GALAPAGOS NV (GLPG.AS) Stock Fundamental Analysis
Europe - Euronext Amsterdam - AMS:GLPG - BE0003818359 - Common Stock
28.88 EUR
-0.2 (-0.69%)
Taking everything into account, GLPG scores 2 out of 10 in our fundamental rating. GLPG was compared to 85 industry peers in the Biotechnology industry. While GLPG seems to be doing ok healthwise, there are quite some concerns on its profitability. GLPG does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
- GLPG had negative earnings in the past year.
- In the past year GLPG has reported a negative cash flow from operations.
- The reported net income has been mixed in the past 5 years: GLPG reported negative net income in multiple years.
- In the past 5 years GLPG always reported negative operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of -12.42%, GLPG is in the better half of the industry, outperforming 61.18% of the companies in the same industry.
- GLPG has a Return On Equity of -17.83%. This is in the better half of the industry: GLPG outperforms 68.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.42% | ||
| ROE | -17.83% | ||
| ROIC | N/A |
ROA(3y)0.68%
ROA(5y)-1.06%
ROE(3y)0.5%
ROE(5y)-2.77%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- In the last couple of years the Profit Margin of GLPG has grown nicely.
- GLPG's Gross Margin of 84.31% is fine compared to the rest of the industry. GLPG outperforms 74.12% of its industry peers.
- GLPG's Gross Margin has declined in the last couple of years.
- The Profit Margin and Operating Margin are not available for GLPG so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 84.31% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5Y9.7%
GM growth 3Y-4.31%
GM growth 5YN/A
2. Health
2.1 Basic Checks
- GLPG does not have a ROIC to compare to the WACC, probably because it is not profitable.
- Compared to 1 year ago, GLPG has about the same amount of shares outstanding.
- GLPG has more shares outstanding than it did 5 years ago.
- GLPG has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.58, we must say that GLPG is in the distress zone and has some risk of bankruptcy.
- GLPG has a Altman-Z score of 1.58. This is in the better half of the industry: GLPG outperforms 65.88% of its industry peers.
- GLPG has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
- GLPG has a better Debt to Equity ratio (0.00) than 89.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.58 |
ROIC/WACCN/A
WACC7.94%
2.3 Liquidity
- A Current Ratio of 8.63 indicates that GLPG has no problem at all paying its short term obligations.
- With an excellent Current ratio value of 8.63, GLPG belongs to the best of the industry, outperforming 90.59% of the companies in the same industry.
- GLPG has a Quick Ratio of 8.56. This indicates that GLPG is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 8.56, GLPG belongs to the best of the industry, outperforming 90.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.63 | ||
| Quick Ratio | 8.56 |
3. Growth
3.1 Past
- The earnings per share for GLPG have decreased strongly by -311.50% in the last year.
- The earnings per share for GLPG have been decreasing by -12.47% on average. This is quite bad
- The Revenue for GLPG has decreased by -43.05% in the past year. This is quite bad
- The Revenue for GLPG have been decreasing by -20.82% on average. This is quite bad
EPS 1Y (TTM)-311.5%
EPS 3YN/A
EPS 5Y-12.47%
EPS Q2Q%-298.7%
Revenue 1Y (TTM)-43.05%
Revenue growth 3Y-20.01%
Revenue growth 5Y-20.82%
Sales Q2Q%18.9%
3.2 Future
- GLPG is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -40.64% yearly.
- The Revenue is expected to decrease by -8.52% on average over the next years.
EPS Next Y-541.12%
EPS Next 2Y-89.82%
EPS Next 3Y-64.76%
EPS Next 5Y-40.64%
Revenue Next Year-5.4%
Revenue Next 2Y-2.5%
Revenue Next 3Y-3.52%
Revenue Next 5Y-8.52%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- 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
- GLPG reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- Also next year GLPG is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- GLPG's earnings are expected to decrease with -64.76% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-89.82%
EPS Next 3Y-64.76%
5. Dividend
5.1 Amount
- GLPG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
GALAPAGOS NV / GLPG.AS FAQ
What is the fundamental rating for GLPG stock?
ChartMill assigns a fundamental rating of 2 / 10 to GLPG.AS.
Can you provide the valuation status for GALAPAGOS NV?
ChartMill assigns a valuation rating of 0 / 10 to GALAPAGOS NV (GLPG.AS). This can be considered as Overvalued.
What is the profitability of GLPG stock?
GALAPAGOS NV (GLPG.AS) has a profitability rating of 2 / 10.