34.6 USD
-0.04 (-0.12%)
34.755 USD
+0.16 (+0.45%)
We assign a fundamental rating of 4 out of 10 to GFS. GFS was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. GFS has an average financial health and profitability rating. GFS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
GFS had positive earnings in the past year.
GFS had a positive operating cash flow in the past year.
In multiple years GFS reported negative net income over the last 5 years.
In the past 5 years GFS always reported a positive cash flow from operatings.
1.2 Ratios
GFS has a Return On Assets (-0.26%) which is in line with its industry peers.
With a Return On Equity value of -0.38%, GFS perfoms like the industry average, outperforming 48.21% of the companies in the same industry.
The Return On Invested Capital of GFS (4.20%) is better than 61.61% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GFS is below the industry average of 10.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.26% | ||
| ROE | -0.38% | ||
| ROIC | 4.2% |
ROA(3y)4.06%
ROA(5y)-0.08%
ROE(3y)7.11%
ROE(5y)-0.12%
ROIC(3y)5.8%
ROIC(5y)N/A
1.3 Margins
GFS has a Operating Margin of 11.44%. This is in the better half of the industry: GFS outperforms 67.86% of its industry peers.
The Gross Margin of GFS (24.02%) is worse than 77.68% of its industry peers.
GFS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.44% | ||
| PM (TTM) | N/A | ||
| GM | 24.02% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y15.97%
GM growth 5YN/A
2. Health
2.1 Basic Checks
GFS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
GFS has about the same amout of shares outstanding than it did 1 year ago.
GFS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, GFS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.12 indicates that GFS is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of GFS (2.12) is worse than 63.39% of its industry peers.
GFS has a debt to FCF ratio of 1.43. This is a very positive value and a sign of high solvency as it would only need 1.43 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.43, GFS is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
GFS has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
GFS's Debt to Equity ratio of 0.13 is in line compared to the rest of the industry. GFS outperforms 55.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 2.12 |
ROIC/WACC0.42
WACC10.1%
2.3 Liquidity
GFS has a Current Ratio of 3.03. This indicates that GFS is financially healthy and has no problem in meeting its short term obligations.
GFS has a Current ratio (3.03) which is in line with its industry peers.
A Quick Ratio of 2.24 indicates that GFS has no problem at all paying its short term obligations.
GFS has a Quick ratio of 2.24. This is comparable to the rest of the industry: GFS outperforms 54.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.03 | ||
| Quick Ratio | 2.24 |
3. Growth
3.1 Past
GFS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.32%.
The Revenue has been growing slightly by 0.25% in the past year.
GFS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.03% yearly.
EPS 1Y (TTM)-6.32%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)0.25%
Revenue growth 3Y0.83%
Revenue growth 5Y3.03%
Sales Q2Q%-2.93%
3.2 Future
GFS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.17% yearly.
Based on estimates for the next years, GFS will show a quite strong growth in Revenue. The Revenue will grow by 8.19% on average per year.
EPS Next Y4.08%
EPS Next 2Y12.6%
EPS Next 3Y16.63%
EPS Next 5Y20.17%
Revenue Next Year0.09%
Revenue Next 2Y4.04%
Revenue Next 3Y6.05%
Revenue Next 5Y8.19%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.23, the valuation of GFS can be described as rather expensive.
Based on the Price/Earnings ratio, GFS is valued cheaper than 83.93% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.98. GFS is around the same levels.
GFS is valuated rather expensively with a Price/Forward Earnings ratio of 17.49.
Based on the Price/Forward Earnings ratio, GFS is valued cheaper than 83.04% of the companies in the same industry.
GFS is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.23 | ||
| Fwd PE | 17.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GFS is valued cheaply inside the industry as 95.54% of the companies are valued more expensively.
91.07% of the companies in the same industry are more expensive than GFS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.48 | ||
| EV/EBITDA | 7.51 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as GFS's earnings are expected to grow with 16.63% in the coming years.
PEG (NY)5.21
PEG (5Y)N/A
EPS Next 2Y12.6%
EPS Next 3Y16.63%
5. Dividend
5.1 Amount
No dividends for GFS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
34.6
-0.04 (-0.12%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners101.78%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap19.20B
Revenue(TTM)6.79B
Net Income(TTM)-44.00M
Analysts73.85
Price Target40.09 (15.87%)
Short Float %2.57%
Short Ratio4.14
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)12.95%
Min EPS beat(2)8.67%
Max EPS beat(2)17.23%
EPS beat(4)4
Avg EPS beat(4)11.24%
Min EPS beat(4)2.49%
Max EPS beat(4)17.23%
EPS beat(8)8
Avg EPS beat(8)18.39%
EPS beat(12)12
Avg EPS beat(12)15.79%
EPS beat(16)16
Avg EPS beat(16)23.11%
Revenue beat(2)0
Avg Revenue beat(2)-0.32%
Min Revenue beat(2)-0.35%
Max Revenue beat(2)-0.3%
Revenue beat(4)0
Avg Revenue beat(4)-0.53%
Min Revenue beat(4)-0.92%
Max Revenue beat(4)-0.3%
Revenue beat(8)2
Avg Revenue beat(8)-0.3%
Revenue beat(12)3
Avg Revenue beat(12)-0.32%
Revenue beat(16)7
Avg Revenue beat(16)-0.09%
PT rev (1m)-1.18%
PT rev (3m)-3.35%
EPS NQ rev (1m)0.2%
EPS NQ rev (3m)0.98%
EPS NY rev (1m)-0.46%
EPS NY rev (3m)-0.23%
Revenue NQ rev (1m)0.33%
Revenue NQ rev (3m)-0.05%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.23 | ||
| Fwd PE | 17.49 | ||
| P/S | 2.83 | ||
| P/FCF | 16.48 | ||
| P/OCF | 10.59 | ||
| P/B | 1.64 | ||
| P/tB | 1.78 | ||
| EV/EBITDA | 7.51 |
EPS(TTM)1.63
EY4.71%
EPS(NY)1.98
Fwd EY5.72%
FCF(TTM)2.1
FCFY6.07%
OCF(TTM)3.27
OCFY9.45%
SpS12.24
BVpS21.1
TBVpS19.41
PEG (NY)5.21
PEG (5Y)N/A
Graham Number27.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.26% | ||
| ROE | -0.38% | ||
| ROCE | 5.31% | ||
| ROIC | 4.2% | ||
| ROICexc | 5.45% | ||
| ROICexgc | 5.94% | ||
| OM | 11.44% | ||
| PM (TTM) | N/A | ||
| GM | 24.02% | ||
| FCFM | 17.16% |
ROA(3y)4.06%
ROA(5y)-0.08%
ROE(3y)7.11%
ROE(5y)-0.12%
ROIC(3y)5.8%
ROIC(5y)N/A
ROICexc(3y)7.4%
ROICexc(5y)N/A
ROICexgc(3y)7.71%
ROICexgc(5y)N/A
ROCE(3y)7.34%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y15.97%
GM growth 5YN/A
F-Score6
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.43 | ||
| Debt/EBITDA | 0.71 | ||
| Cap/Depr | 47.06% | ||
| Cap/Sales | 9.56% | ||
| Interest Coverage | 10.22 | ||
| Cash Conversion | 84.14% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.03 | ||
| Quick Ratio | 2.24 | ||
| Altman-Z | 2.12 |
F-Score6
WACC10.1%
ROIC/WACC0.42
Cap/Depr(3y)117.56%
Cap/Depr(5y)97.05%
Cap/Sales(3y)23.8%
Cap/Sales(5y)22.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.32%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y4.08%
EPS Next 2Y12.6%
EPS Next 3Y16.63%
EPS Next 5Y20.17%
Revenue 1Y (TTM)0.25%
Revenue growth 3Y0.83%
Revenue growth 5Y3.03%
Sales Q2Q%-2.93%
Revenue Next Year0.09%
Revenue Next 2Y4.04%
Revenue Next 3Y6.05%
Revenue Next 5Y8.19%
EBIT growth 1Y-5.93%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year162.87%
EBIT Next 3Y49.92%
EBIT Next 5Y31.63%
FCF growth 1Y283.46%
FCF growth 3Y0.75%
FCF growth 5YN/A
OCF growth 1Y-6.11%
OCF growth 3Y-15.35%
OCF growth 5Y28.22%
GLOBALFOUNDRIES INC / GFS FAQ
What is the ChartMill fundamental rating of GLOBALFOUNDRIES INC (GFS) stock?
ChartMill assigns a fundamental rating of 4 / 10 to GFS.
What is the valuation status of GLOBALFOUNDRIES INC (GFS) stock?
ChartMill assigns a valuation rating of 5 / 10 to GLOBALFOUNDRIES INC (GFS). This can be considered as Fairly Valued.
What is the profitability of GFS stock?
GLOBALFOUNDRIES INC (GFS) has a profitability rating of 4 / 10.
What is the valuation of GLOBALFOUNDRIES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for GLOBALFOUNDRIES INC (GFS) is 21.23 and the Price/Book (PB) ratio is 1.64.
What is the earnings growth outlook for GLOBALFOUNDRIES INC?
The Earnings per Share (EPS) of GLOBALFOUNDRIES INC (GFS) is expected to grow by 4.08% in the next year.