NASDAQ:GCT stands out as a growth opportunity that won't break the bank.

Our stock screener has singled out GIGACLOUD TECHNOLOGY INC - A (NASDAQ:GCT) as an attractive growth opportunity. NASDAQ:GCT is demonstrating remarkable growth potential while maintaining strong financial indicators, making it a reasonably priced option. We'll explore this further.

Assessing Growth Metrics for NASDAQ:GCT

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NASDAQ:GCT has earned a 9 for growth:

• The Earnings Per Share has grown by an impressive 302.00% over the past year.
• Measured over the past years, GCT shows a very strong growth in Earnings Per Share. The EPS has been growing by 92.98% on average per year.
• GCT shows a strong growth in Revenue. In the last year, the Revenue has grown by 63.65%.
• Measured over the past years, GCT shows a very strong growth in Revenue. The Revenue has been growing by 36.70% on average per year.
• The Earnings Per Share is expected to grow by 29.77% on average over the next years. This is a very strong growth
• Based on estimates for the next years, GCT will show a very strong growth in Revenue. The Revenue will grow by 31.67% on average per year.

Valuation Analysis for NASDAQ:GCT

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NASDAQ:GCT boasts a 8 out of 10:

• A Price/Earnings ratio of 10.42 indicates a reasonable valuation of GCT.
• Based on the Price/Earnings ratio, GCT is valued a bit cheaper than the industry average as 76.92% of the companies are valued more expensively.
• When comparing the Price/Earnings ratio of GCT to the average of the S&P500 Index (28.60), we can say GCT is valued rather cheaply.
• A Price/Forward Earnings ratio of 7.58 indicates a rather cheap valuation of GCT.
• Compared to the rest of the industry, the Price/Forward Earnings ratio of GCT indicates a rather cheap valuation: GCT is cheaper than 92.31% of the companies listed in the same industry.
• The average S&P500 Price/Forward Earnings ratio is at 20.14. GCT is valued rather cheaply when compared to this.
• Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GCT indicates a somewhat cheap valuation: GCT is cheaper than 76.92% of the companies listed in the same industry.
• Based on the Price/Free Cash Flow ratio, GCT is valued a bit cheaper than 61.54% of the companies in the same industry.
• GCT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• GCT has an outstanding profitability rating, which may justify a higher PE ratio.
• GCT's earnings are expected to grow with 29.77% in the coming years. This may justify a more expensive valuation.

ChartMill's Evaluation of Health

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NASDAQ:GCT, the assigned 6 reflects its health status:

• The Debt to FCF ratio of GCT is 0.00, which is an excellent value as it means it would take GCT, only 0.00 years of fcf income to pay off all of its debts.
• GCT's Debt to FCF ratio of 0.00 is amongst the best of the industry. GCT outperforms 84.62% of its industry peers.
• GCT has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
• GCT has a Debt to Equity ratio of 0.00. This is in the better half of the industry: GCT outperforms 76.92% of its industry peers.
• The Quick ratio of GCT (1.09) is better than 61.54% of its industry peers.

What does the Profitability looks like for NASDAQ:GCT

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NASDAQ:GCT has earned a 8 out of 10:

• GCT's Return On Assets of 10.78% is amongst the best of the industry. GCT outperforms 84.62% of its industry peers.
• The Return On Equity of GCT (33.16%) is better than 84.62% of its industry peers.
• The Return On Invested Capital of GCT (14.25%) is better than 84.62% of its industry peers.
• GCT's Profit Margin of 12.74% is amongst the best of the industry. GCT outperforms 84.62% of its industry peers.
• In the last couple of years the Profit Margin of GCT has grown nicely.
• With an excellent Operating Margin value of 15.75%, GCT belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.

More Affordable Growth stocks can be found in our Affordable Growth screener.

Check the latest full fundamental report of GCT for a complete fundamental analysis.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.