35.81 USD
+0.06 (+0.17%)
35.95 USD
+0.14 (+0.39%)
Taking everything into account, GFS scores 4 out of 10 in our fundamental rating. GFS was compared to 113 industry peers in the Semiconductors & Semiconductor Equipment industry. GFS has only an average score on both its financial health and profitability. GFS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
GFS had positive earnings in the past year.
In the past year GFS had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: GFS reported negative net income in multiple years.
Each year in the past 5 years GFS had a positive operating cash flow.
1.2 Ratios
GFS has a Return On Assets (-0.26%) which is comparable to the rest of the industry.
GFS has a Return On Equity (-0.38%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 4.20%, GFS is in the better half of the industry, outperforming 60.18% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GFS is below the industry average of 10.77%.
| 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 66.37% of its industry peers.
GFS's Gross Margin of 24.02% is on the low side compared to the rest of the industry. GFS is outperformed by 76.99% 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.
Compared to 1 year ago, GFS has about the same amount of shares outstanding.
Compared to 5 years ago, GFS has more shares outstanding
Compared to 1 year ago, GFS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.20 indicates that GFS is not a great score, but indicates only limited risk for bankruptcy at the moment.
GFS has a worse Altman-Z score (2.20) than 64.60% of its industry peers.
The Debt to FCF ratio of GFS is 1.43, which is an excellent value as it means it would take GFS, only 1.43 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GFS (1.43) is better than 71.68% of its industry peers.
A Debt/Equity ratio of 0.13 indicates that GFS is not too dependend on debt financing.
GFS has a Debt to Equity ratio (0.13) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 2.2 |
ROIC/WACC0.41
WACC10.14%
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 comparable to the rest of the industry.
GFS has a Quick Ratio of 2.24. This indicates that GFS is financially healthy and has no problem in meeting its short term obligations.
GFS has a Quick ratio (2.24) which is in line with 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%.
GFS shows a small growth in Revenue. In the last year, the Revenue has grown by 0.25%.
The Revenue has been growing slightly by 3.03% on average over the past years.
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
The Earnings Per Share is expected to grow by 20.17% on average over the next years. This is a very strong growth
Based on estimates for the next years, GFS will show a quite strong growth in Revenue. The Revenue will grow by 9.44% on average per year.
EPS Next Y6.44%
EPS Next 2Y9.65%
EPS Next 3Y14.6%
EPS Next 5Y20.17%
Revenue Next Year0.18%
Revenue Next 2Y3.25%
Revenue Next 3Y5.08%
Revenue Next 5Y9.44%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GFS is valuated rather expensively with a Price/Earnings ratio of 21.97.
Based on the Price/Earnings ratio, GFS is valued cheaply inside the industry as 84.07% of the companies are valued more expensively.
GFS's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.57.
GFS is valuated rather expensively with a Price/Forward Earnings ratio of 19.09.
Based on the Price/Forward Earnings ratio, GFS is valued cheaply inside the industry as 82.30% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 24.04. GFS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.97 | ||
| Fwd PE | 19.09 |
4.2 Price Multiples
GFS's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GFS is cheaper than 97.35% of the companies in the same industry.
GFS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GFS is cheaper than 91.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.08 | ||
| EV/EBITDA | 7.81 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GFS does not grow enough to justify the current Price/Earnings ratio.
GFS's earnings are expected to grow with 14.60% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.41
PEG (5Y)N/A
EPS Next 2Y9.65%
EPS Next 3Y14.6%
5. Dividend
5.1 Amount
No dividends for GFS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
35.81
+0.06 (+0.17%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners103.54%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap19.90B
Revenue(TTM)6.79B
Net Income(TTM)-44.00M
Analysts73.85
Price Target40.58 (13.32%)
Short Float %2.73%
Short Ratio5.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)0.73%
PT rev (3m)-1.24%
EPS NQ rev (1m)-0.86%
EPS NQ rev (3m)-0.97%
EPS NY rev (1m)2.27%
EPS NY rev (3m)2.04%
Revenue NQ rev (1m)-0.11%
Revenue NQ rev (3m)0.06%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.97 | ||
| Fwd PE | 19.09 | ||
| P/S | 2.93 | ||
| P/FCF | 17.08 | ||
| P/OCF | 10.97 | ||
| P/B | 1.7 | ||
| P/tB | 1.85 | ||
| EV/EBITDA | 7.81 |
EPS(TTM)1.63
EY4.55%
EPS(NY)1.88
Fwd EY5.24%
FCF(TTM)2.1
FCFY5.85%
OCF(TTM)3.26
OCFY9.12%
SpS12.22
BVpS21.08
TBVpS19.39
PEG (NY)3.41
PEG (5Y)N/A
Graham Number27.8
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 | 2.2 |
F-Score6
WACC10.14%
ROIC/WACC0.41
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 Y6.44%
EPS Next 2Y9.65%
EPS Next 3Y14.6%
EPS Next 5Y20.17%
Revenue 1Y (TTM)0.25%
Revenue growth 3Y0.83%
Revenue growth 5Y3.03%
Sales Q2Q%-2.93%
Revenue Next Year0.18%
Revenue Next 2Y3.25%
Revenue Next 3Y5.08%
Revenue Next 5Y9.44%
EBIT growth 1Y-5.93%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year161.62%
EBIT Next 3Y46.73%
EBIT Next 5Y31.62%
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 21.97 and the Price/Book (PB) ratio is 1.7.
What is the earnings growth outlook for GLOBALFOUNDRIES INC?
The Earnings per Share (EPS) of GLOBALFOUNDRIES INC (GFS) is expected to grow by 6.44% in the next year.