Bellring Brands Bonds

Stocks . USA . 
Stock . Bellring Brands LLC
BRBR Stock  USD 36.84  0.27  0.74%   
Bellring Brands' financial leverage is the degree to which the firm utilizes its fixed-income securities and uses equity to finance projects. Companies with high leverage are usually considered to be at financial risk. Bellring Brands' financial risk is the risk to Bellring Brands stockholders that is caused by an increase in debt. In other words, with a high degree of financial leverage come high-interest payments, which usually reduce Earnings Per Share (EPS).
Check out the analysis of Bellring Brands Fundamentals Over Time.
  
As of 05/29/2023, Total Debt is likely to drop to about 989.7 M. In addition to that, Debt Current is likely to drop to about 122.5 M

Bellring Current Financial Burden

Bellring Brands' liquidity is one of the most fundamental aspects of both its future profitability and its ability to meet different types of ongoing financial obligations. Bellring Brands' cash, liquid assets, total liabilities, and shareholder equity can be utilized to evaluate how much leverage the company is using to sustain its current operations. For traders, higher-leverage indicators usually imply a higher risk to shareholders. In addition, it helps Bellring Stock's retail investors understand whether an upcoming fall or rise in the market will negatively affect Bellring Brands' stakeholders.

Asset vs Debt

Equity vs Debt

For most companies, including Bellring Brands, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for the executing running Bellring Brands LLC the most critical issue when dealing with liquidity needs is whether the current assets are properly aligned with its current liabilities. If not, management will need to obtain alternative financing to ensure that there are always enough cash equivalents on the balance sheet in reserve to pay for obligations.
Other Assets
1.2 M
Liabilities And Stockholders Equity
707.2 M
Total Assets
707.2 M
Operating Margin
0.1767
Profit Margin
0.0987
Given that Bellring Brands' debt-to-equity ratio measures a company's obligations relative to the value of its net assets, it is usually used by traders to estimate the extent to which Bellring Brands is acquiring new debt as a mechanism of leveraging its assets. A high debt-to-equity ratio is generally associated with increased risk, implying that it has been aggressive in financing its growth with debt. Another way to look at debt-to-equity ratios is to compare the overall debt load of Bellring Brands to its assets or equity, showing how much of the company assets belong to shareholders vs. creditors. If shareholders own more assets, Bellring Brands is said to be less leveraged. If creditors hold a majority of Bellring Brands' assets, the company is said to be highly leveraged.

Bellring Brands Quarterly Debt to Equity Ratio

(3.128)

Given the importance of Bellring Brands' capital structure, the first step in the capital decision process is for the management of Bellring Brands to decide how much external capital it will need to raise to operate in a sustainable way. Once the amount of financing is determined, management needs to examine the financial markets to determine the terms in which the company can boost capital. This move is crucial to the process because the market environment may reduce the ability of Bellring Brands LLC to issue bonds at a reasonable cost.

Bellring Brands Bond Ratings

Bellring Brands LLC bond ratings play a critical role in determining how much Bellring Brands have to pay to access credit markets, i.e., the amount of interest on their issued debt. The threshold between investment-grade and speculative-grade ratings has important market implications for Bellring Brands' borrowing costs.
Piotroski F Score
3  Frail
Beneish M Score
-2.0  Possible Manipulator

Bellring Brands LLC Debt to Cash Allocation

As Bellring Brands LLC follows its natural business cycle, the capital allocation decisions will not magically go away. Bellring Brands' decision-makers have to determine if most of the cash flows will be poured back into or reinvested in the business, reserved for other projects beyond operational needs, or paid back to stakeholders and investors. Many companies eventually find out that there is only so much market out there to be conquered, and adding the next product or service is only half as profitable per unit as their current endeavors. Eventually, the company will reach a point where cash flows are strong, and extra cash is available but not fully utilized. In this case, the company may start buying back its stock from the public or issue more dividends.
The company currently holds 929.5 M in liabilities with Debt to Equity (D/E) ratio of 0.25, which may suggest the company is not taking enough advantage from borrowing. Bellring Brands LLC has a current ratio of 2.34, suggesting that it is liquid enough and is able to pay its financial obligations when due. Debt can assist Bellring Brands until it has trouble settling it off, either with new capital or with free cash flow. So, Bellring Brands' shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Bellring Brands LLC sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Bellring to invest in growth at high rates of return. When we think about Bellring Brands' use of debt, we should always consider it together with cash and equity.

Bellring Brands Inventories Over Time

Bellring Brands Assets Financed by Debt

The debt-to-assets ratio shows the degree to which Bellring Brands uses debt to finance its assets. It includes both long-term and short-term borrowings maturing within one year. It also includes both tangible and intangible assets, such as goodwill.

Bellring Brands Debt Ratio

    
  124.61   
It seems most of the Bellring Brands' assets are financed through debt. Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the Bellring Brands' operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of Bellring Brands, which in turn will lower the firm's financial flexibility. Like all other financial ratios, a Bellring Brands debt ratio should be compared their industry average or other competing firms.

Bellring Brands Corporate Bonds Issued

Bellring Brands issues bonds to finance its operations. Corporate bonds make up one of the most significant components of the U.S. bond market and are considered the world's largest securities market. Bellring Brands LLC uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Bellring bonds can be classified according to their maturity, which is the date when Bellring Brands LLC has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

Bellring Brands LLC Historical Liabilities

While analyzing the current debt level is an essential aspect of forecasting the current year budgeting needs of Bellring Brands, understanding its historical liability is critical in projecting Bellring Brands' future earnings, especially during periods of low and high inflation and deflation. Many analysts look at the trend in assets and liabilities and evaluate how Bellring Brands uses its financing power over time.
In order to fund their growth, businesses such as Bellring Brands widely use Financial Leverage. For most companies, financial capital is raised by issuing debt securities and by selling common stock. The debt and equity that make up Bellring Brands' capital structure have many risks and return implications. Leverage is an investment strategy of using borrowed money to increase the potential return of an investment. Please note, the concept of leverage is common in the business world. It is mostly used to boost the returns on equity capital of a company, especially when the business is unable to increase its operating efficiency and returns on total investment. Because earnings on borrowing are higher than the interest payable on debt, the company's total earnings will increase, ultimately boosting stockholders' profits.

Understaning Bellring Brands Use of Financial Leverage

Bellring Brands financial leverage ratio helps in determining the effect of debt on the overall profitability of the company. It measures Bellring Brands's total debt position, including all of outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of Bellring Brands assets, the company is considered highly leveraged. Understanding the composition and structure of overall Bellring Brands debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business and if it is worth investing in it.
Last ReportedProjected for 2023
Total Debt1.1 B989.7 M
Debt Current133.7 M122.5 M
Debt Non Current1.1 B955 M
Issuance Repayment of Debt Securities-601.2 M-648.7 M
Debt to Equity Ratio(2.59) (2.66) 
Please read more on our technical analysis page.

Bellring Brands Investors Sentiment

The influence of Bellring Brands' investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Bellring. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Bellring Brands' public news can be used to forecast risks associated with an investment in Bellring. The trend in average sentiment can be used to explain how an investor holding Bellring can time the market purely based on public headlines and social activities around Bellring Brands LLC. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Bellring Brands' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Bellring Brands' and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Bellring Brands' news discussions. The higher the estimated score, the more favorable is the investor's outlook on Bellring Brands.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Bellring Brands in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Bellring Brands' short interest history, or implied volatility extrapolated from Bellring Brands options trading.

Pair Trading with Bellring Brands

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Bellring Brands position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Bellring Brands will appreciate offsetting losses from the drop in the long position's value.

Moving together with Bellring Stock

+0.89CLColgate-Palmolive Sell-off TrendPairCorr
+0.89PGProcter Gamble Fiscal Quarter End 30th of June 2023 PairCorr
+0.9ULUnilever PLC ADRPairCorr

Moving against Bellring Stock

-0.88MTEXMannatech Incorporated Fiscal Quarter End 30th of June 2023 PairCorr
-0.7REVRQRevlon IncPairCorr
-0.7NAIINatural Alternatives Fiscal Quarter End 30th of June 2023 PairCorr
-0.66NWLNewell Brands Fiscal Quarter End 30th of June 2023 PairCorr
-0.61VERUVeru Inc Fiscal Quarter End 30th of June 2023 PairCorr
The ability to find closely correlated positions to Bellring Brands could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Bellring Brands when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Bellring Brands - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Bellring Brands LLC to buy it.
The correlation of Bellring Brands is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Bellring Brands moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Bellring Brands LLC moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Bellring Brands can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
Check out the analysis of Bellring Brands Fundamentals Over Time. Note that the Bellring Brands LLC information on this page should be used as a complementary analysis to other Bellring Brands' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Equity Valuation module to check real value of public entities based on technical and fundamental data.

Complementary Tools for Bellring Stock analysis

When running Bellring Brands' price analysis, check to measure Bellring Brands' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Bellring Brands is operating at the current time. Most of Bellring Brands' value examination focuses on studying past and present price action to predict the probability of Bellring Brands' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Bellring Brands' price. Additionally, you may evaluate how the addition of Bellring Brands to your portfolios can decrease your overall portfolio volatility.
Insider Screener
Find insiders across different sectors to evaluate their impact on performance
Portfolio Manager
State of the art Portfolio Manager to monitor and improve performance of your invested capital
Alpha Finder
Use alpha and beta coefficients to find investment opportunities after accounting for the risk
Correlation Analysis
Reduce portfolio risk simply by holding instruments which are not perfectly correlated
Price Ceiling Movement
Calculate and plot Price Ceiling Movement for different equity instruments
Is Bellring Brands' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Bellring Brands. If investors know Bellring will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Bellring Brands listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
10.5
Earnings Share
1.28
Revenue Per Share
11.093
Quarterly Revenue Growth
0.223
Return On Assets
0.2314
The market value of Bellring Brands LLC is measured differently than its book value, which is the value of Bellring that is recorded on the company's balance sheet. Investors also form their own opinion of Bellring Brands' value that differs from its market value or its book value, called intrinsic value, which is Bellring Brands' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Bellring Brands' market value can be influenced by many factors that don't directly affect Bellring Brands' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Altman
Z Score
Details
Piotroski
F Score
Details
Beneish
M Score
Details
Financial
Analysis
Details
Buy or Sell
Advice
Details
Earnings
Projections
Details
Please note, there is a significant difference between Bellring Brands' value and its price as these two are different measures arrived at by different means. Investors typically determine if Bellring Brands is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Bellring Brands' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party. Check out the analysis of Bellring Brands Fundamentals Over Time.

What is Financial Leverage?

Financial leverage is the use of borrowed money (debt) to finance the purchase of assets with the expectation that the income or capital gain from the new asset will exceed the cost of borrowing. In most cases, the debt provider will limit how much risk it is ready to take and indicate a limit on the extent of the leverage it will allow. In the case of asset-backed lending, the financial provider uses the assets as collateral until the borrower repays the loan. In the case of a cash flow loan, the general creditworthiness of the company is used to back the loan. The concept of leverage is common in the business world. It is mostly used to boost the returns on equity capital of a company, especially when the business is unable to increase its operating efficiency and returns on total investment. Because earnings on borrowing are higher than the interest payable on debt, the company's total earnings will increase, ultimately boosting stockholders' profits.

Leverage and Capital Costs

The debt to equity ratio plays a role in the working average cost of capital (WACC). The overall interest on debt represents the break-even point that must be obtained to profitability in a given venture. Thus, WACC is essentially the average interest an organization owes on the capital it has borrowed for leverage. Let's say equity represents 60% of borrowed capital, and debt is 40%. This results in a financial leverage calculation of 40/60, or 0.6667. The organization owes 10% on all equity and 5% on all debt. That means that the weighted average cost of capital is (.4)(5) + (.6)(10) - or 8%. For every $10,000 borrowed, this organization will owe $800 in interest. Profit must be higher than 8% on the project to offset the cost of interest and justify this leverage.

Benefits of Financial Leverage

Leverage provides the following benefits for companies:
  • Leverage is an essential tool a company's management can use to make the best financing and investment decisions.
  • It provides a variety of financing sources by which the firm can achieve its target earnings.
  • Leverage is also an essential technique in investing as it helps companies set a threshold for the expansion of business operations. For example, it can be used to recommend restrictions on business expansion once the projected return on additional investment is lower than the cost of debt.
By borrowing funds, the firm incurs a debt that must be paid. But, this debt is paid in small installments over a relatively long period of time. This frees funds for more immediate use in the stock market. For example, suppose a company can afford a new factory but will be left with negligible free cash. In that case, it may be better to finance the factory and spend the cash on hand on inputs, labor, or even hold a significant portion as a reserve against unforeseen circumstances.

The Risk of Financial Leverage

The most obvious and apparent risk of leverage is that if price changes unexpectedly, the leveraged position can lead to severe losses. For example, imagine a hedge fund seeded by $50 worth of investor money. The hedge fund borrows another $50 and buys an asset worth $100, leading to a leverage ratio of 2:1. For the investor, this is neither good nor bad -- until the asset price changes. If the asset price goes up 10 percent, the investor earns $10 on $50 of capital, a net gain of 20 percent, and is very pleased with the increased gains from the leverage. However, if the asset price crashes unexpectedly, say by 30 percent, the investor loses $30 on $50 of capital, suffering a 60 percent loss. In other words, the effect of leverage is to increase the volatility of returns and increase the effects of a price change on the asset to the bottom line while increasing the chance for profit as well.
Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions
 
Feedback Blog
Made with optimal in San Francisco
2023 Macroaxis LLC
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY