BRIGHTSPIRE CAPITAL INC (BRSP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BRSP - US10949T1097 - REIT
5.72 USD
+0.12 (+2.14%)
5.75 USD
+0.03 (+0.52%)
BRSP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. Both the profitability and the financial health of BRSP get a neutral evaluation. Nothing too spectacular is happening here. BRSP has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
BRSP had positive earnings in the past year.
In the past year BRSP had a positive cash flow from operations.
In the past 5 years BRSP reported 4 times negative net income.
Of the past 5 years BRSP 4 years had a positive operating cash flow.
1.2 Ratios
BRSP has a worse Return On Assets (-1.15%) than 77.94% of its industry peers.
BRSP's Return On Equity of -3.88% is on the low side compared to the rest of the industry. BRSP is outperformed by 73.53% of its industry peers.
With an excellent Return On Invested Capital value of 3.89%, BRSP belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BRSP is in line with the industry average of 1.28%.
The 3 year average ROIC (3.24%) for BRSP is below the current ROIC(3.89%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.15% | ||
| ROE | -3.88% | ||
| ROIC | 3.89% |
ROA(3y)-0.98%
ROA(5y)-2.09%
ROE(3y)-3.5%
ROE(5y)-7.73%
ROIC(3y)3.24%
ROIC(5y)N/A
1.3 Margins
The Operating Margin of BRSP (47.34%) is better than 89.71% of its industry peers.
In the last couple of years the Operating Margin of BRSP has grown nicely.
The Gross Margin of BRSP (83.39%) is better than 94.12% of its industry peers.
In the last couple of years the Gross Margin of BRSP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47.34% | ||
| PM (TTM) | N/A | ||
| GM | 83.39% |
OM growth 3Y-28.23%
OM growth 5Y31.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.22%
GM growth 5Y5.19%
2. Health
2.1 Basic Checks
BRSP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for BRSP has been reduced compared to 1 year ago.
Compared to 5 years ago, BRSP has more shares outstanding
Compared to 1 year ago, BRSP has a worse debt to assets ratio.
2.2 Solvency
BRSP has an Altman-Z score of -0.35. This is a bad value and indicates that BRSP is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of BRSP (-0.35) is comparable to the rest of the industry.
The Debt to FCF ratio of BRSP is 26.31, which is on the high side as it means it would take BRSP, 26.31 years of fcf income to pay off all of its debts.
BRSP has a better Debt to FCF ratio (26.31) than 88.24% of its industry peers.
BRSP has a Debt/Equity ratio of 2.22. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of BRSP (2.22) is better than 79.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 26.31 | ||
| Altman-Z | -0.35 |
ROIC/WACC0.6
WACC6.49%
2.3 Liquidity
BRSP has a Current Ratio of 1.15. This is a normal value and indicates that BRSP is financially healthy and should not expect problems in meeting its short term obligations.
BRSP has a Current ratio of 1.15. This is amongst the best in the industry. BRSP outperforms 88.24% of its industry peers.
A Quick Ratio of 1.15 indicates that BRSP should not have too much problems paying its short term obligations.
The Quick ratio of BRSP (1.15) is better than 88.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
The earnings per share for BRSP have decreased strongly by -27.66% in the last year.
BRSP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 37.65% yearly.
The Revenue for BRSP has decreased by -13.35% in the past year. This is quite bad
The Revenue has been decreasing by -8.29% on average over the past years.
EPS 1Y (TTM)-27.66%
EPS 3Y25.01%
EPS 5Y37.65%
EPS Q2Q%-23.81%
Revenue 1Y (TTM)-13.35%
Revenue growth 3Y-0.36%
Revenue growth 5Y-8.29%
Sales Q2Q%-15.44%
3.2 Future
BRSP is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -7.28% yearly.
Based on estimates for the next years, BRSP will show a very negative growth in Revenue. The Revenue will decrease by -13.61% on average per year.
EPS Next Y-17.91%
EPS Next 2Y-7.28%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-28.53%
Revenue Next 2Y-13.61%
Revenue Next 3YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.41 indicates a reasonable valuation of BRSP.
Based on the Price/Earnings ratio, BRSP is valued a bit cheaper than 79.41% of the companies in the same industry.
BRSP is valuated cheaply when we compare the Price/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 7.92, which indicates a rather cheap valuation of BRSP.
Based on the Price/Forward Earnings ratio, BRSP is valued a bit cheaper than the industry average as 66.18% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.23. BRSP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.41 | ||
| Fwd PE | 7.92 |
4.2 Price Multiples
BRSP's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BRSP is cheaper than 97.06% of the companies in the same industry.
BRSP's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BRSP is cheaper than 73.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.99 | ||
| EV/EBITDA | 14.39 |
4.3 Compensation for Growth
BRSP's earnings are expected to decrease with -7.28% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.22
EPS Next 2Y-7.28%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BRSP has a Yearly Dividend Yield of 11.43%, which is a nice return.
Compared to an average industry Dividend Yield of 11.16, BRSP has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 1.94, BRSP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.43% |
5.2 History
The dividend of BRSP decreases each year by -14.79%.
BRSP has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-14.79%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of BRSP are negative and hence is the payout ratio. BRSP will probably not be able to sustain this dividend level.
BRSP's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP-219.36%
EPS Next 2Y-7.28%
EPS Next 3YN/A
5.72
+0.12 (+2.14%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners70.55%
Inst Owner Change0%
Ins Owners2.16%
Ins Owner Change0%
Market Cap742.06M
Revenue(TTM)327.83M
Net Income(TTM)-37.93M
Analysts73.33
Price Target6.22 (8.74%)
Short Float %3.32%
Short Ratio5.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.43% |
Yearly Dividend0.76
Dividend Growth(5Y)-14.79%
DP-219.36%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.27%
Min EPS beat(2)-8.8%
Max EPS beat(2)13.33%
EPS beat(4)1
Avg EPS beat(4)-0.66%
Min EPS beat(4)-8.8%
Max EPS beat(4)13.33%
EPS beat(8)4
Avg EPS beat(8)5.17%
EPS beat(12)8
Avg EPS beat(12)7.45%
EPS beat(16)10
Avg EPS beat(16)5.89%
Revenue beat(2)1
Avg Revenue beat(2)1.33%
Min Revenue beat(2)-2.3%
Max Revenue beat(2)4.97%
Revenue beat(4)1
Avg Revenue beat(4)-5.46%
Min Revenue beat(4)-12.93%
Max Revenue beat(4)4.97%
Revenue beat(8)2
Avg Revenue beat(8)-5.97%
Revenue beat(12)4
Avg Revenue beat(12)13.49%
Revenue beat(16)8
Avg Revenue beat(16)74.91%
PT rev (1m)0%
PT rev (3m)-4.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.02%
EPS NY rev (1m)0%
EPS NY rev (3m)1.15%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.41 | ||
| Fwd PE | 7.92 | ||
| P/S | 2.26 | ||
| P/FCF | 8.99 | ||
| P/OCF | 8.99 | ||
| P/B | 0.76 | ||
| P/tB | 0.78 | ||
| EV/EBITDA | 14.39 |
EPS(TTM)0.68
EY11.89%
EPS(NY)0.72
Fwd EY12.63%
FCF(TTM)0.64
FCFY11.12%
OCF(TTM)0.64
OCFY11.12%
SpS2.53
BVpS7.53
TBVpS7.33
PEG (NY)N/A
PEG (5Y)0.22
Graham Number10.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.15% | ||
| ROE | -3.88% | ||
| ROCE | 4.93% | ||
| ROIC | 3.89% | ||
| ROICexc | 4.04% | ||
| ROICexgc | 4.07% | ||
| OM | 47.34% | ||
| PM (TTM) | N/A | ||
| GM | 83.39% | ||
| FCFM | 25.17% |
ROA(3y)-0.98%
ROA(5y)-2.09%
ROE(3y)-3.5%
ROE(5y)-7.73%
ROIC(3y)3.24%
ROIC(5y)N/A
ROICexc(3y)3.49%
ROICexc(5y)N/A
ROICexgc(3y)3.53%
ROICexgc(5y)N/A
ROCE(3y)4.1%
ROCE(5y)N/A
ROICexgc growth 3Y-14.53%
ROICexgc growth 5Y43.03%
ROICexc growth 3Y-14.56%
ROICexc growth 5Y43.06%
OM growth 3Y-28.23%
OM growth 5Y31.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.22%
GM growth 5Y5.19%
F-Score5
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.22 | ||
| Debt/FCF | 26.31 | ||
| Debt/EBITDA | 11.15 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 42.4% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | -0.35 |
F-Score5
WACC6.49%
ROIC/WACC0.6
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.66%
EPS 3Y25.01%
EPS 5Y37.65%
EPS Q2Q%-23.81%
EPS Next Y-17.91%
EPS Next 2Y-7.28%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-13.35%
Revenue growth 3Y-0.36%
Revenue growth 5Y-8.29%
Sales Q2Q%-15.44%
Revenue Next Year-28.53%
Revenue Next 2Y-13.61%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y33.01%
EBIT growth 3Y-28.49%
EBIT growth 5Y20.64%
EBIT Next Year1924.96%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-40%
FCF growth 3YN/A
FCF growth 5Y-5.5%
OCF growth 1Y-40%
OCF growth 3YN/A
OCF growth 5Y-5.5%
BRIGHTSPIRE CAPITAL INC / BRSP FAQ
What is the fundamental rating for BRSP stock?
ChartMill assigns a fundamental rating of 4 / 10 to BRSP.
What is the valuation status for BRSP stock?
ChartMill assigns a valuation rating of 6 / 10 to BRIGHTSPIRE CAPITAL INC (BRSP). This can be considered as Fairly Valued.
What is the profitability of BRSP stock?
BRIGHTSPIRE CAPITAL INC (BRSP) has a profitability rating of 5 / 10.
What is the valuation of BRIGHTSPIRE CAPITAL INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for BRIGHTSPIRE CAPITAL INC (BRSP) is 8.41 and the Price/Book (PB) ratio is 0.76.
What is the financial health of BRIGHTSPIRE CAPITAL INC (BRSP) stock?
The financial health rating of BRIGHTSPIRE CAPITAL INC (BRSP) is 5 / 10.