GOGO INC (GOGO) Stock Fundamental Analysis
USA - NASDAQ:GOGO - US38046C1099 - Common Stock
7.4 USD
-0.2 (-2.63%)
7.4 USD
0 (0%)
Overall GOGO gets a fundamental rating of 4 out of 10. We evaluated GOGO against 22 industry peers in the Wireless Telecommunication Services industry. There are concerns on the financial health of GOGO while its profitability can be described as average. GOGO is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
GOGO had positive earnings in the past year.
In the past year GOGO had a positive cash flow from operations.
Of the past 5 years GOGO 4 years were profitable.
Each year in the past 5 years GOGO had a positive operating cash flow.
1.2 Ratios
GOGO's Return On Assets of 0.58% is in line compared to the rest of the industry. GOGO outperforms 45.45% of its industry peers.
GOGO has a Return On Equity of 7.07%. This is comparable to the rest of the industry: GOGO outperforms 50.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.83%, GOGO is in line with its industry, outperforming 59.09% of the companies in the same industry.
GOGO had an Average Return On Invested Capital over the past 3 years of 10.98%. This is significantly above the industry average of 5.83%.
The last Return On Invested Capital (4.83%) for GOGO is well below the 3 year average (10.98%), which needs to be investigated, but indicates that GOGO had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 7.07% | ||
| ROIC | 4.83% |
ROA(3y)10.63%
ROA(5y)3.67%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.98%
ROIC(5y)15.49%
1.3 Margins
GOGO has a Profit Margin (1.05%) which is in line with its industry peers.
GOGO's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 9.51%, GOGO is in line with its industry, outperforming 54.55% of the companies in the same industry.
GOGO's Operating Margin has declined in the last couple of years.
GOGO has a Gross Margin of 51.04%. This is comparable to the rest of the industry: GOGO outperforms 45.45% of its industry peers.
GOGO's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.51% | ||
| PM (TTM) | 1.05% | ||
| GM | 51.04% |
OM growth 3Y-31.55%
OM growth 5Y-18.09%
PM growth 3Y-59.19%
PM growth 5YN/A
GM growth 3Y-3.48%
GM growth 5Y-2.12%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), GOGO is creating some value.
The number of shares outstanding for GOGO has been increased compared to 1 year ago.
The number of shares outstanding for GOGO has been increased compared to 5 years ago.
The debt/assets ratio for GOGO has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.10, we must say that GOGO is in the distress zone and has some risk of bankruptcy.
GOGO's Altman-Z score of 0.10 is on the low side compared to the rest of the industry. GOGO is outperformed by 77.27% of its industry peers.
The Debt to FCF ratio of GOGO is 30.33, which is on the high side as it means it would take GOGO, 30.33 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 30.33, GOGO is doing worse than 77.27% of the companies in the same industry.
A Debt/Equity ratio of 8.10 is on the high side and indicates that GOGO has dependencies on debt financing.
GOGO has a worse Debt to Equity ratio (8.10) than 86.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.1 | ||
| Debt/FCF | 30.33 | ||
| Altman-Z | 0.1 |
ROIC/WACC0.62
WACC7.8%
2.3 Liquidity
A Current Ratio of 1.71 indicates that GOGO should not have too much problems paying its short term obligations.
GOGO has a Current ratio of 1.71. This is in the better half of the industry: GOGO outperforms 77.27% of its industry peers.
GOGO has a Quick Ratio of 1.32. This is a normal value and indicates that GOGO is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of GOGO (1.32) is better than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The earnings per share for GOGO have decreased strongly by -87.50% in the last year.
The earnings per share for GOGO have been decreasing by -47.56% on average. This is quite bad
The Revenue has grown by 11.85% in the past year. This is quite good.
The Revenue has been growing slightly by 7.55% on average over the past years.
EPS 1Y (TTM)-87.5%
EPS 3Y-47.56%
EPS 5YN/A
EPS Q2Q%-23.08%
Revenue 1Y (TTM)11.85%
Revenue growth 3Y9.83%
Revenue growth 5Y7.55%
Sales Q2Q%122.41%
3.2 Future
Based on estimates for the next years, GOGO will show a very strong growth in Earnings Per Share. The EPS will grow by 77.09% on average per year.
GOGO is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 34.72% yearly.
EPS Next Y104%
EPS Next 2Y94.27%
EPS Next 3Y77.09%
EPS Next 5YN/A
Revenue Next Year123.97%
Revenue Next 2Y51.97%
Revenue Next 3Y34.72%
Revenue Next 5YN/A
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 123.33, which means the current valuation is very expensive for GOGO.
Based on the Price/Earnings ratio, GOGO is valued a bit more expensive than 77.27% of the companies in the same industry.
When comparing the Price/Earnings ratio of GOGO to the average of the S&P500 Index (26.35), we can say GOGO is valued expensively.
A Price/Forward Earnings ratio of 13.07 indicates a correct valuation of GOGO.
The rest of the industry has a similar Price/Forward Earnings ratio as GOGO.
When comparing the Price/Forward Earnings ratio of GOGO to the average of the S&P500 Index (33.72), we can say GOGO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 123.33 | ||
| Fwd PE | 13.07 |
4.2 Price Multiples
GOGO's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. GOGO is more expensive than 72.73% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GOGO is valued a bit more expensive than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.93 | ||
| EV/EBITDA | 16.41 |
4.3 Compensation for Growth
GOGO's 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 GOGO's earnings are expected to grow with 77.09% in the coming years.
PEG (NY)1.19
PEG (5Y)N/A
EPS Next 2Y94.27%
EPS Next 3Y77.09%
5. Dividend
5.1 Amount
GOGO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.4
-0.2 (-2.63%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners59.65%
Inst Owner Change1.7%
Ins Owners0.1%
Ins Owner Change-0.4%
Market Cap989.31M
Revenue(TTM)444.71M
Net Income(TTM)7.27M
Analysts80
Price Target16.58 (124.05%)
Short Float %25.79%
Short Ratio11.08
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)-8.16%
Min EPS beat(2)-23.27%
Max EPS beat(2)6.95%
EPS beat(4)2
Avg EPS beat(4)-197.75%
Min EPS beat(4)-929.56%
Max EPS beat(4)154.9%
EPS beat(8)5
Avg EPS beat(8)-80.78%
EPS beat(12)8
Avg EPS beat(12)-20.47%
EPS beat(16)12
Avg EPS beat(16)105.04%
Revenue beat(2)2
Avg Revenue beat(2)2.98%
Min Revenue beat(2)0.67%
Max Revenue beat(2)5.29%
Revenue beat(4)4
Avg Revenue beat(4)11.51%
Min Revenue beat(4)0.67%
Max Revenue beat(4)38.77%
Revenue beat(8)6
Avg Revenue beat(8)5.61%
Revenue beat(12)7
Avg Revenue beat(12)3.23%
Revenue beat(16)11
Avg Revenue beat(16)2.8%
PT rev (1m)0%
PT rev (3m)-1.52%
EPS NQ rev (1m)-7.89%
EPS NQ rev (3m)-36.36%
EPS NY rev (1m)-5.66%
EPS NY rev (3m)-31.82%
Revenue NQ rev (1m)-0.27%
Revenue NQ rev (3m)0.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 123.33 | ||
| Fwd PE | 13.07 | ||
| P/S | 1.42 | ||
| P/FCF | 35.93 | ||
| P/OCF | 17.67 | ||
| P/B | 9.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.41 |
EPS(TTM)0.06
EY0.81%
EPS(NY)0.57
Fwd EY7.65%
FCF(TTM)0.21
FCFY2.78%
OCF(TTM)0.42
OCFY5.66%
SpS5.2
BVpS0.77
TBVpS-2.64
PEG (NY)1.19
PEG (5Y)N/A
Graham Number1.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 7.07% | ||
| ROCE | 6.37% | ||
| ROIC | 4.83% | ||
| ROICexc | 5.35% | ||
| ROICexgc | 10.44% | ||
| OM | 9.51% | ||
| PM (TTM) | 1.05% | ||
| GM | 51.04% | ||
| FCFM | 3.96% |
ROA(3y)10.63%
ROA(5y)3.67%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.98%
ROIC(5y)15.49%
ROICexc(3y)13.98%
ROICexc(5y)N/A
ROICexgc(3y)16.46%
ROICexgc(5y)N/A
ROCE(3y)14.49%
ROCE(5y)20.44%
ROICexgc growth 3Y-41%
ROICexgc growth 5Y-6.98%
ROICexc growth 3Y-49.04%
ROICexc growth 5Y-16%
OM growth 3Y-31.55%
OM growth 5Y-18.09%
PM growth 3Y-59.19%
PM growth 5YN/A
GM growth 3Y-3.48%
GM growth 5Y-2.12%
F-Score6
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.1 | ||
| Debt/FCF | 30.33 | ||
| Debt/EBITDA | 7.81 | ||
| Cap/Depr | 70.27% | ||
| Cap/Sales | 4.1% | ||
| Interest Coverage | 0.97 | ||
| Cash Conversion | 52.55% | ||
| Profit Quality | 378.96% | ||
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 0.1 |
F-Score6
WACC7.8%
ROIC/WACC0.62
Cap/Depr(3y)227.62%
Cap/Depr(5y)160.48%
Cap/Sales(3y)8.16%
Cap/Sales(5y)6.08%
Profit Quality(3y)66.76%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-87.5%
EPS 3Y-47.56%
EPS 5YN/A
EPS Q2Q%-23.08%
EPS Next Y104%
EPS Next 2Y94.27%
EPS Next 3Y77.09%
EPS Next 5YN/A
Revenue 1Y (TTM)11.85%
Revenue growth 3Y9.83%
Revenue growth 5Y7.55%
Sales Q2Q%122.41%
Revenue Next Year123.97%
Revenue Next 2Y51.97%
Revenue Next 3Y34.72%
Revenue Next 5YN/A
EBIT growth 1Y-42.32%
EBIT growth 3Y-24.83%
EBIT growth 5Y-11.9%
EBIT Next Year138.29%
EBIT Next 3Y41.68%
EBIT Next 5YN/A
FCF growth 1Y-44.93%
FCF growth 3Y-33.57%
FCF growth 5YN/A
OCF growth 1Y-39.98%
OCF growth 3Y-10.46%
OCF growth 5YN/A
GOGO INC / GOGO FAQ
What is the fundamental rating for GOGO stock?
ChartMill assigns a fundamental rating of 4 / 10 to GOGO.
What is the valuation status of GOGO INC (GOGO) stock?
ChartMill assigns a valuation rating of 3 / 10 to GOGO INC (GOGO). This can be considered as Overvalued.
What is the profitability of GOGO stock?
GOGO INC (GOGO) has a profitability rating of 5 / 10.
What are the PE and PB ratios of GOGO INC (GOGO) stock?
The Price/Earnings (PE) ratio for GOGO INC (GOGO) is 123.33 and the Price/Book (PB) ratio is 9.62.
Can you provide the expected EPS growth for GOGO stock?
The Earnings per Share (EPS) of GOGO INC (GOGO) is expected to grow by 104% in the next year.