GLOBAL INDUSTRIAL CO (GIC) Stock Fundamental Analysis
NYSE:GIC - New York Stock Exchange, Inc. - US37892E1029 - Common Stock - Currency: USD
Taking everything into account, GIC scores 6 out of 10 in our fundamental rating. GIC was compared to 48 industry peers in the Trading Companies & Distributors industry. GIC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. GIC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
GIC had positive earnings in the past year.
In the past year GIC had a positive cash flow from operations.
GIC had positive earnings in each of the past 5 years.
Each year in the past 5 years GIC had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 11.44%, GIC belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
GIC has a Return On Equity of 21.33%. This is amongst the best in the industry. GIC outperforms 81.25% of its industry peers.
GIC has a Return On Invested Capital of 17.15%. This is amongst the best in the industry. GIC outperforms 93.75% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GIC is significantly above the industry average of 9.62%.
The last Return On Invested Capital (17.15%) for GIC is well below the 3 year average (21.56%), which needs to be investigated, but indicates that GIC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.44% | ||
| ROE | 21.33% | ||
| ROIC | 17.15% |
ROA(3y)14.27%
ROA(5y)17.15%
ROE(3y)28.95%
ROE(5y)43.07%
ROIC(3y)21.56%
ROIC(5y)25.41%
1.3 Margins
GIC has a better Profit Margin (4.67%) than 62.50% of its industry peers.
GIC's Profit Margin has declined in the last couple of years.
GIC's Operating Margin of 6.19% is in line compared to the rest of the industry. GIC outperforms 50.00% of its industry peers.
GIC's Operating Margin has declined in the last couple of years.
GIC has a better Gross Margin (34.50%) than 62.50% of its industry peers.
In the last couple of years the Gross Margin of GIC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.19% | ||
| PM (TTM) | 4.67% | ||
| GM | 34.5% |
OM growth 3Y-9.59%
OM growth 5Y-2.37%
PM growth 3Y-21.86%
PM growth 5Y-1.98%
GM growth 3Y-0.82%
GM growth 5Y-0.03%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GIC is creating value.
GIC has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, GIC has more shares outstanding
GIC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 6.11 indicates that GIC is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.11, GIC belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
GIC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.11 |
ROIC/WACC1.66
WACC10.34%
2.3 Liquidity
GIC has a Current Ratio of 2.07. This indicates that GIC is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of GIC (2.07) is comparable to the rest of the industry.
GIC has a Quick Ratio of 1.08. This is a normal value and indicates that GIC is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.08, GIC is doing worse than 60.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.07 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
The earnings per share for GIC have decreased strongly by -14.13% in the last year.
The Earnings Per Share has been growing slightly by 3.07% on average over the past years.
Looking at the last year, GIC shows a decrease in Revenue. The Revenue has decreased by -0.79% in the last year.
Measured over the past years, GIC shows a small growth in Revenue. The Revenue has been growing by 6.80% on average per year.
EPS 1Y (TTM)-14.13%
EPS 3Y-4.98%
EPS 5Y3.07%
EPS Q2Q%2.94%
Revenue 1Y (TTM)-0.79%
Revenue growth 3Y7.37%
Revenue growth 5Y6.8%
Sales Q2Q%-0.74%
3.2 Future
GIC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.43% yearly.
The Revenue is expected to grow by 4.04% on average over the next years.
EPS Next Y8.72%
EPS Next 2Y8.8%
EPS Next 3Y3.43%
EPS Next 5YN/A
Revenue Next Year2.85%
Revenue Next 2Y3.47%
Revenue Next 3Y4.04%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GIC is valuated rather expensively with a Price/Earnings ratio of 17.02.
Based on the Price/Earnings ratio, GIC is valued a bit cheaper than the industry average as 72.92% of the companies are valued more expensively.
GIC is valuated rather cheaply when we compare the Price/Earnings ratio to 27.46, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 14.47, the valuation of GIC can be described as correct.
Based on the Price/Forward Earnings ratio, GIC is valued a bit cheaper than the industry average as 70.83% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of GIC to the average of the S&P500 Index (36.44), we can say GIC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.02 | ||
| Fwd PE | 14.47 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GIC is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GIC indicates a somewhat cheap valuation: GIC is cheaper than 68.75% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.92 | ||
| EV/EBITDA | 11.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GIC does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of GIC may justify a higher PE ratio.
PEG (NY)1.95
PEG (5Y)5.55
EPS Next 2Y8.8%
EPS Next 3Y3.43%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.85%, GIC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.91, GIC pays a better dividend. On top of this GIC pays more dividend than 85.42% of the companies listed in the same industry.
GIC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.85% |
5.2 History
The dividend of GIC decreases each year by -32.10%.
GIC has been paying a dividend for over 5 years, so it has already some track record.
The dividend of GIC decreased in the last 3 years.
Dividend Growth(5Y)-32.1%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
63.36% of the earnings are spent on dividend by GIC. This is not a sustainable payout ratio.
DP63.36%
EPS Next 2Y8.8%
EPS Next 3Y3.43%
26.89
-0.02 (-0.07%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners34.87%
Inst Owner Change0.08%
Ins Owners53.05%
Ins Owner Change2.31%
Market Cap1.03B
Analysts45
Price Target38.76 (44.14%)
Short Float %2.1%
Short Ratio4.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.85% |
Yearly Dividend1.01
Dividend Growth(5Y)-32.1%
DP63.36%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)34.37%
Min EPS beat(2)-4.53%
Max EPS beat(2)73.27%
EPS beat(4)1
Avg EPS beat(4)10.96%
Min EPS beat(4)-24.89%
Max EPS beat(4)73.27%
EPS beat(8)4
Avg EPS beat(8)8.82%
EPS beat(12)4
Avg EPS beat(12)3.66%
EPS beat(16)8
Avg EPS beat(16)11.08%
Revenue beat(2)1
Avg Revenue beat(2)0.66%
Min Revenue beat(2)-2.21%
Max Revenue beat(2)3.53%
Revenue beat(4)1
Avg Revenue beat(4)-1.21%
Min Revenue beat(4)-4.87%
Max Revenue beat(4)3.53%
Revenue beat(8)4
Avg Revenue beat(8)0.69%
Revenue beat(12)6
Avg Revenue beat(12)-0.07%
Revenue beat(16)7
Avg Revenue beat(16)-0.07%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.45%
EPS NY rev (1m)0.3%
EPS NY rev (3m)10.82%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)2.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.02 | ||
| Fwd PE | 14.47 | ||
| P/S | 0.79 | ||
| P/FCF | 22.92 | ||
| P/OCF | 21.62 | ||
| P/B | 3.58 | ||
| P/tB | 4.63 | ||
| EV/EBITDA | 11.17 |
EPS(TTM)1.58
EY5.88%
EPS(NY)1.86
Fwd EY6.91%
FCF(TTM)1.17
FCFY4.36%
OCF(TTM)1.24
OCFY4.62%
SpS34.24
BVpS7.51
TBVpS5.81
PEG (NY)1.95
PEG (5Y)5.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.44% | ||
| ROE | 21.33% | ||
| ROCE | 22.82% | ||
| ROIC | 17.15% | ||
| ROICexc | 19.26% | ||
| ROICexgc | 24.21% | ||
| OM | 6.19% | ||
| PM (TTM) | 4.67% | ||
| GM | 34.5% | ||
| FCFM | 3.43% |
ROA(3y)14.27%
ROA(5y)17.15%
ROE(3y)28.95%
ROE(5y)43.07%
ROIC(3y)21.56%
ROIC(5y)25.41%
ROICexc(3y)24.1%
ROICexc(5y)28.25%
ROICexgc(3y)28.51%
ROICexgc(5y)31.47%
ROCE(3y)28.71%
ROCE(5y)33.97%
ROICexcg growth 3Y-7.97%
ROICexcg growth 5Y-7.53%
ROICexc growth 3Y-13.97%
ROICexc growth 5Y-10.93%
OM growth 3Y-9.59%
OM growth 5Y-2.37%
PM growth 3Y-21.86%
PM growth 5Y-1.98%
GM growth 3Y-0.82%
GM growth 5Y-0.03%
F-Score5
Asset Turnover2.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 35.53% | ||
| Cap/Sales | 0.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 53.66% | ||
| Profit Quality | 73.29% | ||
| Current Ratio | 2.07 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 6.11 |
F-Score5
WACC10.34%
ROIC/WACC1.66
Cap/Depr(3y)100.23%
Cap/Depr(5y)91.69%
Cap/Sales(3y)0.41%
Cap/Sales(5y)0.36%
Profit Quality(3y)94.7%
Profit Quality(5y)85.83%
High Growth Momentum
Growth
EPS 1Y (TTM)-14.13%
EPS 3Y-4.98%
EPS 5Y3.07%
EPS Q2Q%2.94%
EPS Next Y8.72%
EPS Next 2Y8.8%
EPS Next 3Y3.43%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.79%
Revenue growth 3Y7.37%
Revenue growth 5Y6.8%
Sales Q2Q%-0.74%
Revenue Next Year2.85%
Revenue Next 2Y3.47%
Revenue Next 3Y4.04%
Revenue Next 5YN/A
EBIT growth 1Y-15.4%
EBIT growth 3Y-2.93%
EBIT growth 5Y4.27%
EBIT Next Year19.15%
EBIT Next 3Y4.8%
EBIT Next 5YN/A
FCF growth 1Y-47.43%
FCF growth 3Y0.36%
FCF growth 5Y-5.28%
OCF growth 1Y-48.49%
OCF growth 3Y0.6%
OCF growth 5Y-5.81%