry peers.
In the last couple of years the Operating Margin of BBW has grown nicely.
The Gross Margin of BBW (56.20%) is better than 83.61% of its industry peers.
In the last couple of years the Gross Margin of BBW has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.77% | ||
| PM (TTM) | 10.93% | ||
| GM | 56.2% |
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.
Compared to 1 year ago, BBW has less shares outstanding
BBW has less shares outstanding than it did 5 years ago.
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
An Altman-Z score of 5.80 indicates that BBW is not in any danger for bankruptcy at the moment.
BBW's Altman-Z score of 5.80 is amongst the best of the industry. BBW outperforms 90.98% 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 | 5.8 |
ROIC/WACC2.41
WACC9.68%
2.3 Liquidity
A Current Ratio of 1.65 indicates that BBW should not have too much problems paying its short term obligations.
BBW's Current ratio of 1.65 is fine compared to the rest of the industry. BBW outperforms 68.85% of its industry peers.
BBW has a Quick Ratio of 1.65. This is a bad value and indicates that BBW is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of BBW (0.66) is comparable to the rest of the 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 | 1.65 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
BBW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.38%, which is quite impressive.
Measured over the past years, BBW shows a very strong growth in Earnings Per Share. The EPS has been growing by 185.29% on average per year.
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
BBW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.90% yearly.
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 Y7.63%
EPS Next 2Y3.67%
EPS Next 3Y6.57%
EPS Next 5Y9.9%
Revenue Next Year7.61%
Revenue Next 2Y5.95%
Revenue Next 3Y5.43%
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
BBW is valuated correctly with a Price/Earnings ratio of 14.73.
Based on the Price/Earnings ratio, BBW is valued a bit cheaper than 79.51% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.17, BBW is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 15.66, the valuation of BBW can be described as correct.
Based on the Price/Forward Earnings ratio, BBW is valued a bit cheaper than 71.31% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of BBW to the average of the S&P500 Index (23.79), we can say BBW is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.73 | ||
| Fwd PE | 15.66 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BBW indicates a somewhat cheap valuation: BBW is cheaper than 63.93% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BBW indicates a somewhat cheap valuation: BBW is cheaper than 68.85% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.49 | ||
| EV/EBITDA | 9.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of BBW may justify a higher PE ratio.
PEG (NY)1.93
PEG (5Y)0.08
EPS Next 2Y3.67%
EPS Next 3Y6.57%
5. Dividend
5.1 Amount
BBW has a Yearly Dividend Yield of 1.44%. Purely for dividend investing, there may be better candidates out there.
BBW's Dividend Yield is a higher than the industry average which is at 2.20.
BBW's Dividend Yield is slightly below the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.44% |
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
19.82% of the earnings are spent on dividend by BBW. This is a low number and sustainable payout ratio.
DP19.82%
EPS Next 2Y3.67%
EPS Next 3Y6.57%
63.63
+0.62 (+0.98%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners108.17%
Inst Owner Change0%
Ins Owners3.7%
Ins Owner Change-3.61%
Market Cap835.46M
Revenue(TTM)525.77M
Net Income(TTM)57.49M
Analysts80
Price Target70.13 (10.22%)
Short Float %21.01%
Short Ratio6.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.44% |
Yearly Dividend0.8
Dividend Growth(5Y)N/A
DP19.82%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.82%
Min EPS beat(2)4.04%
Max EPS beat(2)39.6%
EPS beat(4)4
Avg EPS beat(4)20.57%
Min EPS beat(4)4.04%
Max EPS beat(4)39.6%
EPS beat(8)7
Avg EPS beat(8)11.69%
EPS beat(12)10
Avg EPS beat(12)12.14%
EPS beat(16)13
Avg EPS beat(16)12.51%
Revenue beat(2)1
Avg Revenue beat(2)1.81%
Min Revenue beat(2)-2.26%
Max Revenue beat(2)5.88%
Revenue beat(4)3
Avg Revenue beat(4)2.65%
Min Revenue beat(4)-2.26%
Max Revenue beat(4)6.02%
Revenue beat(8)5
Avg Revenue beat(8)1.17%
Revenue beat(12)8
Avg Revenue beat(12)1.56%
Revenue beat(16)11
Avg Revenue beat(16)2.52%
PT rev (1m)-14.06%
PT rev (3m)-14.06%
EPS NQ rev (1m)-4.41%
EPS NQ rev (3m)-4.89%
EPS NY rev (1m)-2.65%
EPS NY rev (3m)-2.65%
Revenue NQ rev (1m)-0.89%
Revenue NQ rev (3m)0.04%
Revenue NY rev (1m)-0.29%
Revenue NY rev (3m)-0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.73 | ||
| Fwd PE | 15.66 | ||
| P/S | 1.59 | ||
| P/FCF | 22.49 | ||
| P/OCF | 13.98 | ||
| P/B | 5.55 | ||
| P/tB | 5.55 | ||
| EV/EBITDA | 9.16 |
EPS(TTM)4.32
EY6.79%
EPS(NY)4.06
Fwd EY6.38%
FCF(TTM)2.83
FCFY4.45%
OCF(TTM)4.55
OCFY7.15%
SpS40.04
BVpS11.47
TBVpS11.47
PEG (NY)1.93
PEG (5Y)0.08
Graham Number33.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.61% | ||
| ROE | 38.17% | ||
| ROCE | 29.8% | ||
| ROIC | 23.35% | ||
| ROICexc | 26.36% | ||
| ROICexgc | 26.36% | ||
| OM | 13.77% | ||
| PM (TTM) | 10.93% | ||
| GM | 56.2% | ||
| FCFM | 7.07% |
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-Score7
Asset Turnover1.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 152.24% | ||
| Cap/Sales | 4.3% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 68.5% | ||
| Profit Quality | 64.63% | ||
| Current Ratio | 1.65 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 5.8 |
F-Score7
WACC9.68%
ROIC/WACC2.41
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 Y7.63%
EPS Next 2Y3.67%
EPS Next 3Y6.57%
EPS Next 5Y9.9%
Revenue 1Y (TTM)6.17%
Revenue growth 3Y6.45%
Revenue growth 5Y7.96%
Sales Q2Q%2.72%
Revenue Next Year7.61%
Revenue Next 2Y5.95%
Revenue Next 3Y5.43%
Revenue Next 5Y4.82%
EBIT growth 1Y11.94%
EBIT growth 3Y9.1%
EBIT growth 5Y108.19%
EBIT Next Year25.27%
EBIT Next 3Y11.38%
EBIT Next 5Y10.21%
FCF growth 1Y-26.81%
FCF growth 3Y11.65%
FCF growth 5Y24.65%
OCF growth 1Y-13.09%
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 for BBW stock?
ChartMill assigns a valuation rating of 5 / 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 valuation of BUILD-A-BEAR WORKSHOP INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for BUILD-A-BEAR WORKSHOP INC (BBW) is 14.73 and the Price/Book (PB) ratio is 5.55.
Can you provide the financial health for BBW stock?
The financial health rating of BUILD-A-BEAR WORKSHOP INC (BBW) is 9 / 10.