GLOBAL MEDICAL REIT INC (GMRE) Stock Fundamental Analysis
NYSE:GMRE - New York Stock Exchange, Inc. - US37954A2042 - REIT - Currency: USD
We assign a fundamental rating of 2 out of 10 to GMRE. GMRE was compared to 130 industry peers in the Diversified REITs industry. GMRE has a bad profitability rating. Also its financial health evaluation is rather negative. GMRE is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
GMRE had positive earnings in the past year.
GMRE had a positive operating cash flow in the past year.
GMRE had positive earnings in 4 of the past 5 years.
GMRE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GMRE has a Return On Assets (0.17%) which is in line with its industry peers.
GMRE has a Return On Equity (0.41%) which is comparable to the rest of the industry.
GMRE has a Return On Invested Capital of 2.18%. This is in the lower half of the industry: GMRE underperforms 60.77% of its industry peers.
GMRE had an Average Return On Invested Capital over the past 3 years of 2.29%. This is in line with the industry average of 3.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.41% | ||
| ROIC | 2.18% |
ROA(3y)0.73%
ROA(5y)0.48%
ROE(3y)1.6%
ROE(5y)0.99%
ROIC(3y)2.29%
ROIC(5y)2.1%
1.3 Margins
With a Profit Margin value of 1.53%, GMRE perfoms like the industry average, outperforming 43.08% of the companies in the same industry.
GMRE's Profit Margin has declined in the last couple of years.
GMRE has a Operating Margin (24.17%) which is comparable to the rest of the industry.
GMRE's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.17% | ||
| PM (TTM) | 1.53% | ||
| GM | N/A |
OM growth 3Y-9.47%
OM growth 5Y-9.28%
PM growth 3Y-61.43%
PM growth 5Y-34.4%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GMRE is destroying value.
Compared to 1 year ago, GMRE has more shares outstanding
GMRE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for GMRE is higher compared to a year ago.
2.2 Solvency
GMRE has an Altman-Z score of 0.18. This is a bad value and indicates that GMRE is not financially healthy and even has some risk of bankruptcy.
GMRE has a worse Altman-Z score (0.18) than 70.00% of its industry peers.
A Debt/Equity ratio of 1.28 is on the high side and indicates that GMRE has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.28, GMRE is in line with its industry, outperforming 49.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.18 |
ROIC/WACC0.28
WACC7.8%
2.3 Liquidity
GMRE has a Current Ratio of 0.24. This is a bad value and indicates that GMRE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of GMRE (0.24) is worse than 89.23% of its industry peers.
GMRE has a Quick Ratio of 0.24. This is a bad value and indicates that GMRE is not financially healthy enough and could expect problems in meeting its short term obligations.
GMRE has a Quick ratio of 0.24. This is amonst the worse of the industry: GMRE underperforms 88.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.24 | ||
| Quick Ratio | 0.24 |
3. Growth
3.1 Past
The earnings per share for GMRE have decreased strongly by -73.91% in the last year.
Measured over the past years, GMRE shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -16.74% on average per year.
The Revenue has decreased by -1.19% in the past year.
The Revenue has been growing by 14.44% on average over the past years. This is quite good.
EPS 1Y (TTM)-73.91%
EPS 3Y-40.51%
EPS 5Y-16.74%
EPS Q2Q%200%
Revenue 1Y (TTM)-1.19%
Revenue growth 3Y6.19%
Revenue growth 5Y14.44%
Sales Q2Q%-1.42%
3.2 Future
GMRE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.08% yearly.
Based on estimates for the next years, GMRE will show a small growth in Revenue. The Revenue will grow by 2.20% on average per year.
EPS Next Y84.88%
EPS Next 2Y36.74%
EPS Next 3Y36.62%
EPS Next 5Y23.08%
Revenue Next Year2.93%
Revenue Next 2Y3.35%
Revenue Next 3Y2.7%
Revenue Next 5Y2.2%
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 accelerating.
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
GMRE is valuated quite expensively with a Price/Earnings ratio of 112.17.
Based on the Price/Earnings ratio, GMRE is valued a bit more expensive than the industry average as 61.54% of the companies are valued more cheaply.
GMRE is valuated expensively when we compare the Price/Earnings ratio to 26.98, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 89.98, GMRE can be considered very expensive at the moment.
GMRE's Price/Forward Earnings ratio is in line with the industry average.
GMRE is valuated expensively when we compare the Price/Forward Earnings ratio to 21.49, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 112.17 | ||
| Fwd PE | 89.98 |
4.2 Price Multiples
64.62% of the companies in the same industry are more expensive than GMRE, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.75 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as GMRE's earnings are expected to grow with 36.62% in the coming years.
PEG (NY)1.32
PEG (5Y)N/A
EPS Next 2Y36.74%
EPS Next 3Y36.62%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.45%, GMRE is a good candidate for dividend investing.
In the last 3 months the price of GMRE has falen by -23.00%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
GMRE's Dividend Yield is a higher than the industry average which is at 6.64.
Compared to an average S&P500 Dividend Yield of 2.42, GMRE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.45% |
5.2 History
The dividend of GMRE decreases each year by -0.24%.
GMRE has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of GMRE decreased in the last 3 years.
Dividend Growth(5Y)-0.24%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
3110.89% of the earnings are spent on dividend by GMRE. This is not a sustainable payout ratio.
DP3110.89%
EPS Next 2Y36.74%
EPS Next 3Y36.62%
6.73
-0.01 (-0.15%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners70.11%
Inst Owner Change8.95%
Ins Owners0.09%
Ins Owner Change2.13%
Market Cap450.10M
Analysts78.75
Price Target9.47 (40.71%)
Short Float %3.14%
Short Ratio3.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.45% |
Yearly Dividend0.99
Dividend Growth(5Y)-0.24%
DP3110.89%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.4%
Min Revenue beat(2)-4.34%
Max Revenue beat(2)-0.46%
Revenue beat(4)0
Avg Revenue beat(4)-2.59%
Min Revenue beat(4)-4.34%
Max Revenue beat(4)-0.46%
Revenue beat(8)1
Avg Revenue beat(8)-2.92%
Revenue beat(12)2
Avg Revenue beat(12)-2.22%
Revenue beat(16)3
Avg Revenue beat(16)-2.06%
PT rev (1m)-11.34%
PT rev (3m)-13.09%
EPS NQ rev (1m)-33.33%
EPS NQ rev (3m)-75%
EPS NY rev (1m)3.57%
EPS NY rev (3m)-9.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.87%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-1.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 112.17 | ||
| Fwd PE | 89.98 | ||
| P/S | 3.26 | ||
| P/FCF | N/A | ||
| P/OCF | 6.62 | ||
| P/B | 0.87 | ||
| P/tB | 0.98 | ||
| EV/EBITDA | 12.75 |
EPS(TTM)0.06
EY0.89%
EPS(NY)0.07
Fwd EY1.11%
FCF(TTM)-0.9
FCFYN/A
OCF(TTM)1.02
OCFY15.11%
SpS2.07
BVpS7.74
TBVpS6.85
PEG (NY)1.32
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.41% | ||
| ROCE | 2.76% | ||
| ROIC | 2.18% | ||
| ROICexc | 2.19% | ||
| ROICexgc | 2.35% | ||
| OM | 24.17% | ||
| PM (TTM) | 1.53% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)0.73%
ROA(5y)0.48%
ROE(3y)1.6%
ROE(5y)0.99%
ROIC(3y)2.29%
ROIC(5y)2.1%
ROICexc(3y)2.3%
ROICexc(5y)2.11%
ROICexgc(3y)2.52%
ROICexgc(5y)2.3%
ROCE(3y)2.9%
ROCE(5y)2.66%
ROICexcg growth 3Y-3.14%
ROICexcg growth 5Y-2.71%
ROICexc growth 3Y-3.1%
ROICexc growth 5Y-2.82%
OM growth 3Y-9.47%
OM growth 5Y-9.28%
PM growth 3Y-61.43%
PM growth 5Y-34.4%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.55 | ||
| Cap/Depr | 235.06% | ||
| Cap/Sales | 92.7% | ||
| Interest Coverage | 1.25 | ||
| Cash Conversion | 77.34% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.24 | ||
| Quick Ratio | 0.24 | ||
| Altman-Z | 0.18 |
F-Score4
WACC7.8%
ROIC/WACC0.28
Cap/Depr(3y)155.62%
Cap/Depr(5y)302.85%
Cap/Sales(3y)63.21%
Cap/Sales(5y)120.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-73.91%
EPS 3Y-40.51%
EPS 5Y-16.74%
EPS Q2Q%200%
EPS Next Y84.88%
EPS Next 2Y36.74%
EPS Next 3Y36.62%
EPS Next 5Y23.08%
Revenue 1Y (TTM)-1.19%
Revenue growth 3Y6.19%
Revenue growth 5Y14.44%
Sales Q2Q%-1.42%
Revenue Next Year2.93%
Revenue Next 2Y3.35%
Revenue Next 3Y2.7%
Revenue Next 5Y2.2%
EBIT growth 1Y-10.08%
EBIT growth 3Y-3.87%
EBIT growth 5Y3.82%
EBIT Next Year183.69%
EBIT Next 3Y44.02%
EBIT Next 5Y34.85%
FCF growth 1Y-9.41%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-10.34%
OCF growth 3Y0.52%
OCF growth 5Y13.97%