Is Fortune Brands Stock a Good Investment?
Fortune Brands Investment Advice | FBIN |
- Examine Fortune Brands' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Fortune Brands' leadership team and their track record. Good management can help Fortune Brands navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Building Products space and any emerging trends that could impact Fortune Brands' business and its evolving consumer preferences.
- Compare Fortune Brands' performance and market position to its competitors. Analyze how Fortune Brands is positioned in terms of product offerings, innovation, and market share.
- Check if Fortune Brands pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Fortune Brands' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Fortune Brands Innovations stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Fortune Brands Innovations is a good investment.
Sell | Buy |
Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Fortune Brands Stock
Researching Fortune Brands' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 96.0% of the company shares are owned by institutional investors. The book value of Fortune Brands was currently reported as 19.36. The company has Price/Earnings To Growth (PEG) ratio of 2.29. Fortune Brands Innov last dividend was issued on the 21st of February 2025. The entity had 117:100 split on the 15th of December 2022.
To determine if Fortune Brands is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Fortune Brands' research are outlined below:
| Fortune Brands Innov generated a negative expected return over the last 90 days | |
| Over 96.0% of the company shares are owned by institutional investors | |
| Latest headline from businesswire.com: MasterBrand Reports Fourth Quarter and Full Year 2024 Financial Results |
Fortune Brands Quarterly Long Term Debt |
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Fortune Brands uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Fortune Brands Innovations. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Fortune Brands' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 30th of January 2024 Upcoming Quarterly Report | View | |
| 24th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 30th of January 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Fortune Brands' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Fortune Brands' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2015-04-30 | 2015-03-31 | 0.32 | 0.28 | -0.04 | 12 | ||
2012-10-23 | 2012-09-30 | 0.25 | 0.29 | 0.04 | 16 | ||
2011-11-02 | 2011-09-30 | 0.23 | 0.19 | -0.04 | 17 | ||
2016-04-20 | 2016-03-31 | 0.34 | 0.39 | 0.05 | 14 | ||
2013-10-23 | 2013-09-30 | 0.41 | 0.46 | 0.05 | 12 | ||
2012-04-26 | 2012-03-31 | 0.03 | 0.08 | 0.05 | 166 | ||
2017-04-26 | 2017-03-31 | 0.46 | 0.53 | 0.07 | 15 | ||
2015-02-04 | 2014-12-31 | 0.51 | 0.44 | -0.07 | 13 |
Fortune Brands Target Price Consensus
Fortune target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Fortune Brands' target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 19 | Buy |
Most Fortune analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Fortune stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Fortune Brands Innov, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationFortune Brands Target Price Projection
Fortune Brands' current and average target prices are 66.28 and 88.00, respectively. The current price of Fortune Brands is the price at which Fortune Brands Innovations is currently trading. On the other hand, Fortune Brands' target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Fortune Brands Market Quote on 25th of February 2025
Target Price
Analyst Consensus On Fortune Brands Target Price
Fortune Brands Analyst Ratings
Fortune Brands' analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Fortune Brands stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Fortune Brands' financials, market performance, and future outlook by experienced professionals. Fortune Brands' historical ratings below, therefore, can serve as a valuable tool for investors.Fortune Brands' market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 8.05 B.Market Cap |
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Fortune Brands' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.14 | 0.09 | |
| Return On Capital Employed | 0.15 | 0.09 | |
| Return On Assets | 0.08 | 0.04 | |
| Return On Equity | 0.23 | 0.24 |
Determining Fortune Brands' profitability involves analyzing its financial statements and using various financial metrics to determine if Fortune Brands is a good buy. For example, gross profit margin measures Fortune Brands' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Fortune Brands' profitability and make more informed investment decisions.
Fortune Brands' Earnings Breakdown by Geography
Evaluate Fortune Brands' management efficiency
Fortune Brands Innov has return on total asset (ROA) of 0.0718 % which means that it generated a profit of $0.0718 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.2002 %, meaning that it created $0.2002 on every $100 dollars invested by stockholders. Fortune Brands' management efficiency ratios could be used to measure how well Fortune Brands manages its routine affairs as well as how well it operates its assets and liabilities. As of the 25th of February 2025, Return On Equity is likely to grow to 0.24, while Return On Tangible Assets are likely to drop 0.09. At this time, Fortune Brands' Non Currrent Assets Other are very stable compared to the past year. As of the 25th of February 2025, Other Current Assets is likely to grow to about 219.5 M, while Total Assets are likely to drop about 5.9 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 14.40 | 11.39 | |
| Tangible Book Value Per Share | (3.85) | (4.04) | |
| Enterprise Value Over EBITDA | 11.29 | 13.95 | |
| Price Book Value Ratio | 3.21 | 3.37 | |
| Enterprise Value Multiple | 11.29 | 13.95 | |
| Price Fair Value | 3.21 | 3.37 |
The operational strategies employed by Fortune Brands management play a crucial role in its market positioning. Assessing these strategies alongside financial data helps us evaluate the stock's investment potential.
Basic technical analysis of Fortune Stock
As of the 25th of February, Fortune Brands shows the Variance of 2.89, standard deviation of 1.7, and Mean Deviation of 1.23. Fortune Brands Innov technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices.Fortune Brands' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Fortune Brands insiders, such as employees or executives, is commonly permitted as long as it does not rely on Fortune Brands' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Fortune Brands insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Fortune Brands' Outstanding Corporate Bonds
Fortune Brands issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Fortune Brands Innov 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 Fortune bonds can be classified according to their maturity, which is the date when Fortune Brands Innovations 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.
| FORTUNE BRANDS HOME Corp BondUS34964CAA45 | View | |
| US34964CAE66 Corp BondUS34964CAE66 | View | |
| FBINUS 45 25 MAR 52 Corp BondUS34964CAG15 | View | |
| FBINUS 4 25 MAR 32 Corp BondUS34964CAF32 | View | |
| US34960PAD33 Corp BondUS34960PAD33 | View | |
| MPLX LP 4125 Corp BondUS55336VAK61 | View | |
| FORTUNE BRANDS INC Corp BondUS349631AG67 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View |
Understand Fortune Brands' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Fortune Brands' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (9.37) | |||
| Mean Deviation | 1.23 | |||
| Coefficient Of Variation | (927.43) | |||
| Standard Deviation | 1.7 | |||
| Variance | 2.89 | |||
| Information Ratio | (0.11) | |||
| Jensen Alpha | (0.19) | |||
| Total Risk Alpha | (0.18) | |||
| Treynor Ratio | (9.38) | |||
| Maximum Drawdown | 10.95 | |||
| Value At Risk | (2.59) | |||
| Potential Upside | 2.49 | |||
| Skewness | 0.3021 | |||
| Kurtosis | 2.36 |
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (9.37) | |||
| Mean Deviation | 1.23 | |||
| Coefficient Of Variation | (927.43) | |||
| Standard Deviation | 1.7 | |||
| Variance | 2.89 | |||
| Information Ratio | (0.11) | |||
| Jensen Alpha | (0.19) | |||
| Total Risk Alpha | (0.18) | |||
| Treynor Ratio | (9.38) | |||
| Maximum Drawdown | 10.95 | |||
| Value At Risk | (2.59) | |||
| Potential Upside | 2.49 | |||
| Skewness | 0.3021 | |||
| Kurtosis | 2.36 |
Consider Fortune Brands' intraday indicators
Fortune Brands intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Fortune Brands stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Fortune Brands Corporate Filings
| 14th of February 2025 Other Reports | ViewVerify | |
F4 | 13th of February 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 6th of February 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 31st of January 2025 Other Reports | ViewVerify |
Fortune Stock media impact
Far too much social signal, news, headlines, and media speculation about Fortune Brands that are available to investors today. That information is available publicly through Fortune media outlets and privately through word of mouth or via Fortune internal channels. However, regardless of the origin, that massive amount of Fortune data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Fortune Brands news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Fortune Brands relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Fortune Brands' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Fortune Brands alpha.
Fortune Brands Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Fortune Brands can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Fortune Brands Innov Historical Investor Sentiment
Investor biases related to Fortune Brands' public news can be used to forecast risks associated with an investment in Fortune. The trend in average sentiment can be used to explain how an investor holding Fortune can time the market purely based on public headlines and social activities around Fortune Brands Innovations. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Fortune 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 Fortune Brands and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Fortune Brands news discussions. The higher the estimate score, the more favorable the investor's outlook on Fortune Brands.
Fortune Brands Maximum Pain Price Across April 17th 2025 Option Contracts
Fortune Brands' options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Fortune Brands close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Fortune Brands' options.
Fortune Brands Corporate Management
| Hiranda Donoghue | Chief VP | Profile | |
| Dong Lee | Executive Officer | Profile | |
| Danny Luburic | Executive Officer | Profile | |
| Ron Wilson | Executive Officer | Profile |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Fortune Brands Innovations. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product. You can also try the My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Is Building Products space 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 Fortune Brands. If investors know Fortune 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 Fortune 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 0.314 | Dividend Share 0.96 | Earnings Share 3.75 | Revenue Per Share | Quarterly Revenue Growth (0.05) |
The market value of Fortune Brands Innov is measured differently than its book value, which is the value of Fortune that is recorded on the company's balance sheet. Investors also form their own opinion of Fortune Brands' value that differs from its market value or its book value, called intrinsic value, which is Fortune 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 Fortune Brands' market value can be influenced by many factors that don't directly affect Fortune Brands' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Fortune Brands' value and its price, as these two are different measures arrived at by various means. Investors typically determine if Fortune Brands is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Fortune 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.