Breville Group (ASX:BRG) - Share price, News & Analysis

BRG fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	3/6
Past Performance	4/6
Financial Health	4/6
Dividends	0/6

BRG Stock Overview

Breville Group Limited designs, develops, markets, and distributes small electrical kitchen appliances in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.

Rewards

Earnings are forecast to grow 13.01% per year

Earnings grew by 39.6% over the past year

Risk Analysis

High level of non-cash earnings

Breville Group Peers

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Price History & Performance

Summary of all time highs, changes and price drops for Breville Group
Historical stock prices
Current Share Price	AU$21.68
52 Week High	AU$33.61
52 Week Low	AU$21.31
Beta	0.50
1 Month Change	-14.24%
3 Month Change	-25.47%
1 Year Change	-17.13%
3 Year Change	22.49%
5 Year Change	112.55%
Change since IPO	2,450.59%

Recent News & Updates

Apr 27

Returns On Capital Signal Tricky Times Ahead For Breville Group (ASX:BRG)

If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...

Feb 16

Here's Why Breville Group (ASX:BRG) Can Manage Its Debt Responsibly

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

	BRG	AU Consumer Durables	AU Market
7D	-3.0%	-2.2%	0.5%
1Y	-17.1%	-18.8%	-0.2%

Return vs Industry: BRG matched the Australian Consumer Durables industry which returned -18.8% over the past year.

Return vs Market: BRG underperformed the Australian Market which returned -0.2% over the past year.

Price Volatility

Is BRG's price volatile compared to industry and market?
BRG volatility
BRG Average Weekly Movement	5.1%
Consumer Durables Industry Average Movement	7.1%
Market Average Movement	9.4%
10% most volatile stocks in AU Market	16.4%
10% least volatile stocks in AU Market	4.3%

Stable Share Price: BRG is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: BRG's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1957	610	Jim Clayton	https://brevillegroup.com

Breville Group Limited designs, develops, markets, and distributes small electrical kitchen appliances in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers kitchen appliances, including slow cookers, kettles, and fry pans; and living room, laundry, and bedroom products, such as irons, vacuums, heaters, electric blankets, and fans. Breville Group Limited markets and sells its products under the Breville, Baratza, Kambrook, and Sage brands, as well as under third party brands, such as Nespresso, Nestlé Dolce Gusto, and Polyscience.

Breville Group Fundamentals Summary

How do Breville Group's earnings and revenue compare to its market cap?
BRG fundamental statistics
Market Cap	AU$3.02b
Earnings (TTM)	AU$106.57m
Revenue (TTM)	AU$1.36b

28.3x

P/E Ratio

2.2x

P/S Ratio

Is BRG overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
BRG income statement (TTM)
Revenue	AU$1.36b
Cost of Revenue	AU$890.64m
Gross Profit	AU$464.73m
Other Expenses	AU$358.15m
Earnings	AU$106.57m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.76
Gross Margin	34.29%
Net Profit Margin	7.86%
Debt/Equity Ratio	25.1%

How did BRG perform over the long term?

See historical performance and comparison

Dividends

1.3%

Current Dividend Yield

37%

Payout Ratio

New valuation analysis is now available for all ASX stocks. This is in beta.

Future Growth

How is Breville Group forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

13.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: BRG's forecast earnings growth (13% per year) is above the savings rate (1.8%).

Earnings vs Market: BRG's earnings (13% per year) are forecast to grow faster than the Australian market (6.2% per year).

High Growth Earnings: BRG's earnings are forecast to grow, but not significantly.

Revenue vs Market: BRG's revenue (9.8% per year) is forecast to grow faster than the Australian market (4.9% per year).

High Growth Revenue: BRG's revenue (9.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: BRG's Return on Equity is forecast to be low in 3 years time (19.8%).

Past Performance

How has Breville Group performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

12.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BRG has a high level of non-cash earnings.

Growing Profit Margin: BRG's current net profit margins (7.9%) are higher than last year (6.9%).

Past Earnings Growth Analysis

Earnings Trend: BRG's earnings have grown by 12.6% per year over the past 5 years.

Accelerating Growth: BRG's earnings growth over the past year (39.6%) exceeds its 5-year average (12.6% per year).

Earnings vs Industry: BRG earnings growth over the past year (39.6%) exceeded the Consumer Durables industry -34.4%.

Return on Equity

High ROE: BRG's Return on Equity (18.2%) is considered low.

Financial Health

How is Breville Group's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: BRG's short term assets (A$855.8M) exceed its short term liabilities (A$398.2M).

Long Term Liabilities: BRG's short term assets (A$855.8M) exceed its long term liabilities (A$188.4M).

Debt to Equity History and Analysis

Debt Level: BRG has more cash than its total debt.

Reducing Debt: BRG's debt to equity ratio has increased from 11.9% to 25.1% over the past 5 years.

Debt Coverage: BRG's debt is not well covered by operating cash flow (16.1%).

Interest Coverage: BRG's interest payments on its debt are well covered by EBIT (19.9x coverage).

Balance Sheet

Dividend

What is Breville Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.31%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BRG's dividend (1.34%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.56%).

High Dividend: BRG's dividend (1.34%) is low compared to the top 25% of dividend payers in the Australian market (6.12%).

Stability and Growth of Payments

Stable Dividend: BRG is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.

Growing Dividend: BRG is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.

Earnings Payout to Shareholders

Earnings Coverage: BRG is not paying a notable dividend for the Australian market.

Cash Payout to Shareholders

Cash Flow Coverage: BRG is paying a dividend but the company has no free cash flows.

Next Steps

Explore strong dividend paying companies in the Consumer Durables industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

6.5yrs

Average management tenure

CEO

Jim Clayton

6.83yrs

Tenure

AU$3,612,517

Compensation

Mr. James Dennis Clayton, also known as Jim, has been Managing Director and Director at Breville Group Limited since August 18,2021 and has been its Group Chief Executive Officer at Breville Group Limited...

CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD2.50M) is above average for companies of similar size in the Australian market ($USD1.40M).

Compensation vs Earnings: Jim's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: BRG's management team is seasoned and experienced (6.5 years average tenure).

Board Members

Experienced Board: BRG's board of directors are considered experienced (8.4 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: BRG insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/17 00:00
End of Day Share Price	2022/05/16 00:00
Earnings	2021/12/31
Annual Earnings	2021/06/30