GL EVENTS (GLO.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:GLO - FR0000066672 - Common Stock
31.5 EUR
+2.05 (+6.96%)
We assign a fundamental rating of 5 out of 10 to GLO. GLO was compared to 43 industry peers in the Commercial Services & Supplies industry. There are concerns on the financial health of GLO while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on GLO. Finally GLO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year GLO was profitable.
- In the past year GLO had a positive cash flow from operations.
- Of the past 5 years GLO 4 years were profitable.
- GLO had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- GLO has a better Return On Assets (2.73%) than 60.47% of its industry peers.
- Looking at the Return On Equity, with a value of 19.34%, GLO belongs to the top of the industry, outperforming 86.05% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 7.34%, GLO is in the better half of the industry, outperforming 67.44% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for GLO is below the industry average of 8.49%.
- The 3 year average ROIC (5.24%) for GLO is below the current ROIC(7.34%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.73% | ||
| ROE | 19.34% | ||
| ROIC | 7.34% |
ROA(3y)2.03%
ROA(5y)0.68%
ROE(3y)14.12%
ROE(5y)4.6%
ROIC(3y)5.24%
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of GLO (5.07%) is better than 69.77% of its industry peers.
- GLO's Profit Margin has been stable in the last couple of years.
- With a decent Operating Margin value of 10.84%, GLO is doing good in the industry, outperforming 72.09% of the companies in the same industry.
- GLO's Operating Margin has declined in the last couple of years.
- GLO has a Gross Margin of 94.98%. This is amongst the best in the industry. GLO outperforms 95.35% of its industry peers.
- GLO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.84% | ||
| PM (TTM) | 5.07% | ||
| GM | 94.98% |
OM growth 3Y2.42%
OM growth 5Y-1.97%
PM growth 3Y30.04%
PM growth 5Y0.23%
GM growth 3Y0.28%
GM growth 5Y0.31%
2. Health
2.1 Basic Checks
- GLO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for GLO has been increased compared to 1 year ago.
- Compared to 5 years ago, GLO has less shares outstanding
- Compared to 1 year ago, GLO has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 0.88, we must say that GLO is in the distress zone and has some risk of bankruptcy.
- GLO's Altman-Z score of 0.88 is on the low side compared to the rest of the industry. GLO is outperformed by 69.77% of its industry peers.
- The Debt to FCF ratio of GLO is 10.17, which is on the high side as it means it would take GLO, 10.17 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 10.17, GLO is in line with its industry, outperforming 46.51% of the companies in the same industry.
- GLO has a Debt/Equity ratio of 2.82. This is a high value indicating a heavy dependency on external financing.
- GLO has a worse Debt to Equity ratio (2.82) than 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.82 | ||
| Debt/FCF | 10.17 | ||
| Altman-Z | 0.88 |
ROIC/WACC1.24
WACC5.93%
2.3 Liquidity
- GLO has a Current Ratio of 0.86. This is a bad value and indicates that GLO is not financially healthy enough and could expect problems in meeting its short term obligations.
- GLO's Current ratio of 0.86 is on the low side compared to the rest of the industry. GLO is outperformed by 67.44% of its industry peers.
- A Quick Ratio of 0.82 indicates that GLO may have some problems paying its short term obligations.
- The Quick ratio of GLO (0.82) is worse than 60.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
- GLO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.84%, which is quite impressive.
- The Earnings Per Share has been growing slightly by 7.01% on average over the past years.
- GLO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.51%.
- GLO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.86% yearly.
EPS 1Y (TTM)26.84%
EPS 3Y67.11%
EPS 5Y7.01%
EPS Q2Q%34.02%
Revenue 1Y (TTM)9.51%
Revenue growth 3Y30.14%
Revenue growth 5Y6.86%
Sales Q2Q%8.11%
3.2 Future
- GLO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.03% yearly.
- Based on estimates for the next years, GLO will show a small growth in Revenue. The Revenue will grow by 5.69% on average per year.
EPS Next Y18.4%
EPS Next 2Y15.08%
EPS Next 3Y13.03%
EPS Next 5YN/A
Revenue Next Year6.06%
Revenue Next 2Y6.82%
Revenue Next 3Y5.69%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 10.90, the valuation of GLO can be described as reasonable.
- Based on the Price/Earnings ratio, GLO is valued cheaply inside the industry as 90.70% of the companies are valued more expensively.
- GLO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.30.
- With a Price/Forward Earnings ratio of 9.51, the valuation of GLO can be described as very reasonable.
- GLO's Price/Forward Earnings ratio is rather cheap when compared to the industry. GLO is cheaper than 95.35% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.32. GLO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 9.51 |
4.2 Price Multiples
- 62.79% of the companies in the same industry are more expensive than GLO, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of GLO indicates a rather cheap valuation: GLO is cheaper than 88.37% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.98 | ||
| EV/EBITDA | 7.58 |
4.3 Compensation for Growth
- GLO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- GLO has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as GLO's earnings are expected to grow with 13.03% in the coming years.
PEG (NY)0.59
PEG (5Y)1.55
EPS Next 2Y15.08%
EPS Next 3Y13.03%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.07%, GLO has a reasonable but not impressive dividend return.
- GLO's Dividend Yield is rather good when compared to the industry average which is at 2.54. GLO pays more dividend than 83.72% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, GLO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.07% |
5.2 History
- The dividend of GLO has a limited annual growth rate of 4.14%.
Dividend Growth(5Y)4.14%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- 23.86% of the earnings are spent on dividend by GLO. This is a low number and sustainable payout ratio.
- The dividend of GLO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP23.86%
EPS Next 2Y15.08%
EPS Next 3Y13.03%
GL EVENTS / GLO.PA FAQ
Can you provide the ChartMill fundamental rating for GL EVENTS?
ChartMill assigns a fundamental rating of 5 / 10 to GLO.PA.
Can you provide the valuation status for GL EVENTS?
ChartMill assigns a valuation rating of 8 / 10 to GL EVENTS (GLO.PA). This can be considered as Undervalued.
How profitable is GL EVENTS (GLO.PA) stock?
GL EVENTS (GLO.PA) has a profitability rating of 6 / 10.
What is the valuation of GL EVENTS based on its PE and PB ratios?
The Price/Earnings (PE) ratio for GL EVENTS (GLO.PA) is 10.9 and the Price/Book (PB) ratio is 2.12.
Can you provide the expected EPS growth for GLO stock?
The Earnings per Share (EPS) of GL EVENTS (GLO.PA) is expected to grow by 18.4% in the next year.