35.27 USD
+0.67 (+1.94%)
35.27 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to GFS. GFS was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the profitability and the financial health of GFS get a neutral evaluation. Nothing too spectacular is happening here. GFS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year GFS was profitable.
GFS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: GFS reported negative net income in multiple years.
GFS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -0.26%, GFS perfoms like the industry average, outperforming 48.21% of the companies in the same industry.
GFS's Return On Equity of -0.38% is in line compared to the rest of the industry. GFS outperforms 48.21% of its industry peers.
The Return On Invested Capital of GFS (4.20%) is better than 61.61% of its industry peers.
GFS had an Average Return On Invested Capital over the past 3 years of 5.80%. This is below the industry average of 10.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.26% | ||
| ROE | -0.38% | ||
| ROIC | 4.2% |
ROA(3y)4.06%
ROA(5y)-0.08%
ROE(3y)7.11%
ROE(5y)-0.12%
ROIC(3y)5.8%
ROIC(5y)N/A
1.3 Margins
The Operating Margin of GFS (11.44%) is better than 67.86% of its industry peers.
With a Gross Margin value of 24.02%, GFS is not doing good in the industry: 77.68% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of GFS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.44% | ||
| PM (TTM) | N/A | ||
| GM | 24.02% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y15.97%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GFS is destroying value.
The number of shares outstanding for GFS remains at a similar level compared to 1 year ago.
GFS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, GFS has an improved debt to assets ratio.
2.2 Solvency
GFS has an Altman-Z score of 2.16. This is not the best score and indicates that GFS is in the grey zone with still only limited risk for bankruptcy at the moment.
GFS's Altman-Z score of 2.16 is on the low side compared to the rest of the industry. GFS is outperformed by 63.39% of its industry peers.
The Debt to FCF ratio of GFS is 1.43, which is an excellent value as it means it would take GFS, only 1.43 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GFS (1.43) is better than 71.43% of its industry peers.
A Debt/Equity ratio of 0.13 indicates that GFS is not too dependend on debt financing.
The Debt to Equity ratio of GFS (0.13) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 2.16 |
ROIC/WACC0.42
WACC10.09%
2.3 Liquidity
A Current Ratio of 3.03 indicates that GFS has no problem at all paying its short term obligations.
GFS has a Current ratio (3.03) which is in line with its industry peers.
A Quick Ratio of 2.24 indicates that GFS has no problem at all paying its short term obligations.
GFS has a Quick ratio (2.24) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.03 | ||
| Quick Ratio | 2.24 |
3. Growth
3.1 Past
The earnings per share for GFS have decreased by -6.32% in the last year.
Looking at the last year, GFS shows a small growth in Revenue. The Revenue has grown by 0.25% in the last year.
GFS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.03% yearly.
EPS 1Y (TTM)-6.32%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)0.25%
Revenue growth 3Y0.83%
Revenue growth 5Y3.03%
Sales Q2Q%-2.93%
3.2 Future
The Earnings Per Share is expected to grow by 20.17% on average over the next years. This is a very strong growth
GFS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.19% yearly.
EPS Next Y4.08%
EPS Next 2Y12.6%
EPS Next 3Y16.63%
EPS Next 5Y20.17%
Revenue Next Year0.09%
Revenue Next 2Y4.04%
Revenue Next 3Y6.05%
Revenue Next 5Y8.19%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.64, the valuation of GFS can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of GFS indicates a rather cheap valuation: GFS is cheaper than 83.93% of the companies listed in the same industry.
GFS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.15, which is the current average of the S&P500 Index.
GFS is valuated rather expensively with a Price/Forward Earnings ratio of 17.83.
Based on the Price/Forward Earnings ratio, GFS is valued cheaply inside the industry as 83.93% of the companies are valued more expensively.
GFS is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.12, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.64 | ||
| Fwd PE | 17.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GFS is valued cheaper than 95.54% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GFS is valued cheaply inside the industry as 90.18% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.8 | ||
| EV/EBITDA | 7.68 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
GFS's earnings are expected to grow with 16.63% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.31
PEG (5Y)N/A
EPS Next 2Y12.6%
EPS Next 3Y16.63%
5. Dividend
5.1 Amount
GFS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
35.27
+0.67 (+1.94%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners101.78%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap19.57B
Revenue(TTM)6.79B
Net Income(TTM)-44.00M
Analysts73.85
Price Target40.09 (13.67%)
Short Float %2.57%
Short Ratio4.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.95%
Min EPS beat(2)8.67%
Max EPS beat(2)17.23%
EPS beat(4)4
Avg EPS beat(4)11.24%
Min EPS beat(4)2.49%
Max EPS beat(4)17.23%
EPS beat(8)8
Avg EPS beat(8)18.39%
EPS beat(12)12
Avg EPS beat(12)15.79%
EPS beat(16)16
Avg EPS beat(16)23.11%
Revenue beat(2)0
Avg Revenue beat(2)-0.32%
Min Revenue beat(2)-0.35%
Max Revenue beat(2)-0.3%
Revenue beat(4)0
Avg Revenue beat(4)-0.53%
Min Revenue beat(4)-0.92%
Max Revenue beat(4)-0.3%
Revenue beat(8)2
Avg Revenue beat(8)-0.3%
Revenue beat(12)3
Avg Revenue beat(12)-0.32%
Revenue beat(16)7
Avg Revenue beat(16)-0.09%
PT rev (1m)-1.18%
PT rev (3m)-3.35%
EPS NQ rev (1m)0.2%
EPS NQ rev (3m)0.98%
EPS NY rev (1m)-0.46%
EPS NY rev (3m)-0.23%
Revenue NQ rev (1m)0.33%
Revenue NQ rev (3m)-0.05%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.64 | ||
| Fwd PE | 17.83 | ||
| P/S | 2.88 | ||
| P/FCF | 16.8 | ||
| P/OCF | 10.79 | ||
| P/B | 1.67 | ||
| P/tB | 1.82 | ||
| EV/EBITDA | 7.68 |
EPS(TTM)1.63
EY4.62%
EPS(NY)1.98
Fwd EY5.61%
FCF(TTM)2.1
FCFY5.95%
OCF(TTM)3.27
OCFY9.27%
SpS12.24
BVpS21.1
TBVpS19.41
PEG (NY)5.31
PEG (5Y)N/A
Graham Number27.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.26% | ||
| ROE | -0.38% | ||
| ROCE | 5.31% | ||
| ROIC | 4.2% | ||
| ROICexc | 5.45% | ||
| ROICexgc | 5.94% | ||
| OM | 11.44% | ||
| PM (TTM) | N/A | ||
| GM | 24.02% | ||
| FCFM | 17.16% |
ROA(3y)4.06%
ROA(5y)-0.08%
ROE(3y)7.11%
ROE(5y)-0.12%
ROIC(3y)5.8%
ROIC(5y)N/A
ROICexc(3y)7.4%
ROICexc(5y)N/A
ROICexgc(3y)7.71%
ROICexgc(5y)N/A
ROCE(3y)7.34%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y15.97%
GM growth 5YN/A
F-Score6
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.43 | ||
| Debt/EBITDA | 0.71 | ||
| Cap/Depr | 47.06% | ||
| Cap/Sales | 9.56% | ||
| Interest Coverage | 10.22 | ||
| Cash Conversion | 84.14% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.03 | ||
| Quick Ratio | 2.24 | ||
| Altman-Z | 2.16 |
F-Score6
WACC10.09%
ROIC/WACC0.42
Cap/Depr(3y)117.56%
Cap/Depr(5y)97.05%
Cap/Sales(3y)23.8%
Cap/Sales(5y)22.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.32%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y4.08%
EPS Next 2Y12.6%
EPS Next 3Y16.63%
EPS Next 5Y20.17%
Revenue 1Y (TTM)0.25%
Revenue growth 3Y0.83%
Revenue growth 5Y3.03%
Sales Q2Q%-2.93%
Revenue Next Year0.09%
Revenue Next 2Y4.04%
Revenue Next 3Y6.05%
Revenue Next 5Y8.19%
EBIT growth 1Y-5.93%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year162.87%
EBIT Next 3Y49.92%
EBIT Next 5Y31.63%
FCF growth 1Y283.46%
FCF growth 3Y0.75%
FCF growth 5YN/A
OCF growth 1Y-6.11%
OCF growth 3Y-15.35%
OCF growth 5Y28.22%
GLOBALFOUNDRIES INC / GFS FAQ
What is the ChartMill fundamental rating of GLOBALFOUNDRIES INC (GFS) stock?
ChartMill assigns a fundamental rating of 4 / 10 to GFS.
What is the valuation status of GLOBALFOUNDRIES INC (GFS) stock?
ChartMill assigns a valuation rating of 5 / 10 to GLOBALFOUNDRIES INC (GFS). This can be considered as Fairly Valued.
What is the profitability of GFS stock?
GLOBALFOUNDRIES INC (GFS) has a profitability rating of 4 / 10.
What is the valuation of GLOBALFOUNDRIES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for GLOBALFOUNDRIES INC (GFS) is 21.64 and the Price/Book (PB) ratio is 1.67.
What is the earnings growth outlook for GLOBALFOUNDRIES INC?
The Earnings per Share (EPS) of GLOBALFOUNDRIES INC (GFS) is expected to grow by 4.08% in the next year.