company background image
BID

BidJSE:BID Stock Report

Market Cap

R110.5b

7D

1.6%

1Y

38.5%

Updated

20 Oct, 2021

Data

Company Financials +
BID fundamental analysis
Snowflake Score
Valuation1/6
Future Growth4/6
Past Performance4/6
Financial Health5/6
Dividends0/6

BID Overview

Bid Corporation Limited provides foodservice solutions worldwide.

Rewards

Earnings are forecast to grow 27.49% per year

Earnings grew by 112.6% over the past year

Risk Analysis

No risks detected for BID from our risk checks.

Bid Competitors

Sysco

NYSE:SYY

US$40.9b

Metro

XTRA:B4B

€4.0b

MARR

BIT:MARR

€1.4b

Sligro Food Group

ENXTAM:SLIGR

€1.1b

Price History & Performance

Summary of all time highs, changes and price drops for Bid
Historical stock prices
Current Share PriceR330.73
52 Week HighR220.11
52 Week LowR343.99
Beta0.57
1 Month Change3.88%
3 Month Change4.32%
1 Year Change38.46%
3 Year Change21.34%
5 Year Change36.10%
Change since IPO8.79%

Recent News & Updates

Shareholder Returns

BIDZA Consumer RetailingZA Market
7D1.6%1.9%1.0%
1Y38.5%31.6%20.8%

Return vs Industry: BID exceeded the ZA Consumer Retailing industry which returned 31.6% over the past year.

Return vs Market: BID exceeded the ZA Market which returned 20.8% over the past year.

Price Volatility

Is BID's price volatile compared to industry and market?
BID volatility
BID Beta0.57
Industry Beta0.58
Market Beta1

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

Volatility Over Time: BID's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198822,552Bernard Bersonhttps://www.bidcorpgroup.com

Bid Corporation Limited provides foodservice solutions worldwide. The company manufactures and distributes fresh ingredients, including fish, seafood, meat, produce, dairy products, and ambient goods for the hospitality, institutional, catering, and retail sectors. It also provides foodservice and beverage distribution services for the HoReCa sector; and develops e-commerce solutions.

Bid Fundamentals Summary

How do Bid's earnings and revenue compare to its market cap?
BID fundamental statistics
Market CapR110.49b
Earnings (TTM)R3.09b
Revenue (TTM)R114.80b

35.8x

P/E Ratio

1.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BID income statement (TTM)
RevenueR114.80b
Cost of RevenueR87.30b
Gross ProfitR27.51b
ExpensesR24.42b
EarningsR3.09b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)9.25
Gross Margin23.96%
Net Profit Margin2.69%
Debt/Equity Ratio30.7%

How did BID perform over the long term?

See historical performance and comparison

Dividends

1.2%

Current Dividend Yield

43%

Payout Ratio

Valuation

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

35.77x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BID (ZAR330.73) is trading above our estimate of fair value (ZAR243.08)

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


Price To Earnings Ratio

PE vs Industry: BID is poor value based on its PE Ratio (35.8x) compared to the ZA Consumer Retailing industry average (29.4x).

PE vs Market: BID is poor value based on its PE Ratio (35.8x) compared to the ZA market (11.4x).


Price to Earnings Growth Ratio

PEG Ratio: BID is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: BID is good value based on its PB Ratio (4x) compared to the ZA Consumer Retailing industry average (6.2x).


Future Growth

How is Bid forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

27.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BID's forecast earnings growth (27.5% per year) is above the savings rate (8.8%).

Earnings vs Market: BID's earnings (27.5% per year) are forecast to grow faster than the ZA market (13.3% per year).

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

Revenue vs Market: BID's revenue (10.8% per year) is forecast to grow faster than the ZA market (6.2% per year).

High Growth Revenue: BID's revenue (10.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BID's Return on Equity is forecast to be low in 3 years time (17.4%).


Past Performance

How has Bid performed over the past 5 years?

-10.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BID has high quality earnings.

Growing Profit Margin: BID's current net profit margins (2.7%) are higher than last year (1.2%).


Past Earnings Growth Analysis

Earnings Trend: BID's earnings have declined by 10.9% per year over the past 5 years.

Accelerating Growth: BID's earnings growth over the past year (112.6%) exceeds its 5-year average (-10.9% per year).

Earnings vs Industry: BID earnings growth over the past year (112.6%) exceeded the Consumer Retailing industry 11.8%.


Return on Equity

High ROE: BID's Return on Equity (11.1%) is considered low.


Financial Health

How is Bid's financial position?


Financial Position Analysis

Short Term Liabilities: BID's short term assets (ZAR31.7B) exceed its short term liabilities (ZAR29.6B).

Long Term Liabilities: BID's short term assets (ZAR31.7B) exceed its long term liabilities (ZAR11.5B).


Debt to Equity History and Analysis

Debt Level: BID's debt to equity ratio (30.7%) is considered satisfactory.

Reducing Debt: BID's debt to equity ratio has increased from 29.7% to 30.7% over the past 5 years.

Debt Coverage: BID's debt is well covered by operating cash flow (67.5%).

Interest Coverage: BID's interest payments on its debt are well covered by EBIT (7.2x coverage).


Balance Sheet


Dividend

What is Bid current dividend yield, its reliability and sustainability?

1.21%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BID's dividend (1.21%) isn’t notable compared to the bottom 25% of dividend payers in the ZA market (3.11%).

High Dividend: BID's dividend (1.21%) is low compared to the top 25% of dividend payers in the ZA market (8.07%).


Stability and Growth of Payments

Stable Dividend: BID is not paying a notable dividend for the ZA market, therefore no need to check if payments are stable.

Growing Dividend: BID is not paying a notable dividend for the ZA market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: BID is not paying a notable dividend for the ZA market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BID's dividend in 3 years as they are not forecast to pay a notable one for the ZA market.


Next Steps

Management

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

5.5yrs

Average management tenure


CEO

Bernard Berson (55 yo)

5.5yrs

Tenure

R92,433,000

Compensation

Mr. Bernard Larry Berson, CA, BComm, BAcc has been Chief Executive Officer and Executive Director of BID Corporation Limited since April 14, 2016 and March 20, 2016 respectively. Mr. Berson serves as the C...


CEO Compensation Analysis

Compensation vs Market: Bernard's total compensation ($USD6.40M) is above average for companies of similar size in the ZA market ($USD1.70M).

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


Leadership Team

Experienced Management: BID's management team is seasoned and experienced (5.5 years average tenure).


Board Members

Experienced Board: BID's board of directors are considered experienced (4.6 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

Bid Corporation Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Bid Corporation Limited
  • Ticker: BID
  • Exchange: JSE
  • Founded: 1988
  • Industry: Food Distributors
  • Sector: Consumer Retailing
  • Market Cap: R110.488b
  • Shares outstanding: 334.07m
  • Website: https://www.bidcorpgroup.com

Number of Employees


Location

  • Bid Corporation Limited
  • North Wing
  • 2nd Floor
  • Johannesburg
  • Gauteng
  • 2196
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/20 22:05
End of Day Share Price2021/10/20 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.