NYSE:BCO

Stock Analysis Report

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Market Cap

US$3.8b

Last Updated

2021/06/18 02:33 UTC

Data Sources

Company Financials +

Executive Summary

The Brink's Company provides secure transportation, cash management, and other security-related services in North America, Latin America, Europe, and internationally. More Details


Snowflake Analysis

Solid track record second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BCO is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: BCO's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

1.2%

BCO

-0.05%

US Commercial Services

-0.2%

US Market


1 Year Return

61.5%

BCO

35.3%

US Commercial Services

39.4%

US Market

Return vs Industry: BCO exceeded the US Commercial Services industry which returned 34.7% over the past year.

Return vs Market: BCO exceeded the US Market which returned 39.7% over the past year.


Shareholder returns

BCOIndustryMarket
7 Day1.2%-0.05%-0.2%
30 Day-5.0%0.3%3.1%
90 Day-8.5%10.7%5.6%
1 Year63.4%61.5%37.0%35.3%41.7%39.4%
3 Year-5.4%-8.1%54.7%44.7%59.7%49.9%
5 Year171.4%158.8%118.9%97.3%122.6%97.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Brink's undervalued compared to its fair value and its price relative to the market?

136.94x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BCO ($76.56) is trading above our estimate of fair value ($15.29)

Significantly Below Fair Value: BCO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BCO is poor value based on its PE Ratio (138.7x) compared to the US Commercial Services industry average (34.6x).

PE vs Market: BCO is poor value based on its PE Ratio (138.7x) compared to the US market (19.6x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate BCO's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: BCO is overvalued based on its PB Ratio (38.1x) compared to the US Commercial Services industry average (2.5x).


Future Growth

How is Brink's forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

6.6%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if BCO's forecast earnings growth is above the savings rate (2%).

Earnings vs Market: Insufficient data to determine if BCO's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BCO's revenue (6.6% per year) is forecast to grow slower than the US market (9.3% per year).

High Growth Revenue: BCO's revenue (6.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if BCO's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Brink's performed over the past 5 years?

-4.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BCO has high quality earnings.

Growing Profit Margin: BCO's current net profit margins (0.7%) are higher than last year (0.4%).


Past Earnings Growth Analysis

Earnings Trend: BCO has become profitable over the past 5 years, growing earnings by -4.5% per year.

Accelerating Growth: BCO's earnings growth over the past year (68.9%) exceeds its 5-year average (-4.5% per year).

Earnings vs Industry: BCO earnings growth over the past year (68.9%) exceeded the Commercial Services industry 3.2%.


Return on Equity

High ROE: BCO's Return on Equity (15.7%) is considered low.


Financial Health

How is Brink's's financial position?


Financial Position Analysis

Short Term Liabilities: BCO's short term assets ($1.8B) exceed its short term liabilities ($1.3B).

Long Term Liabilities: BCO's short term assets ($1.8B) do not cover its long term liabilities ($3.7B).


Debt to Equity History and Analysis

Debt Level: BCO's debt to equity ratio (1043.5%) is considered high.

Reducing Debt: BCO's debt to equity ratio has increased from 141.2% to 1043.5% over the past 5 years.

Debt Coverage: BCO's debt is not well covered by operating cash flow (12.9%).

Interest Coverage: BCO's interest payments on its debt are not well covered by EBIT (2.6x coverage).


Balance Sheet


Dividend

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

1.06%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BCO's dividend (1.05%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.27%).

High Dividend: BCO's dividend (1.05%) is low compared to the top 25% of dividend payers in the US market (3.36%).


Stability and Growth of Payments

Stable Dividend: BCO's dividends per share have been stable in the past 10 years.

Growing Dividend: BCO's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (108.7%), BCO's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BCO's dividends in 3 years are forecast to be thoroughly covered by earnings (8.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.1yrs

Average management tenure


CEO

Doug Pertz (66 yo)

5yrs

Tenure

US$13,901,789

Compensation

Mr. Douglas Allen Pertz, also known as Doug, has been the Chief Executive Officer and President of The Brink's Company since June 9, 2016. Mr. Pertz serves as the President of Mosaic USA Holdings, Inc. Mr....


CEO Compensation Analysis

Compensation vs Market: Doug's total compensation ($USD13.90M) is above average for companies of similar size in the US market ($USD5.24M).

Compensation vs Earnings: Doug's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: BCO's management team is considered experienced (3.1 years average tenure).


Board Members

Experienced Board: BCO's board of directors are considered experienced (5.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: BCO insiders have only sold shares 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

The Brink's Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Brink's Company
  • Ticker: BCO
  • Exchange: NYSE
  • Founded: 1859
  • Industry: Security and Alarm Services
  • Sector: Commercial Services
  • Market Cap: US$3.759b
  • Shares outstanding: 49.75m
  • Website: https://www.brinks.com

Number of Employees


Location

  • The Brink's Company
  • 1801 Bayberry Court
  • PO Box 18100
  • Richmond
  • Virginia
  • 23226-8100
  • United States

Listings


Biography

The Brink's Company provides secure transportation, cash management, and other security-related services in North America, Latin America, Europe, and internationally. The company offers armored vehicle tra...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/18 02:33
End of Day Share Price2021/06/17 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.