B&G FOODS INC (BGS)

US05508R1068 - Common Stock

9.415  -0.05 (-0.48%)

Fundamental Rating

4

Taking everything into account, BGS scores 4 out of 10 in our fundamental rating. BGS was compared to 93 industry peers in the Food Products industry. While BGS is still in line with the averages on profitability rating, there are concerns on its financial health. BGS has a valuation in line with the averages, but on the other hand it scores bad on growth.



5

1. Profitability

1.1 Basic Checks

In the past year BGS was profitable.
In the past year BGS had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: BGS reported negative net income in multiple years.
Each year in the past 5 years BGS had a positive operating cash flow.

1.2 Ratios

BGS has a worse Return On Assets (-3.27%) than 60.87% of its industry peers.
Looking at the Return On Equity, with a value of -14.05%, BGS is doing worse than 66.30% of the companies in the same industry.
The Return On Invested Capital of BGS (8.72%) is better than 83.70% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BGS is below the industry average of 7.70%.
The 3 year average ROIC (5.03%) for BGS is below the current ROIC(8.72%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA -3.27%
ROE -14.05%
ROIC 8.72%
ROA(3y)-0.15%
ROA(5y)1.08%
ROE(3y)-0.64%
ROE(5y)4.67%
ROIC(3y)5.03%
ROIC(5y)5.33%

1.3 Margins

BGS has a Operating Margin of 16.98%. This is amongst the best in the industry. BGS outperforms 93.48% of its industry peers.
In the last couple of years the Operating Margin of BGS has grown nicely.
BGS has a Gross Margin (22.22%) which is comparable to the rest of the industry.
BGS's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 16.98%
PM (TTM) N/A
GM 22.22%
OM growth 3Y-6.24%
OM growth 5Y3.76%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.37%
GM growth 5Y1.45%

3

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BGS is still creating some value.
The number of shares outstanding for BGS has been increased compared to 1 year ago.
The number of shares outstanding for BGS has been increased compared to 5 years ago.
Compared to 1 year ago, BGS has an improved debt to assets ratio.

2.2 Solvency

Based on the Altman-Z score of 1.62, we must say that BGS is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.62, BGS perfoms like the industry average, outperforming 40.22% of the companies in the same industry.
BGS has a debt to FCF ratio of 11.10. This is a negative value and a sign of low solvency as BGS would need 11.10 years to pay back of all of its debts.
BGS has a Debt to FCF ratio (11.10) which is comparable to the rest of the industry.
A Debt/Equity ratio of 2.58 is on the high side and indicates that BGS has dependencies on debt financing.
BGS has a Debt to Equity ratio of 2.58. This is amonst the worse of the industry: BGS underperforms 89.13% of its industry peers.
Industry RankSector Rank
Debt/Equity 2.58
Debt/FCF 11.1
Altman-Z 1.62
ROIC/WACC1.25
WACC6.99%

2.3 Liquidity

A Current Ratio of 3.22 indicates that BGS has no problem at all paying its short term obligations.
The Current ratio of BGS (3.22) is better than 84.78% of its industry peers.
A Quick Ratio of 0.92 indicates that BGS may have some problems paying its short term obligations.
The Quick ratio of BGS (0.92) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 3.22
Quick Ratio 0.92

2

3. Growth

3.1 Past

The earnings per share for BGS have decreased strongly by -14.29% in the last year.
Measured over the past years, BGS shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.66% on average per year.
Looking at the last year, BGS shows a decrease in Revenue. The Revenue has decreased by -5.45% in the last year.
The Revenue has been growing slightly by 3.93% on average over the past years.
EPS 1Y (TTM)-14.29%
EPS 3Y-24.05%
EPS 5Y-11.66%
EPS Q2Q%-33.33%
Revenue 1Y (TTM)-5.45%
Revenue growth 3Y1.57%
Revenue growth 5Y3.93%
Sales Q2Q%-7.15%

3.2 Future

Based on estimates for the next years, BGS will show a small growth in Earnings Per Share. The EPS will grow by 3.82% on average per year.
The Revenue is expected to decrease by -0.91% on average over the next years.
EPS Next Y-15.96%
EPS Next 2Y-4.93%
EPS Next 3Y3.82%
EPS Next 5YN/A
Revenue Next Year-4.53%
Revenue Next 2Y-1.92%
Revenue Next 3Y-0.91%
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 accelerating.
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.

6

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 10.46, the valuation of BGS can be described as reasonable.
Based on the Price/Earnings ratio, BGS is valued cheaply inside the industry as 92.39% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of BGS to the average of the S&P500 Index (28.24), we can say BGS is valued rather cheaply.
The Price/Forward Earnings ratio is 10.52, which indicates a very decent valuation of BGS.
Based on the Price/Forward Earnings ratio, BGS is valued cheaply inside the industry as 90.22% of the companies are valued more expensively.
BGS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 19.93.
Industry RankSector Rank
PE 10.46
Fwd PE 10.52

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BGS indicates a rather cheap valuation: BGS is cheaper than 88.04% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BGS indicates a rather cheap valuation: BGS is cheaper than 94.57% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 4.06
EV/EBITDA 6.64

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.93%
EPS Next 3Y3.82%

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 8.03%, BGS is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.67, BGS pays a better dividend. On top of this BGS pays more dividend than 98.91% of the companies listed in the same industry.
BGS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
Industry RankSector Rank
Dividend Yield 8.03%

5.2 History

The dividend of BGS decreases each year by -11.46%.
BGS has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-11.46%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

The earnings of BGS are negative and hence is the payout ratio. BGS will probably not be able to sustain this dividend level.
DP-52.25%
EPS Next 2Y-4.93%
EPS Next 3Y3.82%

B&G FOODS INC

NYSE:BGS (6/12/2024, 1:26:09 PM)

9.415

-0.05 (-0.48%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap744.26M
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 8.03%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 10.46
Fwd PE 10.52
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -3.27%
ROE -14.05%
ROCE
ROIC
ROICexc
ROICexgc
OM 16.98%
PM (TTM) N/A
GM 22.22%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.6
Health
Industry RankSector Rank
Debt/Equity 2.58
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 3.22
Quick Ratio 0.92
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-14.29%
EPS 3Y-24.05%
EPS 5Y
EPS Q2Q%
EPS Next Y-15.96%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.45%
Revenue growth 3Y1.57%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y