GLOBUS MEDICAL INC - A (GMED) Stock Fundamental Analysis
USA - NYSE:GMED - US3795772082 - Common Stock
83.89 USD
+22.18 (+35.94%)
84 USD
+0.11 (+0.13%)
Taking everything into account, GMED scores 6 out of 10 in our fundamental rating. GMED was compared to 189 industry peers in the Health Care Equipment & Supplies industry. GMED scores excellent points on both the profitability and health parts. This is a solid base for a good stock. GMED is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes GMED very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
GMED had positive earnings in the past year.
GMED had a positive operating cash flow in the past year.
Each year in the past 5 years GMED has been profitable.
Each year in the past 5 years GMED had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GMED (7.19%) is better than 89.42% of its industry peers.
With an excellent Return On Equity value of 8.30%, GMED belongs to the best of the industry, outperforming 82.54% of the companies in the same industry.
GMED's Return On Invested Capital of 9.00% is amongst the best of the industry. GMED outperforms 88.36% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GMED is in line with the industry average of 9.17%.
The 3 year average ROIC (7.50%) for GMED is below the current ROIC(9.00%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.19% | ||
| ROE | 8.3% | ||
| ROIC | 9% |
ROA(3y)4.51%
ROA(5y)5.45%
ROE(3y)5.28%
ROE(5y)6.24%
ROIC(3y)7.5%
ROIC(5y)7.39%
1.3 Margins
GMED has a Profit Margin of 13.58%. This is amongst the best in the industry. GMED outperforms 90.48% of its industry peers.
GMED's Profit Margin has declined in the last couple of years.
GMED has a better Operating Margin (19.48%) than 91.53% of its industry peers.
In the last couple of years the Operating Margin of GMED has declined.
GMED has a better Gross Margin (68.97%) than 75.66% of its industry peers.
GMED's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.48% | ||
| PM (TTM) | 13.58% | ||
| GM | 68.97% |
OM growth 3Y-4.88%
OM growth 5Y-4.91%
PM growth 3Y-35.97%
PM growth 5Y-27.03%
GM growth 3Y-3.49%
GM growth 5Y-2.63%
2. Health
2.1 Basic Checks
GMED has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
GMED has more shares outstanding than it did 1 year ago.
The number of shares outstanding for GMED has been increased compared to 5 years ago.
Compared to 1 year ago, GMED has a worse debt to assets ratio.
2.2 Solvency
GMED has an Altman-Z score of 11.74. This indicates that GMED is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 11.74, GMED belongs to the top of the industry, outperforming 91.53% of the companies in the same industry.
The Debt to FCF ratio of GMED is 0.00, which is an excellent value as it means it would take GMED, only 0.00 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GMED (0.00) is better than 95.24% of its industry peers.
GMED has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.00, GMED is doing good in the industry, outperforming 76.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 11.74 |
ROIC/WACC1.05
WACC8.58%
2.3 Liquidity
A Current Ratio of 4.07 indicates that GMED has no problem at all paying its short term obligations.
GMED's Current ratio of 4.07 is fine compared to the rest of the industry. GMED outperforms 69.84% of its industry peers.
A Quick Ratio of 2.26 indicates that GMED has no problem at all paying its short term obligations.
GMED has a Quick ratio (2.26) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.07 | ||
| Quick Ratio | 2.26 |
3. Growth
3.1 Past
GMED shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.76%, which is quite impressive.
The Earnings Per Share has been growing by 13.19% on average over the past years. This is quite good.
Looking at the last year, GMED shows a very strong growth in Revenue. The Revenue has grown by 60.62%.
GMED shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.25% yearly.
EPS 1Y (TTM)22.76%
EPS 3Y15.46%
EPS 5Y13.19%
EPS Q2Q%42.17%
Revenue 1Y (TTM)60.62%
Revenue growth 3Y38.03%
Revenue growth 5Y26.25%
Sales Q2Q%22.91%
3.2 Future
GMED is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.62% yearly.
GMED is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.32% yearly.
EPS Next Y4.11%
EPS Next 2Y8.82%
EPS Next 3Y10.32%
EPS Next 5Y10.62%
Revenue Next Year14.02%
Revenue Next 2Y10.95%
Revenue Next 3Y9.46%
Revenue Next 5Y8.32%
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
With a Price/Earnings ratio of 23.56, GMED is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of GMED indicates a somewhat cheap valuation: GMED is cheaper than 78.84% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.06, GMED is valued at the same level.
Based on the Price/Forward Earnings ratio of 22.56, the valuation of GMED can be described as rather expensive.
Based on the Price/Forward Earnings ratio, GMED is valued a bit cheaper than 76.72% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 32.73. GMED is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.56 | ||
| Fwd PE | 22.56 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GMED indicates a rather cheap valuation: GMED is cheaper than 82.01% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, GMED is valued cheaply inside the industry as 84.13% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.69 | ||
| EV/EBITDA | 14.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
GMED has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)5.73
PEG (5Y)1.79
EPS Next 2Y8.82%
EPS Next 3Y10.32%
5. Dividend
5.1 Amount
GMED does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
83.89
+22.18 (+35.94%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners103.37%
Inst Owner Change-1.11%
Ins Owners0.68%
Ins Owner Change-1.33%
Market Cap11.33B
Revenue(TTM)2.52B
Net Income(TTM)356.65M
Analysts75.24
Price Target81.91 (-2.36%)
Short Float %5.68%
Short Ratio5.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.6%
Min EPS beat(2)-10.39%
Max EPS beat(2)11.6%
EPS beat(4)3
Avg EPS beat(4)9.28%
Min EPS beat(4)-10.39%
Max EPS beat(4)25.45%
EPS beat(8)5
Avg EPS beat(8)8.04%
EPS beat(12)8
Avg EPS beat(12)5.67%
EPS beat(16)11
Avg EPS beat(16)4.32%
Revenue beat(2)0
Avg Revenue beat(2)-3.9%
Min Revenue beat(2)-6.31%
Max Revenue beat(2)-1.49%
Revenue beat(4)2
Avg Revenue beat(4)-1.52%
Min Revenue beat(4)-6.31%
Max Revenue beat(4)1.57%
Revenue beat(8)4
Avg Revenue beat(8)-2.13%
Revenue beat(12)6
Avg Revenue beat(12)-1.07%
Revenue beat(16)7
Avg Revenue beat(16)-1.09%
PT rev (1m)-2.72%
PT rev (3m)-3.25%
EPS NQ rev (1m)0.32%
EPS NQ rev (3m)-2.63%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)1.29%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.11%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.56 | ||
| Fwd PE | 22.56 | ||
| P/S | 4.31 | ||
| P/FCF | 21.69 | ||
| P/OCF | 16.93 | ||
| P/B | 2.64 | ||
| P/tB | 5.49 | ||
| EV/EBITDA | 14.17 |
EPS(TTM)3.56
EY4.24%
EPS(NY)3.72
Fwd EY4.43%
FCF(TTM)3.87
FCFY4.61%
OCF(TTM)4.95
OCFY5.91%
SpS19.45
BVpS31.81
TBVpS15.28
PEG (NY)5.73
PEG (5Y)1.79
Graham Number50.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.19% | ||
| ROE | 8.3% | ||
| ROCE | 11.28% | ||
| ROIC | 9% | ||
| ROICexc | 9.48% | ||
| ROICexgc | 19.67% | ||
| OM | 19.48% | ||
| PM (TTM) | 13.58% | ||
| GM | 68.97% | ||
| FCFM | 19.89% |
ROA(3y)4.51%
ROA(5y)5.45%
ROE(3y)5.28%
ROE(5y)6.24%
ROIC(3y)7.5%
ROIC(5y)7.39%
ROICexc(3y)9.36%
ROICexc(5y)9.51%
ROICexgc(3y)18.38%
ROICexgc(5y)15.86%
ROCE(3y)9.4%
ROCE(5y)9.26%
ROICexgc growth 3Y25.82%
ROICexgc growth 5Y11.96%
ROICexc growth 3Y-3.93%
ROICexc growth 5Y-4.62%
OM growth 3Y-4.88%
OM growth 5Y-4.91%
PM growth 3Y-35.97%
PM growth 5Y-27.03%
GM growth 3Y-3.49%
GM growth 5Y-2.63%
F-Score9
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 53.97% | ||
| Cap/Sales | 5.59% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 85.4% | ||
| Profit Quality | 146.48% | ||
| Current Ratio | 4.07 | ||
| Quick Ratio | 2.26 | ||
| Altman-Z | 11.74 |
F-Score9
WACC8.58%
ROIC/WACC1.05
Cap/Depr(3y)69.29%
Cap/Depr(5y)78.11%
Cap/Sales(3y)5.6%
Cap/Sales(5y)6.16%
Profit Quality(3y)194.29%
Profit Quality(5y)172.4%
High Growth Momentum
Growth
EPS 1Y (TTM)22.76%
EPS 3Y15.46%
EPS 5Y13.19%
EPS Q2Q%42.17%
EPS Next Y4.11%
EPS Next 2Y8.82%
EPS Next 3Y10.32%
EPS Next 5Y10.62%
Revenue 1Y (TTM)60.62%
Revenue growth 3Y38.03%
Revenue growth 5Y26.25%
Sales Q2Q%22.91%
Revenue Next Year14.02%
Revenue Next 2Y10.95%
Revenue Next 3Y9.46%
Revenue Next 5Y8.32%
EBIT growth 1Y203.64%
EBIT growth 3Y31.28%
EBIT growth 5Y20.06%
EBIT Next Year55.19%
EBIT Next 3Y24.18%
EBIT Next 5Y17.51%
FCF growth 1Y331.76%
FCF growth 3Y22.69%
FCF growth 5Y31.98%
OCF growth 1Y261.32%
OCF growth 3Y23.51%
OCF growth 5Y24.8%
GLOBUS MEDICAL INC - A / GMED FAQ
What is the ChartMill fundamental rating of GLOBUS MEDICAL INC - A (GMED) stock?
ChartMill assigns a fundamental rating of 6 / 10 to GMED.
What is the valuation status for GMED stock?
ChartMill assigns a valuation rating of 5 / 10 to GLOBUS MEDICAL INC - A (GMED). This can be considered as Fairly Valued.
Can you provide the profitability details for GLOBUS MEDICAL INC - A?
GLOBUS MEDICAL INC - A (GMED) has a profitability rating of 7 / 10.
What is the valuation of GLOBUS MEDICAL INC - A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for GLOBUS MEDICAL INC - A (GMED) is 23.56 and the Price/Book (PB) ratio is 2.64.
What is the financial health of GLOBUS MEDICAL INC - A (GMED) stock?
The financial health rating of GLOBUS MEDICAL INC - A (GMED) is 7 / 10.