BROADSTONE NET LEASE INC (BNL) Stock Fundamental Analysis
NYSE:BNL - New York Stock Exchange, Inc. - US11135E2037 - REIT - Currency: USD
Overall BNL gets a fundamental rating of 4 out of 10. We evaluated BNL against 130 industry peers in the Diversified REITs industry. While BNL has a great profitability rating, there are quite some concerns on its financial health. BNL is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BNL was profitable.
BNL had a positive operating cash flow in the past year.
Each year in the past 5 years BNL has been profitable.
BNL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.09%, BNL is in the better half of the industry, outperforming 75.38% of the companies in the same industry.
Looking at the Return On Equity, with a value of 5.37%, BNL is in the better half of the industry, outperforming 71.54% of the companies in the same industry.
BNL has a better Return On Invested Capital (3.30%) than 64.62% of its industry peers.
BNL had an Average Return On Invested Capital over the past 3 years of 3.20%. This is in line with the industry average of 3.17%.
The 3 year average ROIC (3.20%) for BNL is below the current ROIC(3.30%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.09% | ||
| ROE | 5.37% | ||
| ROIC | 3.3% |
ROA(3y)2.75%
ROA(5y)2.33%
ROE(3y)4.79%
ROE(5y)4.11%
ROIC(3y)3.2%
ROIC(5y)3.14%
1.3 Margins
BNL has a Profit Margin of 37.35%. This is amongst the best in the industry. BNL outperforms 88.46% of its industry peers.
BNL's Profit Margin has improved in the last couple of years.
BNL's Operating Margin of 49.39% is amongst the best of the industry. BNL outperforms 91.54% of its industry peers.
In the last couple of years the Operating Margin of BNL has remained more or less at the same level.
BNL's Gross Margin of 86.82% is amongst the best of the industry. BNL outperforms 88.46% of its industry peers.
In the last couple of years the Gross Margin of BNL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.39% | ||
| PM (TTM) | 37.35% | ||
| GM | 86.82% |
OM growth 3Y-1.4%
OM growth 5Y1.29%
PM growth 3Y11.92%
PM growth 5Y7.05%
GM growth 3Y0.06%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BNL is destroying value.
Compared to 1 year ago, BNL has more shares outstanding
BNL has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, BNL has a worse debt to assets ratio.
2.2 Solvency
BNL has an Altman-Z score of 0.91. This is a bad value and indicates that BNL is not financially healthy and even has some risk of bankruptcy.
BNL's Altman-Z score of 0.91 is fine compared to the rest of the industry. BNL outperforms 70.00% of its industry peers.
A Debt/Equity ratio of 0.64 indicates that BNL is somewhat dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.64, BNL belongs to the best of the industry, outperforming 83.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.91 |
ROIC/WACC0.48
WACC6.82%
2.3 Liquidity
BNL has a Current Ratio of 1.60. This is a normal value and indicates that BNL is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.60, BNL is in the better half of the industry, outperforming 66.92% of the companies in the same industry.
A Quick Ratio of 1.60 indicates that BNL should not have too much problems paying its short term obligations.
BNL's Quick ratio of 1.60 is fine compared to the rest of the industry. BNL outperforms 67.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
BNL shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.33%.
Measured over the past years, BNL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.96% on average per year.
Looking at the last year, BNL shows a decrease in Revenue. The Revenue has decreased by -2.50% in the last year.
The Revenue has been growing slightly by 7.64% on average over the past years.
EPS 1Y (TTM)-8.33%
EPS 3Y9.65%
EPS 5Y9.96%
EPS Q2Q%2.86%
Revenue 1Y (TTM)-2.5%
Revenue growth 3Y4.09%
Revenue growth 5Y7.64%
Sales Q2Q%3.15%
3.2 Future
The Earnings Per Share is expected to decrease by -8.92% on average over the next years.
Based on estimates for the next years, BNL will show a small growth in Revenue. The Revenue will grow by 4.22% on average per year.
EPS Next Y-17.19%
EPS Next 2Y-7.42%
EPS Next 3Y-11.85%
EPS Next 5Y-8.92%
Revenue Next Year5.53%
Revenue Next 2Y5.06%
Revenue Next 3Y5.72%
Revenue Next 5Y4.22%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.41, BNL is valued on the expensive side.
80.00% of the companies in the same industry are more expensive than BNL, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.22, BNL is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 21.72, the valuation of BNL can be described as rather expensive.
Based on the Price/Forward Earnings ratio, BNL is valued cheaply inside the industry as 87.69% of the companies are valued more expensively.
BNL's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 20.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.41 | ||
| Fwd PE | 21.72 |
4.2 Price Multiples
BNL's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.41 |
4.3 Compensation for Growth
BNL has an outstanding profitability rating, which may justify a higher PE ratio.
BNL's earnings are expected to decrease with -11.85% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.85
EPS Next 2Y-7.42%
EPS Next 3Y-11.85%
5. Dividend
5.1 Amount
BNL has a Yearly Dividend Yield of 7.31%, which is a nice return.
Compared to an average industry Dividend Yield of 16.33, BNL pays a bit more dividend than its industry peers.
BNL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.31% |
5.2 History
BNL has been paying a dividend for over 5 years, so it has already some track record.
BNL has decreased its dividend recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
BNL pays out 134.40% of its income as dividend. This is not a sustainable payout ratio.
DP134.4%
EPS Next 2Y-7.42%
EPS Next 3Y-11.85%
16.2
+0.34 (+2.14%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners88.05%
Inst Owner Change-0.1%
Ins Owners0.74%
Ins Owner Change6.21%
Market Cap3.06B
Analysts74.29
Price Target19.23 (18.7%)
Short Float %2.95%
Short Ratio3.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.31% |
Yearly Dividend1.15
Dividend Growth(5Y)N/A
DP134.4%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-20.12%
Min EPS beat(2)-29.82%
Max EPS beat(2)-10.42%
EPS beat(4)2
Avg EPS beat(4)18.04%
Min EPS beat(4)-29.82%
Max EPS beat(4)103.84%
EPS beat(8)5
Avg EPS beat(8)22.66%
EPS beat(12)8
Avg EPS beat(12)18.6%
EPS beat(16)12
Avg EPS beat(16)18.23%
Revenue beat(2)2
Avg Revenue beat(2)0.54%
Min Revenue beat(2)0.38%
Max Revenue beat(2)0.7%
Revenue beat(4)2
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-2.55%
Max Revenue beat(4)0.7%
Revenue beat(8)3
Avg Revenue beat(8)-1.19%
Revenue beat(12)5
Avg Revenue beat(12)-0.61%
Revenue beat(16)6
Avg Revenue beat(16)1.55%
PT rev (1m)2.33%
PT rev (3m)-2.22%
EPS NQ rev (1m)1.96%
EPS NQ rev (3m)-7.15%
EPS NY rev (1m)-0.93%
EPS NY rev (3m)-8.31%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)0.57%
Revenue NY rev (3m)1.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.41 | ||
| Fwd PE | 21.72 | ||
| P/S | 7.09 | ||
| P/FCF | N/A | ||
| P/OCF | 11.09 | ||
| P/B | 1.02 | ||
| P/tB | 1.29 | ||
| EV/EBITDA | 13.41 |
EPS(TTM)0.88
EY5.43%
EPS(NY)0.75
Fwd EY4.6%
FCF(TTM)-0.73
FCFYN/A
OCF(TTM)1.46
OCFY9.02%
SpS2.28
BVpS15.89
TBVpS12.59
PEG (NY)N/A
PEG (5Y)1.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.09% | ||
| ROE | 5.37% | ||
| ROCE | 4.18% | ||
| ROIC | 3.3% | ||
| ROICexc | 3.31% | ||
| ROICexgc | 3.81% | ||
| OM | 49.39% | ||
| PM (TTM) | 37.35% | ||
| GM | 86.82% | ||
| FCFM | N/A |
ROA(3y)2.75%
ROA(5y)2.33%
ROE(3y)4.79%
ROE(5y)4.11%
ROIC(3y)3.2%
ROIC(5y)3.14%
ROICexc(3y)3.21%
ROICexc(5y)3.16%
ROICexgc(3y)3.71%
ROICexgc(5y)3.68%
ROCE(3y)4.05%
ROCE(5y)3.97%
ROICexcg growth 3Y-1.95%
ROICexcg growth 5Y4.16%
ROICexc growth 3Y-1.44%
ROICexc growth 5Y3.2%
OM growth 3Y-1.4%
OM growth 5Y1.29%
PM growth 3Y11.92%
PM growth 5Y7.05%
GM growth 3Y0.06%
GM growth 5Y0.13%
F-Score5
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.24 | ||
| Cap/Depr | 272.69% | ||
| Cap/Sales | 95.84% | ||
| Interest Coverage | 2.89 | ||
| Cash Conversion | 75.68% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | 0.91 |
F-Score5
WACC6.82%
ROIC/WACC0.48
Cap/Depr(3y)331.73%
Cap/Depr(5y)318.61%
Cap/Sales(3y)119.74%
Cap/Sales(5y)113.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.33%
EPS 3Y9.65%
EPS 5Y9.96%
EPS Q2Q%2.86%
EPS Next Y-17.19%
EPS Next 2Y-7.42%
EPS Next 3Y-11.85%
EPS Next 5Y-8.92%
Revenue 1Y (TTM)-2.5%
Revenue growth 3Y4.09%
Revenue growth 5Y7.64%
Sales Q2Q%3.15%
Revenue Next Year5.53%
Revenue Next 2Y5.06%
Revenue Next 3Y5.72%
Revenue Next 5Y4.22%
EBIT growth 1Y-4.73%
EBIT growth 3Y2.63%
EBIT growth 5Y9.03%
EBIT Next Year99.12%
EBIT Next 3Y31.49%
EBIT Next 5YN/A
FCF growth 1Y-237.15%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y1.91%
OCF growth 3Y4.1%
OCF growth 5Y13.39%