GOLDEN OCEAN GROUP LTD (GOGL.OL) Stock Fundamental Analysis
OSL:GOGL - Euronext Oslo - BMG396372051 - Common Stock - Currency: NOK
Taking everything into account, GOGL scores 5 out of 10 in our fundamental rating. GOGL was compared to 18 industry peers in the Marine Transportation industry. There are concerns on the financial health of GOGL while its profitability can be described as average. GOGL is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year GOGL was profitable.
GOGL had a positive operating cash flow in the past year.
GOGL had positive earnings in 4 of the past 5 years.
In the past 5 years GOGL always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of GOGL (6.61%) is worse than 77.78% of its industry peers.
With a Return On Equity value of 11.75%, GOGL is not doing good in the industry: 61.11% of the companies in the same industry are doing better.
GOGL has a Return On Invested Capital (7.17%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GOGL is below the industry average of 10.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.61% | ||
| ROE | 11.75% | ||
| ROIC | 7.17% |
ROA(3y)8%
ROA(5y)6.84%
ROE(3y)13.89%
ROE(5y)11.79%
ROIC(3y)7.27%
ROIC(5y)7.01%
1.3 Margins
With a decent Profit Margin value of 23.05%, GOGL is doing good in the industry, outperforming 66.67% of the companies in the same industry.
GOGL's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 30.25%, GOGL is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
In the last couple of years the Operating Margin of GOGL has grown nicely.
GOGL has a better Gross Margin (49.73%) than 61.11% of its industry peers.
GOGL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.25% | ||
| PM (TTM) | 23.05% | ||
| GM | 49.73% |
OM growth 3Y-10.52%
OM growth 5Y16.22%
PM growth 3Y-19.28%
PM growth 5Y34.33%
GM growth 3Y-6.9%
GM growth 5Y1.39%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GOGL is destroying value.
The number of shares outstanding for GOGL remains at a similar level compared to 1 year ago.
GOGL has more shares outstanding than it did 5 years ago.
The debt/assets ratio for GOGL has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.37, we must say that GOGL is in the distress zone and has some risk of bankruptcy.
GOGL has a Altman-Z score of 1.37. This is in the lower half of the industry: GOGL underperforms 77.78% of its industry peers.
The Debt to FCF ratio of GOGL is 5.19, which is a neutral value as it means it would take GOGL, 5.19 years of fcf income to pay off all of its debts.
GOGL has a Debt to FCF ratio of 5.19. This is comparable to the rest of the industry: GOGL outperforms 44.44% of its industry peers.
GOGL has a Debt/Equity ratio of 0.65. This is a neutral value indicating GOGL is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.65, GOGL is in line with its industry, outperforming 44.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 5.19 | ||
| Altman-Z | 1.37 |
ROIC/WACC0.97
WACC7.4%
2.3 Liquidity
A Current Ratio of 1.22 indicates that GOGL should not have too much problems paying its short term obligations.
GOGL's Current ratio of 1.22 is in line compared to the rest of the industry. GOGL outperforms 50.00% of its industry peers.
GOGL has a Quick Ratio of 1.06. This is a normal value and indicates that GOGL is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of GOGL (1.06) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 100.00% over the past year.
GOGL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 30.14% yearly.
GOGL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.33%.
Measured over the past years, GOGL shows a small growth in Revenue. The Revenue has been growing by 6.53% on average per year.
EPS 1Y (TTM)100%
EPS 3Y-23.79%
EPS 5Y30.14%
EPS Q2Q%-31.03%
Revenue 1Y (TTM)9.33%
Revenue growth 3Y-6.98%
Revenue growth 5Y6.53%
Sales Q2Q%7.23%
3.2 Future
GOGL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.83% yearly.
Based on estimates for the next years, GOGL will show a small growth in Revenue. The Revenue will grow by 3.80% on average per year.
EPS Next Y-23.5%
EPS Next 2Y12.58%
EPS Next 3Y20.83%
EPS Next 5YN/A
Revenue Next Year-10.75%
Revenue Next 2Y1.92%
Revenue Next 3Y3.8%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
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
The Price/Earnings ratio is 6.85, which indicates a rather cheap valuation of GOGL.
77.78% of the companies in the same industry are cheaper than GOGL, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 24.29. GOGL is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 8.96, the valuation of GOGL can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GOGL is on the same level as its industry peers.
GOGL is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.42, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.85 | ||
| Fwd PE | 8.96 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GOGL is valued a bit more expensive than 61.11% of the companies in the same industry.
GOGL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.8 | ||
| EV/EBITDA | 6.5 |
4.3 Compensation for Growth
GOGL's earnings are expected to grow with 20.83% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.23
EPS Next 2Y12.58%
EPS Next 3Y20.83%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 13.71%, GOGL is a good candidate for dividend investing.
The stock price of GOGL dropped by -22.07% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 15.66, GOGL pays a bit more dividend than its industry peers.
GOGL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.71% |
5.2 History
The dividend of GOGL is nicely growing with an annual growth rate of 29.94%!
Dividend Growth(5Y)29.94%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
GOGL pays out 107.48% of its income as dividend. This is not a sustainable payout ratio.
The dividend of GOGL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP107.48%
EPS Next 2Y12.58%
EPS Next 3Y20.83%
OSL:GOGL (5/7/2025, 9:01:55 AM)
79.75
-1.3 (-1.6%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners39.02%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap15.90B
Analysts78.33
Price Target129.66 (62.58%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 13.71% |
Yearly Dividend12.47
Dividend Growth(5Y)29.94%
DP107.48%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-20.29%
Min EPS beat(2)-26.9%
Max EPS beat(2)-13.68%
EPS beat(4)2
Avg EPS beat(4)-3.75%
Min EPS beat(4)-26.9%
Max EPS beat(4)22.92%
EPS beat(8)6
Avg EPS beat(8)22.43%
EPS beat(12)9
Avg EPS beat(12)21.82%
EPS beat(16)13
Avg EPS beat(16)23.74%
Revenue beat(2)2
Avg Revenue beat(2)9.32%
Min Revenue beat(2)3.45%
Max Revenue beat(2)15.19%
Revenue beat(4)2
Avg Revenue beat(4)4.2%
Min Revenue beat(4)-1.42%
Max Revenue beat(4)15.19%
Revenue beat(8)5
Avg Revenue beat(8)9.12%
Revenue beat(12)9
Avg Revenue beat(12)19.56%
Revenue beat(16)13
Avg Revenue beat(16)24.04%
PT rev (1m)-4.25%
PT rev (3m)-23.99%
EPS NQ rev (1m)-6.2%
EPS NQ rev (3m)-265.89%
EPS NY rev (1m)0%
EPS NY rev (3m)-39.4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-20.6%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-12.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.85 | ||
| Fwd PE | 8.96 | ||
| P/S | 1.58 | ||
| P/FCF | 5.8 | ||
| P/OCF | 4.19 | ||
| P/B | 0.81 | ||
| P/tB | 0.81 | ||
| EV/EBITDA | 6.5 |
EPS(TTM)11.64
EY14.6%
EPS(NY)8.9
Fwd EY11.17%
FCF(TTM)13.75
FCFY17.24%
OCF(TTM)19.04
OCFY23.87%
SpS50.47
BVpS99.03
TBVpS99.03
PEG (NY)N/A
PEG (5Y)0.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.61% | ||
| ROE | 11.75% | ||
| ROCE | 9.31% | ||
| ROIC | 7.17% | ||
| ROICexc | 7.48% | ||
| ROICexgc | 7.48% | ||
| OM | 30.25% | ||
| PM (TTM) | 23.05% | ||
| GM | 49.73% | ||
| FCFM | 27.25% |
ROA(3y)8%
ROA(5y)6.84%
ROE(3y)13.89%
ROE(5y)11.79%
ROIC(3y)7.27%
ROIC(5y)7.01%
ROICexc(3y)7.59%
ROICexc(5y)7.38%
ROICexgc(3y)7.59%
ROICexgc(5y)7.38%
ROCE(3y)9.45%
ROCE(5y)9.1%
ROICexcg growth 3Y-16.84%
ROICexcg growth 5Y19.87%
ROICexc growth 3Y-16.84%
ROICexc growth 5Y19.87%
OM growth 3Y-10.52%
OM growth 5Y16.22%
PM growth 3Y-19.28%
PM growth 5Y34.33%
GM growth 3Y-6.9%
GM growth 5Y1.39%
F-Score8
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 5.19 | ||
| Debt/EBITDA | 2.85 | ||
| Cap/Depr | 71.63% | ||
| Cap/Sales | 10.48% | ||
| Interest Coverage | 2.96 | ||
| Cash Conversion | 84.07% | ||
| Profit Quality | 118.2% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.06 | ||
| Altman-Z | 1.37 |
F-Score8
WACC7.4%
ROIC/WACC0.97
Cap/Depr(3y)156.98%
Cap/Depr(5y)170.68%
Cap/Sales(3y)23.29%
Cap/Sales(5y)22.2%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)100%
EPS 3Y-23.79%
EPS 5Y30.14%
EPS Q2Q%-31.03%
EPS Next Y-23.5%
EPS Next 2Y12.58%
EPS Next 3Y20.83%
EPS Next 5YN/A
Revenue 1Y (TTM)9.33%
Revenue growth 3Y-6.98%
Revenue growth 5Y6.53%
Sales Q2Q%7.23%
Revenue Next Year-10.75%
Revenue Next 2Y1.92%
Revenue Next 3Y3.8%
Revenue Next 5YN/A
EBIT growth 1Y53.2%
EBIT growth 3Y-16.77%
EBIT growth 5Y23.81%
EBIT Next Year12.55%
EBIT Next 3Y20.14%
EBIT Next 5YN/A
FCF growth 1Y224.92%
FCF growth 3Y31.74%
FCF growth 5Y18.21%
OCF growth 1Y37.16%
OCF growth 3Y-13.29%
OCF growth 5Y18.19%