GIGACLOUD TECHNOLOGY INC - A (GCT) Stock Fundamental Analysis
USA - NASDAQ:GCT - KYG386441037 - Common Stock
30.42 USD
-0.89 (-2.84%)
30.43 USD
+0.01 (+0.03%)
We assign a fundamental rating of 7 out of 10 to GCT. GCT was compared to 23 industry peers in the Distributors industry. GCT gets an excellent profitability rating and is at the same time showing great financial health properties. GCT scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make GCT a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
In the past year GCT was profitable.
In the past year GCT had a positive cash flow from operations.
GCT had positive earnings in each of the past 5 years.
Each year in the past 5 years GCT had a positive operating cash flow.
1.2 Ratios
GCT's Return On Assets of 12.31% is amongst the best of the industry. GCT outperforms 86.96% of its industry peers.
GCT has a Return On Equity of 30.91%. This is amongst the best in the industry. GCT outperforms 95.65% of its industry peers.
GCT has a Return On Invested Capital of 14.05%. This is amongst the best in the industry. GCT outperforms 86.96% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GCT is in line with the industry average of 14.04%.
The last Return On Invested Capital (14.05%) for GCT is above the 3 year average (12.84%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.31% | ||
| ROE | 30.91% | ||
| ROIC | 14.05% |
ROA(3y)8.79%
ROA(5y)8.12%
ROE(3y)23.66%
ROE(5y)18.62%
ROIC(3y)12.84%
ROIC(5y)21.37%
1.3 Margins
GCT's Profit Margin of 11.17% is amongst the best of the industry. GCT outperforms 100.00% of its industry peers.
GCT's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 11.11%, GCT belongs to the top of the industry, outperforming 95.65% of the companies in the same industry.
In the last couple of years the Operating Margin of GCT has grown nicely.
GCT's Gross Margin of 23.70% is fine compared to the rest of the industry. GCT outperforms 65.22% of its industry peers.
In the last couple of years the Gross Margin of GCT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.11% | ||
| PM (TTM) | 11.17% | ||
| GM | 23.7% |
OM growth 3Y5.81%
OM growth 5Y23.48%
PM growth 3Y70.85%
PM growth 5Y35.51%
GM growth 3Y4.33%
GM growth 5Y6.24%
2. Health
2.1 Basic Checks
GCT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
GCT has less shares outstanding than it did 1 year ago.
The number of shares outstanding for GCT has been increased compared to 5 years ago.
Compared to 1 year ago, GCT has an improved debt to assets ratio.
2.2 Solvency
GCT has an Altman-Z score of 3.34. This indicates that GCT is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.34, GCT perfoms like the industry average, outperforming 52.17% of the companies in the same industry.
The Debt to FCF ratio of GCT is 0.01, which is an excellent value as it means it would take GCT, only 0.01 years of fcf income to pay off all of its debts.
GCT's Debt to FCF ratio of 0.01 is amongst the best of the industry. GCT outperforms 91.30% of its industry peers.
A Debt/Equity ratio of 0.00 indicates that GCT is not too dependend on debt financing.
GCT's Debt to Equity ratio of 0.00 is fine compared to the rest of the industry. GCT outperforms 73.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Altman-Z | 3.34 |
ROIC/WACC1.48
WACC9.51%
2.3 Liquidity
A Current Ratio of 2.11 indicates that GCT has no problem at all paying its short term obligations.
The Current ratio of GCT (2.11) is better than 60.87% of its industry peers.
A Quick Ratio of 1.43 indicates that GCT should not have too much problems paying its short term obligations.
The Quick ratio of GCT (1.43) is better than 69.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.43 |
3. Growth
3.1 Past
GCT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.87%.
Measured over the past years, GCT shows a very strong growth in Earnings Per Share. The EPS has been growing by 112.78% on average per year.
Looking at the last year, GCT shows a very strong growth in Revenue. The Revenue has grown by 64.96%.
GCT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 56.85% yearly.
EPS 1Y (TTM)-11.87%
EPS 3Y140.32%
EPS 5Y112.78%
EPS Q2Q%1.02%
Revenue 1Y (TTM)64.96%
Revenue growth 3Y41%
Revenue growth 5Y56.85%
Sales Q2Q%9.67%
3.2 Future
GCT is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.15% yearly.
The Revenue is expected to grow by 6.89% on average over the next years.
EPS Next Y-18.86%
EPS Next 2Y-2.15%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.87%
Revenue Next 2Y6.89%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.11, the valuation of GCT can be described as very reasonable.
Based on the Price/Earnings ratio, GCT is valued cheaply inside the industry as 95.65% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.89. GCT is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 8.80, which indicates a very decent valuation of GCT.
Based on the Price/Forward Earnings ratio, GCT is valued cheaply inside the industry as 95.65% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 34.59. GCT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.11 | ||
| Fwd PE | 8.8 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GCT is valued cheaper than 95.65% of the companies in the same industry.
82.61% of the companies in the same industry are more expensive than GCT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.06 | ||
| EV/EBITDA | 5.53 |
4.3 Compensation for Growth
The excellent profitability rating of GCT may justify a higher PE ratio.
A cheap valuation may be justified as GCT's earnings are expected to decrease with -2.15% in the coming years.
PEG (NY)N/A
PEG (5Y)0.08
EPS Next 2Y-2.15%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for GCT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
30.42
-0.89 (-2.84%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryDistributors
Earnings (Last)
Earnings (Next)
Inst Owners59.91%
Inst Owner ChangeN/A
Ins Owners6.47%
Ins Owner Change-3.13%
Market Cap1.15B
Revenue(TTM)1.16B
Net Income(TTM)133.34M
Analysts77.5
Price Target36.72 (20.71%)
Short Float %12.97%
Short Ratio3.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)53.07%
Min EPS beat(2)29.47%
Max EPS beat(2)76.66%
EPS beat(4)3
Avg EPS beat(4)35.88%
Min EPS beat(4)-6.72%
Max EPS beat(4)76.66%
EPS beat(8)7
Avg EPS beat(8)41.8%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)6.87%
Min Revenue beat(2)3.62%
Max Revenue beat(2)10.11%
Revenue beat(4)4
Avg Revenue beat(4)5.68%
Min Revenue beat(4)1.57%
Max Revenue beat(4)10.11%
Revenue beat(8)8
Avg Revenue beat(8)6.53%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)22.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.75%
EPS NY rev (1m)0%
EPS NY rev (3m)20.58%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.11 | ||
| Fwd PE | 8.8 | ||
| P/S | 0.96 | ||
| P/FCF | 7.06 | ||
| P/OCF | 6.67 | ||
| P/B | 2.66 | ||
| P/tB | 2.77 | ||
| EV/EBITDA | 5.53 |
EPS(TTM)3.34
EY10.98%
EPS(NY)3.46
Fwd EY11.36%
FCF(TTM)4.31
FCFY14.17%
OCF(TTM)4.56
OCFY14.98%
SpS31.69
BVpS11.45
TBVpS10.97
PEG (NY)N/A
PEG (5Y)0.08
Graham Number29.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.31% | ||
| ROE | 30.91% | ||
| ROCE | 16.4% | ||
| ROIC | 14.05% | ||
| ROICexc | 22.46% | ||
| ROICexgc | 23.3% | ||
| OM | 11.11% | ||
| PM (TTM) | 11.17% | ||
| GM | 23.7% | ||
| FCFM | 13.61% |
ROA(3y)8.79%
ROA(5y)8.12%
ROE(3y)23.66%
ROE(5y)18.62%
ROIC(3y)12.84%
ROIC(5y)21.37%
ROICexc(3y)20.27%
ROICexc(5y)49.44%
ROICexgc(3y)20.9%
ROICexgc(5y)49.81%
ROCE(3y)14.99%
ROCE(5y)24.95%
ROICexgc growth 3Y-23.03%
ROICexgc growth 5Y4.15%
ROICexc growth 3Y-24%
ROICexc growth 5Y3.36%
OM growth 3Y5.81%
OM growth 5Y23.48%
PM growth 3Y70.85%
PM growth 5Y35.51%
GM growth 3Y4.33%
GM growth 5Y6.24%
F-Score6
Asset Turnover1.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 108.68% | ||
| Cap/Sales | 0.78% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 121.57% | ||
| Profit Quality | 121.79% | ||
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.43 | ||
| Altman-Z | 3.34 |
F-Score6
WACC9.51%
ROIC/WACC1.48
Cap/Depr(3y)128.6%
Cap/Depr(5y)180.6%
Cap/Sales(3y)0.7%
Cap/Sales(5y)0.56%
Profit Quality(3y)194.48%
Profit Quality(5y)181.85%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.87%
EPS 3Y140.32%
EPS 5Y112.78%
EPS Q2Q%1.02%
EPS Next Y-18.86%
EPS Next 2Y-2.15%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)64.96%
Revenue growth 3Y41%
Revenue growth 5Y56.85%
Sales Q2Q%9.67%
Revenue Next Year8.87%
Revenue Next 2Y6.89%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-1.36%
EBIT growth 3Y49.18%
EBIT growth 5Y93.68%
EBIT Next Year4.74%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y65.89%
FCF growth 3Y176.68%
FCF growth 5Y265.01%
OCF growth 1Y74.12%
OCF growth 3Y164.32%
OCF growth 5Y167.23%
GIGACLOUD TECHNOLOGY INC - A / GCT FAQ
What is the fundamental rating for GCT stock?
ChartMill assigns a fundamental rating of 7 / 10 to GCT.
Can you provide the valuation status for GIGACLOUD TECHNOLOGY INC - A?
ChartMill assigns a valuation rating of 7 / 10 to GIGACLOUD TECHNOLOGY INC - A (GCT). This can be considered as Undervalued.
What is the profitability of GCT stock?
GIGACLOUD TECHNOLOGY INC - A (GCT) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for GCT stock?
The Price/Earnings (PE) ratio for GIGACLOUD TECHNOLOGY INC - A (GCT) is 9.11 and the Price/Book (PB) ratio is 2.66.