Cracking The Code: Understanding Analyst Reviews For Fortune Brands
6 analysts have expressed a variety of opinions on Fortune Brands (NYSE:FBIN) over the past quarter, offering a diverse set of opinions from bullish to bearish.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 0 | 4 | 0 | 0 |
| Last 30D | 2 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 4 | 0 | 0 |
Analysts have set 12-month price targets for Fortune Brands, revealing an average target of $80.67, a high estimate of $86.00, and a low estimate of $75.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 6.2%.
Exploring Analyst Ratings: An In-Depth Overview
The standing of Fortune Brands among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Susan Maklari | Goldman Sachs | Lowers | Buy | $75.00 | $88.00 |
| Keith Hughes | Truist Securities | Lowers | Buy | $75.00 | $92.00 |
| Stephen Kim | Evercore ISI Group | Lowers | In-Line | $78.00 | $79.00 |
| Timothy Wojs | Baird | Raises | Neutral | $86.00 | $85.00 |
| Timothy Wojs | Baird | Lowers | Neutral | $85.00 | $86.00 |
| Timothy Wojs | Baird | Lowers | Neutral | $85.00 | $86.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Fortune Brands. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Fortune Brands compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Fortune Brands's stock. This comparison reveals trends in analysts' expectations over time.
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Fortune Brands's market standing. Stay informed and make well-considered decisions with our Ratings Table.
Stay up to date on Fortune Brands analyst ratings.
All You Need to Know About Fortune Brands
Fortune Brands Innovations is a leading home and security products company that has three reportable segments. The company's $2.6 billion water segment, led by the Moen brand, sells faucets, showers, and other plumbing fixtures; the $1.3 billion outdoors segment primarily sells entry doors under the Therma-Tru brand name and Fiberon-branded patio decking; and the $723 million security segment sells locks and other security devices under the Master Lock, SentrySafe, Yale, and August brand names.
A Deep Dive into Fortune Brands's Financials
Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.
Revenue Growth: Fortune Brands's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 6.69%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Industrials sector.
Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 8.69%, the company may need to address challenges in effective cost control.
Return on Equity (ROE): Fortune Brands's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 4.21%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): Fortune Brands's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 1.44%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: Fortune Brands's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.4, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
The Basics of Analyst Ratings
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.