We assign a fundamental rating of 2 out of 10 to GTE. GTE was compared to 207 industry peers in the Oil, Gas & Consumable Fuels industry. Both the profitability and financial health of GTE have multiple concerns. While showing a medium growth rate, GTE is valued expensive at the moment.

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1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

1. Profitability

1.1 Basic Checks

GTE had negative earnings in the past year.
In the past year GTE had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: GTE reported negative net income in multiple years.
In the past 5 years GTE always reported a positive cash flow from operatings.

1.2 Ratios

GTE's Return On Assets of -5.20% is on the low side compared to the rest of the industry. GTE is outperformed by 76.33% of its industry peers.
GTE has a Return On Equity of -23.55%. This is in the lower half of the industry: GTE underperforms 78.74% of its industry peers.
With a Return On Invested Capital value of 1.17%, GTE is not doing good in the industry: 71.50% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for GTE is significantly below the industry average of 21.94%.
The 3 year average ROIC (14.19%) for GTE is well above the current ROIC(1.17%). The reason for the recent decline needs to be investigated.

		Industry Rank	Sector Rank
ROA	-5.2%
ROE	-23.55%
ROIC	1.17%

ROA(3y)3.38%

ROA(5y)-10.21%

ROE(3y)10.83%

ROE(5y)-51.24%

ROIC(3y)14.19%

ROIC(5y)N/A

1.3 Margins

In the last couple of years the Profit Margin of GTE has declined.
GTE has a Operating Margin of 3.23%. This is in the lower half of the industry: GTE underperforms 67.63% of its industry peers.
GTE's Operating Margin has been stable in the last couple of years.
The Gross Margin of GTE (55.54%) is better than 64.73% of its industry peers.
GTE's Gross Margin has been stable in the last couple of years.

		Industry Rank	Sector Rank
OM	3.23%
PM (TTM)	N/A
GM	55.54%

OM growth 3Y-15.77%

OM growth 5Y0.59%

PM growth 3Y-61.37%

PM growth 5Y-40.23%

GM growth 3Y-2.55%

GM growth 5Y0.05%

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ROA

ROE

ROIC

Operating and Profit Margin

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2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so GTE is still creating some value.
The number of shares outstanding for GTE has been increased compared to 1 year ago.
The number of shares outstanding for GTE has been reduced compared to 5 years ago.
GTE has a worse debt/assets ratio than last year.

2.2 Solvency

Based on the Altman-Z score of -0.37, we must say that GTE is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of GTE (-0.37) is worse than 69.57% of its industry peers.
GTE has a Debt/Equity ratio of 2.08. This is a high value indicating a heavy dependency on external financing.
GTE has a Debt to Equity ratio of 2.08. This is amonst the worse of the industry: GTE underperforms 80.19% of its industry peers.

		Industry Rank	Sector Rank
Debt/Equity	2.08
Debt/FCF	N/A
Altman-Z	-0.37

ROIC/WACC0.13

WACC9.1%

2.3 Liquidity

GTE has a Current Ratio of 0.54. This is a bad value and indicates that GTE is not financially healthy enough and could expect problems in meeting its short term obligations.
GTE has a worse Current ratio (0.54) than 82.61% of its industry peers.
GTE has a Quick Ratio of 0.54. This is a bad value and indicates that GTE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of GTE (0.42) is worse than 85.99% of its industry peers.

		Industry Rank	Sector Rank
Current Ratio	0.54
Quick Ratio	0.42

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WACC

Debt/Equity

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Altman-Z score

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3. Growth

3.1 Past

The earnings per share for GTE have decreased strongly by -271.86% in the last year.
The earnings per share for GTE have been decreasing by -37.23% on average. This is quite bad
Looking at the last year, GTE shows a decrease in Revenue. The Revenue has decreased by -1.58% in the last year.
The Revenue has been growing slightly by 1.72% on average over the past years.

EPS 1Y (TTM)-271.86%

EPS 3Y-55.64%

EPS 5Y-37.23%

EPS Q2Q%-1631.98%

Revenue 1Y (TTM)-1.58%

Revenue growth 3Y9.49%

Revenue growth 5Y1.72%

Sales Q2Q%-1.4%

3.2 Future

The Earnings Per Share is expected to decrease by -23.34% on average over the next years. This is quite bad
GTE is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.40% yearly.

EPS Next Y-266.94%

EPS Next 2Y-103.69%

EPS Next 3Y-38.86%

EPS Next 5Y-23.34%

Revenue Next Year0.73%

Revenue Next 2Y-0.16%

Revenue Next 3Y1.96%

Revenue Next 5Y8.4%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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.

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4. Valuation

4.1 Price/Earnings Ratio

GTE reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year GTE is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.

		Industry Rank	Sector Rank
PE	N/A
Fwd PE	N/A

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GTE indicates a rather cheap valuation: GTE is cheaper than 90.34% of the companies listed in the same industry.