BRINK'S CO/THE (BCO) Stock Fundamental Analysis
NYSE:BCO - New York Stock Exchange, Inc. - US1096961040 - Common Stock - Currency: USD
BCO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 83 industry peers in the Commercial Services & Supplies industry. While BCO belongs to the best of the industry regarding profitability, there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on BCO. Finally BCO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year BCO was profitable.
BCO had a positive operating cash flow in the past year.
Each year in the past 5 years BCO has been profitable.
Each year in the past 5 years BCO had a positive operating cash flow.
1.2 Ratios
BCO has a Return On Assets (2.51%) which is in line with its industry peers.
The Return On Equity of BCO (80.27%) is better than 100.00% of its industry peers.
The Return On Invested Capital of BCO (7.29%) is better than 61.45% of its industry peers.
BCO had an Average Return On Invested Capital over the past 3 years of 7.26%. This is below the industry average of 10.89%.
The last Return On Invested Capital (7.29%) for BCO is above the 3 year average (7.26%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.51% | ||
| ROE | 80.27% | ||
| ROIC | 7.29% |
ROA(3y)2.16%
ROA(5y)1.73%
ROE(3y)49.44%
ROE(5y)49.26%
ROIC(3y)7.26%
ROIC(5y)6.71%
1.3 Margins
The Profit Margin of BCO (3.29%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of BCO has grown nicely.
BCO has a better Operating Margin (9.00%) than 66.27% of its industry peers.
BCO's Operating Margin has improved in the last couple of years.
The Gross Margin of BCO (25.23%) is worse than 63.86% of its industry peers.
BCO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9% | ||
| PM (TTM) | 3.29% | ||
| GM | 25.23% |
OM growth 3Y2.39%
OM growth 5Y4.78%
PM growth 3Y9.07%
PM growth 5Y32.79%
GM growth 3Y3.31%
GM growth 5Y1.84%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BCO is destroying value.
BCO has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, BCO has less shares outstanding
BCO has a worse debt/assets ratio than last year.
2.2 Solvency
BCO has an Altman-Z score of 1.56. This is a bad value and indicates that BCO is not financially healthy and even has some risk of bankruptcy.
BCO's Altman-Z score of 1.56 is on the low side compared to the rest of the industry. BCO is outperformed by 66.27% of its industry peers.
BCO has a debt to FCF ratio of 53.39. This is a negative value and a sign of low solvency as BCO would need 53.39 years to pay back of all of its debts.
BCO's Debt to FCF ratio of 53.39 is in line compared to the rest of the industry. BCO outperforms 42.17% of its industry peers.
A Debt/Equity ratio of 18.15 is on the high side and indicates that BCO has dependencies on debt financing.
BCO has a worse Debt to Equity ratio (18.15) than 87.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 18.15 | ||
| Debt/FCF | 53.39 | ||
| Altman-Z | 1.56 |
ROIC/WACC0.9
WACC8.07%
2.3 Liquidity
A Current Ratio of 1.52 indicates that BCO should not have too much problems paying its short term obligations.
BCO's Current ratio of 1.52 is in line compared to the rest of the industry. BCO outperforms 44.58% of its industry peers.
A Quick Ratio of 1.52 indicates that BCO should not have too much problems paying its short term obligations.
BCO's Quick ratio of 1.52 is in line compared to the rest of the industry. BCO outperforms 59.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.52 |
3. Growth
3.1 Past
BCO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.23%.
Measured over the past years, BCO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.06% on average per year.
Looking at the last year, BCO shows a small growth in Revenue. The Revenue has grown by 1.97% in the last year.
Measured over the past years, BCO shows a small growth in Revenue. The Revenue has been growing by 6.35% on average per year.
EPS 1Y (TTM)-6.23%
EPS 3Y12.27%
EPS 5Y12.06%
EPS Q2Q%6.58%
Revenue 1Y (TTM)1.97%
Revenue growth 3Y6.07%
Revenue growth 5Y6.35%
Sales Q2Q%0.88%
3.2 Future
BCO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.89% yearly.
BCO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.00% yearly.
EPS Next Y11.12%
EPS Next 2Y15.6%
EPS Next 3Y20.89%
EPS Next 5YN/A
Revenue Next Year3.11%
Revenue Next 2Y3.78%
Revenue Next 3Y4.96%
Revenue Next 5Y5%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.89, the valuation of BCO can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of BCO indicates a rather cheap valuation: BCO is cheaper than 81.93% of the companies listed in the same industry.
BCO is valuated cheaply when we compare the Price/Earnings ratio to 25.91, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.03, the valuation of BCO can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BCO indicates a rather cheap valuation: BCO is cheaper than 91.57% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.85, BCO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.89 | ||
| Fwd PE | 9.03 |
4.2 Price Multiples
BCO's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BCO is cheaper than 72.29% of the companies in the same industry.
BCO's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.87 | ||
| EV/EBITDA | 8.23 |
4.3 Compensation for Growth
BCO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of BCO may justify a higher PE ratio.
BCO's earnings are expected to grow with 20.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.07
PEG (5Y)0.99
EPS Next 2Y15.6%
EPS Next 3Y20.89%
5. Dividend
5.1 Amount
BCO has a Yearly Dividend Yield of 1.18%.
Compared to an average industry Dividend Yield of 2.47, BCO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, BCO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
5.2 History
The dividend of BCO is nicely growing with an annual growth rate of 9.81%!
BCO has been paying a dividend for at least 10 years, so it has a reliable track record.
BCO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.81%
Div Incr Years4
Div Non Decr Years28
5.3 Sustainability
25.67% of the earnings are spent on dividend by BCO. This is a low number and sustainable payout ratio.
BCO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP25.67%
EPS Next 2Y15.6%
EPS Next 3Y20.89%
NYSE:BCO (5/23/2025, 2:32:59 PM)
82.25
-1.14 (-1.37%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners99.79%
Inst Owner Change0.42%
Ins Owners0.48%
Ins Owner Change9.34%
Market Cap3.55B
Analysts82.86
Price Target127.5 (55.02%)
Short Float %2.45%
Short Ratio2.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
Yearly Dividend0.96
Dividend Growth(5Y)9.81%
DP25.67%
Div Incr Years4
Div Non Decr Years28
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)23.98%
Min EPS beat(2)11.25%
Max EPS beat(2)36.7%
EPS beat(4)3
Avg EPS beat(4)11.09%
Min EPS beat(4)-16.32%
Max EPS beat(4)36.7%
EPS beat(8)6
Avg EPS beat(8)8.77%
EPS beat(12)10
Avg EPS beat(12)7.88%
EPS beat(16)14
Avg EPS beat(16)11.58%
Revenue beat(2)1
Avg Revenue beat(2)0.83%
Min Revenue beat(2)-0.14%
Max Revenue beat(2)1.8%
Revenue beat(4)1
Avg Revenue beat(4)-0.52%
Min Revenue beat(4)-2.25%
Max Revenue beat(4)1.8%
Revenue beat(8)2
Avg Revenue beat(8)-0.33%
Revenue beat(12)4
Avg Revenue beat(12)-0.4%
Revenue beat(16)6
Avg Revenue beat(16)-0.55%
PT rev (1m)0%
PT rev (3m)0.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-14.56%
EPS NY rev (1m)5.68%
EPS NY rev (3m)6.48%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.33%
Revenue NY rev (1m)3.19%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.89 | ||
| Fwd PE | 9.03 | ||
| P/S | 0.71 | ||
| P/FCF | 48.87 | ||
| P/OCF | 11.77 | ||
| P/B | 17.27 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.23 |
EPS(TTM)6.92
EY8.41%
EPS(NY)9.11
Fwd EY11.08%
FCF(TTM)1.68
FCFY2.05%
OCF(TTM)6.99
OCFY8.5%
SpS116.26
BVpS4.76
TBVpS-38.87
PEG (NY)1.07
PEG (5Y)0.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.51% | ||
| ROE | 80.27% | ||
| ROCE | 9.49% | ||
| ROIC | 7.29% | ||
| ROICexc | 9.72% | ||
| ROICexgc | 19.96% | ||
| OM | 9% | ||
| PM (TTM) | 3.29% | ||
| GM | 25.23% | ||
| FCFM | 1.45% |
ROA(3y)2.16%
ROA(5y)1.73%
ROE(3y)49.44%
ROE(5y)49.26%
ROIC(3y)7.26%
ROIC(5y)6.71%
ROICexc(3y)9.65%
ROICexc(5y)8.62%
ROICexgc(3y)20.73%
ROICexgc(5y)18.55%
ROCE(3y)9.42%
ROCE(5y)8.65%
ROICexcg growth 3Y6.62%
ROICexcg growth 5Y8.33%
ROICexc growth 3Y8.17%
ROICexc growth 5Y4.02%
OM growth 3Y2.39%
OM growth 5Y4.78%
PM growth 3Y9.07%
PM growth 5Y32.79%
GM growth 3Y3.31%
GM growth 5Y1.84%
F-Score8
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 18.15 | ||
| Debt/FCF | 53.39 | ||
| Debt/EBITDA | 5.02 | ||
| Cap/Depr | 78.6% | ||
| Cap/Sales | 4.56% | ||
| Interest Coverage | 2.05 | ||
| Cash Conversion | 40.61% | ||
| Profit Quality | 44.01% | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.52 | ||
| Altman-Z | 1.56 |
F-Score8
WACC8.07%
ROIC/WACC0.9
Cap/Depr(3y)74.55%
Cap/Depr(5y)70.21%
Cap/Sales(3y)4.21%
Cap/Sales(5y)3.97%
Profit Quality(3y)289.66%
Profit Quality(5y)481.75%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.23%
EPS 3Y12.27%
EPS 5Y12.06%
EPS Q2Q%6.58%
EPS Next Y11.12%
EPS Next 2Y15.6%
EPS Next 3Y20.89%
EPS Next 5YN/A
Revenue 1Y (TTM)1.97%
Revenue growth 3Y6.07%
Revenue growth 5Y6.35%
Sales Q2Q%0.88%
Revenue Next Year3.11%
Revenue Next 2Y3.78%
Revenue Next 3Y4.96%
Revenue Next 5Y5%
EBIT growth 1Y-11.41%
EBIT growth 3Y8.6%
EBIT growth 5Y11.43%
EBIT Next Year47.18%
EBIT Next 3Y19.65%
EBIT Next 5Y18.65%
FCF growth 1Y-77.3%
FCF growth 3Y-13.1%
FCF growth 5Y-0.03%
OCF growth 1Y-40.93%
OCF growth 3Y-3.77%
OCF growth 5Y2.94%