BellRing Brands Stock Tumbled 20% – Opportunity or Trap?
BellRing Brands (BRBR) stock has fallen by 20.2% in less than a month, from $34.72 on 14th Oct, 2025 to $27.69 now. Should you buy this dip? Dip buying is a viable strategy for quality stocks that have a history of recovering from dips.
Dip buying is a viable strategy for quality stocks that have a history of recovering from dips. As it turns out, BRBR stock passes basic quality checks. Historically, the median return for the 12-month period following sharp dips was 21% , with median peak return reaching 44%. We define sharp dip as stock going down 30% or more, in less than 30 day period.
The question isn’t where BRBR stock goes, but how your portfolio is positioned. See how Trefis High Quality Portfolio and our asset allocation strategy of our Boston-based, wealth management partner prepare you.
Historical Median Returns Post Dips
| Period | Past Median Return |
|---|---|
| 1M | 10.1% |
| 3M | 4.0% |
| 6M | 1.5% |
| 12M | 20.9% |
Historical Dip-Wise Details
BRBR had 2 events since 1/1/2010 where the dip threshold of -30% within 30 days was triggered
- 44% median peak return within 1 year of dip event
- 196 days is the median time to peak return after a dip event
- -14% median max drawdown within 1 year of dip event
| 30 Day Dip | BRBR Subsequent Performance | |||||||
|---|---|---|---|---|---|---|---|---|
| Date | BRBR | SPY | 1Y | Peak Return |
Max Drop |
# Days to Peak |
||
| Median | 21% | 44% | -14% | 196 | ||||
| 8052025 | -39% | 5% | -22% | 18% | -22% | 30 | ||
| 3192020 | -33% | -28% | 64% | 71% | -5% | 361 | ||
BellRing Brands Passes Basic Financial Quality Checks
Revenue growth, profitability, cash flow, and balance sheet strength need to be evaluated to reduce the risk of a dip being the sign of a deteriorating business situation.
| Quality Metrics | Value | Quality Check |
|---|---|---|
| Revenue Growth (LTM) | 16.3% | Pass |
| Revenue Growth (3-Yr Avg) | 18.6% | Pass |
| Operating Cash Flow Margin (LTM) | 5.9% | Pass |
| Leverage (see below) | – | Pass |
| => Interest Coverage Ratio | 5.8 | |
| => Cash To Interest Expense Ratio | 0.7 |
Dip buying, while attractive, needs to be evaluated carefully from multiple angles. Such multi-factor analysis is exactly how we construct the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.