BEKAERT NV (BEKB.BR) Stock Fundamental Analysis
Europe - Euronext Brussels - EBR:BEKB - BE0974258874 - Common Stock
40.05 EUR
-0.55 (-1.35%)
We assign a fundamental rating of 6 out of 10 to BEKB. BEKB was compared to 43 industry peers in the Metals & Mining industry. BEKB has an average financial health and profitability rating. BEKB is cheap, but on the other hand it scores bad on growth. With these ratings, BEKB could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
- BEKB had positive earnings in the past year.
- In the past year BEKB had a positive cash flow from operations.
- Each year in the past 5 years BEKB has been profitable.
- Each year in the past 5 years BEKB had a positive operating cash flow.
1.2 Ratios
- BEKB has a Return On Assets (4.47%) which is comparable to the rest of the industry.
- BEKB's Return On Equity of 8.30% is in line compared to the rest of the industry. BEKB outperforms 53.49% of its industry peers.
- BEKB has a Return On Invested Capital of 8.40%. This is in the better half of the industry: BEKB outperforms 62.79% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BEKB is in line with the industry average of 8.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.47% | ||
| ROE | 8.3% | ||
| ROIC | 8.4% |
ROA(3y)5.85%
ROA(5y)5.81%
ROE(3y)11.83%
ROE(5y)13.07%
ROIC(3y)9.61%
ROIC(5y)9.69%
1.3 Margins
- BEKB has a Profit Margin (4.52%) which is comparable to the rest of the industry.
- In the last couple of years the Profit Margin of BEKB has grown nicely.
- The Operating Margin of BEKB (7.88%) is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of BEKB has grown nicely.
- BEKB's Gross Margin of 16.35% is on the low side compared to the rest of the industry. BEKB is outperformed by 69.77% of its industry peers.
- In the last couple of years the Gross Margin of BEKB has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.88% | ||
| PM (TTM) | 4.52% | ||
| GM | 16.35% |
OM growth 3Y-4.84%
OM growth 5Y8.55%
PM growth 3Y-10.25%
PM growth 5Y44.56%
GM growth 3Y-2.61%
GM growth 5Y4.9%
2. Health
2.1 Basic Checks
- BEKB has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- BEKB has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for BEKB has been reduced compared to 5 years ago.
- The debt/assets ratio for BEKB has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 3.00 indicates that BEKB is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 3.00, BEKB is doing good in the industry, outperforming 60.47% of the companies in the same industry.
- The Debt to FCF ratio of BEKB is 3.33, which is a good value as it means it would take BEKB, 3.33 years of fcf income to pay off all of its debts.
- BEKB's Debt to FCF ratio of 3.33 is fine compared to the rest of the industry. BEKB outperforms 72.09% of its industry peers.
- A Debt/Equity ratio of 0.25 indicates that BEKB is not too dependend on debt financing.
- BEKB has a Debt to Equity ratio (0.25) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 3.33 | ||
| Altman-Z | 3 |
ROIC/WACC0.95
WACC8.83%
2.3 Liquidity
- A Current Ratio of 1.75 indicates that BEKB should not have too much problems paying its short term obligations.
- The Current ratio of BEKB (1.75) is comparable to the rest of the industry.
- A Quick Ratio of 1.09 indicates that BEKB should not have too much problems paying its short term obligations.
- BEKB's Quick ratio of 1.09 is on the low side compared to the rest of the industry. BEKB is outperformed by 60.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.75 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
- BEKB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -26.05%.
- BEKB shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 44.16% yearly.
- Looking at the last year, BEKB shows a decrease in Revenue. The Revenue has decreased by -5.39% in the last year.
- Measured over the past years, BEKB shows a decrease in Revenue. The Revenue has been decreasing by -1.75% on average per year.
EPS 1Y (TTM)-26.05%
EPS 3Y-13.68%
EPS 5Y44.16%
EPS Q2Q%-43%
Revenue 1Y (TTM)-5.39%
Revenue growth 3Y-6.49%
Revenue growth 5Y-1.75%
Sales Q2Q%-5.2%
3.2 Future
- The Earnings Per Share is expected to grow by 5.27% on average over the next years.
- BEKB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.82% yearly.
EPS Next Y-11.96%
EPS Next 2Y2.8%
EPS Next 3Y5.27%
EPS Next 5YN/A
Revenue Next Year-5.52%
Revenue Next 2Y-2.05%
Revenue Next 3Y-0.37%
Revenue Next 5Y6.82%
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.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 8.78, which indicates a very decent valuation of BEKB.
- 93.02% of the companies in the same industry are more expensive than BEKB, based on the Price/Earnings ratio.
- When comparing the Price/Earnings ratio of BEKB to the average of the S&P500 Index (27.21), we can say BEKB is valued rather cheaply.
- With a Price/Forward Earnings ratio of 8.31, the valuation of BEKB can be described as very reasonable.
- 95.35% of the companies in the same industry are more expensive than BEKB, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, BEKB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.78 | ||
| Fwd PE | 8.31 |
4.2 Price Multiples
- BEKB's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BEKB is cheaper than 86.05% of the companies in the same industry.
- BEKB's Price/Free Cash Flow ratio is rather cheap when compared to the industry. BEKB is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.55 | ||
| EV/EBITDA | 5.38 |
4.3 Compensation for Growth
- BEKB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.2
EPS Next 2Y2.8%
EPS Next 3Y5.27%
5. Dividend
5.1 Amount
- BEKB has a Yearly Dividend Yield of 3.33%.
- Compared to an average industry Dividend Yield of 1.65, BEKB pays a better dividend. On top of this BEKB pays more dividend than 86.05% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, BEKB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.33% |
5.2 History
- The dividend of BEKB is nicely growing with an annual growth rate of 20.69%!
Dividend Growth(5Y)20.69%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
- BEKB pays out 55.35% of its income as dividend. This is a bit on the high side, but may be sustainable.
- BEKB's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP55.35%
EPS Next 2Y2.8%
EPS Next 3Y5.27%
BEKAERT NV / BEKB.BR FAQ
What is the ChartMill fundamental rating of BEKAERT NV (BEKB.BR) stock?
ChartMill assigns a fundamental rating of 6 / 10 to BEKB.BR.
What is the valuation status for BEKB stock?
ChartMill assigns a valuation rating of 7 / 10 to BEKAERT NV (BEKB.BR). This can be considered as Undervalued.
How profitable is BEKAERT NV (BEKB.BR) stock?
BEKAERT NV (BEKB.BR) has a profitability rating of 6 / 10.
What are the PE and PB ratios of BEKAERT NV (BEKB.BR) stock?
The Price/Earnings (PE) ratio for BEKAERT NV (BEKB.BR) is 8.78 and the Price/Book (PB) ratio is 0.99.
What is the earnings growth outlook for BEKAERT NV?
The Earnings per Share (EPS) of BEKAERT NV (BEKB.BR) is expected to decline by -11.96% in the next year.