Beacon Roofing Supply, Inc. (BECN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Fastenal Co.

Applied Industrial Technologies, Inc.

Pool Corp.

Core & Main, Inc.

MSC Industrial Direct Co., Inc.

Ferguson Plc

W.W. Grainger, Inc.

WESCO International, Inc.

Genuine Parts Co.

UGI Corp.

Beacon Roofing Supply, Inc.

Why is Beacon Roofing Supply, Inc. ?

With a fall in Net Profit of NAN%, the company declared Very Negative results in Mar 25

OPERATING CASH FLOW(Y) Lowest at USD 425 MM
ROCE(HY) Lowest at 16.54%
INTEREST COVERAGE RATIO(Q) Lowest at 174.45

With ROCE of 13.6, it has a expensive valuation with a 2.2 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 0%, its profits have fallen by -7.1%
At the current price, the company has a high dividend yield of 10210

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Wholesale Distributors)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Beacon Roofing Supply, Inc. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Beacon Roofing Supply, Inc.

26.02%

0.75

34.67%

S&P 500

13.22%

0.61

20.23%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.69%

EBIT Growth (5y)

33.85%

EBIT to Interest (avg)

4.97

Debt to EBITDA (avg)

3.21

Net Debt to Equity (avg)

1.49

Sales to Capital Employed (avg)

2.02

Tax Ratio

24.76%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

12.80%

ROE (avg)

15.63%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.95

EV to EBIT

16.04

EV to EBITDA

12.17

EV to Capital Employed

2.19

EV to Sales

1.08

PEG Ratio

Dividend Yield

10210.01%

ROCE (Latest)

13.63%

ROE (Latest)

19.28%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-23What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 425 MM

ROCE(HY)

Lowest at 16.54%

INTEREST COVERAGE RATIO(Q)

Lowest at 174.45

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.6%

NET SALES(Q)

Lowest at USD 1,907.8 MM

OPERATING PROFIT(Q)

Lowest at USD 71 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 3.72 %

PRE-TAX PROFIT(Q)

Lowest at USD -24.4 MM

NET PROFIT(Q)

Lowest at USD -1.9 MM

EPS(Q)

Lowest at USD -0.7

Here's what is working for Beacon Roofing Supply, Inc.

Depreciation

Highest at USD 54.7 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Beacon Roofing Supply, Inc.

Net Sales

At USD 1,907.8 MM has Fallen at -21.84%

over average net sales of the previous four periods of USD 2,440.8 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (USD MM)

Pre-Tax Profit

At USD -24.4 MM has Fallen at -118.74%

over average net sales of the previous four periods of USD 130.2 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -1.9 MM has Fallen at -101.95%

over average net sales of the previous four periods of USD 97.38 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 425 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Lowest at 174.45

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at USD 1,907.8 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Operating Profit

Lowest at USD 71 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 3.72 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD -24.4 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD -1.9 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.7

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Inventory Turnover Ratio

Lowest at 4.6%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio