GOL LINHAS AEREAS INTEL-ADR (GOL) Stock Fundamental Analysis
NYSE:GOL - New York Stock Exchange, Inc. - US38045R2067 - ADR - Currency: USD
We assign a fundamental rating of 3 out of 10 to GOL. GOL was compared to 22 industry peers in the Passenger Airlines industry. Both the profitability and financial health of GOL have multiple concerns. GOL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year GOL has reported negative net income.
In the past year GOL had a positive cash flow from operations.
GOL had negative earnings in each of the past 5 years.
In the past 5 years GOL always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of GOL (-20.89%) is worse than 80.00% of its industry peers.
With an excellent Return On Invested Capital value of 23.88%, GOL belongs to the best of the industry, outperforming 96.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.89% | ||
| ROE | N/A | ||
| ROIC | 23.88% |
ROA(3y)-35.36%
ROA(5y)-23.46%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
GOL has a Operating Margin of 7.05%. This is in the better half of the industry: GOL outperforms 68.00% of its industry peers.
In the last couple of years the Operating Margin of GOL has declined.
Looking at the Gross Margin, with a value of 23.37%, GOL is in line with its industry, outperforming 48.00% of the companies in the same industry.
GOL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.05% | ||
| PM (TTM) | N/A | ||
| GM | 23.37% |
OM growth 3Y-43.65%
OM growth 5Y-22.24%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-10.87%
GM growth 5Y-5.85%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GOL is creating value.
The number of shares outstanding for GOL has been increased compared to 1 year ago.
Compared to 1 year ago, GOL has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -1.19, we must say that GOL is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of GOL (-1.19) is worse than 80.00% of its industry peers.
GOL has a debt to FCF ratio of 17.81. This is a negative value and a sign of low solvency as GOL would need 17.81 years to pay back of all of its debts.
GOL's Debt to FCF ratio of 17.81 is fine compared to the rest of the industry. GOL outperforms 72.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 17.81 | ||
| Altman-Z | -1.19 |
ROIC/WACC2.04
WACC11.71%
2.3 Liquidity
GOL has a Current Ratio of 0.24. This is a bad value and indicates that GOL is not financially healthy enough and could expect problems in meeting its short term obligations.
GOL's Current ratio of 0.24 is on the low side compared to the rest of the industry. GOL is outperformed by 84.00% of its industry peers.
GOL has a Quick Ratio of 0.24. This is a bad value and indicates that GOL is not financially healthy enough and could expect problems in meeting its short term obligations.
GOL has a Quick ratio of 0.18. This is amonst the worse of the industry: GOL underperforms 84.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.24 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
GOL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -60.91%.
GOL shows a strong growth in Revenue. In the last year, the Revenue has grown by 85.98%.
GOL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.03% yearly.
EPS 1Y (TTM)-60.91%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-77.51%
Revenue 1Y (TTM)85.98%
Revenue growth 3Y3.11%
Revenue growth 5Y8.03%
Sales Q2Q%52.78%
3.2 Future
The Earnings Per Share is expected to grow by 40.47% on average over the next years. This is a very strong growth
GOL is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 94.46% yearly.
EPS Next Y115.08%
EPS Next 2Y54.25%
EPS Next 3Y40.47%
EPS Next 5YN/A
Revenue Next Year529.76%
Revenue Next 2Y158.11%
Revenue Next 3Y94.46%
Revenue Next 5YN/A
3.3 Evolution
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
GOL reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Based on the Price/Forward Earnings ratio of 39.79, the valuation of GOL can be described as expensive.
GOL's Price/Forward Earnings is on the same level as the industry average.
GOL's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 36.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 39.79 |
4.2 Price Multiples
GOL's Enterprise Value to EBITDA ratio is in line with the industry average.
GOL's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. GOL is cheaper than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.6 | ||
| EV/EBITDA | 14.48 |
4.3 Compensation for Growth
GOL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as GOL's earnings are expected to grow with 40.47% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y54.25%
EPS Next 3Y40.47%
5. Dividend
5.1 Amount
GOL has a yearly dividend return of 0.02%, which is pretty low.
Compared to an average industry Dividend Yield of 2.79, GOL pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.02, GOL pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.02% |
5.2 History
GOL is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y54.25%
EPS Next 3Y40.47%
NYSE:GOL (1/25/2024, 8:25:54 PM)
2.715
+0.08 (+3.23%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change-6.63%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap4.34B
Analysts42
Price Target3.34 (23.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.02% |
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)2
Avg EPS beat(2)2330.57%
Min EPS beat(2)1557.89%
Max EPS beat(2)3103.24%
EPS beat(4)2
Avg EPS beat(4)896.73%
Min EPS beat(4)-748.57%
Max EPS beat(4)3103.24%
EPS beat(8)4
Avg EPS beat(8)589.54%
EPS beat(12)5
Avg EPS beat(12)352.37%
EPS beat(16)5
Avg EPS beat(16)158.56%
Revenue beat(2)2
Avg Revenue beat(2)1.93%
Min Revenue beat(2)1.01%
Max Revenue beat(2)2.84%
Revenue beat(4)3
Avg Revenue beat(4)0.15%
Min Revenue beat(4)-4.24%
Max Revenue beat(4)2.84%
Revenue beat(8)5
Avg Revenue beat(8)-4.55%
Revenue beat(12)5
Avg Revenue beat(12)-8.65%
Revenue beat(16)6
Avg Revenue beat(16)-6.81%
PT rev (1m)-2.67%
PT rev (3m)-5.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.01%
EPS NY rev (1m)-67.65%
EPS NY rev (3m)-64.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.83%
Revenue NY rev (3m)-2.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 39.79 | ||
| P/S | 1.26 | ||
| P/FCF | 16.6 | ||
| P/OCF | 10.38 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.48 |
EPS(TTM)-0.45
EYN/A
EPS(NY)0.07
Fwd EY2.51%
FCF(TTM)0.16
FCFY6.02%
OCF(TTM)0.26
OCFY9.63%
SpS2.15
BVpS-2.68
TBVpS-2.91
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.89% | ||
| ROE | N/A | ||
| ROCE | 37.75% | ||
| ROIC | 23.88% | ||
| ROICexc | 29.84% | ||
| ROICexgc | 73% | ||
| OM | 7.05% | ||
| PM (TTM) | N/A | ||
| GM | 23.37% | ||
| FCFM | 7.61% |
ROA(3y)-35.36%
ROA(5y)-23.46%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-57.09%
ROICexcg growth 5Y-25.82%
ROICexc growth 3Y-47.97%
ROICexc growth 5Y-20.34%
OM growth 3Y-43.65%
OM growth 5Y-22.24%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-10.87%
GM growth 5Y-5.85%
F-Score5
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 17.81 | ||
| Debt/EBITDA | 7.06 | ||
| Cap/Depr | 44.82% | ||
| Cap/Sales | 4.56% | ||
| Interest Coverage | 1.09 | ||
| Cash Conversion | 70.65% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.24 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z | -1.19 |
F-Score5
WACC11.71%
ROIC/WACC2.04
Cap/Depr(3y)48.09%
Cap/Depr(5y)66.38%
Cap/Sales(3y)8.88%
Cap/Sales(5y)8.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-60.91%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-77.51%
EPS Next Y115.08%
EPS Next 2Y54.25%
EPS Next 3Y40.47%
EPS Next 5YN/A
Revenue 1Y (TTM)85.98%
Revenue growth 3Y3.11%
Revenue growth 5Y8.03%
Sales Q2Q%52.78%
Revenue Next Year529.76%
Revenue Next 2Y158.11%
Revenue Next 3Y94.46%
Revenue Next 5YN/A
EBIT growth 1Y136.15%
EBIT growth 3Y-41.9%
EBIT growth 5Y-15.99%
EBIT Next Year104.74%
EBIT Next 3Y39.26%
EBIT Next 5YN/A
FCF growth 1Y254.17%
FCF growth 3Y-3.99%
FCF growth 5Y39.66%
OCF growth 1Y719.4%
OCF growth 3Y-4.13%
OCF growth 5Y26.38%