Becker Milk Cl B NV (BEK.B) AI Stock Analysis

• Market Cap: C$24.02M
• Dividend Yield: 6.02%
• Average Volume (3M): 227.00
• Price to Earnings (P/E): 11.2
• Beta (1Y): 0.15
• Revenue Growth: 1.17%
• EPS Growth: 3.44%
• Country: CA
• Employees: 4
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.14
• Shares Outstanding: 1,267,610
• 10 Day Avg. Volume: 355
• 30 Day Avg. Volume: 227
• PEG Ratio: -1.60
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 8.28
• P/FCF Ratio: 14.09
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ―

Becker Milk Cl B NV demonstrates a strong financial foundation with efficient operations and no debt, contributing to its stability and profitability. The stock's technical indicators reflect positive momentum, although near overbought conditions could warrant caution. Valuation metrics are favorable, with a low P/E ratio and high dividend yield offering potential for growth and income. The primary focus for the company should be on enhancing revenue and cash flow growth to sustain long-term success.

Positive Factors

Financial Stability

Becker Milk's lack of debt and strong equity position enhance financial stability, reducing risk and providing a solid foundation for long-term operations.

Stable Cash Flow

Consistent cash flow generation supports operational needs and potential reinvestment, ensuring Becker Milk can sustain its business model.

Strong Profit Margins

High profit margins reflect effective cost management and operational efficiency, contributing to long-term profitability and competitive advantage.

Negative Factors

Minimal Revenue Growth

Limited revenue growth may hinder Becker Milk's ability to expand and adapt to market changes, potentially impacting future profitability.

Asset Base Decline

A declining asset base may restrict Becker Milk's capacity to leverage new opportunities or enhance its property portfolio, affecting long-term growth.

Free Cash Flow Growth Constraints

Limited growth in free cash flow could constrain Becker Milk's ability to invest in expansion or new projects, impacting future strategic initiatives.

Becker Milk Cl B NV Business Overview & Revenue Model

Company Description

Becker Milk Company Limited is a Canadian real estate investment company that primarily focuses on owning and managing retail commercial properties. The company leases retail space to convenience stores, supermarkets, and other businesses, primarily located in Ontario, Canada. Becker Milk's portfolio consists of properties that are typically anchored by well-known retail brands, providing stable occupancy and rental income.

How the Company Makes Money

Becker Milk Company Limited generates revenue primarily through leasing its retail properties to various tenants, including convenience stores and supermarkets. The company's revenue model relies heavily on rental income from these long-term leases, which often include annual rent escalations and renewal options. Additionally, the company may engage in property sales or acquisitions to optimize its portfolio and enhance income streams. Becker Milk's focus on prime retail locations and established tenants contributes to stable and predictable earnings.

Becker Milk Cl B NV Financial Statement Overview

Summary

Becker Milk Cl B NV displays strong financial health with efficient operations and no financial leverage risks. The income statement shows stable profitability, although net income volatility due to one-time gains is a concern. The balance sheet is robust with high equity and no debt, enhancing financial stability. Cash flow is consistently positive, but minimal free cash flow growth could constrain expansion.

Income Statement

The company shows a strong gross profit margin of 84.1% for TTM, indicating efficient cost control. However, the net profit margin is unusually high at 104.1%, likely due to one-time gains. Revenue growth is modest at 1.0% compared to the previous year. EBIT and EBITDA margins are stable, at 7.9% and 37.5% respectively, showing consistent operating performance. Overall, the income statement reflects solid operational efficiency but highlights some volatility in net income.

Balance Sheet

The company's balance sheet is robust, with no debt and a high equity ratio of 84.8% in TTM. The return on equity is exceptionally high at 8.7%, showcasing profitability in utilizing equity. The absence of debt reduces financial risk, and the strong equity position indicates financial stability. However, the company's asset base has slightly decreased, which could be a potential concern for future growth.

Cash Flow

Operating cash flow to net income ratio is healthy at 0.39, suggesting good cash conversion from profits. Free cash flow has remained stable, but growth has been minimal. The free cash flow to net income ratio is strong at 0.39, reinforcing the company's ability to generate cash from operations. While cash flow stability is a positive, the limited growth in free cash flow could hinder expansion opportunities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.84M	2.83M	2.79M	2.71M	2.63M	3.02M
Gross Profit	2.33M	2.39M	2.38M	2.29M	2.12M	2.37M
EBITDA	1.00M	1.08M	1.08M	995.86K	749.26K	951.45K
Net Income	2.15M	2.85M	124.48K	-778.35K	5.67M	3.54M
Balance Sheet
Total Assets	39.25M	38.92M	37.39M	40.33M	43.02M	37.50M
Cash, Cash Equivalents and Short-Term Investments	3.17M	2.87M	3.61M	4.85M	4.45M	5.56M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	6.01M	5.66M	5.41M	5.46M	6.22M	5.36M
Stockholders Equity	33.23M	33.26M	31.98M	34.87M	36.80M	32.14M
Cash Flow
Free Cash Flow	1.23M	704.59K	1.64M	904.99K	166.77K	343.23K
Operating Cash Flow	1.23M	704.59K	1.64M	904.99K	166.77K	343.23K
Investing Cash Flow	312.26K	670.07K	1.72M	295.99K	833.67K	1.04M
Financing Cash Flow	-723.34K	-1.45M	-3.26M	-1.45M	-1.45M	-1.45M

Becker Milk Cl B NV Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BEK.B, the sentiment is Positive. The current price of 13 is below the 20-day moving average (MA) of 13.05, below the 50-day MA of 13.05, and above the 200-day MA of 12.79, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 56.08 is Neutral, neither overbought nor oversold. The STOCH value of 59.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BEK.B.

Becker Milk Cl B NV Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BEK.B	75 Outperform	C$24.02M	11.16	6.55%	6.02%	1.17%	3.44%
IEI	66 Neutral	C$32.65M	6.71	4.45%	2.32%	2.03%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
MPC	58 Neutral	C$298.68M	18.98	3.93%	8.64%	5.67%	―
BRE	46 Neutral	C$128.13M	-11.89	―	9.99%	58.15%	-235.04%
IVQ	44 Neutral	C$109.69M	-0.74	-31.26%	―	-33.25%	90.14%