NYSE:GMED is showing decent growth, but is still valued reasonably.

Our stock screening tool has pinpointed GLOBUS MEDICAL INC - A (NYSE:GMED) as a growth stock that isn't overvalued. NYSE:GMED is excelling in various growth indicators while maintaining a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.

Exploring NYSE:GMED's Growth

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:GMED boasts a 7 out of 10:

• The Earnings Per Share has grown by an nice 15.60% over the past year.
• The Revenue has grown by 77.60% in the past year. This is a very strong growth!
• The Revenue has been growing by 17.08% on average over the past years. This is quite good.
• GMED is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.70% yearly.
• Based on estimates for the next years, GMED will show a quite strong growth in Revenue. The Revenue will grow by 17.25% on average per year.
• The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.

Assessing Valuation Metrics for NYSE:GMED

To assess a stock's valuation, ChartMill utilizes a Valuation Rating on a scale of 0 to 10. This comprehensive assessment considers various valuation aspects, comparing price to earnings and cash flows, while factoring in profitability and growth. NYSE:GMED has achieved a 5 out of 10:

• Based on the Price/Earnings ratio, GMED is valued a bit cheaper than 78.53% of the companies in the same industry.
• Compared to the rest of the industry, the Price/Forward Earnings ratio of GMED indicates a rather cheap valuation: GMED is cheaper than 81.68% of the companies listed in the same industry.
• GMED's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. GMED is cheaper than 71.73% of the companies in the same industry.
• Based on the Price/Free Cash Flow ratio, GMED is valued a bit cheaper than the industry average as 76.96% of the companies are valued more expensively.
• GMED has a very decent profitability rating, which may justify a higher PE ratio.
• GMED's earnings are expected to grow with 19.77% in the coming years. This may justify a more expensive valuation.

Analyzing Health Metrics

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:GMED has received a 6 out of 10:

• GMED has an Altman-Z score of 6.68. This indicates that GMED is financially healthy and has little risk of bankruptcy at the moment.
• With an excellent Altman-Z score value of 6.68, GMED belongs to the best of the industry, outperforming 82.72% of the companies in the same industry.
• The Debt to FCF ratio of GMED is 2.80, which is a good value as it means it would take GMED, 2.80 years of fcf income to pay off all of its debts.
• The Debt to FCF ratio of GMED (2.80) is better than 85.86% of its industry peers.
• A Debt/Equity ratio of 0.00 indicates that GMED is not too dependend on debt financing.
• With a decent Debt to Equity ratio value of 0.00, GMED is doing good in the industry, outperforming 67.54% of the companies in the same industry.
• GMED has a Current Ratio of 2.33. This indicates that GMED is financially healthy and has no problem in meeting its short term obligations.

Profitability Insights: NYSE:GMED

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:GMED has achieved a 6:

• GMED has a better Return On Assets (1.35%) than 73.30% of its industry peers.
• GMED's Return On Equity of 1.70% is fine compared to the rest of the industry. GMED outperforms 73.30% of its industry peers.
• The Return On Invested Capital of GMED (3.18%) is better than 71.20% of its industry peers.
• GMED has a Profit Margin of 3.51%. This is in the better half of the industry: GMED outperforms 73.30% of its industry peers.
• The Operating Margin of GMED (9.14%) is better than 76.96% of its industry peers.
• Looking at the Gross Margin, with a value of 62.13%, GMED is in the better half of the industry, outperforming 61.26% of the companies in the same industry.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

For an up to date full fundamental analysis you can check the fundamental report of GMED

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.