BOISE CASCADE CO (BCC) Stock Fundamental Analysis
NYSE:BCC - New York Stock Exchange, Inc. - US09739D1000 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to BCC. BCC was compared to 48 industry peers in the Trading Companies & Distributors industry. BCC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. BCC has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
BCC had positive earnings in the past year.
BCC had a positive operating cash flow in the past year.
BCC had positive earnings in each of the past 5 years.
BCC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BCC has a Return On Assets of 8.98%. This is in the better half of the industry: BCC outperforms 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 14.70%, BCC is in the better half of the industry, outperforming 60.42% of the companies in the same industry.
BCC's Return On Invested Capital of 11.11% is fine compared to the rest of the industry. BCC outperforms 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BCC is significantly above the industry average of 9.18%.
The 3 year average ROIC (20.56%) for BCC is well above the current ROIC(11.11%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 14.7% | ||
| ROIC | 11.11% |
ROA(3y)17.21%
ROA(5y)17.64%
ROE(3y)27.07%
ROE(5y)30.89%
ROIC(3y)20.56%
ROIC(5y)23.38%
1.3 Margins
BCC has a better Profit Margin (4.73%) than 60.42% of its industry peers.
In the last couple of years the Profit Margin of BCC has grown nicely.
BCC has a Operating Margin of 6.22%. This is comparable to the rest of the industry: BCC outperforms 52.08% of its industry peers.
In the last couple of years the Operating Margin of BCC has grown nicely.
Looking at the Gross Margin, with a value of 18.94%, BCC is doing worse than 85.42% of the companies in the same industry.
BCC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.22% | ||
| PM (TTM) | 4.73% | ||
| GM | 18.94% |
OM growth 3Y-15.92%
OM growth 5Y19.91%
PM growth 3Y-14.61%
PM growth 5Y26.29%
GM growth 3Y-1.19%
GM growth 5Y6.28%
2. Health
2.1 Basic Checks
BCC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for BCC has been reduced compared to 1 year ago.
Compared to 5 years ago, BCC has less shares outstanding
The debt/assets ratio for BCC is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.03 indicates that BCC is not in any danger for bankruptcy at the moment.
The Altman-Z score of BCC (5.03) is better than 81.25% of its industry peers.
BCC has a debt to FCF ratio of 3.54. This is a good value and a sign of high solvency as BCC would need 3.54 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.54, BCC is in the better half of the industry, outperforming 60.42% of the companies in the same industry.
BCC has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
BCC has a Debt to Equity ratio of 0.22. This is in the better half of the industry: BCC outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.54 | ||
| Altman-Z | 5.03 |
ROIC/WACC1.14
WACC9.72%
2.3 Liquidity
BCC has a Current Ratio of 2.82. This indicates that BCC is financially healthy and has no problem in meeting its short term obligations.
BCC has a Current ratio of 2.82. This is in the better half of the industry: BCC outperforms 75.00% of its industry peers.
A Quick Ratio of 1.51 indicates that BCC should not have too much problems paying its short term obligations.
BCC's Quick ratio of 1.51 is fine compared to the rest of the industry. BCC outperforms 64.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The earnings per share for BCC have decreased strongly by -34.88% in the last year.
The Earnings Per Share has been growing by 35.93% on average over the past years. This is a very strong growth
Looking at the last year, BCC shows a decrease in Revenue. The Revenue has decreased by -4.67% in the last year.
BCC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.69% yearly.
EPS 1Y (TTM)-34.88%
EPS 3Y-18.94%
EPS 5Y35.93%
EPS Q2Q%-59.39%
Revenue 1Y (TTM)-4.67%
Revenue growth 3Y-5.33%
Revenue growth 5Y7.69%
Sales Q2Q%-6.62%
3.2 Future
Based on estimates for the next years, BCC will show a small growth in Earnings Per Share. The EPS will grow by 0.88% on average per year.
The Revenue is expected to grow by 1.83% on average over the next years.
EPS Next Y-31.65%
EPS Next 2Y-7.74%
EPS Next 3Y0.88%
EPS Next 5YN/A
Revenue Next Year-1.15%
Revenue Next 2Y1.69%
Revenue Next 3Y1.83%
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 decreasing.
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
With a Price/Earnings ratio of 10.90, the valuation of BCC can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of BCC indicates a rather cheap valuation: BCC is cheaper than 85.42% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.03. BCC is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 10.73, the valuation of BCC can be described as reasonable.
79.17% of the companies in the same industry are more expensive than BCC, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of BCC to the average of the S&P500 Index (21.94), we can say BCC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 10.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCC is valued cheaper than 91.67% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BCC indicates a somewhat cheap valuation: BCC is cheaper than 64.58% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.8 | ||
| EV/EBITDA | 5.95 |
4.3 Compensation for Growth
The decent profitability rating of BCC may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.3
EPS Next 2Y-7.74%
EPS Next 3Y0.88%
5. Dividend
5.1 Amount
With a yearly dividend of 0.92%, BCC is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.68, BCC has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, BCC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
5.2 History
The dividend of BCC is nicely growing with an annual growth rate of 33.47%!
BCC has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of BCC decreased recently.
Dividend Growth(5Y)33.47%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
BCC pays out 72.97% of its income as dividend. This is not a sustainable payout ratio.
The dividend of BCC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP72.97%
EPS Next 2Y-7.74%
EPS Next 3Y0.88%
87.33
-2.59 (-2.88%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners100.27%
Inst Owner Change-2.33%
Ins Owners0.81%
Ins Owner Change1.07%
Market Cap3.32B
Analysts70.91
Price Target121.21 (38.8%)
Short Float %2.35%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
Yearly Dividend5.89
Dividend Growth(5Y)33.47%
DP72.97%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.81%
Min EPS beat(2)-19.89%
Max EPS beat(2)-1.73%
EPS beat(4)1
Avg EPS beat(4)-4.3%
Min EPS beat(4)-19.89%
Max EPS beat(4)5.12%
EPS beat(8)4
Avg EPS beat(8)4.58%
EPS beat(12)7
Avg EPS beat(12)10.38%
EPS beat(16)11
Avg EPS beat(16)17.87%
Revenue beat(2)1
Avg Revenue beat(2)-0.12%
Min Revenue beat(2)-0.54%
Max Revenue beat(2)0.29%
Revenue beat(4)2
Avg Revenue beat(4)-0.26%
Min Revenue beat(4)-1.28%
Max Revenue beat(4)0.48%
Revenue beat(8)4
Avg Revenue beat(8)0.77%
Revenue beat(12)6
Avg Revenue beat(12)0.72%
Revenue beat(16)10
Avg Revenue beat(16)3.54%
PT rev (1m)-5.94%
PT rev (3m)-16.12%
EPS NQ rev (1m)-21.16%
EPS NQ rev (3m)-36.74%
EPS NY rev (1m)-17.67%
EPS NY rev (3m)-36.59%
Revenue NQ rev (1m)-2.25%
Revenue NQ rev (3m)-6.66%
Revenue NY rev (1m)-1.48%
Revenue NY rev (3m)-5.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 10.73 | ||
| P/S | 0.5 | ||
| P/FCF | 24.8 | ||
| P/OCF | 8.69 | ||
| P/B | 1.56 | ||
| P/tB | 1.86 | ||
| EV/EBITDA | 5.95 |
EPS(TTM)8.01
EY9.17%
EPS(NY)8.14
Fwd EY9.32%
FCF(TTM)3.52
FCFY4.03%
OCF(TTM)10.05
OCFY11.51%
SpS173.91
BVpS55.92
TBVpS46.98
PEG (NY)N/A
PEG (5Y)0.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 14.7% | ||
| ROCE | 14.81% | ||
| ROIC | 11.11% | ||
| ROICexc | 13.92% | ||
| ROICexgc | 16.44% | ||
| OM | 6.22% | ||
| PM (TTM) | 4.73% | ||
| GM | 18.94% | ||
| FCFM | 2.02% |
ROA(3y)17.21%
ROA(5y)17.64%
ROE(3y)27.07%
ROE(5y)30.89%
ROIC(3y)20.56%
ROIC(5y)23.38%
ROICexc(3y)31.07%
ROICexc(5y)35.84%
ROICexgc(3y)37.77%
ROICexgc(5y)41.09%
ROCE(3y)27.41%
ROCE(5y)31.18%
ROICexcg growth 3Y-31.63%
ROICexcg growth 5Y14.19%
ROICexc growth 3Y-34.18%
ROICexc growth 5Y11.92%
OM growth 3Y-15.92%
OM growth 5Y19.91%
PM growth 3Y-14.61%
PM growth 5Y26.29%
GM growth 3Y-1.19%
GM growth 5Y6.28%
F-Score4
Asset Turnover1.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.54 | ||
| Debt/EBITDA | 0.84 | ||
| Cap/Depr | 167.03% | ||
| Cap/Sales | 3.76% | ||
| Interest Coverage | 18.88 | ||
| Cash Conversion | 68.24% | ||
| Profit Quality | 42.85% | ||
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 5.03 |
F-Score4
WACC9.72%
ROIC/WACC1.14
Cap/Depr(3y)141.55%
Cap/Depr(5y)127.1%
Cap/Sales(3y)2.64%
Cap/Sales(5y)2.14%
Profit Quality(3y)87.05%
Profit Quality(5y)92.55%
High Growth Momentum
Growth
EPS 1Y (TTM)-34.88%
EPS 3Y-18.94%
EPS 5Y35.93%
EPS Q2Q%-59.39%
EPS Next Y-31.65%
EPS Next 2Y-7.74%
EPS Next 3Y0.88%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.67%
Revenue growth 3Y-5.33%
Revenue growth 5Y7.69%
Sales Q2Q%-6.62%
Revenue Next Year-1.15%
Revenue Next 2Y1.69%
Revenue Next 3Y1.83%
Revenue Next 5YN/A
EBIT growth 1Y-34.65%
EBIT growth 3Y-20.41%
EBIT growth 5Y29.13%
EBIT Next Year16.57%
EBIT Next 3Y11.14%
EBIT Next 5YN/A
FCF growth 1Y-82.46%
FCF growth 3Y-28.05%
FCF growth 5Y5.09%
OCF growth 1Y-57.05%
OCF growth 3Y-13.06%
OCF growth 5Y12.28%