BIT:BC

Stock Analysis Report

Executive Summary

Brunello Cucinelli S.p.A., together with its subsidiaries, designs, manufactures, and sells clothing and accessories in Italy, Europe, North America, Greater China, and internationally.

Snowflake

Fundamentals

Flawless balance sheet with acceptable track record.


Similar Companies

Share Price & News

How has Brunello Cucinelli's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.9%

BIT:BC

-1.6%

IT Luxury

-0.8%

IT Market


1 Year Return

-15.3%

BIT:BC

-7.9%

IT Luxury

-1.2%

IT Market

BC underperformed the Luxury industry which returned -8.2% over the past year.

BC underperformed the Market in Italy which returned -1.5% over the past year.


Share holder returns

BCIndustryMarket
7 Day-1.9%-1.6%-0.8%
30 Day4.9%-1.9%3.1%
90 Day-2.3%-2.9%-0.6%
1 Year-14.5%-15.3%-5.5%-7.9%3.2%-1.2%
3 Year85.9%81.2%16.7%9.2%25.2%8.2%
5 Year82.3%75.2%31.5%15.7%11.4%-31.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

40.89x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Brunello Cucinelli is overvalued based on earnings compared to the IT Luxury industry average.

Brunello Cucinelli is overvalued based on earnings compared to the Italy market.


Price Based on Expected Growth

Brunello Cucinelli is poor value based on expected growth next year.


Price Based on Value of Assets

Brunello Cucinelli is overvalued based on assets compared to the IT Luxury industry average.


Next Steps

Future Growth

How is Brunello Cucinelli expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

6.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Brunello Cucinelli's revenue is expected to grow by 8% yearly, however this is not considered high growth (20% yearly).

Brunello Cucinelli's earnings are expected to grow by 6.3% yearly, however this is not considered high growth (20% yearly).

Brunello Cucinelli's revenue growth is expected to exceed the Italy market average.

Brunello Cucinelli's earnings growth is positive but not above the Italy market average.

Brunello Cucinelli's earnings growth is expected to exceed the low risk savings rate of 2.9%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Brunello Cucinelli performed over the past 5 years?

12.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Brunello Cucinelli's year on year earnings growth rate has been positive over the past 5 years.

Brunello Cucinelli's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Brunello Cucinelli's 1-year earnings growth is negative, it can't be compared to the IT Luxury industry average.


Return on Equity

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


Return on Assets

Brunello Cucinelli used its assets more efficiently than the IT Luxury industry average last year based on Return on Assets.


Return on Capital Employed

Brunello Cucinelli has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Brunello Cucinelli's financial position?


Financial Position Analysis

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

Brunello Cucinelli's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Brunello Cucinelli's level of debt (27.9%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (37.8% vs 27.9% today).

Debt is well covered by operating cash flow (87.5%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 70.9x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 3.8x debt.


Next Steps

Dividend

What is Brunello Cucinelli's current dividend yield, its reliability and sustainability?

1.26%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Brunello Cucinelli's pays a lower dividend yield than the bottom 25% of dividend payers in Italy (2.06%).

Brunello Cucinelli's dividend is below the markets top 25% of dividend payers in Italy (4.46%).

Brunello Cucinelli is not paying a notable dividend for Italy, therefore no need to check if the payments are stable.

Brunello Cucinelli is not paying a notable dividend for Italy, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Brunello Cucinelli's dividends as it is not paying a notable one for Italy.


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.1x coverage).


Next Steps

Management

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

6.2yrs

Average board tenure


CEO

Brunello Cucinelli (66yo)

€802,800

Compensation

Mr. Brunello Cucinelli is the Owner of Fedone S.r.l. Mr. Cucinelli serves as the Chairman, Chief Executive Officer and Managing Director at BRUNELLO CUCINELLI S.p.A. He serves as a Director at Pitti Immagi ...


CEO Compensation Analysis

Brunello's remuneration is higher than average for companies of similar size in Italy.

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


Board Age and Tenure

6.2yrs

Average Tenure

53yo

Average Age

The tenure for the Brunello Cucinelli board of directors is about average.


Insider Trading

No 3 month individual insider trading information.


Ownership Breakdown


Management Team

  • Brunello Cucinelli (66yo)

    Chairman of the Board

    • Compensation: 802.80k
  • Moreno Ciarapica (58yo)

    Manager in charge of Corporate Accounting Documents & Executive Director

    • Compensation: 2.80k
  • Riccardo Stefanelli (38yo)

    Executive Director

    • Compensation: 2.80k
  • Luca Lisandroni (41yo)

    Executive Director

    • Compensation: 2.40k

Board Members

  • Paolo Prandi

    Chairman of the Board of Statutory Auditors

    • Tenure: 2.3yrs
  • Luca Lisandroni (41yo)

    Executive Director

    • Tenure: 3.3yrs
    • Compensation: 2.40k
  • Candice Koo (42yo)

    Independent Director

    • Compensation: 30.30k
  • Matteo Marzotto (53yo)

    Independent Director

    • Compensation: 37.80k
  • Riccardo Stefanelli (38yo)

    Executive Director

    • Tenure: 8.1yrs
    • Compensation: 2.80k
  • Brunello Cucinelli (66yo)

    Chairman of the Board

    • Compensation: 802.80k
  • Camilla Cucinelli (37yo)

    Director

    • Tenure: 5.3yrs
    • Compensation: 2.80k
  • Andrea Pontremoli (62yo)

    Lead Independent Director

    • Tenure: 7.2yrs
    • Compensation: 45.30k
  • Giovanna Manfredi (58yo)

    Director

    • Tenure: 8.1yrs
    • Compensation: 2.40k
  • Moreno Ciarapica (58yo)

    Manager in charge of Corporate Accounting Documents & Executive Director

    • Compensation: 2.80k

Company Information

Brunello Cucinelli S.p.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Brunello Cucinelli S.p.A.
  • Ticker: BC
  • Exchange: BIT
  • Founded: 1978
  • Industry: textiles
  • Sector: consumer durables
  • Market Cap: €2.073b
  • Shares outstanding: 68.00m
  • Website: Click here

Number of Employees


Location

  • Brunello Cucinelli S.p.A.
  • Viale Parco dell’Industria, 5
  • Solomeo
  • Perugia
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BCBIT (Borsa Italiana)YesCommon SharesITEURApr 2012
8BUDB (Deutsche Boerse AG)YesCommon SharesDEEURApr 2012
0Q7SLSE (London Stock Exchange)YesCommon SharesGBEURApr 2012
BCUC.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDApr 2012
BCMBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEURApr 2012
BCUC.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDJul 2013

Biography

Brunello Cucinelli S.p.A., together with its subsidiaries, designs, manufactures, and sells clothing and accessories in Italy, Europe, North America, Greater China, and internationally. The company offers  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/18 21:44
End of Day Share Price2019/07/18 00:00
Earnings2018/12/31
Annual Earnings2018/12/31


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.