On the stock market since 1981, it operates in the world of health and science. It has 38,000 employees. Now — the numbers.
The company closed last year at a loss: costs ran above sales. The picture changes only if spending is reined in.
The biggest line carries real weight, but it doesn’t decide everything on its own.
Before the clock runs out, either sales must climb sharply or new money must come in. This is the most critical line in the whole picture.
Executives buying with their own money is usually read as confidence in the company’s future.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit indicators sit around the sector average.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
Growth: Sales growth trails the sector average.
An investor who bought at the very peak is down 71% today. The business is the same; what changed most is the price — and the expectations — the market pins on it.
The company sells $11.2B a year; the problem isn’t sales — it’s costs running above that number.
Over the last 12 months, company executives reported 29 buys and 17 sells. Management buying with its own money is usually read as a good sign.
It pays out $0.20 per share each year — regular cash for whoever holds the stock.
A loss of $957M against $11.2B in annual sales.
At the current pace of spending, the cash lasts about 2.1 years. After that, the company needs to find new money.
On our five-subject report card, BAX sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: BAX has solid sales but closed last year at a loss. The road back to profit runs through spending discipline.