GFL ENVIRONMENTAL INC-SUB VT (GFL)
CA36168Q1046 - Common Stock
We assign a fundamental rating of 3 out of 10 to GFL. GFL was compared to 84 industry peers in the Commercial Services & Supplies industry. GFL has a bad profitability rating. Also its financial health evaluation is rather negative. GFL is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
GFL had positive earnings in the past year.
GFL had a positive operating cash flow in the past year.
In the past 5 years GFL always reported negative net income.
Each year in the past 5 years GFL had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -3.36%, GFL is doing worse than 69.05% of the companies in the same industry.
With a Return On Equity value of -9.98%, GFL is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
GFL has a worse Return On Invested Capital (1.63%) than 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.36% | ||
| ROE | -9.98% | ||
| ROIC | 1.63% |
ROA(3y)-1.71%
ROA(5y)-3.16%
ROE(3y)-5.44%
ROE(5y)-10.41%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
GFL has a Operating Margin (4.63%) which is in line with its industry peers.
Looking at the Gross Margin, with a value of 18.24%, GFL is doing worse than 73.81% of the companies in the same industry.
GFL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.63% | ||
| PM (TTM) | N/A | ||
| GM | 18.24% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y55.06%
GM growth 5Y12.87%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GFL is destroying value.
GFL has more shares outstanding than it did 1 year ago.
GFL has more shares outstanding than it did 5 years ago.
GFL has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.23, we must say that GFL is in the distress zone and has some risk of bankruptcy.
GFL has a Altman-Z score of 1.23. This is in the lower half of the industry: GFL underperforms 72.62% of its industry peers.
The Debt to FCF ratio of GFL is 37.23, which is on the high side as it means it would take GFL, 37.23 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GFL (37.23) is comparable to the rest of the industry.
GFL has a Debt/Equity ratio of 1.32. This is a high value indicating a heavy dependency on external financing.
GFL has a Debt to Equity ratio of 1.32. This is in the lower half of the industry: GFL underperforms 70.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | 37.23 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.24
WACC6.93%
2.3 Liquidity
A Current Ratio of 0.58 indicates that GFL may have some problems paying its short term obligations.
GFL has a worse Current ratio (0.58) than 94.05% of its industry peers.
GFL has a Quick Ratio of 0.58. This is a bad value and indicates that GFL is not financially healthy enough and could expect problems in meeting its short term obligations.
GFL has a Quick ratio of 0.58. This is amonst the worse of the industry: GFL underperforms 89.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 95.83% over the past year.
GFL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 76.83% yearly.
The Revenue has been growing slightly by 4.09% in the past year.
Measured over the past years, GFL shows a very strong growth in Revenue. The Revenue has been growing by 32.32% on average per year.
EPS 1Y (TTM)95.83%
EPS 3Y76.83%
EPS 5YN/A
EPS Q2Q%N/A
Revenue 1Y (TTM)4.09%
Revenue growth 3Y21.44%
Revenue growth 5Y32.32%
Sales Q2Q%6.6%
3.2 Future
The Earnings Per Share is expected to grow by 23.10% on average over the next years. This is a very strong growth
GFL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.29% yearly.
EPS Next Y-3.08%
EPS Next 2Y16.82%
EPS Next 3Y16.9%
EPS Next 5Y23.1%
Revenue Next Year5.91%
Revenue Next 2Y6.25%
Revenue Next 3Y6.66%
Revenue Next 5Y7.29%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 67.94, GFL can be considered very expensive at the moment.
Based on the Price/Earnings ratio, GFL is valued a bit more expensive than 60.71% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 28.65. GFL is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 50.02, the valuation of GFL can be described as expensive.
GFL's Price/Forward Earnings is on the same level as the industry average.
GFL is valuated expensively when we compare the Price/Forward Earnings ratio to 23.50, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 67.94 | ||
| Fwd PE | 50.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GFL is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GFL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 91.01 | ||
| EV/EBITDA | 17.87 |
4.3 Compensation for Growth
GFL's earnings are expected to grow with 16.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y16.82%
EPS Next 3Y16.9%
5. Dividend
5.1 Amount
GFL has a yearly dividend return of 0.13%, which is pretty low.
Compared to an average industry Dividend Yield of 2.10, GFL pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.22, GFL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.13% |
5.2 History
GFL has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of GFL are negative and hence is the payout ratio. GFL will probably not be able to sustain this dividend level.
DP-4.02%
EPS Next 2Y16.82%
EPS Next 3Y16.9%
GFL ENVIRONMENTAL INC-SUB VT
NYSE:GFL (11/19/2024, 3:26:38 PM)
45.52
+0.47 (+1.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap17.37B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.13% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 67.94 | ||
| Fwd PE | 50.02 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.36% | ||
| ROE | -9.98% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 4.63% | ||
| PM (TTM) | N/A | ||
| GM | 18.24% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.58 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)95.83%
EPS 3Y76.83%
EPS 5Y
EPS Q2Q%
EPS Next Y-3.08%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.09%
Revenue growth 3Y21.44%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y