The Brink's Co. (BCO) 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

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Concentrix Corp.

The Brink's Co.

WeWork, Inc.

Why is The Brink's Co. ?

High Management Efficiency with a high ROCE of 19.31%

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate 12.04% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

The company has declared Positive results for the last 4 consecutive quarters

ROCE(HY) Highest at 56.23%
INTEREST COVERAGE RATIO(Q) Highest at 341.71
RAW MATERIAL COST(Y) Fallen by 1.08% (YoY)

With ROCE of 18.25%, it has a expensive valuation with a 2.36 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 27.55%, its profits have risen by 70.7% ; the PEG ratio of the company is 0.2

Market Beating Performance

The stock has generated a return of 27.55% in the last 1 year, much higher than market (S&P 500) returns of 14.11%

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 Miscellaneous)

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

Is The Brink's Co. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

The Brink's Co.

20.58%

0.59

31.53%

S&P 500

22.93%

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)

7.35%

EBIT Growth (5y)

11.60%

EBIT to Interest (avg)

3.18

Debt to EBITDA (avg)

2.89

Net Debt to Equity (avg)

10.89

Sales to Capital Employed (avg)

1.22

Tax Ratio

31.90%

Dividend Payout Ratio

21.44%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

19.31%

ROE (avg)

74.07%

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

14.93

EV to EBIT

10.05

EV to EBITDA

6.76

EV to Capital Employed

2.82

EV to Sales

1.14

PEG Ratio

0.43

Dividend Yield

1.14%

ROCE (Latest)

28.10%

ROE (Latest)

87.29%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

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

7What is working for the Company

ROCE(HY)

Highest at 77.21%

DEBTORS TURNOVER RATIO(HY)

Highest at 6.64 times

RAW MATERIAL COST(Y)

Fallen by -5.2% (YoY

CASH AND EQV(HY)

Highest at USD 4,362.4 MM

DIVIDEND PER SHARE(HY)

Highest at USD 6.64

-13What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 288.66

OPERATING PROFIT(Q)

Lowest at USD 183.3 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 13.33 %

PRE-TAX PROFIT(Q)

Lowest at USD 35.9 MM

NET PROFIT(Q)

Lowest at USD 24.58 MM

EPS(Q)

Lowest at USD 0.77

Here's what is working for The Brink's Co.

Debtors Turnover Ratio

Highest at 6.64 times and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Cash and Eqv

Highest at USD 4,362.4 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at USD 6.64

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Raw Material Cost

Fallen by -5.2% (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 The Brink's Co.

Pre-Tax Profit

At USD 35.9 MM has Fallen at -59.2%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 24.58 MM has Fallen at -62.73%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest Coverage Ratio

Lowest at 288.66

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at USD 183.3 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 13.33 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD 35.9 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 24.58 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD 0.77

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)