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.
In the past 5 years BCO always reported a positive cash flow from operatings.
1.2 Ratios
BCO has a Return On Assets (2.51%) which is comparable to the rest of the industry.
BCO has a better Return On Equity (80.27%) than 100.00% of its industry peers.
BCO has a better Return On Invested Capital (7.29%) than 60.24% 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 11.64%.
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
With a Profit Margin value of 3.29%, BCO perfoms like the industry average, outperforming 57.83% of the companies in the same industry.
BCO's Profit Margin has improved in the last couple of years.
BCO has a better Operating Margin (9.00%) than 63.86% of its industry peers.
BCO's Operating Margin has improved in the last couple of years.
BCO has a Gross Margin of 25.23%. This is in the lower half of the industry: BCO underperforms 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BCO is destroying value.
BCO has less shares outstanding than it did 1 year ago.
BCO has less shares outstanding than it did 5 years ago.
The debt/assets ratio for BCO is higher compared to a year ago.
2.2 Solvency
BCO has an Altman-Z score of 1.58. This is a bad value and indicates that BCO is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.58, BCO is doing worse than 65.06% of the companies in the same industry.
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.
With a Debt to FCF ratio value of 53.39, BCO perfoms like the industry average, outperforming 44.58% of the companies in the same industry.
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 86.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 18.15 | ||
| Debt/FCF | 53.39 | ||
| Altman-Z | 1.58 |
ROIC/WACC0.89
WACC8.21%
2.3 Liquidity
BCO has a Current Ratio of 1.52. This is a normal value and indicates that BCO is financially healthy and should not expect problems in meeting its short term obligations.
BCO's Current ratio of 1.52 is in line compared to the rest of the industry. BCO outperforms 45.78% 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 has a Quick ratio of 1.52. This is comparable 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.
The Revenue has been growing slightly by 1.97% in the past year.
BCO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.35% yearly.
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
The Earnings Per Share is expected to grow by 20.89% on average over the next years. This is a very strong growth
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
The EPS growth rate is accelerating: in the next years the growth will be better 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
BCO is valuated correctly with a Price/Earnings ratio of 12.90.
83.13% of the companies in the same industry are more expensive than BCO, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.91. BCO is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 9.80, the valuation of BCO can be described as very reasonable.
Based on the Price/Forward Earnings ratio, BCO is valued cheaper than 89.16% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 37.11, BCO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.9 | ||
| Fwd PE | 9.8 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCO is valued a bit cheaper than the industry average as 74.70% of the companies are valued more expensively.
BCO's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 51.58 | ||
| EV/EBITDA | 8.45 |
4.3 Compensation for Growth
BCO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
BCO has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as BCO's earnings are expected to grow with 20.89% in the coming years.
PEG (NY)1.16
PEG (5Y)1.07
EPS Next 2Y15.6%
EPS Next 3Y20.89%
5. Dividend
5.1 Amount
BCO has a Yearly Dividend Yield of 1.09%. Purely for dividend investing, there may be better candidates out there.
BCO's Dividend Yield is a higher than the industry average which is at 2.37.
With a Dividend Yield of 1.09, BCO pays less dividend than the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
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 its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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 (7/30/2025, 11:44:18 AM)
89.28
-0.39 (-0.43%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners102.61%
Inst Owner Change-0.48%
Ins Owners1.03%
Ins Owner Change9.06%
Market Cap3.75B
Analysts82.86
Price Target129.03 (44.52%)
Short Float %2.72%
Short Ratio3.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
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)1.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.88%
EPS NY rev (1m)0%
EPS NY rev (3m)5.68%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.88%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.9 | ||
| Fwd PE | 9.8 | ||
| P/S | 0.75 | ||
| P/FCF | 51.58 | ||
| P/OCF | 12.42 | ||
| P/B | 18.22 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.45 |
EPS(TTM)6.92
EY7.75%
EPS(NY)9.11
Fwd EY10.21%
FCF(TTM)1.73
FCFY1.94%
OCF(TTM)7.19
OCFY8.05%
SpS119.58
BVpS4.9
TBVpS-39.98
PEG (NY)1.16
PEG (5Y)1.07
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 | 1.58 |
F-Score8
WACC8.21%
ROIC/WACC0.89
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 Year51.22%
EBIT Next 3Y21.81%
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%