GLADSTONE CAPITAL CORP (GLAD) Stock Fundamental Analysis
USA - NASDAQ:GLAD - US3765358789 - Common Stock
19.72 USD
+0.38 (+1.96%)
19.61 USD
-0.11 (-0.56%)
We assign a fundamental rating of 5 out of 10 to GLAD. GLAD was compared to 236 industry peers in the Capital Markets industry. GLAD has only an average score on both its financial health and profitability. GLAD is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
GLAD had positive earnings in the past year.
In the past year GLAD had a positive cash flow from operations.
Of the past 5 years GLAD 4 years were profitable.
In the past 5 years GLAD reported 4 times negative operating cash flow.
1.2 Ratios
GLAD's Return On Assets of 9.62% is amongst the best of the industry. GLAD outperforms 87.29% of its industry peers.
GLAD has a better Return On Equity (15.35%) than 78.81% of its industry peers.
The Return On Invested Capital of GLAD (4.58%) is better than 61.02% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GLAD is below the industry average of 7.56%.
The last Return On Invested Capital (4.58%) for GLAD is above the 3 year average (4.32%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.62% | ||
| ROE | 15.35% | ||
| ROIC | 4.58% |
ROA(3y)6.86%
ROA(5y)7.01%
ROE(3y)12.16%
ROE(5y)12.43%
ROIC(3y)4.32%
ROIC(5y)4.2%
1.3 Margins
With an excellent Profit Margin value of 84.41%, GLAD belongs to the best of the industry, outperforming 97.88% of the companies in the same industry.
In the last couple of years the Profit Margin of GLAD has grown nicely.
GLAD's Operating Margin of 50.30% is amongst the best of the industry. GLAD outperforms 85.17% of its industry peers.
In the last couple of years the Operating Margin of GLAD has declined.
GLAD has a Gross Margin of 35.03%. This is in the lower half of the industry: GLAD underperforms 67.80% of its industry peers.
GLAD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 50.3% | ||
| PM (TTM) | 84.41% | ||
| GM | 35.03% |
OM growth 3Y-0.61%
OM growth 5Y-2.94%
PM growth 3Y-14.54%
PM growth 5Y19.76%
GM growth 3Y2.59%
GM growth 5Y-1.67%
2. Health
2.1 Basic Checks
The number of shares outstanding for GLAD has been increased compared to 1 year ago.
The number of shares outstanding for GLAD has been increased compared to 5 years ago.
Compared to 1 year ago, GLAD has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.22, we must say that GLAD is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.22, GLAD perfoms like the industry average, outperforming 58.05% of the companies in the same industry.
The Debt to FCF ratio of GLAD is 3.30, which is a good value as it means it would take GLAD, 3.30 years of fcf income to pay off all of its debts.
GLAD's Debt to FCF ratio of 3.30 is fine compared to the rest of the industry. GLAD outperforms 79.24% of its industry peers.
GLAD has a Debt/Equity ratio of 0.58. This is a neutral value indicating GLAD is somewhat dependend on debt financing.
GLAD has a Debt to Equity ratio of 0.58. This is in the better half of the industry: GLAD outperforms 63.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 3.3 | ||
| Altman-Z | 1.22 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 2.73 indicates that GLAD has no problem at all paying its short term obligations.
GLAD's Current ratio of 2.73 is fine compared to the rest of the industry. GLAD outperforms 78.39% of its industry peers.
A Quick Ratio of 2.73 indicates that GLAD has no problem at all paying its short term obligations.
The Quick ratio of GLAD (2.73) is better than 78.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.73 | ||
| Quick Ratio | 2.73 |
3. Growth
3.1 Past
GLAD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.83%.
GLAD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.66% yearly.
The Revenue has decreased by -8.03% in the past year.
GLAD shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.07% yearly.
EPS 1Y (TTM)-7.83%
EPS 3Y9.66%
EPS 5Y4.66%
EPS Q2Q%-12.28%
Revenue 1Y (TTM)-8.03%
Revenue growth 3Y21.56%
Revenue growth 5Y14.07%
Sales Q2Q%-29.73%
3.2 Future
GLAD is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.50% yearly.
Based on estimates for the next years, GLAD will show a small growth in Revenue. The Revenue will grow by 3.40% on average per year.
EPS Next Y-3.24%
EPS Next 2Y-1.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-8.75%
Revenue Next 2Y3.4%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.86, the valuation of GLAD can be described as very reasonable.
71.61% of the companies in the same industry are more expensive than GLAD, based on the Price/Earnings ratio.
GLAD is valuated cheaply when we compare the Price/Earnings ratio to 27.67, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 9.63, the valuation of GLAD can be described as very reasonable.
GLAD's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. GLAD is cheaper than 72.03% of the companies in the same industry.
GLAD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.63 |
4.2 Price Multiples
GLAD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GLAD is cheaper than 82.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.15 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
GLAD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.11
EPS Next 2Y-1.5%
EPS Next 3YN/A
5. Dividend
5.1 Amount
GLAD has a Yearly Dividend Yield of 9.33%, which is a nice return.
In the last 3 months the price of GLAD has falen by -31.24%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 8.56, GLAD pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, GLAD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.33% |
5.2 History
The dividend of GLAD has a limited annual growth rate of 3.26%.
GLAD has paid a dividend for at least 10 years, which is a reliable track record.
GLAD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)3.26%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
GLAD pays out 70.53% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of GLAD has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP70.53%
EPS Next 2Y-1.5%
EPS Next 3YN/A
19.72
+0.38 (+1.96%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners11.07%
Inst Owner Change0.05%
Ins Owners3.55%
Ins Owner Change0%
Market Cap440.35M
Revenue(TTM)88.90M
Net Income(TTM)75.04M
Analysts72.86
Price Target27.12 (37.53%)
Short Float %2.67%
Short Ratio3.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.33% |
Yearly Dividend1.96
Dividend Growth(5Y)3.26%
DP70.53%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.61%
Min EPS beat(2)-3.25%
Max EPS beat(2)-1.96%
EPS beat(4)0
Avg EPS beat(4)-6.31%
Min EPS beat(4)-12.52%
Max EPS beat(4)-1.96%
EPS beat(8)1
Avg EPS beat(8)-5.54%
EPS beat(12)4
Avg EPS beat(12)-2.04%
EPS beat(16)6
Avg EPS beat(16)1.82%
Revenue beat(2)0
Avg Revenue beat(2)-12.46%
Min Revenue beat(2)-17.95%
Max Revenue beat(2)-6.97%
Revenue beat(4)0
Avg Revenue beat(4)-9.87%
Min Revenue beat(4)-17.95%
Max Revenue beat(4)-2.8%
Revenue beat(8)2
Avg Revenue beat(8)-4.29%
Revenue beat(12)5
Avg Revenue beat(12)-2.04%
Revenue beat(16)8
Avg Revenue beat(16)-0.4%
PT rev (1m)0%
PT rev (3m)0.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.29%
EPS NY rev (1m)0.22%
EPS NY rev (3m)0.05%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.63 | ||
| P/S | 4.95 | ||
| P/FCF | 5.15 | ||
| P/OCF | 5.15 | ||
| P/B | 0.9 | ||
| P/tB | 0.9 | ||
| EV/EBITDA | N/A |
EPS(TTM)2
EY10.14%
EPS(NY)2.05
Fwd EY10.38%
FCF(TTM)3.83
FCFY19.41%
OCF(TTM)3.83
OCFY19.41%
SpS3.98
BVpS21.9
TBVpS21.9
PEG (NY)N/A
PEG (5Y)2.11
Graham Number31.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.62% | ||
| ROE | 15.35% | ||
| ROCE | 5.79% | ||
| ROIC | 4.58% | ||
| ROICexc | 4.67% | ||
| ROICexgc | 4.69% | ||
| OM | 50.3% | ||
| PM (TTM) | 84.41% | ||
| GM | 35.03% | ||
| FCFM | 96.12% |
ROA(3y)6.86%
ROA(5y)7.01%
ROE(3y)12.16%
ROE(5y)12.43%
ROIC(3y)4.32%
ROIC(5y)4.2%
ROICexc(3y)4.34%
ROICexc(5y)4.21%
ROICexgc(3y)4.35%
ROICexgc(5y)4.23%
ROCE(3y)5.47%
ROCE(5y)5.32%
ROICexgc growth 3Y7.33%
ROICexgc growth 5Y-3.27%
ROICexc growth 3Y7.25%
ROICexc growth 5Y-3.32%
OM growth 3Y-0.61%
OM growth 5Y-2.94%
PM growth 3Y-14.54%
PM growth 5Y19.76%
GM growth 3Y2.59%
GM growth 5Y-1.67%
F-Score5
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 3.3 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 2.26 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 113.88% | ||
| Current Ratio | 2.73 | ||
| Quick Ratio | 2.73 | ||
| Altman-Z | 1.22 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.83%
EPS 3Y9.66%
EPS 5Y4.66%
EPS Q2Q%-12.28%
EPS Next Y-3.24%
EPS Next 2Y-1.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-8.03%
Revenue growth 3Y21.56%
Revenue growth 5Y14.07%
Sales Q2Q%-29.73%
Revenue Next Year-8.75%
Revenue Next 2Y3.4%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-2.98%
EBIT growth 3Y20.81%
EBIT growth 5Y10.72%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y193.36%
FCF growth 3YN/A
FCF growth 5Y-18.93%
OCF growth 1Y193.36%
OCF growth 3YN/A
OCF growth 5Y-18.93%