* Note: Prices are in Million (M) USD.
Description:
Brightstar Lottery PLC is a premier provider of cutting-edge lottery solutions, serving a diverse range of clients across the United States, Italy, Europe, and beyond. Based in London, the company employs state-of-the-art technology and forges strategic partnerships to not only enhance the lottery experience but also to drive sustainable revenue growth while maintaining strict regulatory compliance. With a steadfast commitment to delivering superior gaming products, Brightstar is strategically positioned to seize emerging opportunities in the dynamic global lottery market.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $1,309 M
Debt : $6,550 M
EBITDA : $881 M
Net Debt (Debt - Cash): $5,241 M
Since EBITDA cannot cover net debt within 3 years, Avoid This Stock.
This criteria used industry in which company operates:
Sector: Consumer cyclical
Industry: Gambling
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Cannot calculate PE Ratio since EPS is either 0 or negative.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 4 overlapping fiscal years (max 20).Average Free Cash Flow: $813 M
Average Revenue: $2,932 M
Revenue Converted To Free Cash Flow (%): 27.7%
Since Free Cash Flow (FCF) to Revenue percentage is greater than 25, 5 points assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $2,512 M
Revenue 3 Years Ago (2021-12-31): $4,089 M
Total Growth over 3 Years: -38.6%
3-Year Revenue CAGR (Historical): -15.0%
Forward 5-Year CAGR (Tapered): -13.5%
Since historical Revenue CAGR is between 0 - 5, 1 point assigned.
This criteria used Company's ability to buy back its own share:
Error: This stock does not have 5 years of share count data.Using default values for calculation.
Based on default values, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $0.00
Trailing 12-Month Earnings Per Share (EPS): $0.00
Average Earnings Per Share (EPS): $0.00
Dividend Per Share (DPS): $1
Payout Ratio: 0%
Dividend Yield: 4.68%
EPS is non-positive; payout ratio not meaningful. 0 point assigned.
Since Dividend Yield is greater than 4, 4 points assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 4 valid ROE years (max 20).Average ROE: 22.2%
Since Average ROE is greater than 20, 5 points assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $16.66
52-Week Low: $11.22
Threshold Price (15% Above 52-Week Low): $12.90
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $3,512 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
No positive free cash flow found (TTM or annual) to compute Owners' Earnings per share.
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 21 points to above Brightstar Lottery PLC (BRSL) stock.
Last 11 Years Avg PE 12.68, Fair Value PE 15, Industry Based PE 18, RCFC Based PE 27.72, ROE Based PE 22.18, Risk-Free Anchored PE (25% MoS) 18.2. Based on these 6 values, average assigned is 18.96. The fair value of Brightstar Lottery PLC (BRSL) stock cannot be calculated since EBITDA and EPS are either 0 or negative.
