BIGLARI HOLDINGS INC-B (BH)

US08986R3093 - Common Stock

189.68  +1.08 (+0.57%)

Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to BH. BH was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. BH scores excellent points on both the profitability and health parts. This is a solid base for a good stock. BH is valued correctly, but it does not seem to be growing.



7

1. Profitability

1.1 Basic Checks

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

1.2 Ratios

The Return On Assets of BH (6.47%) is better than 76.87% of its industry peers.
BH has a Return On Equity of 9.16%. This is in the better half of the industry: BH outperforms 64.18% of its industry peers.
BH has a Return On Invested Capital (6.15%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BH is significantly below the industry average of 10.25%.
The 3 year average ROIC (4.80%) for BH is below the current ROIC(6.15%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 6.47%
ROE 9.16%
ROIC 6.15%
ROA(3y)2.18%
ROA(5y)1.36%
ROE(3y)3.1%
ROE(5y)1.99%
ROIC(3y)4.8%
ROIC(5y)3.64%

1.3 Margins

Looking at the Profit Margin, with a value of 15.04%, BH belongs to the top of the industry, outperforming 86.57% of the companies in the same industry.
In the last couple of years the Profit Margin of BH has grown nicely.
BH's Operating Margin of 14.51% is fine compared to the rest of the industry. BH outperforms 65.67% of its industry peers.
In the last couple of years the Operating Margin of BH has grown nicely.
With a Gross Margin value of 46.23%, BH perfoms like the industry average, outperforming 44.78% of the companies in the same industry.
BH's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 14.51%
PM (TTM) 15.04%
GM 46.23%
OM growth 3Y18.21%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5Y44.41%
GM growth 3Y10.42%
GM growth 5Y18.32%

7

2. Health

2.1 Basic Checks

BH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, BH has less shares outstanding
Compared to 5 years ago, BH has less shares outstanding
The debt/assets ratio for BH has been reduced compared to a year ago.

2.2 Solvency

BH has an Altman-Z score of 1.83. This is not the best score and indicates that BH is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of BH (1.83) is comparable to the rest of the industry.
BH has a debt to FCF ratio of 1.33. This is a very positive value and a sign of high solvency as it would only need 1.33 years to pay back of all of its debts.
BH's Debt to FCF ratio of 1.33 is amongst the best of the industry. BH outperforms 90.30% of its industry peers.
A Debt/Equity ratio of 0.10 indicates that BH is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.10, BH is doing good in the industry, outperforming 79.85% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.1
Debt/FCF 1.33
Altman-Z 1.83
ROIC/WACC0.75
WACC8.18%

2.3 Liquidity

BH has a Current Ratio of 1.37. This is a normal value and indicates that BH is financially healthy and should not expect problems in meeting its short term obligations.
BH has a better Current ratio (1.37) than 68.66% of its industry peers.
BH has a Quick Ratio of 1.35. This is a normal value and indicates that BH is financially healthy and should not expect problems in meeting its short term obligations.
BH's Quick ratio of 1.35 is fine compared to the rest of the industry. BH outperforms 73.13% of its industry peers.
Industry RankSector Rank
Current Ratio 1.37
Quick Ratio 1.35

2

3. Growth

3.1 Past

BH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 269.06%, which is quite impressive.
BH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.89% yearly.
The Revenue has decreased by -0.81% in the past year.
BH shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -14.72% yearly.
EPS 1Y (TTM)269.06%
EPS 3YN/A
EPS 5Y27.89%
EPS growth Q2Q380.12%
Revenue 1Y (TTM)-0.81%
Revenue growth 3Y-5.56%
Revenue growth 5Y-14.72%
Revenue growth Q2Q-7.95%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.

5

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 6.23 indicates a rather cheap valuation of BH.
Compared to the rest of the industry, the Price/Earnings ratio of BH indicates a rather cheap valuation: BH is cheaper than 97.76% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.48. BH is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 6.23
Fwd PE N/A

4.2 Price Multiples

100.00% of the companies in the same industry are more expensive than BH, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 0.79
EV/EBITDA -1.16

4.3 Compensation for Growth

BH has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.22
EPS Next 2YN/A
EPS Next 3YN/A

0

5. Dividend

5.1 Amount

No dividends for BH!.
Industry RankSector Rank
Dividend Yield N/A

BIGLARI HOLDINGS INC-B

NYSE:BH (3/28/2024, 8:04:00 PM)

189.68

+1.08 (+0.57%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap39.24M
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield N/A
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)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 6.23
Fwd PE N/A
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)0.22
Profitability
Industry RankSector Rank
ROA 6.47%
ROE 9.16%
ROCE
ROIC
ROICexc
ROICexgc
OM 14.51%
PM (TTM) 15.04%
GM 46.23%
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 Turnover0.43
Health
Industry RankSector Rank
Debt/Equity 0.1
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.37
Quick Ratio 1.35
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)
Growth
EPS 1Y (TTM)269.06%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next YN/A
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-0.81%
Revenue growth 3Y-5.56%
Revenue growth 5Y
Revenue growth 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