GAMING INNOVATION GROUP INC (GIG.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:GIG - US36467X2062 - Common Stock
28.1 NOK
-2.8 (-9.06%)
GIG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 62 industry peers in the Hotels, Restaurants & Leisure industry. GIG has an average financial health and profitability rating. GIG has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year GIG was profitable.
- In the past year GIG had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: GIG reported negative net income in multiple years.
- GIG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- GIG has a better Return On Assets (6.83%) than 68.89% of its industry peers.
- Looking at the Return On Equity, with a value of 18.55%, GIG is in the better half of the industry, outperforming 75.56% of the companies in the same industry.
- GIG has a better Return On Invested Capital (16.86%) than 84.44% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for GIG is below the industry average of 12.01%.
- The 3 year average ROIC (7.27%) for GIG is below the current ROIC(16.86%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 18.55% | ||
| ROIC | 16.86% |
ROA(3y)1.94%
ROA(5y)-12.21%
ROE(3y)5.58%
ROE(5y)-157.03%
ROIC(3y)7.27%
ROIC(5y)N/A
1.3 Margins
- GIG has a Profit Margin of 10.44%. This is in the better half of the industry: GIG outperforms 62.22% of its industry peers.
- The Operating Margin of GIG (28.52%) is better than 91.11% of its industry peers.
- GIG has a Gross Margin of 65.19%. This is comparable to the rest of the industry: GIG outperforms 53.33% of its industry peers.
- In the last couple of years the Gross Margin of GIG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.52% | ||
| PM (TTM) | 10.44% | ||
| GM | 65.19% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.76%
GM growth 5Y4.15%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GIG is creating value.
- GIG has more shares outstanding than it did 1 year ago.
- GIG has a better debt/assets ratio than last year.
2.2 Solvency
- GIG has an Altman-Z score of 1.91. This is not the best score and indicates that GIG is in the grey zone with still only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 1.91, GIG perfoms like the industry average, outperforming 57.78% of the companies in the same industry.
- GIG has a debt to FCF ratio of 170.67. This is a negative value and a sign of low solvency as GIG would need 170.67 years to pay back of all of its debts.
- GIG has a worse Debt to FCF ratio (170.67) than 75.56% of its industry peers.
- GIG has a Debt/Equity ratio of 0.90. This is a neutral value indicating GIG is somewhat dependend on debt financing.
- GIG has a Debt to Equity ratio (0.90) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 170.67 | ||
| Altman-Z | 1.91 |
ROIC/WACC2.1
WACC8.04%
2.3 Liquidity
- GIG has a Current Ratio of 1.12. This is a normal value and indicates that GIG is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.12, GIG is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- GIG has a Quick Ratio of 1.12. This is a normal value and indicates that GIG is financially healthy and should not expect problems in meeting its short term obligations.
- With a decent Quick ratio value of 1.12, GIG is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
- The earnings per share for GIG have decreased strongly by -62.50% in the last year.
- Looking at the last year, GIG shows a very strong growth in Revenue. The Revenue has grown by 45.62%.
- The Revenue for GIG have been decreasing by -10.15% on average. This is quite bad
EPS 1Y (TTM)-62.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-180%
Revenue 1Y (TTM)45.62%
Revenue growth 3Y12.03%
Revenue growth 5Y-10.15%
Sales Q2Q%7.7%
3.2 Future
- The Earnings Per Share is expected to grow by 49.88% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 15.23% on average over the next years. This is quite good.
EPS Next Y40.98%
EPS Next 2Y54.88%
EPS Next 3Y49.88%
EPS Next 5YN/A
Revenue Next Year14.79%
Revenue Next 2Y16.23%
Revenue Next 3Y15.23%
Revenue Next 5YN/A
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
- The Price/Earnings ratio is 80.29, which means the current valuation is very expensive for GIG.
- Based on the Price/Earnings ratio, GIG is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
- GIG is valuated expensively when we compare the Price/Earnings ratio to 28.87, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 8.35, the valuation of GIG can be described as very reasonable.
- Based on the Price/Forward Earnings ratio, GIG is valued cheaper than 91.11% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of GIG to the average of the S&P500 Index (25.96), we can say GIG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 80.29 | ||
| Fwd PE | 8.35 |
4.2 Price Multiples
- GIG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GIG is cheaper than 84.44% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of GIG indicates a slightly more expensive valuation: GIG is more expensive than 75.56% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 591.72 | ||
| EV/EBITDA | 4.55 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GIG does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of GIG may justify a higher PE ratio.
- A more expensive valuation may be justified as GIG's earnings are expected to grow with 49.88% in the coming years.
PEG (NY)1.96
PEG (5Y)N/A
EPS Next 2Y54.88%
EPS Next 3Y49.88%
5. Dividend
5.1 Amount
- No dividends for GIG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
GAMING INNOVATION GROUP INC / GIG.OL FAQ
What is the ChartMill fundamental rating of GAMING INNOVATION GROUP INC (GIG.OL) stock?
ChartMill assigns a fundamental rating of 4 / 10 to GIG.OL.
Can you provide the valuation status for GAMING INNOVATION GROUP INC?
ChartMill assigns a valuation rating of 4 / 10 to GAMING INNOVATION GROUP INC (GIG.OL). This can be considered as Fairly Valued.
Can you provide the profitability details for GAMING INNOVATION GROUP INC?
GAMING INNOVATION GROUP INC (GIG.OL) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for GIG stock?
The Price/Earnings (PE) ratio for GAMING INNOVATION GROUP INC (GIG.OL) is 80.29 and the Price/Book (PB) ratio is 3.16.
Can you provide the financial health for GIG stock?
The financial health rating of GAMING INNOVATION GROUP INC (GIG.OL) is 4 / 10.