GSK PLC (GS71.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:GS71 - GB00BN7SWP63 - Common Stock
21.04 EUR
+0.27 (+1.3%)
We assign a fundamental rating of 5 out of 10 to GS71. GS71 was compared to 52 industry peers in the Pharmaceuticals industry. GS71 has an excellent profitability rating, but there are concerns on its financial health. GS71 is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year GS71 was profitable.
GS71 had a positive operating cash flow in the past year.
Each year in the past 5 years GS71 has been profitable.
GS71 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GS71's Return On Assets of 8.96% is fine compared to the rest of the industry. GS71 outperforms 71.15% of its industry peers.
With an excellent Return On Equity value of 34.02%, GS71 belongs to the best of the industry, outperforming 88.46% of the companies in the same industry.
GS71's Return On Invested Capital of 18.16% is amongst the best of the industry. GS71 outperforms 82.69% of its industry peers.
GS71 had an Average Return On Invested Capital over the past 3 years of 18.38%. This is above the industry average of 13.72%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.96% | ||
| ROE | 34.02% | ||
| ROIC | 18.16% |
ROA(3y)12.52%
ROA(5y)10.05%
ROE(3y)65.63%
ROE(5y)53.08%
ROIC(3y)18.38%
ROIC(5y)14.53%
1.3 Margins
With a decent Profit Margin value of 17.08%, GS71 is doing good in the industry, outperforming 73.08% of the companies in the same industry.
In the last couple of years the Profit Margin of GS71 has declined.
GS71 has a better Operating Margin (26.20%) than 67.31% of its industry peers.
In the last couple of years the Operating Margin of GS71 has remained more or less at the same level.
GS71 has a Gross Margin of 72.52%. This is comparable to the rest of the industry: GS71 outperforms 59.62% of its industry peers.
GS71's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.2% | ||
| PM (TTM) | 17.08% | ||
| GM | 72.52% |
OM growth 3Y3.67%
OM growth 5Y-0.3%
PM growth 3Y-22.68%
PM growth 5Y-9.82%
GM growth 3Y2.09%
GM growth 5Y0.57%
2. Health
2.1 Basic Checks
GS71 has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
GS71 has more shares outstanding than it did 1 year ago.
The number of shares outstanding for GS71 has been increased compared to 5 years ago.
The debt/assets ratio for GS71 has been reduced compared to a year ago.
2.2 Solvency
GS71 has an Altman-Z score of 1.66. This is a bad value and indicates that GS71 is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of GS71 (1.66) is worse than 65.38% of its industry peers.
GS71 has a debt to FCF ratio of 3.78. This is a good value and a sign of high solvency as GS71 would need 3.78 years to pay back of all of its debts.
GS71's Debt to FCF ratio of 3.78 is in line compared to the rest of the industry. GS71 outperforms 53.85% of its industry peers.
GS71 has a Debt/Equity ratio of 0.92. This is a neutral value indicating GS71 is somewhat dependend on debt financing.
GS71's Debt to Equity ratio of 0.92 is on the low side compared to the rest of the industry. GS71 is outperformed by 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | 3.78 | ||
| Altman-Z | 1.66 |
ROIC/WACC2.23
WACC8.13%
2.3 Liquidity
GS71 has a Current Ratio of 0.84. This is a bad value and indicates that GS71 is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of GS71 (0.84) is worse than 82.69% of its industry peers.
A Quick Ratio of 0.55 indicates that GS71 may have some problems paying its short term obligations.
The Quick ratio of GS71 (0.55) is worse than 86.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.73% over the past year.
GS71 shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.56% yearly.
Looking at the last year, GS71 shows a small growth in Revenue. The Revenue has grown by 2.73% in the last year.
The Revenue has been decreasing by -1.45% on average over the past years.
EPS 1Y (TTM)2.73%
EPS 3Y4.05%
EPS 5Y0.56%
EPS Q2Q%10.66%
Revenue 1Y (TTM)2.73%
Revenue growth 3Y8.31%
Revenue growth 5Y-1.45%
Sales Q2Q%6.68%
3.2 Future
GS71 is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.58% yearly.
The Revenue is expected to grow by 3.90% on average over the next years.
EPS Next Y7.61%
EPS Next 2Y8.43%
EPS Next 3Y8.23%
EPS Next 5Y7.58%
Revenue Next Year4.28%
Revenue Next 2Y4.69%
Revenue Next 3Y4.66%
Revenue Next 5Y3.9%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.85, the valuation of GS71 can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of GS71 indicates a rather cheap valuation: GS71 is cheaper than 86.54% of the companies listed in the same industry.
GS71 is valuated cheaply when we compare the Price/Earnings ratio to 26.77, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 9.80, which indicates a very decent valuation of GS71.
Based on the Price/Forward Earnings ratio, GS71 is valued cheaply inside the industry as 80.77% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.35, GS71 is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.85 | ||
| Fwd PE | 9.8 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GS71 indicates a rather cheap valuation: GS71 is cheaper than 98.08% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, GS71 is valued cheaply inside the industry as 98.08% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.89 | ||
| EV/EBITDA | 4.28 |
4.3 Compensation for Growth
GS71's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
GS71 has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.42
PEG (5Y)19.32
EPS Next 2Y8.43%
EPS Next 3Y8.23%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.54%, GS71 has a reasonable but not impressive dividend return.
GS71's Dividend Yield is rather good when compared to the industry average which is at 2.20. GS71 pays more dividend than 86.54% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.00, GS71 pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.54% |
5.2 History
The dividend of GS71 decreases each year by -9.84%.
Dividend Growth(5Y)-9.84%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
GS71 pays out 46.05% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP46.05%
EPS Next 2Y8.43%
EPS Next 3Y8.23%
FRA:GS71 (12/30/2025, 7:00:00 PM)
21.04
+0.27 (+1.3%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners43.15%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap42.49B
Revenue(TTM)32.17B
Net Income(TTM)5.49B
Analysts70.97
Price Target21.19 (0.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.54% |
Yearly Dividend0.68
Dividend Growth(5Y)-9.84%
DP46.05%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.24%
Min EPS beat(2)7.67%
Max EPS beat(2)12.8%
EPS beat(4)4
Avg EPS beat(4)12.2%
Min EPS beat(4)7.67%
Max EPS beat(4)18.46%
EPS beat(8)7
Avg EPS beat(8)10.47%
EPS beat(12)11
Avg EPS beat(12)9.92%
EPS beat(16)15
Avg EPS beat(16)9.75%
Revenue beat(2)0
Avg Revenue beat(2)-0.16%
Min Revenue beat(2)-0.28%
Max Revenue beat(2)-0.04%
Revenue beat(4)1
Avg Revenue beat(4)-0.06%
Min Revenue beat(4)-1.6%
Max Revenue beat(4)1.68%
Revenue beat(8)4
Avg Revenue beat(8)0.89%
Revenue beat(12)7
Avg Revenue beat(12)1.15%
Revenue beat(16)9
Avg Revenue beat(16)-1.83%
PT rev (1m)3.18%
PT rev (3m)10.39%
EPS NQ rev (1m)-0.23%
EPS NQ rev (3m)-7.9%
EPS NY rev (1m)1.67%
EPS NY rev (3m)2.66%
Revenue NQ rev (1m)0.27%
Revenue NQ rev (3m)2.81%
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)1.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.85 | ||
| Fwd PE | 9.8 | ||
| P/S | 1.15 | ||
| P/FCF | 7.89 | ||
| P/OCF | 4.76 | ||
| P/B | 2.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.28 |
EPS(TTM)1.94
EY9.22%
EPS(NY)2.15
Fwd EY10.21%
FCF(TTM)2.67
FCFY12.67%
OCF(TTM)4.42
OCFY21.01%
SpS18.25
BVpS9.16
TBVpS-4.45
PEG (NY)1.42
PEG (5Y)19.32
Graham Number20
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.96% | ||
| ROE | 34.02% | ||
| ROCE | 21.06% | ||
| ROIC | 18.16% | ||
| ROICexc | 19.79% | ||
| ROICexgc | 57.12% | ||
| OM | 26.2% | ||
| PM (TTM) | 17.08% | ||
| GM | 72.52% | ||
| FCFM | 14.6% |
ROA(3y)12.52%
ROA(5y)10.05%
ROE(3y)65.63%
ROE(5y)53.08%
ROIC(3y)18.38%
ROIC(5y)14.53%
ROICexc(3y)22.56%
ROICexc(5y)17.39%
ROICexgc(3y)78.4%
ROICexgc(5y)64.01%
ROCE(3y)21.97%
ROCE(5y)17.32%
ROICexgc growth 3Y9%
ROICexgc growth 5Y1.32%
ROICexc growth 3Y28.26%
ROICexc growth 5Y8.01%
OM growth 3Y3.67%
OM growth 5Y-0.3%
PM growth 3Y-22.68%
PM growth 5Y-9.82%
GM growth 3Y2.09%
GM growth 5Y0.57%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | 3.78 | ||
| Debt/EBITDA | 1.24 | ||
| Cap/Depr | 87.43% | ||
| Cap/Sales | 9.62% | ||
| Interest Coverage | 13.36 | ||
| Cash Conversion | 65.11% | ||
| Profit Quality | 85.49% | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.55 | ||
| Altman-Z | 1.66 |
F-Score7
WACC8.13%
ROIC/WACC2.23
Cap/Depr(3y)108.08%
Cap/Depr(5y)108.56%
Cap/Sales(3y)8.31%
Cap/Sales(5y)9.2%
Profit Quality(3y)87.63%
Profit Quality(5y)97.06%
High Growth Momentum
Growth
EPS 1Y (TTM)2.73%
EPS 3Y4.05%
EPS 5Y0.56%
EPS Q2Q%10.66%
EPS Next Y7.61%
EPS Next 2Y8.43%
EPS Next 3Y8.23%
EPS Next 5Y7.58%
Revenue 1Y (TTM)2.73%
Revenue growth 3Y8.31%
Revenue growth 5Y-1.45%
Sales Q2Q%6.68%
Revenue Next Year4.28%
Revenue Next 2Y4.69%
Revenue Next 3Y4.66%
Revenue Next 5Y3.9%
EBIT growth 1Y6.52%
EBIT growth 3Y12.28%
EBIT growth 5Y-1.74%
EBIT Next Year30.51%
EBIT Next 3Y13.68%
EBIT Next 5Y10.08%
FCF growth 1Y48.4%
FCF growth 3Y-10.73%
FCF growth 5Y-9.42%
OCF growth 1Y42.27%
OCF growth 3Y-6.24%
OCF growth 5Y-3.96%
GSK PLC / GS71.DE FAQ
Can you provide the ChartMill fundamental rating for GSK PLC?
ChartMill assigns a fundamental rating of 5 / 10 to GS71.DE.
Can you provide the valuation status for GSK PLC?
ChartMill assigns a valuation rating of 8 / 10 to GSK PLC (GS71.DE). This can be considered as Undervalued.
Can you provide the profitability details for GSK PLC?
GSK PLC (GS71.DE) has a profitability rating of 7 / 10.
What is the valuation of GSK PLC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for GSK PLC (GS71.DE) is 10.85 and the Price/Book (PB) ratio is 2.3.
Can you provide the dividend sustainability for GS71 stock?
The dividend rating of GSK PLC (GS71.DE) is 5 / 10 and the dividend payout ratio is 46.05%.