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JBT

John Bean Technologies NYSE:JBT Stock Report

Last Price

US$88.72

Market Cap

US$2.8b

7D

-2.2%

1Y

-42.7%

Updated

28 Sep, 2022

Data

Company Financials +
JBT fundamental analysis
Snowflake Score
Valuation5/6
Future Growth4/6
Past Performance5/6
Financial Health4/6
Dividends0/6

JBT Stock Overview

John Bean Technologies Corporation provides technology solutions to food and beverage industry and equipment and services to air transportation industries.

John Bean Technologies Corporation Competitors

Price History & Performance

Summary of all time highs, changes and price drops for John Bean Technologies
Historical stock prices
Current Share PriceUS$88.72
52 Week HighUS$177.56
52 Week LowUS$81.59
Beta1.41
1 Month Change-17.23%
3 Month Change-19.65%
1 Year Change-42.73%
3 Year Change-5.85%
5 Year Change-11.94%
Change since IPO533.71%

Recent News & Updates

Sep 28

John Bean Technologies: No Harvesting Time

Summary John Bean Technologies Corporation has seen a huge pullback over the past year, after expectations had run away last year. John Bean Technologies' appeal is alluring, if not for a relatively large and pricey recent deal. I am warming up to John Bean, yet question the recent capital allocation move. If John Bean management delivers, notably on margins, real upside is to be seen. Shares of John Bean Technologies Corporation (JBT) have seen a pullback this year, alongside the wider market. In the summer of 2021, I concluded that M&A had returned for this well-positioned and solid long-term value creator. After being spun off from FMC more than a decade ago, John Bean has been operating under the radar, yet it has quickly built up a solid track record as a long-term value creator. Some Background Since the spinoff, which took place around the time of the 2009 recession, John Bean shares have been trading rangebound between $10 and $20 per share, as shares rallied to the $100 mark in 2017. What followed were a few years of stagnation as shares rallied to a high of nearly $180 per share in November of last year. Ever since, shares have seen a violent selloff, having been cut in half as they are now trading at $85 per share. Part of the long-term success comes from the positioning of the business, as John Bean is a combination of a larger FoodTech and a smaller AeroTech business. Ahead of the 2020 pandemic, the company posted flattish sales in 2019, with revenues up just a percent to $1.95 billion. Amidst flattish revenue trends, the company was able to grow operating margins by 220 basis points, to 9.7% of sales. GAAP earnings were posted at $4.02 per share, with adjusted earnings per share coming nearly a dollar higher at a couple of pennies shy of the $5 per share mark. The majority of this gap is the result of deal-related expenses, notably non-cash amortization charges. With net debt reported at $660 million, leverage ratios came in at 2.3 times, which looked very reasonable, as the company initiated a $5.25 per share earnings outlook for 2020, which of course did not come to fruition following the outbreak of the pandemic. Notably, the aero segment was hurt by the global conditions at the time. As it turned out, 2020 sales fell 11% to $1.73 billion, with adjusted earnings down a dollar to $3.94 per share as well. The company guided for 2021 earnings to rise in a modest fashion to $4.30-$4.55 per share as the company announced multiple smaller bolt-on acquisitions and a larger $170 million purchase of Prevenio last summer. Pegging earnings power at $5.00-$5.50 per share under more normal conditions, a $130 price level in the summer of last year continued to mark a big premium over the market, all while leverage came in around 2 times. These valuations were too high for me, despite the defensive qualities of the business and its long-term track record. And Now? Since shares traded at $130 in the summer of last year, shares did rise to near $180 by year-end, but by now have fallen more than 50% already, to $85 at the moment of writing. In the meantime, the company has been active in pursuing bolt-on deals and to grow the business in an organic manner. In November of last year, John Bean acquired Spanish-based Urtasun Tecnología in a $40 million deal which added $25 million in revenues from fruit and vegetable processing solutions. In February, John Bean announced its 2021 results with revenues up 8% to $1.87 billion, albeit that order growth was much more pronounced. Reported operating margins fell 80 basis points to 8.6% of sales after a softer start to the year, as adjusted earnings rose 9 pennies to $4.03 per share. The driver of the business remains the FoodTech segment, which is now responsible for $1.4 billion in sales, essentially three-quarters of total revenues, as the AeroTech business has seen a fall in full year sales to just below the half a billion mark. Adjusted EBITDA of $252 million translates into a leverage ratio in the mid-2s, with net debt reported around $600 million. The company warned for the impact of labor constraints and supply chain issues in 2021, yet it guided for 2022 revenues to grow in the mid- to high-teens. After a softer first half (in terms of margins) the company expects to maintain full year margins or exceed them a bit, which implies that earnings growth should follow topline sales trends. In April, JBT announced a 12% increase in first quarter sales to $469 million yet with operating margins down 250 basis points to 6.5% of sales, earnings have come down again. Nonetheless, the future looked a bit better as the backlog rose to $1.1 billion, which compares to just a $770 million number this time last year. Despite the softer start to the year, the company guided for full year adjusted earnings between $5.00 and $5.30 per share. In July, JBT announced the purchase of German-based Alco-food-machines in a bolt-on deal which is set to add $35 million in revenues, to thereby add nearly 2% to pro forma sales, as this is truly a bolt-on deal which will not move the needle in a major way. Late in the month, JBT announced second quarter sales up 14% to $542 million as operating margins were down 210 basis points to 7.8% of sales. With margin trends lagging compared to expectations, the company has cut the full year adjusted earnings guidance to a midpoint of $5.00 per share. Net debt remains stuck around $625 million, for a 2.5 times leverage ratio, on the back of continued bolt-on deal-making.

Aug 30
Here's Why John Bean Technologies (NYSE:JBT) Can Manage Its Debt Responsibly

Here's Why John Bean Technologies (NYSE:JBT) Can Manage Its Debt Responsibly

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Aug 15
There Are Reasons To Feel Uneasy About John Bean Technologies' (NYSE:JBT) Returns On Capital

There Are Reasons To Feel Uneasy About John Bean Technologies' (NYSE:JBT) Returns On Capital

There are a few key trends to look for if we want to identify the next multi-bagger. One common approach is to try and...

Shareholder Returns

JBTUS MachineryUS Market
7D-2.2%-2.5%-2.0%
1Y-42.7%-17.4%-20.3%

Return vs Industry: JBT underperformed the US Machinery industry which returned -19.9% over the past year.

Return vs Market: JBT underperformed the US Market which returned -22.1% over the past year.

Price Volatility

Is JBT's price volatile compared to industry and market?
JBT volatility
JBT Average Weekly Movement5.6%
Machinery Industry Average Movement5.4%
Market Average Movement6.9%
10% most volatile stocks in US Market15.8%
10% least volatile stocks in US Market2.8%

Stable Share Price: JBT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: JBT's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19946,600Brian Deckhttps://www.jbtc.com

John Bean Technologies Corporation provides technology solutions to food and beverage industry and equipment and services to air transportation industries. The company operates through two segments: JBT FoodTech and JBT AeroTech. It offers poultry processing, mixing/grinding, injecting, marinating, tumbling, portioning, packaging, coating, cooking, frying, freezing, weighing, X-ray food inspection, and food safety solutions.

John Bean Technologies Corporation Fundamentals Summary

How do John Bean Technologies's earnings and revenue compare to its market cap?
JBT fundamental statistics
Market CapUS$2.83b
Earnings (TTM)US$119.90m
Revenue (TTM)US$1.99b

23.6x

P/E Ratio

1.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
JBT income statement (TTM)
RevenueUS$1.99b
Cost of RevenueUS$1.41b
Gross ProfitUS$574.90m
Other ExpensesUS$455.00m
EarningsUS$119.90m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)3.76
Gross Margin28.94%
Net Profit Margin6.04%
Debt/Equity Ratio85.4%

How did JBT perform over the long term?

See historical performance and comparison

Dividends

0.4%

Current Dividend Yield

11%

Payout Ratio