SWX:BDX

Stock Analysis Report

Executive Summary

Becton, Dickinson and Company develops, manufactures, and sells medical supplies, devices, laboratory equipment, and diagnostic products worldwide.

Snowflake

Fundamentals

Reasonable growth potential with questionable track record.


Similar Companies

Share Price & News

How has Becton Dickinson's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

SWX:BDX

0.2%

CH Medical Equipment

-0.5%

CH Market


1 Year Return

-2.6%

SWX:BDX

7.3%

CH Medical Equipment

2.7%

CH Market

BDX underperformed the Medical Equipment industry which returned 6.4% over the past year.

BDX underperformed the Market in Switzerland which returned 1.5% over the past year.


Share holder returns

BDXIndustryMarket
7 Day0%0.2%-0.5%
30 Day0%-2.6%-1.9%
90 Day6.4%-2.3%0.6%
1 Year-1.4%-2.6%8.4%7.3%8.0%2.7%
3 Year52.9%46.5%64.9%59.4%29.4%16.2%
5 Yearn/a114.0%100.1%32.8%12.2%

Price Volatility Vs. Market

How volatile is Becton Dickinson's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Becton Dickinson undervalued based on future cash flows and its price relative to the stock market?

85.35x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Becton Dickinson's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Becton Dickinson's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Becton Dickinson is overvalued based on earnings compared to the CH Medical Equipment industry average.

Becton Dickinson is overvalued based on earnings compared to the Switzerland market.


Price Based on Expected Growth

Becton Dickinson is poor value based on expected growth next year.


Price Based on Value of Assets

Becton Dickinson is good value based on assets compared to the CH Medical Equipment industry average.


Next Steps

Future Growth

How is Becton Dickinson expected to perform in the next 1 to 3 years based on estimates from 19 analysts?

39.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Becton Dickinson's revenue is expected to grow by 5% yearly, however this is not considered high growth (20% yearly).

Becton Dickinson's earnings are expected to grow significantly at over 20% yearly.

Becton Dickinson's revenue growth is expected to exceed the Switzerland market average.

Becton Dickinson's earnings growth is expected to exceed the Switzerland market average.

Becton Dickinson's earnings growth is expected to exceed the low risk savings rate of 3.3%.


Earnings per Share Growth Estimates


Future Return on Equity

Becton Dickinson is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Becton Dickinson performed over the past 5 years?

-11.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Becton Dickinson's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Becton Dickinson's 1-year earnings growth exceeds its 5-year average (26.2% vs -11.8%)

Becton Dickinson's earnings growth has exceeded the CH Medical Equipment industry average in the past year (26.2% vs 5.5%).


Return on Equity

Becton Dickinson has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Becton Dickinson used its assets less efficiently than the CH Medical Equipment industry average last year based on Return on Assets.


Return on Capital Employed

Becton Dickinson's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Becton Dickinson's financial position?


Financial Position Analysis

Becton Dickinson is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Becton Dickinson's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Becton Dickinson's level of debt (93.9%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (73.9% vs 93.9% today).

Debt is not well covered by operating cash flow (16.2%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.2x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.3x debt.


Next Steps

Dividend

What is Becton Dickinson's current dividend yield, its reliability and sustainability?

1.45%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Becton Dickinson before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Becton Dickinson's pays a lower dividend yield than the bottom 25% of dividend payers in Switzerland (2.07%).

Becton Dickinson's dividend is below the markets top 25% of dividend payers in Switzerland (3.92%).

Becton Dickinson is not paying a notable dividend for Switzerland, therefore no need to check if the payments are stable.

Becton Dickinson is not paying a notable dividend for Switzerland, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Becton Dickinson's dividends as it is not paying a notable one for Switzerland.


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3.6x coverage).


Next Steps

Management

What is the CEO of Becton Dickinson's salary, the management and board of directors tenure and is there insider trading?

1.7yrs

Average management tenure


CEO

Vince Forlenza (66yo)

7.8yrs

Tenure

US$14,973,481

Compensation

Mr. Vincent A. Forlenza, also known as Vince, is a Director of Moody's Corp. since April 24, 2018. Mr. Forlenza serves as Chief Executive Officer and President of Becton, Dickinson U.K. Limited. Mr. Forlen ...


CEO Compensation Analysis

Vince's remuneration is higher than average for companies of similar size in Switzerland.

Vince's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.7yrs

Average Tenure

56yo

Average Age

The average tenure for the Becton Dickinson management team is less than 2 years, this suggests a new team.


Board Age and Tenure

6.8yrs

Average Tenure

65yo

Average Age

The tenure for the Becton Dickinson board of directors is about average.


Insider Trading

Becton Dickinson individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellCHF31,32412 Aug 19
Patrick Kaltenbach
EntityIndividual
Role
Executive VP & President of the Life Sciences Segment
Shares127
Max PriceCHF246.65
SellCHF36,08909 Aug 19
Patrick Kaltenbach
EntityIndividual
Role
Executive VP & President of the Life Sciences Segment
Shares150
Max PriceCHF240.59
SellCHF337,85407 Aug 19
Claire Fraser-Liggett
EntityIndividual
Role
Member of the Board of Directors
Shares1,429
Max PriceCHF236.43
SellCHF684,20513 Jun 19
Simon Campion
EntityIndividual
Shares2,903
Max PriceCHF235.69
SellCHF64,22105 Jun 19
Patrick Kaltenbach
EntityIndividual
Role
Executive VP & President of the Life Sciences Segment
Shares275
Max PriceCHF233.53
SellCHF10,13030 May 19
Catherine Burzik
EntityIndividual
Role
Member of the Board of Directors
Shares45
Max PriceCHF225.10
BuyCHF83,13930 May 19
Catherine Burzik
EntityIndividual
Role
Member of the Board of Directors
Shares360
Max PriceCHF249.66
SellCHF3,814,31223 May 19
Samrat Khichi
EntityIndividual
Role
Executive VP & General Counsel
Shares16,085
Max PriceCHF237.13
SellCHF101,86614 May 19
Betty Larson
EntityIndividual
Shares450
Max PriceCHF226.37
SellCHF27,87918 Mar 19
Alberto Ribo
EntityIndividual
Shares109
Max PriceCHF255.77
SellCHF515,50306 Mar 19
Alberto Ribo
EntityIndividual
Shares2,021
Max PriceCHF255.07
SellCHF460,12503 Dec 18
James Borzi
EntityIndividual
Shares1,825
Max PriceCHF252.12
SellCHF233,77416 Nov 18
Charles Bodner
EntityIndividual
Role
Senior VP of Corporate Finance & Chief Accounting Officer
Shares950
Max PriceCHF246.08
SellCHF1,080,91316 Nov 18
Alberto Ribo
EntityIndividual
Shares4,530
Max PriceCHF238.61
SellCHF1,261,78108 Nov 18
Leong Ching Lim
EntityIndividual
Shares5,189
Max PriceCHF243.16
SellCHF9,946,08708 Nov 18
Timothy Ring
EntityIndividual
Shares42,000
Max PriceCHF236.81

Ownership Breakdown


Management Team

  • Patrick Kaltenbach (56yo)

    Executive VP & President of the Life Sciences Segment

    • Tenure: 1.3yrs
    • Compensation: $5.23m
  • Vince Forlenza (66yo)

    Chairman & CEO

    • Tenure: 7.8yrs
    • Compensation: $14.97m
  • Charles Bodner (48yo)

    Senior VP of Corporate Finance & Chief Accounting Officer

    • Tenure: 1.1yrs
  • Gary DeFazio

    Senior VP

  • Richard Pierle

    Executive VP & Chief Information Officer

  • Chris Reidy (62yo)

    Executive VP

    • Tenure: 6.1yrs
    • Compensation: $5.18m
  • Monique Dolecki

    Vice President of Investor Relations

  • Sam Khichi (52yo)

    Executive VP & General Counsel

    • Tenure: 1.7yrs
    • Compensation: $3.73m
  • Tom Polen (46yo)

    President & COO

    • Tenure: 2.3yrs
    • Compensation: $5.83m
  • John DeFord (57yo)

    Executive Vice President & Chief Technology Officer

    • Tenure: 1.2yrs

Board Members

  • Vince Forlenza (66yo)

    Chairman & CEO

    • Tenure: 7.1yrs
    • Compensation: $14.97m
  • Marshall Larsen (71yo)

    Lead Director

    • Tenure: 4.6yrs
    • Compensation: $379.25k
  • Claire Fraser-Liggett (64yo)

    Independent Director

    • Tenure: 12.8yrs
    • Compensation: $344.25k
  • Chris Jones (64yo)

    Director

    • Tenure: 9.1yrs
    • Compensation: $329.25k
  • Rebecca Rimel (68yo)

    Director

    • Tenure: 7.1yrs
    • Compensation: $324.25k
  • Claire Pomeroy (64yo)

    Director

    • Tenure: 5.4yrs
    • Compensation: $329.25k
  • Bert Scott (68yo)

    Independent Director

    • Tenure: 16.9yrs
    • Compensation: $349.25k
  • Andy Eckert (57yo)

    Director

    • Tenure: 2.9yrs
    • Compensation: $329.25k
  • Cathy Burzik (69yo)

    Director

    • Tenure: 6.6yrs
    • Compensation: $339.52k
  • Dave Melcher (64yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: $314.79k

Company Information

Becton, Dickinson and Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Becton, Dickinson and Company
  • Ticker: BDX
  • Exchange: SWX
  • Founded: 1897
  • Industry: health care equipment
  • Sector: healthcare
  • Market Cap: US$66.503b
  • Listing Market Cap: US$65.170b
  • Shares outstanding: 269.95m
  • Website: Click here

Number of Employees


Location

  • Becton, Dickinson and Company
  • 1 Becton Drive
  • Franklin Lakes
  • New Jersey
  • 7417
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BDXNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
BOXDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
BDXSWX (SIX Swiss Exchange)YesCommon StockCHCHFJan 1968
0R19LSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
BDX *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968
BDXWBAG (Wiener Boerse AG)YesCommon StockATEURJan 1968
BDXANYSE (New York Stock Exchange)PFD SHS CONV AUSUSDMay 2017

Biography

Becton, Dickinson and Company develops, manufactures, and sells medical supplies, devices, laboratory equipment, and diagnostic products worldwide. The company’s BD Medical segment offers peripheral IV and ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/16 21:56
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.