Analyzing Bridgestone (BRDCY) and Its Rivals

Bridgestone (OTCMKTS:BRDCYGet Free Report) is one of 119 publicly-traded companies in the “Automobiles” industry, but how does it compare to its peers? We will compare Bridgestone to related companies based on the strength of its earnings, dividends, analyst recommendations, valuation, profitability, institutional ownership and risk.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Bridgestone and its peers, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Bridgestone 0 3 0 1 2.50
Bridgestone Competitors 2033 5025 6301 184 2.34

As a group, “Automobiles” companies have a potential upside of 78.17%. Given Bridgestone’s peers higher probable upside, analysts plainly believe Bridgestone has less favorable growth aspects than its peers.

Dividends

Bridgestone pays an annual dividend of $0.22 per share and has a dividend yield of 1.8%. Bridgestone pays out 34.4% of its earnings in the form of a dividend. As a group, “Automobiles” companies pay a dividend yield of 110.2% and pay out 7.2% of their earnings in the form of a dividend. Bridgestone lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Valuation & Earnings

This table compares Bridgestone and its peers gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Bridgestone $29.63 billion $2.19 billion 19.28
Bridgestone Competitors $53.45 billion $1.13 billion 5.81

Bridgestone’s peers have higher revenue, but lower earnings than Bridgestone. Bridgestone is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Risk & Volatility

Bridgestone has a beta of 0.54, indicating that its stock price is 46% less volatile than the S&P 500. Comparatively, Bridgestone’s peers have a beta of 0.96, indicating that their average stock price is 4% less volatile than the S&P 500.

Profitability

This table compares Bridgestone and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Bridgestone N/A N/A N/A
Bridgestone Competitors -1,371.65% -100.25% -10.37%

Institutional & Insider Ownership

39.1% of shares of all “Automobiles” companies are owned by institutional investors. 57.1% of Bridgestone shares are owned by company insiders. Comparatively, 14.6% of shares of all “Automobiles” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Bridgestone beats its peers on 8 of the 15 factors compared.

Bridgestone Company Profile

(Get Free Report)

Bridgestone Corporation, together with its subsidiaries, manufactures and sells tires and rubber products. The company offers tires and tire tubes for passenger cars, trucks, buses, construction and off-road mining vehicles, industrial and agricultural machinery, aircraft, motorcycles, scooters, and other vehicles; automotive parts; automotive maintenance and repair services; and raw materials for tires and other products. It also provides chemical products, such as belts, hoses, rubber crawlers/MT pads, resin piping systems, seismic isolation rubbers, bridge rubber bearings, and block type rubber covered chain type bridge fall prevention devices. In addition, the company offers golf balls, golf clubs, and other sporting goods; bicycles, bicycle-related goods, and others; and finance and other services. It has operations in Japan, the Americas, Europe, Russia, the Middle East, India, Africa, China, Asia, Oceania, Oceania, and internationally. The company was incorporated in 1931 and is headquartered in Tokyo, Japan.

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