Fortune Brands Stock Analysis, Valuation (NYSE:FBHS)

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$56.97 $0.11 (0.19%) FBHS stock closing price May 24, 2018 (Closing)
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Fortune Brands
Updated on : May 24, 2018
previous close
FBHS 57 (0%)
S&P 500 2727.8 (0%)
Closing Price On: May 24, 2018
stock rating
RATING: ★★★★★★★★★★ (0/5)
Industry :
protection-safety equipment and service
Sector :
Industrial Products
5 Quarter Revenue
Revenue Growth
2018-Q1
$billion
%
YOY GROWTH
Compared to the industry
Long Term Growth
5 Year CAGR:
7.8%
Operating Profit
Operating Margin:
13%
Sector Average:
8.3%
5 Quarter Net Profit
Net Margins
2018-Q1
%
LTM Margin
Compared to the industry
Cash Flow
Operating cash flow:
-$51.9M
Net Income:
$75M
Dividend Yield
FBHS dividend yield:
1.3%
PROS      CONS
Operating Margins
Net Margins
ROIC
ROE
PE Valuation
Recent Growth
Long Term Growth
Cash Flow
FCF Margin
Rating: ★★★★★★★★★★ (0/5)
Relative Valuation
FBHS PS :
1.6
Industry PS :
1.4
Sector:   Industrial Products.   *PE adjusted for one time items.
Other Metrics
Return on Invested Capital:
12.5%
Return on Equity:
18.8%
Free Cash Flow Margin:
-7.1%
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Fortune Brands Stock Analysis

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Watch the robo advisor video of Fortune Brands stock analysis on Amigobulls. This is our analyst opinion covering the buy and sell arguments for FBHS stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Fortune Brands Home & Security Inc Stock Rating 3/5

Amigobulls FBHS stock analysis uses latest quarter 2018 Q1 financial data like Fortune Brands revenue growth, profit margins and cash flows. Fortune Brands valuation forms a crucial part of our stock analysis. Our Fortune Brands stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy FBHS stock?

  • The TTM operating margin was good at 13% for Fortune Brands.
  • Net margins stood at a healthy 8.8% (average) for Fortune Brands in the Trailing Twelve Months.
  • FBHS stock is trading at an earnings multiple of 18.3 which is better than the industry average of 21.
  • Fortune Brands has an attractive ROIC (Return on Invested Capital) of 12.5%
  • Fortune Brands has a good Return On Equity (ROE) of 18.8%.

Should you sell FBHS stock?

  • Fortune Brands salesgrew by a marginal 5.7% year over year in 2018 Q1.
  • Long term revenue growth of 7.8% over the past 5 years has been disappointing.
  • The company has negative Free Cash Flows (FCF), with a negative FCF margin of -7.1%.

Comments on this video and Fortune Brands stock

Investors can make use of the Amigobulls Fortune Brands stock analysis to ascertain how FBHS stock fares in fundamental analysis investment criteria. Company's fundamentals remain one of the key driver of FBHS stock and helps investors in making good buy and sell decision.

Fortune Brands revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. One can also combine technical analysis and fundamental analysis to get a holistic picture about FBHS stock.