BKC
CyclicalsValuation Breakdown
Cyclical companies (chemicals, oil & gas, basic resources) have earnings that swing dramatically with commodity prices and economic cycles. Valuing them on a single year's earnings is misleading: they look cheap at peaks and expensive at troughs. This model uses 7-year median EBITDA ("mid-cycle" earnings) and a 7-year median EV/EBITDA multiple to estimate what the firm is worth at a normal point in the cycle.
Valuation Track Record
Retroactive intrinsic value vs actual close price — BKC
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2025
BKC exhibits several concerning financial metrics indicating potential earnings manipulation, as evidenced by a Beneish M-Score of -1.0769, which is above the manipulation threshold of -1.78. Additionally, the earnings quality score of 23.3/100 reflects significant weaknesses in cash conversion and margin metrics, raising further concerns about the sustainability of reported earnings.
- Beneish M-Score of -1.0769 indicates potential earnings manipulation, as it is above the threshold of -1.78.
- Earnings Quality Score of 23.3/100 suggests poor earnings quality, particularly with eq_cash_conv at 0.0/100 and eq_margin at 0.0/100.
- DSRI of 0.9063 indicates a lower risk of revenue manipulation as it suggests that inventory growth is in line with sales growth.
- High eq_receivables score of 100.0/100 indicates strong management of receivables, suggesting that the company is effectively collecting outstanding debts.
The ownership structure is concentrated with institutional investors holding a significant 60.1% of shares, which may provide stability but could also lead to potential conflicts of interest if management prioritizes institutional interests over minority shareholders.
Investors should closely monitor BKC's financial disclosures and consider a cautious approach due to elevated risks of earnings manipulation. It may be prudent to wait for improved earnings quality metrics before making significant investment decisions.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for BKC — hover nodes for intel, click to navigate