Brunswick Corp. (BC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Donaldson Co., Inc.

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Fox Factory Holding Corp.

Brunswick Corp.

Allison Transmission Holdings, Inc.

Visteon Corp.

Aptiv Plc

Why is Brunswick Corp. ?

High Management Efficiency with a high ROCE of 20.20%

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.98 times

The company has declared Negative results for the last 6 consecutive quarters

NET PROFIT(HY) At USD 81.06 MM has Grown at -56.72%
ROCE(HY) Lowest at 2.85%
RAW MATERIAL COST(Y) Grown by 7.34% (YoY)

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -1.19%, its profits have fallen by -51.8%

Underperformed the market in the last 1 year

Even though the market (S&P 500) has generated returns of 14.11% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -1.19% returns

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 Auto Components & Equipments)

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

Is Brunswick Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Brunswick Corp.

34.8%

-0.06

45.23%

S&P 500

22.99%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.29%

EBIT Growth (5y)

-11.14%

EBIT to Interest (avg)

7.94

Debt to EBITDA (avg)

1.98

Net Debt to Equity (avg)

1.16

Sales to Capital Employed (avg)

1.29

Tax Ratio

29.99%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

20.20%

ROE (avg)

24.90%

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

3.94

EV to EBIT

27.62

EV to EBITDA

13.96

EV to Capital Employed

2.37

EV to Sales

1.54

PEG Ratio

Dividend Yield

1.89%

ROCE (Latest)

8.60%

ROE (Latest)

12.56%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bullish

No Trend

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

6What is working for the Company

NET PROFIT(9M)

At USD 152.04 MM has Grown at 51.31%

DIVIDEND PER SHARE(HY)

Highest at USD 9.26

RAW MATERIAL COST(Y)

Fallen by -2.17% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 3.23 times

-11What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 525.4 MM

NET PROFIT(Q)

At USD 28.88 MM has Fallen at -43.42%

DEBT-EQUITY RATIO (HY)

Highest at 134.4 %

CASH AND EQV(HY)

Lowest at USD 565 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 9.14 %

PRE-TAX PROFIT(Q)

At USD 37 MM has Fallen at -28.29%

Here's what is working for Brunswick Corp.

Dividend per share

Highest at USD 9.26 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Inventory Turnover Ratio

Highest at 3.23 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -2.17% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Brunswick Corp.

Net Profit

At USD 28.88 MM has Fallen at -43.42%

over average net sales of the previous four periods of USD 51.05 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 525.4 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)

Debt-Equity Ratio

Highest at 134.4 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Operating Profit Margin

Lowest at 9.14 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

At USD 37 MM has Fallen at -28.29%

over average net sales of the previous four periods of USD 51.6 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Cash and Eqv

Lowest at USD 565 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Non Operating Income

Highest at USD 0.39 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income