Despite its impressive fundamentals, NYSE:GSL remains undervalued.

Take a closer look at GLOBAL SHIP LEASE INC-CL A (NYSE:GSL), a remarkable value stock uncovered by our stock screener. NYSE:GSL excels in fundamentals and maintains a very reasonable valuation. Let's break it down further.

Valuation Analysis for NYSE:GSL

An integral part of ChartMill's stock analysis is the Valuation Rating, which spans from 0 to 10. This rating evaluates diverse valuation factors, including price to earnings and cash flows, while considering the stock's profitability and growth. NYSE:GSL has received a 9 out of 10:

• GSL is valuated cheaply with a Price/Earnings ratio of 3.10.
• Based on the Price/Earnings ratio, GSL is valued cheaper than 82.76% of the companies in the same industry.
• GSL is valuated cheaply when we compare the Price/Earnings ratio to 28.63, which is the current average of the S&P500 Index.
• GSL is valuated cheaply with a Price/Forward Earnings ratio of 3.30.
• Based on the Price/Forward Earnings ratio, GSL is valued cheaper than 93.10% of the companies in the same industry.
• GSL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.22.
• Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GSL indicates a somewhat cheap valuation: GSL is cheaper than 75.86% of the companies listed in the same industry.
• Based on the Price/Free Cash Flow ratio, GSL is valued cheaper than 82.76% of the companies in the same industry.
• GSL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• The excellent profitability rating of GSL may justify a higher PE ratio.

How do we evaluate the Profitability for NYSE:GSL?

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:GSL was assigned a score of 9 for profitability:

• With a decent Return On Assets value of 14.33%, GSL is doing good in the industry, outperforming 79.31% of the companies in the same industry.
• GSL's Return On Equity of 24.82% is amongst the best of the industry. GSL outperforms 86.21% of its industry peers.
• GSL's Return On Invested Capital of 15.44% is amongst the best of the industry. GSL outperforms 93.10% of its industry peers.
• The Average Return On Invested Capital over the past 3 years for GSL is significantly above the industry average of 7.74%.
• The last Return On Invested Capital (15.44%) for GSL is above the 3 year average (13.60%), which is a sign of increasing profitability.
• GSL has a better Profit Margin (44.92%) than 75.86% of its industry peers.
• GSL's Profit Margin has improved in the last couple of years.
• GSL's Operating Margin of 53.81% is amongst the best of the industry. GSL outperforms 89.66% of its industry peers.
• In the last couple of years the Operating Margin of GSL has grown nicely.
• GSL has a better Gross Margin (70.12%) than 82.76% of its industry peers.

Health Analysis for NYSE:GSL

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 NYSE:GSL, the assigned 6 reflects its health status:

• With a decent Altman-Z score value of 1.95, GSL is doing good in the industry, outperforming 65.52% of the companies in the same industry.
• The Debt to FCF ratio of GSL is 3.21, which is a good value as it means it would take GSL, 3.21 years of fcf income to pay off all of its debts.
• Looking at the Debt to FCF ratio, with a value of 3.21, GSL is in the better half of the industry, outperforming 79.31% of the companies in the same industry.
• GSL has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.

A Closer Look at Growth for NYSE:GSL

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NYSE:GSL scores a 4 out of 10:

• GSL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.19%, which is quite good.
• GSL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 71.19% yearly.
• The Revenue has been growing by 33.84% on average over the past years. This is a very strong growth!

Our Decent Value screener lists more Decent Value stocks and is updated daily.

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

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.