What Makes Brink’s Company (BCO) Worth Holding?
SouthernSun Asset Management, LLC, an investment management firm, released its “SouthernSun Small Cap Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the third quarter, the strategy returned 11.73% on a gross basis (11.52% net) compared to a 12.39% return for the Russell 2000 Index and 12.60% for the Russell 2000 Value Index. The strategy returned -0.66% on a gross basis (-0.10% net) for the trailing twelve months compared to 10.76% and 7.88% respectively for the indexes over the same period. In addition, please check the top 5 holdings of the strategy to know its best pick in 2025.
In its third-quarter 2025 investor letter, SouthernSun Small Cap Strategy highlighted stocks such as The Brink’s Company (NYSE:BCO). The Brink’s Company (NYSE:BCO) offers cash and valuables management, digital retail solutions, and automated teller machine (ATM) managed services. The one-month return of The Brink’s Company (NYSE:BCO) was -6.33%, and its shares gained 3.12% of their value over the last 52 weeks. On November 4, 2025, The Brink’s Company (NYSE:BCO) stock closed at $105.88 per share, with a market capitalization of $4.411 billion.
SouthernSun Small Cap Strategy stated the following regarding The Brink’s Company (NYSE:BCO) in its third quarter 2025 investor letter:
"The Brink’s Company (NYSE:BCO) was the top contributor in the Small Cap strategy during the third quarter. BCO, a leading global provider of cash and valuables management, digital retail solutions (DRS), and ATM managed services (AMS), was a top contributor for the quarter. In the second quarter, the company delivered 16% organic growth in AMS and DRS while continuing to stimulate customer demand for outsourcing with financial institutions and convert whitespace opportunities in retail. These higher-margin, recurring revenue businesses now represent over 25% of total company revenue and are expected to continue delivering double digit organic growth for the foreseeable future. Free cash flow continues to improve with over $100 million generated in the quarter on EBITDA growth, continued capital efficiency and strong working capital performance. In addition, management has been disciplined and opportunistic with capital deployment – buying back $130mm in stock year to date with $85mm of that coming in 2q. We believe the current price affords share owners a nice opportunity to compound double digit returns over our investment time horizon with a strong balance sheet providing a backdrop for cash flow growth and a predictable and effective capital allocation strategy."
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