Brink’s (NYSE:BCO) Shares Gap Down – Should You Sell?
by Danessa Lincoln · The Markets DailyBrink’s Company (The) (NYSE:BCO – Get Free Report)’s share price gapped down prior to trading on Friday . The stock had previously closed at $135.58, but opened at $123.00. Brink’s shares last traded at $113.1610, with a volume of 1,332,667 shares traded.
Key Headlines Impacting Brink’s
Here are the key news stories impacting Brink’s this week:
- Positive Sentiment: Q4 results beat consensus on the headline metrics: adjusted EPS of $2.54 (vs. ~$2.47 est.) and revenue of $1.38B (vs. ~$1.35B), with 9% revenue growth and improved margins — evidence of ongoing cash generation and operating momentum. Brink’s (BCO) Beats Q4 Earnings and Revenue Estimates
- Positive Sentiment: Company reported record 2025 cash generation (cash from ops $640M; FCF $436M) and reduced net leverage to ~2.7x adjusted EBITDA — gives Brink’s financial flexibility to execute M&A and invest in growth. Brink’s Announces Fourth-Quarter and Full-Year 2025 Results
- Positive Sentiment: Brink’s announced a transformational acquisition of NCR Atleos for $6.6B (cash + stock) to create a larger financial‑technology infrastructure company — strategic rationale is to combine cash handling and ATM/software capabilities for banks/retailers. This is the primary corporate growth driver behind today’s headlines. Brink’s to Acquire NCR Atleos for $6.6 Billion
- Neutral Sentiment: Coverage and call transcripts provide color on integration plans, AMS/DRS organic growth acceleration and margin bridge — useful for modeling synergies but not immediate share drivers until deal details and financing are clear. Q4 2025 Earnings Call Transcript
- Neutral Sentiment: Analyst/valuation pieces are reexamining Brink’s valuation after the share momentum and deal announcement — could lead to re-rating if analysts update models for pro forma earnings and cost synergies. Assessing Brink’s (BCO) Valuation
- Negative Sentiment: A shareholder‑rights law firm (Halper Sadeh) launched an investigation into whether Brink’s deal terms are fair to shareholders — this raises the risk of litigation, delay or renegotiation and likely contributed to today’s selling pressure. Halper Sadeh LLC Investigation
- Negative Sentiment: Some headlines flagged a GAAP EPS metric that missed expectations (reported GAAP EPS of $1.62 in one item), and the market appears focused on potential dilution, integration risk and near‑term EPS impact from the $6.6B transaction — key reasons for the stock decline despite the adjusted‑EPS beat. GAAP EPS Miss Coverage
- Negative Sentiment: High trading volume and rapid sell‑off indicate investors are marking down the stock to reflect deal uncertainty and near‑term earnings ambiguity; follow‑on analyst revisions and the company’s formal guidance updates will be the next catalysts. MSN: Better-than-expected sales but stock drops
Analyst Upgrades and Downgrades
Separately, Truist Financial raised their price objective on shares of Brink’s from $138.00 to $163.00 and gave the stock a “buy” rating in a research note on Tuesday, February 10th. Two research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $163.00.
Read Our Latest Stock Report on BCO
Brink’s Stock Performance
The firm’s fifty day moving average is $125.04 and its 200 day moving average is $117.57. The firm has a market capitalization of $4.72 billion, a price-to-earnings ratio of 29.05 and a beta of 1.09. The company has a debt-to-equity ratio of 9.14, a current ratio of 1.46 and a quick ratio of 1.46.
Brink’s (NYSE:BCO – Get Free Report) last released its earnings results on Thursday, February 26th. The business services provider reported $2.54 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.47 by $0.07. Brink’s had a net margin of 3.31% and a return on equity of 93.16%. The company had revenue of $1.38 billion during the quarter, compared to the consensus estimate of $1.35 billion. During the same quarter in the prior year, the firm earned $2.12 EPS. The company’s revenue was up 9.1% compared to the same quarter last year. On average, analysts predict that Brink’s Company will post 6.49 EPS for the current fiscal year.
Brink’s Announces Dividend
The company also recently announced a quarterly dividend, which will be paid on Monday, March 2nd. Shareholders of record on Monday, February 2nd will be paid a $0.255 dividend. The ex-dividend date is Monday, February 2nd. This represents a $1.02 dividend on an annualized basis and a yield of 0.9%. Brink’s’s payout ratio is 26.09%.
Brink’s announced that its Board of Directors has approved a stock buyback plan on Thursday, December 11th that permits the company to repurchase $750.00 million in shares. This repurchase authorization permits the business services provider to buy up to 15.4% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board believes its stock is undervalued.
Insiders Place Their Bets
In other Brink’s news, insider Michael E. Sweeney sold 1,418 shares of the business’s stock in a transaction that occurred on Monday, December 15th. The shares were sold at an average price of $119.50, for a total value of $169,451.00. Following the completion of the sale, the insider directly owned 5,755 shares of the company’s stock, valued at $687,722.50. The trade was a 19.77% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Insiders own 0.49% of the company’s stock.
Institutional Investors Weigh In On Brink’s
A number of large investors have recently added to or reduced their stakes in BCO. Norges Bank acquired a new position in Brink’s in the 4th quarter valued at $61,105,000. Simcoe Capital Management LLC acquired a new position in Brink’s during the 2nd quarter worth $43,465,000. Northwestern Mutual Wealth Management Co. boosted its holdings in Brink’s by 385,161.2% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 446,903 shares of the business services provider’s stock valued at $52,167,000 after acquiring an additional 446,787 shares during the period. Nuveen LLC grew its position in shares of Brink’s by 229.7% in the fourth quarter. Nuveen LLC now owns 420,297 shares of the business services provider’s stock valued at $49,061,000 after purchasing an additional 292,829 shares during the last quarter. Finally, Fourth Sail Capital LP acquired a new stake in shares of Brink’s in the second quarter valued at about $25,135,000. Institutional investors own 94.96% of the company’s stock.
Brink’s Company Profile
The Brink’s Company (NYSE: BCO) is a global leader in secure logistics and cash management solutions. The company provides a comprehensive suite of services that span armored transportation, cash-in-transit (CIT), ATM services, smart safe solutions, and valuables storage. Through its network of service centers and armored vehicles, Brink’s ensures the safe and efficient movement of currency, precious metals, and other high-value assets for banks, retailers, mints, and government agencies.
Brink’s armored transport operations are complemented by technology-driven cash management offerings, including deposit automation and secure vaulting.