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BRC

9/9 Score

Brady Corporation

Analysis Date: February 2, 2026

Brady Corporation manufactures and supplies identification solutions (IDS) and workplace safety (WPS) products to identify and protect premises, products, and people in the United States and internationally. The IDS segment offers safety signs, floor-marking tapes, pipe markers, labeling systems, spill control products, and lockout/tagout devices for facility identification and protection; materials, printing systems, RFID and bar code scanners for product identification, brand protection labeling, work in process labeling, and finished product identification; and hand-held printers, wire markers, sleeves, and tags for wire identification, as well as software and services for safety compliance auditing, procedure writing, and training. Its products also comprise name tags, badges, lanyards, rigid card printing systems, and access control software for people identification; wristbands and labels for tracking and enhancing the safety of patients; and custom wristbands. This segment serves customers in various industries, such as industrial and electronic manufacturing, healthcare, chemical, oil, gas, automotive, aerospace, governments, mass transit, electrical contractors, education, leisure and entertainment, telecommunications, and others through distributors, direct sales, catalog marketing, and digital channels. The WPS segment provides workplace safety and compliance products, such as safety and compliance signs, tags, labels, and markings; informational signage and markings; asset tracking labels; first aid products; facility safety and personal protection equipment; and labor law and other compliance posters for various industries, including process, government, education, construction, and utilities, as well as manufacturers through catalog and digital channels. It also offers stock and custom identification products, as well as sells related resale products. Brady Corporation was incorporated in 1914 and is headquartered in Milwaukee, Wisconsin.

Buffettology Criteria

All 9 of 9 criteria passed

  • High ROE

    Return on Equity > 12%

    Value: 16.6%

  • High ROIC

    Return on Invested Capital > 9%

    Value: 13.3%

  • Cash Machine

    FCF / Assets > 5%

    Value: 8.9%

  • Fair Valuation

    Earnings Yield > 3.5%

    Value: 4.8%

  • Share Buybacks

    Share Count is Dropping

    Value: -1.0%

  • Defensible Moat

    Gross Profit Margin > 40%

    Value: 50.9%

  • Simple Business

    Not in a speculative sector (e.g., Biotech)

    Value: Industrials

  • Conservative Debt

    Debt to Equity < 1.5

    Value: 0.11x

  • Consistent Growth

    5-Year Growth is Positive

    Value: 86.5%

Analysis Summary

This BRC is hitting all the right notes. A robust moat, a business that hums and generates cash without needing excessive debt, and solid returns on invested capital all point to a company built to last. The consistent growth and attractive valuation sweeten the deal, making it a business worth keeping an eye on for the long haul.

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