NYSE:BC

Stock Analysis Report

Executive Summary

Brunswick Corporation designs, manufactures, and markets recreation products worldwide.

Snowflake

Fundamentals

Established dividend payer with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

2.9%

BC

-0.2%

US Leisure

1.0%

US Market


1 Year Return

-2.0%

BC

-2.0%

US Leisure

8.0%

US Market

Return vs Industry: BC matched the US Leisure industry which returned -2% over the past year.

Return vs Market: BC underperformed the US Market which returned 8% over the past year.


Shareholder returns

BCIndustryMarket
7 Day2.9%-0.2%1.0%
30 Day8.2%3.1%-0.07%
90 Day21.0%0.4%-1.0%
1 Year-0.3%-2.0%-0.3%-2.0%10.4%8.0%
3 Year24.2%19.0%-4.7%-9.5%46.2%36.7%
5 Year31.0%22.8%14.5%1.9%64.3%46.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Brunswick undervalued compared to its fair value and its price relative to the market?

15.47x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BC ($56.62) is trading above our estimate of fair value ($52.62)

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


Price To Earnings Ratio

PE vs Industry: BC is good value based on its PE Ratio (15.5x) compared to the Leisure industry average (17.9x).

PE vs Market: BC is good value based on its PE Ratio (15.5x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

PEG Ratio: BC is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: BC is overvalued based on its PB Ratio (3.2x) compared to the US Leisure industry average (2.3x).


Next Steps

Future Growth

How is Brunswick forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

16.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BC's forecast earnings growth (16.2% per year) is above the savings rate (2.7%).

Earnings vs Market: BC's earnings (16.2% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: BC's earnings are forecast to grow, but not significantly.

Revenue vs Market: BC's revenue (2.4% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: BC's revenue (2.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BC's Return on Equity is forecast to be high in 3 years time (24.8%)


Next Steps

Past Performance

How has Brunswick performed over the past 5 years?

-20.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BC's earnings have declined by -20.1% per year over the past 5 years.

Accelerating Growth: BC's earnings growth over the past year (237.9%) exceeds its 5-year average (-20.1% per year).

Earnings vs Industry: BC earnings growth over the past year (237.9%) exceeded the Leisure industry 17.2%.


Return on Equity

High ROE: BC's Return on Equity (20.8%) is considered high.


Return on Assets

ROA vs Industry: BC has a higher Return on Assets than the Leisure industry average last year.


Return on Capital Employed

ROCE Improving: BC's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Brunswick's financial position?


Financial Position Analysis

Short Term Liabilities: BC's short term assets ($2.0B) exceeds its short term liabilities ($1.0B)

Long Term Liabilities: BC's short term assets (2.0B) exceeds its long term liabilities (1.5B)


Debt to Equity History and Analysis

Debt Level: BC's debt to equity ratio (83.3%) is considered high

Reducing Debt: BC's debt to equity ratio has increased from 36.1% to 83.3% over the past 5 years.

Debt Coverage: BC's debt is well covered by operating cash flow (21.5%).

Interest Coverage: BC's interest payments on its debt are well covered by EBIT (8x coverage).


Balance Sheet

Inventory Level: BC has a high level of physical assets or inventory.

Debt Coverage by Assets: BC's debt is covered by short term assets (assets are 1.570910x debt).


Next Steps

Dividend

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

1.70%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Brunswick before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company1.7%marketbottom25%1.4%markettop25%3.7%industryaverage2.1%forecastin3Years1.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: BC's dividend (1.7%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: BC's dividend (1.7%) is low compared to the top 25% of dividend payers in the US market (3.68%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.4%), BC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BC's dividends in 3 years are forecast to be well covered by earnings (16.5% payout ratio).


Next Steps

Management

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

3.4yrs

Average management tenure


CEO

David Foulkes (57yo)

0.8yrs

Tenure

US$1,726,059

Compensation

Mr. David M. Foulkes has been Chief Executive Officer and Director at Brunswick Corp. since January 01, 2019. Mr. Foulkes was Chief Technology Officer and President of Brunswick Marine Consumer Solutions a ...


CEO Compensation Analysis

Compensation vs. Market: David has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.

Compensation vs Earnings: Insufficient data to compare David's compensation with company performance.


Management Age and Tenure

3.4yrs

Average Tenure

50yo

Average Age

Experienced Management: BC's management team is considered experienced (3.4 years average tenure).


Board Age and Tenure

5.3yrs

Average Tenure

64.5yo

Average Age

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


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$79,85815 Feb 19
Christopher Dekker
EntityIndividual
Role
Chief Legal Officer
VP, General Counsel & Secretary
Shares1,599
Max PriceUS$49.94
BuyUS$169,52507 Dec 18
Ralph Stayer
EntityIndividual
Shares3,310
Max PriceUS$51.22
BuyUS$501,33203 Dec 18
Manuel Fernandez
EntityIndividual
Role
Chairman of the Board
Non–Executive Chairman of the Board
Shares9,435
Max PriceUS$53.18

Ownership Breakdown


Management Team

  • Bill Metzger (58yo)

    Senior VP & CFO

    • Tenure: 6.6yrs
    • Compensation: US$2.18m
  • Dan Kubera

    Director of Media Relations & Corporate Communications

    • Tenure: 0yrs
  • Jeff Kinsey (54yo)

    President of Freshwater Boats

    • Tenure: 0yrs
  • David Foulkes (57yo)

    CEO & Director

    • Tenure: 0.8yrs
    • Compensation: US$1.73m
  • Chris Dekker (50yo)

    VP, General Counsel & Secretary

    • Tenure: 5yrs
    • Compensation: US$1.27m
  • Jorge Valdes

    President of Harris & Cypress Cay - Brunswick Boat Group

    • Tenure: 3.3yrs
  • Huw Bower (44yo)

    Vice President & President of Brunswick Boat Group

    • Tenure: 3.5yrs
    • Compensation: US$1.75m
  • Brenna Preisser (41yo)

    VP, Chief Human Resources Officer & President of Business Acceleration

    • Tenure: 3.6yrs
  • Danielle Brown (49yo)

    Chief Information Officer & VP

    • Tenure: 2.9yrs
  • Alexander Marchetti

    Senior Director of Investor Relations

    • Tenure: 0.3yrs

Board Members

  • Nancy Cooper (65yo)

    Independent Director

    • Tenure: 6.2yrs
    • Compensation: US$269.92k
  • Steve Whisler (64yo)

    Independent Director

    • Tenure: 12yrs
    • Compensation: US$288.40k
  • Manny Fernandez (73yo)

    Non–Executive Chairman of the Board

    • Tenure: 0.8yrs
    • Compensation: US$337.03k
  • Joe McClanathan (66yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$74.60k
  • Dave Singer (63yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$283.54k
  • Jane Warner (72yo)

    Independent Director

    • Tenure: 4.7yrs
    • Compensation: US$278.49k
  • Roger Wood (56yo)

    Independent Director

    • Tenure: 7.1yrs
    • Compensation: US$283.54k
  • Dave Everitt (67yo)

    Independent Director

    • Tenure: 7.1yrs
    • Compensation: US$262.51k
  • Lauren Flaherty (61yo)

    Independent Director

    • Tenure: 0.8yrs
  • David Foulkes (57yo)

    CEO & Director

    • Tenure: 0.8yrs
    • Compensation: US$1.73m

Company Information

Brunswick Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Brunswick Corporation
  • Ticker: BC
  • Exchange: NYSE
  • Founded: 1845
  • Industry: Leisure Products
  • Sector: Consumer Durables
  • Market Cap: US$4.854b
  • Shares outstanding: 85.72m
  • Website: https://www.brunswick.com

Number of Employees


Location

  • Brunswick Corporation
  • 26125 North Riverwoods Boulevard
  • Suite 500
  • Mettawa
  • Illinois
  • 60045
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BCNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
BWIDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968

Biography

Brunswick Corporation designs, manufactures, and markets recreation products worldwide. The company offers marine engine products, including outboard, sterndrive, and inboard engine and propulsion systems; ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 23:33
End of Day Share Price2019/10/22 00:00
Earnings2019/06/29
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.