BRIGHTSTAR LOTTERY PLC (BRSL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BRSL - GB00BVG7F061 - Common Stock
14.145 USD
-0.08 (-0.53%)
Overall BRSL gets a fundamental rating of 4 out of 10. We evaluated BRSL against 132 industry peers in the Hotels, Restaurants & Leisure industry. BRSL scores excellent on profitability, but there are concerns on its financial health. BRSL has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year BRSL was profitable.
- BRSL had a positive operating cash flow in the past year.
- Of the past 5 years BRSL 4 years were profitable.
- In the past 5 years BRSL always reported a positive cash flow from operatings.
1.2 Ratios
- BRSL's Return On Assets of 3.26% is in line compared to the rest of the industry. BRSL outperforms 57.58% of its industry peers.
- The Return On Equity of BRSL (34.79%) is better than 86.36% of its industry peers.
- With a decent Return On Invested Capital value of 8.72%, BRSL is doing good in the industry, outperforming 69.70% of the companies in the same industry.
- BRSL had an Average Return On Invested Capital over the past 3 years of 7.65%. This is below the industry average of 10.37%.
- The 3 year average ROIC (7.65%) for BRSL is below the current ROIC(8.72%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.26% | ||
| ROE | 34.79% | ||
| ROIC | 8.72% |
ROA(3y)2.5%
ROA(5y)0.97%
ROE(3y)17.02%
ROE(5y)-5.38%
ROIC(3y)7.65%
ROIC(5y)6.46%
1.3 Margins
- BRSL has a better Profit Margin (12.15%) than 79.55% of its industry peers.
- BRSL's Profit Margin has improved in the last couple of years.
- With an excellent Operating Margin value of 25.98%, BRSL belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
- In the last couple of years the Operating Margin of BRSL has grown nicely.
- The Gross Margin of BRSL (45.63%) is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of BRSL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.98% | ||
| PM (TTM) | 12.15% | ||
| GM | 45.63% |
OM growth 3Y9.13%
OM growth 5Y15.18%
PM growth 3Y5.43%
PM growth 5YN/A
GM growth 3Y-0.98%
GM growth 5Y2.02%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BRSL is still creating some value.
- Compared to 1 year ago, BRSL has more shares outstanding
- BRSL has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for BRSL has been reduced compared to a year ago.
2.2 Solvency
- The Debt to FCF ratio of BRSL is 38.01, which is on the high side as it means it would take BRSL, 38.01 years of fcf income to pay off all of its debts.
- BRSL's Debt to FCF ratio of 38.01 is in line compared to the rest of the industry. BRSL outperforms 43.94% of its industry peers.
- BRSL has a Debt/Equity ratio of 4.67. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of BRSL (4.67) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.67 | ||
| Debt/FCF | 38.01 | ||
| Altman-Z | N/A |
ROIC/WACC1.38
WACC6.3%
2.3 Liquidity
- BRSL has a Current Ratio of 0.74. This is a bad value and indicates that BRSL is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.74, BRSL is not doing good in the industry: 62.12% of the companies in the same industry are doing better.
- A Quick Ratio of 0.70 indicates that BRSL may have some problems paying its short term obligations.
- BRSL has a Quick ratio of 0.70. This is comparable to the rest of the industry: BRSL outperforms 40.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
- BRSL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 31.67%, which is quite impressive.
- BRSL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.63% yearly.
- Looking at the last year, BRSL shows a very negative growth in Revenue. The Revenue has decreased by -34.93% in the last year.
- Measured over the past years, BRSL shows a decrease in Revenue. The Revenue has been decreasing by -9.03% on average per year.
EPS 1Y (TTM)31.67%
EPS 3Y-21.54%
EPS 5Y9.63%
EPS Q2Q%1400%
Revenue 1Y (TTM)-34.93%
Revenue growth 3Y-14.99%
Revenue growth 5Y-9.03%
Sales Q2Q%7.16%
3.2 Future
- The Earnings Per Share is expected to decrease by -13.18% on average over the next years. This is quite bad
- The Revenue is expected to grow by 0.96% on average over the next years.
EPS Next Y-50.03%
EPS Next 2Y-21.89%
EPS Next 3Y-13.18%
EPS Next 5YN/A
Revenue Next Year-0.78%
Revenue Next 2Y-0.35%
Revenue Next 3Y0.96%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 8.95, the valuation of BRSL can be described as very reasonable.
- Based on the Price/Earnings ratio, BRSL is valued cheaply inside the industry as 92.42% of the companies are valued more expensively.
- BRSL's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.82.
- The Price/Forward Earnings ratio is 13.56, which indicates a correct valuation of BRSL.
- BRSL's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BRSL is cheaper than 79.55% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.95, BRSL is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.95 | ||
| Fwd PE | 13.56 |
4.2 Price Multiples
- BRSL's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BRSL is cheaper than 90.91% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of BRSL indicates a somewhat cheap valuation: BRSL is cheaper than 65.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.43 | ||
| EV/EBITDA | 6.12 |
4.3 Compensation for Growth
- The decent profitability rating of BRSL may justify a higher PE ratio.
- A cheap valuation may be justified as BRSL's earnings are expected to decrease with -13.18% in the coming years.
PEG (NY)N/A
PEG (5Y)0.93
EPS Next 2Y-21.89%
EPS Next 3Y-13.18%
5. Dividend
5.1 Amount
- BRSL has a Yearly Dividend Yield of 6.27%, which is a nice return.
- Compared to an average industry Dividend Yield of 1.21, BRSL pays a better dividend. On top of this BRSL pays more dividend than 96.21% of the companies listed in the same industry.
- BRSL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.27% |
5.2 History
- The dividend of BRSL decreases each year by -0.01%.
- BRSL has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-0.01%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- 253.47% of the earnings are spent on dividend by BRSL. This is not a sustainable payout ratio.
- The Dividend Rate of BRSL has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP253.47%
EPS Next 2Y-21.89%
EPS Next 3Y-13.18%
BRIGHTSTAR LOTTERY PLC / BRSL FAQ
What is the ChartMill fundamental rating of BRIGHTSTAR LOTTERY PLC (BRSL) stock?
ChartMill assigns a fundamental rating of 4 / 10 to BRSL.
What is the valuation status for BRSL stock?
ChartMill assigns a valuation rating of 6 / 10 to BRIGHTSTAR LOTTERY PLC (BRSL). This can be considered as Fairly Valued.
Can you provide the profitability details for BRIGHTSTAR LOTTERY PLC?
BRIGHTSTAR LOTTERY PLC (BRSL) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for BRSL stock?
The Price/Earnings (PE) ratio for BRIGHTSTAR LOTTERY PLC (BRSL) is 8.95 and the Price/Book (PB) ratio is 3.09.
What is the financial health of BRIGHTSTAR LOTTERY PLC (BRSL) stock?
The financial health rating of BRIGHTSTAR LOTTERY PLC (BRSL) is 2 / 10.