Latest news with #BRBR
Yahoo
22-05-2025
- Business
- Yahoo
3 Reasons Investors Love BellRing Brands (BRBR)
Shareholders of BellRing Brands would probably like to forget the past six months even happened. The stock dropped 20.9% and now trades at $62.14. This might have investors contemplating their next move. Following the drawdown, is this a buying opportunity for BRBR? Find out in our full research report, it's free. Spun out of Post Holdings in 2019, Bellring Brands (NYSE:BRBR) offers protein shakes, nutrition bars, and other products under the PowerBar, Premier Protein, and Dymatize brands. Revenue growth can be broken down into changes in price and volume (the number of units sold). While both are important, volume is the lifeblood of a successful staples business as there's a ceiling to what consumers will pay for everyday goods; they can always trade down to non-branded products if the branded versions are too expensive. BellRing Brands's average quarterly volume growth of 20.8% over the last two years has beaten the competition by a long shot. This is great because companies with significant volume growth are needles in a haystack in the stable consumer staples sector. Analyzing the change in earnings per share (EPS) shows whether a company's incremental sales were profitable – for example, revenue could be inflated through excessive spending on advertising and promotions. BellRing Brands's EPS grew at an astounding 28% compounded annual growth rate over the last three years, higher than its 18.9% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded. Growth gives us insight into a company's long-term potential, but how capital-efficient was that growth? A company's ROIC explains this by showing how much operating profit it makes compared to the money it has raised (debt and equity). BellRing Brands's five-year average ROIC was 48.9%, placing it among the best consumer staples companies. This illustrates its management team's ability to invest in highly profitable ventures and produce tangible results for shareholders. These are just a few reasons why we think BellRing Brands is a high-quality business. After the recent drawdown, the stock trades at 26.1× forward P/E (or $62.14 per share). Is now a good time to initiate a position? See for yourself in our comprehensive research report, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
08-05-2025
- Business
- Yahoo
BRBR Q1 Earnings Call: Category Growth, Inventory Shifts, and Promotional Strategy Shape Outlook
Nutrition products company Bellring Brands (NYSE:BRBR) reported Q1 CY2025 results exceeding the market's revenue expectations , with sales up 18.9% year on year to $588 million. On the other hand, the company's full-year revenue guidance of $2.3 billion at the midpoint came in 0.7% below analysts' estimates. Its non-GAAP profit of $0.53 per share was in line with analysts' consensus estimates. Is now the time to buy BRBR? Find out in our full research report (it's free). BellRing Brands (BRBR) Q1 CY2025 Highlights: Revenue: $588 million vs analyst estimates of $579 million (18.9% year-on-year growth, 1.6% beat) Adjusted EPS: $0.53 vs analyst estimates of $0.53 (in line) Adjusted EBITDA: $118.6 million vs analyst estimates of $118.3 million (20.2% margin, in line) The company reconfirmed its revenue guidance for the full year of $2.3 billion at the midpoint EBITDA guidance for the full year is $485 million at the midpoint, below analyst estimates of $491.5 million Operating Margin: 16.2%, down from 18.4% in the same quarter last year Free Cash Flow Margin: 8.1%, up from 3.2% in the same quarter last year Organic Revenue rose 21.2% year on year (28.3% in the same quarter last year) Sales Volumes rose 17.8% year on year (42.7% in the same quarter last year) Market Capitalization: $8.07 billion StockStory's Take BellRing Brands delivered sales growth above market expectations in Q1, with management crediting demand for ready-to-drink (RTD) protein shakes and successful marketing investments as key drivers. CEO Darcy Davenport highlighted that Premier Protein shakes achieved all-time highs in household penetration and market share, supported by expanded distribution, new product lines like the indulgence RTD, and improved retailer in-stocks. The company also saw robust growth from its powder products, with Premier Protein powder gaining full distribution at a major club retailer. Looking ahead, BellRing Brands reaffirmed its full-year sales and profit outlook but acknowledged a more cautious stance due to consumer uncertainty and inventory adjustments by key retail partners. Management noted that promotional plans and new product launches are designed to sustain momentum, but also flagged potential input cost inflation and evolving tariff risks as factors influencing their guidance. As CFO Paul Rode explained, 'We are being a little more cautious... the consumer is a bit more unstable than we've seen in the past.' Key Insights from Management's Remarks BellRing Brands' management attributed Q1 performance to strong category trends in convenient nutrition and targeted promotional efforts, while highlighting both short-term inventory dynamics and strategic investment in brand growth.
