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

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Visteon Corp.

Autoliv, Inc.

Gentex Corp.

Donaldson Co., Inc.

Lear Corp.

Brunswick Corp.

Dana, Inc.

Allison Transmission Holdings, Inc.

Adient plc

Fox Factory Holding 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 -11.61%, its profits have fallen by -51.8%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -11.61% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Brunswick Corp. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Brunswick Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Brunswick Corp.

-11.61%

-0.21

45.06%

S&P 500

13.22%

0.65

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.79%

EBIT Growth (5y)

-6.11%

EBIT to Interest (avg)

7.94

Debt to EBITDA (avg)

1.98

Net Debt to Equity (avg)

1.16

Sales to Capital Employed (avg)

1.31

Tax Ratio

29.99%

Dividend Payout Ratio

87.03%

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

2.74

EV to EBIT

20.68

EV to EBITDA

11.36

EV to Capital Employed

1.80

EV to Sales

1.43

PEG Ratio

Dividend Yield

2.32%

ROCE (Latest)

8.72%

ROE (Latest)

11.24%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

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

4What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 9.8

DIVIDEND PAYOUT RATIO(Y)

Highest at 47.86%

NET SALES(Q)

Highest at USD 1,447 MM

-14What is not working for the Company

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

CASH AND EQV(HY)

Lowest at USD 640.2 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.77 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 9.8 times

Here's what is working for Brunswick Corp.

Dividend per share

Highest at USD 9.8 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Net Sales

Highest at USD 1,447 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Dividend Payout Ratio

Highest at 47.86%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for Brunswick Corp.

Net Profit

At USD 81.06 MM has Grown at -56.72%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Cash and Eqv

Lowest at USD 640.2 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 2.77 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 9.8 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 7.34% (YoY)

MOJO Watch

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

Raw Material Cost as a percentage of Sales