BAIN CAPITAL SPECIALTY FINAN (BCSF) Stock Fundamental Analysis
NYSE:BCSF - New York Stock Exchange, Inc. - US05684B1070 - Common Stock - Currency: USD
Overall BCSF gets a fundamental rating of 4 out of 10. We evaluated BCSF against 232 industry peers in the Capital Markets industry. While BCSF is still in line with the averages on profitability rating, there are concerns on its financial health. BCSF is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BCSF was profitable.
In the past year BCSF had a positive cash flow from operations.
Each year in the past 5 years BCSF has been profitable.
In multiple years BCSF reported negative operating cash flow during the last 5 years.
1.2 Ratios
With a decent Return On Assets value of 4.27%, BCSF is doing good in the industry, outperforming 62.93% of the companies in the same industry.
Looking at the Return On Equity, with a value of 9.86%, BCSF is in line with its industry, outperforming 56.47% of the companies in the same industry.
The Return On Invested Capital of BCSF (4.17%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for BCSF is below the industry average of 7.89%.
The 3 year average ROIC (4.13%) for BCSF is below the current ROIC(4.17%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.27% | ||
| ROE | 9.86% | ||
| ROIC | 4.17% |
ROA(3y)4.53%
ROA(5y)3.71%
ROE(3y)10.26%
ROE(5y)8.49%
ROIC(3y)4.13%
ROIC(5y)3.56%
1.3 Margins
The Profit Margin of BCSF (39.60%) is better than 82.33% of its industry peers.
BCSF's Profit Margin has declined in the last couple of years.
BCSF has a Operating Margin of 48.20%. This is amongst the best in the industry. BCSF outperforms 81.90% of its industry peers.
BCSF's Operating Margin has improved in the last couple of years.
BCSF's Gross Margin of 52.03% is in line compared to the rest of the industry. BCSF outperforms 58.62% of its industry peers.
BCSF's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.2% | ||
| PM (TTM) | 39.6% | ||
| GM | 52.03% |
OM growth 3Y2.21%
OM growth 5Y2.08%
PM growth 3Y-12.39%
PM growth 5Y-3.82%
GM growth 3Y2.62%
GM growth 5Y2.37%
2. Health
2.1 Basic Checks
The number of shares outstanding for BCSF remains at a similar level compared to 1 year ago.
The number of shares outstanding for BCSF has been increased compared to 5 years ago.
Compared to 1 year ago, BCSF has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.69, we must say that BCSF is in the distress zone and has some risk of bankruptcy.
BCSF's Altman-Z score of 0.69 is in line compared to the rest of the industry. BCSF outperforms 40.95% of its industry peers.
BCSF has a debt to FCF ratio of 49.49. This is a negative value and a sign of low solvency as BCSF would need 49.49 years to pay back of all of its debts.
The Debt to FCF ratio of BCSF (49.49) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.27 is on the high side and indicates that BCSF has dependencies on debt financing.
BCSF has a worse Debt to Equity ratio (1.27) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 49.49 | ||
| Altman-Z | 0.69 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.89 indicates that BCSF should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.89, BCSF is doing good in the industry, outperforming 66.81% of the companies in the same industry.
A Quick Ratio of 1.89 indicates that BCSF should not have too much problems paying its short term obligations.
The Quick ratio of BCSF (1.89) is better than 67.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
The earnings per share for BCSF have decreased by -7.21% in the last year.
BCSF shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.38% yearly.
Looking at the last year, BCSF shows a decrease in Revenue. The Revenue has decreased by -4.22% in the last year.
BCSF shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.14% yearly.
EPS 1Y (TTM)-7.21%
EPS 3Y15.4%
EPS 5Y5.38%
EPS Q2Q%-5.66%
Revenue 1Y (TTM)-4.22%
Revenue growth 3Y14.03%
Revenue growth 5Y8.14%
Sales Q2Q%-11.64%
3.2 Future
Based on estimates for the next years, BCSF will show a decrease in Earnings Per Share. The EPS will decrease by -8.49% on average per year.
BCSF is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -4.42% yearly.
EPS Next Y-12.15%
EPS Next 2Y-10.17%
EPS Next 3Y-8.49%
EPS Next 5YN/A
Revenue Next Year-6.53%
Revenue Next 2Y-4.66%
Revenue Next 3Y-4.42%
Revenue Next 5YN/A
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
BCSF is valuated cheaply with a Price/Earnings ratio of 7.63.
BCSF's Price/Earnings ratio is rather cheap when compared to the industry. BCSF is cheaper than 86.21% of the companies in the same industry.
BCSF is valuated cheaply when we compare the Price/Earnings ratio to 26.25, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 9.32, the valuation of BCSF can be described as very reasonable.
Based on the Price/Forward Earnings ratio, BCSF is valued a bit cheaper than the industry average as 76.29% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.15, BCSF is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.63 | ||
| Fwd PE | 9.32 |
4.2 Price Multiples
BCSF's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.78 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
BCSF has a very decent profitability rating, which may justify a higher PE ratio.
BCSF's earnings are expected to decrease with -8.49% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.42
EPS Next 2Y-10.17%
EPS Next 3Y-8.49%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.74%, BCSF is a good candidate for dividend investing.
BCSF's Dividend Yield is a higher than the industry average which is at 8.15.
BCSF's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.74% |
5.2 History
The dividend of BCSF has a limited annual growth rate of 2.77%.
BCSF has been paying a dividend for over 5 years, so it has already some track record.
BCSF has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.77%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
128.82% of the earnings are spent on dividend by BCSF. This is not a sustainable payout ratio.
BCSF's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP128.82%
EPS Next 2Y-10.17%
EPS Next 3Y-8.49%
15.72
+0.08 (+0.51%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners36.06%
Inst Owner Change-0.5%
Ins Owners0.59%
Ins Owner Change0.55%
Market Cap1.02B
Analysts77.78
Price Target17 (8.14%)
Short Float %0.54%
Short Ratio0.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.74% |
Yearly Dividend1.77
Dividend Growth(5Y)2.77%
DP128.82%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.63%
Min EPS beat(2)3.56%
Max EPS beat(2)7.71%
EPS beat(4)3
Avg EPS beat(4)2.82%
Min EPS beat(4)-3.23%
Max EPS beat(4)7.71%
EPS beat(8)4
Avg EPS beat(8)2.98%
EPS beat(12)7
Avg EPS beat(12)8.04%
EPS beat(16)7
Avg EPS beat(16)5.59%
Revenue beat(2)0
Avg Revenue beat(2)-10.06%
Min Revenue beat(2)-12.42%
Max Revenue beat(2)-7.71%
Revenue beat(4)1
Avg Revenue beat(4)-6.23%
Min Revenue beat(4)-12.42%
Max Revenue beat(4)0.72%
Revenue beat(8)4
Avg Revenue beat(8)-0.13%
Revenue beat(12)7
Avg Revenue beat(12)3.18%
Revenue beat(16)9
Avg Revenue beat(16)2.37%
PT rev (1m)-5.66%
PT rev (3m)-2.91%
EPS NQ rev (1m)-7.04%
EPS NQ rev (3m)-5.04%
EPS NY rev (1m)-4.76%
EPS NY rev (3m)-2.7%
Revenue NQ rev (1m)-1.62%
Revenue NQ rev (3m)-1.17%
Revenue NY rev (1m)-1.87%
Revenue NY rev (3m)-2.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.63 | ||
| Fwd PE | 9.32 | ||
| P/S | 3.58 | ||
| P/FCF | 34.78 | ||
| P/OCF | 34.78 | ||
| P/B | 0.89 | ||
| P/tB | 0.89 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.06
EY13.1%
EPS(NY)1.69
Fwd EY10.73%
FCF(TTM)0.45
FCFY2.88%
OCF(TTM)0.45
OCFY2.88%
SpS4.39
BVpS17.64
TBVpS17.64
PEG (NY)N/A
PEG (5Y)1.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.27% | ||
| ROE | 9.86% | ||
| ROCE | 5.28% | ||
| ROIC | 4.17% | ||
| ROICexc | 4.23% | ||
| ROICexgc | 4.25% | ||
| OM | 48.2% | ||
| PM (TTM) | 39.6% | ||
| GM | 52.03% | ||
| FCFM | 10.29% |
ROA(3y)4.53%
ROA(5y)3.71%
ROE(3y)10.26%
ROE(5y)8.49%
ROIC(3y)4.13%
ROIC(5y)3.56%
ROICexc(3y)4.22%
ROICexc(5y)3.66%
ROICexgc(3y)4.24%
ROICexgc(5y)3.67%
ROCE(3y)5.23%
ROCE(5y)4.51%
ROICexcg growth 3Y15.38%
ROICexcg growth 5Y11.17%
ROICexc growth 3Y15.28%
ROICexc growth 5Y11.09%
OM growth 3Y2.21%
OM growth 5Y2.08%
PM growth 3Y-12.39%
PM growth 5Y-3.82%
GM growth 3Y2.62%
GM growth 5Y2.37%
F-Score3
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 49.49 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.89 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 25.98% | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | 0.69 |
F-Score3
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.21%
EPS 3Y15.4%
EPS 5Y5.38%
EPS Q2Q%-5.66%
EPS Next Y-12.15%
EPS Next 2Y-10.17%
EPS Next 3Y-8.49%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.22%
Revenue growth 3Y14.03%
Revenue growth 5Y8.14%
Sales Q2Q%-11.64%
Revenue Next Year-6.53%
Revenue Next 2Y-4.66%
Revenue Next 3Y-4.42%
Revenue Next 5YN/A
EBIT growth 1Y-6.68%
EBIT growth 3Y16.55%
EBIT growth 5Y10.39%
EBIT Next Year688.74%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y111.37%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y111.37%
OCF growth 3YN/A
OCF growth 5YN/A