Should You Be Holding BHB Brauholding Bayern-Mitte AG (FRA:B9B)?

BHB Brauholding Bayern-Mitte AG (FRA:B9B) is a company with exceptional fundamental characteristics. Upon building up an investment case for a stock, we should look at various aspects. In the case of B9B, it is a company with great financial health as well as a a strong history of performance. In the following section, I expand a bit more on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on BHB Brauholding Bayern-Mitte here.

Excellent balance sheet with proven track record

In the previous year, B9B has ramped up its bottom line by 14%, with its latest earnings level surpassing its average level over the last five years. Not only did B9B outperformed its past performance, its growth also exceeded the Beverage industry expansion, which generated a 4.1% earnings growth. This is an notable feat for the company. B9B is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This suggests prudent control over cash and cost by management, which is a key determinant of the company’s health. B9B seems to have put its debt to good use, generating operating cash levels of 1.49x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.

DB:B9B Income Statement, April 17th 2019
DB:B9B Income Statement, April 17th 2019

Next Steps:

For BHB Brauholding Bayern-Mitte, I’ve compiled three relevant aspects you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for B9B’s future growth? Take a look at our free research report of analyst consensus for B9B’s outlook.
  2. Valuation: What is B9B worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether B9B is currently mispriced by the market.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of B9B? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.