| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 2/6 |
| Past Performance | 6/6 |
| Financial Health | 3/6 |
| Dividends | 2/6 |
FBHS Overview
Fortune Brands Home & Security, Inc. provides home and security products for residential home repair, remodeling, new construction, and security applications.
Fortune Brands Home & Security Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$93.27 |
| 52 Week High | US$78.81 |
| 52 Week Low | US$114.01 |
| Beta | 1.63 |
| 1 Month Change | -6.43% |
| 3 Month Change | -4.21% |
| 1 Year Change | 13.66% |
| 3 Year Change | 75.29% |
| 5 Year Change | 61.06% |
| Change since IPO | 576.85% |
Recent News & Updates
A Look At The Intrinsic Value Of Fortune Brands Home & Security, Inc. (NYSE:FBHS)
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Is There Now An Opportunity In Fortune Brands Home & Security, Inc. (NYSE:FBHS)?
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Shareholder Returns
| FBHS | US Building | US Market | |
|---|---|---|---|
| 7D | -2.0% | -1.0% | -0.5% |
| 1Y | 13.7% | 55.9% | 37.5% |
Return vs Industry: FBHS underperformed the US Building industry which returned 55.6% over the past year.
Return vs Market: FBHS underperformed the US Market which returned 36.2% over the past year.
Price Volatility
| FBHS volatility | |
|---|---|
| FBHS Beta | 1.63 |
| Industry Beta | 1.35 |
| Market Beta | 1 |
Stable Share Price: FBHS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: FBHS's weekly volatility (3%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1988 | 27,505 | Nick Fink | https://www.fbhs.com |
Fortune Brands Home & Security, Inc. provides home and security products for residential home repair, remodeling, new construction, and security applications. It operates in three segments: Plumbing, Outdoors & Security, and Cabinets. The Plumbing segment manufactures, assembles, and sells faucets, accessories, kitchen sinks, and waste disposals in the United States, China, Canada, Mexico, Southeast Asia, Europe, and South America directly through its own sales force, as well as through independent manufacturers’ representatives to wholesalers, home centers, mass merchandisers, and industrial distributors.
Fortune Brands Home & Security Fundamentals Summary
| FBHS fundamental statistics | |
|---|---|
| Market Cap | US$12.85b |
| Earnings (TTM) | US$723.20m |
| Revenue (TTM) | US$7.02b |
17.8x
P/E Ratio1.8x
P/S RatioIs FBHS overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| FBHS income statement (TTM) | |
|---|---|
| Revenue | US$7.02b |
| Cost of Revenue | US$4.47b |
| Gross Profit | US$2.55b |
| Expenses | US$1.83b |
| Earnings | US$723.20m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 5.22 |
| Gross Margin | 36.36% |
| Net Profit Margin | 10.30% |
| Debt/Equity Ratio | 85.7% |
How did FBHS perform over the long term?
See historical performance and comparisonDividends
1.1%
Current Dividend Yield19%
Payout RatioValuation
Is Fortune Brands Home & Security undervalued compared to its fair value and its price relative to the market?
16.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FBHS ($93.27) is trading below our estimate of fair value ($111.37)
Significantly Below Fair Value: FBHS is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: FBHS is good value based on its PE Ratio (17.8x) compared to the US Building industry average (21x).
PE vs Market: FBHS's PE Ratio (17.8x) is in line with the US market.
Price to Earnings Growth Ratio
PEG Ratio: FBHS is poor value based on its PEG Ratio (3.3x)
Price to Book Ratio
PB vs Industry: FBHS is overvalued based on its PB Ratio (4.2x) compared to the US Building industry average (2.8x).
Future Growth
How is Fortune Brands Home & Security forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
5.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FBHS's forecast earnings growth (5.4% per year) is above the savings rate (2%).
Earnings vs Market: FBHS's earnings (5.4% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: FBHS's earnings are forecast to grow, but not significantly.
Revenue vs Market: FBHS's revenue (4.6% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: FBHS's revenue (4.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FBHS's Return on Equity is forecast to be high in 3 years time (22%)
Past Performance
How has Fortune Brands Home & Security performed over the past 5 years?
7.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FBHS has high quality earnings.
Growing Profit Margin: FBHS's current net profit margins (10.3%) are higher than last year (7.6%).
Past Earnings Growth Analysis
Earnings Trend: FBHS's earnings have grown by 7.4% per year over the past 5 years.
Accelerating Growth: FBHS's earnings growth over the past year (66.4%) exceeds its 5-year average (7.4% per year).
Earnings vs Industry: FBHS earnings growth over the past year (66.4%) exceeded the Building industry 64.7%.
Return on Equity
High ROE: FBHS's Return on Equity (23.8%) is considered high.
Financial Health
How is Fortune Brands Home & Security's financial position?
Financial Position Analysis
Short Term Liabilities: FBHS's short term assets ($2.5B) exceed its short term liabilities ($1.4B).
Long Term Liabilities: FBHS's short term assets ($2.5B) do not cover its long term liabilities ($3.3B).
Debt to Equity History and Analysis
Debt Level: FBHS's debt to equity ratio (85.7%) is considered high.
Reducing Debt: FBHS's debt to equity ratio has increased from 70.2% to 85.7% over the past 5 years.
Debt Coverage: FBHS's debt is well covered by operating cash flow (31.7%).
Interest Coverage: FBHS's interest payments on its debt are well covered by EBIT (12.7x coverage).
Balance Sheet
Dividend
What is Fortune Brands Home & Security current dividend yield, its reliability and sustainability?
1.12%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: FBHS's dividend (1.12%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: FBHS's dividend (1.12%) is low compared to the top 25% of dividend payers in the US market (3.63%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, FBHS has been paying a dividend for less than 10 years.
Growing Dividend: FBHS's dividend payments have increased, but the company has only paid a dividend for 8 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (19.2%), FBHS's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: FBHS's dividends in 3 years are forecast to be well covered by earnings (17.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.0yrs
Average management tenure
CEO
Nick Fink (46 yo)
1.67yrs
Tenure
US$9,615,974
Compensation
Mr. Nicholas Ian Fink, also known as Nick, serves as Independent Director at Constellation Brands, Inc. since January 4, 2021. He serves as Chief Executive Officer and Director of Fortune Brands Home & Sec...
CEO Compensation Analysis
Compensation vs Market: Nick's total compensation ($USD9.62M) is about average for companies of similar size in the US market ($USD11.36M).
Compensation vs Earnings: Nick's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: FBHS's management team is considered experienced (4 years average tenure).
Board Members
Experienced Board: FBHS's board of directors are considered experienced (6.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if 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.
Top Shareholders
Company Information
Fortune Brands Home & Security, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Fortune Brands Home & Security, Inc.
- Ticker: FBHS
- Exchange: NYSE
- Founded: 1988
- Industry: Building Products
- Sector: Capital Goods
- Market Cap: US$12.854b
- Shares outstanding: 137.88m
- Website: https://www.fbhs.com
Number of Employees
Location
- Fortune Brands Home & Security, Inc.
- 520 Lake Cook Road
- Suite 300
- Deerfield
- Illinois
- 60015-5611
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/23 23:04 |
| End of Day Share Price | 2021/09/23 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.