38.95 USD
+1.37 (+3.65%)
39.2 USD
+0.25 (+0.64%)
GFS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. GFS has an average financial health and profitability rating. GFS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year GFS was profitable.
GFS had a positive operating cash flow in the past year.
In multiple years GFS reported negative net income over the last 5 years.
GFS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -0.26%, GFS perfoms like the industry average, outperforming 48.21% of the companies in the same industry.
Looking at the Return On Equity, with a value of -0.38%, GFS is in line with its industry, outperforming 48.21% of the companies in the same industry.
GFS has a better Return On Invested Capital (4.20%) 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 10.79%.
| 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's Operating Margin of 11.44% is fine compared to the rest 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GFS is destroying value.
The number of shares outstanding for GFS remains at a similar level compared to 1 year ago.
The number of shares outstanding for GFS has been increased compared to 5 years ago.
The debt/assets ratio for GFS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.32 indicates that GFS is not a great score, but indicates only limited risk for bankruptcy at the moment.
GFS has a Altman-Z score of 2.32. This is in the lower half of the industry: GFS underperforms 63.39% 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.
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.
A Debt/Equity ratio of 0.13 indicates that GFS is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.13, GFS perfoms like the industry average, outperforming 55.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 2.32 |
ROIC/WACC0.42
WACC9.96%
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.
Looking at the Current ratio, with a value of 3.03, GFS is in line with its industry, outperforming 51.79% of the companies in the same 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 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
The earnings per share for GFS have decreased by -6.32% in the last year.
GFS shows a small growth in Revenue. In the last year, the Revenue has grown by 0.25%.
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
The Earnings Per Share is expected to grow by 20.17% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 9.44% on average over the next years. This is quite good.
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 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
The Price/Earnings ratio is 23.90, which indicates a rather expensive current valuation of GFS.
GFS's Price/Earnings ratio is rather cheap when compared to the industry. GFS is cheaper than 83.93% of the companies in the same industry.
GFS's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.46.
GFS is valuated rather expensively with a Price/Forward Earnings ratio of 19.69.
Based on the Price/Forward Earnings ratio, GFS is valued cheaper than 82.14% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of GFS to the average of the S&P500 Index (36.10), we can say GFS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.9 | ||
| Fwd PE | 19.69 |
4.2 Price Multiples
GFS's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GFS is cheaper than 96.43% of the companies in the same industry.
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 | 18.58 | ||
| EV/EBITDA | 8.29 |
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 16.63% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.86
PEG (5Y)N/A
EPS Next 2Y12.6%
EPS Next 3Y16.63%
5. Dividend
5.1 Amount
GFS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
38.95
+1.37 (+3.65%)
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 Cap21.64B
Revenue(TTM)6.79B
Net Income(TTM)-44.00M
Analysts73.85
Price Target40.38 (3.67%)
Short Float %2.78%
Short Ratio4.71
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)-0.05%
EPS NQ rev (3m)-0.36%
EPS NY rev (1m)-0.46%
EPS NY rev (3m)-0.23%
Revenue NQ rev (1m)0.17%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.9 | ||
| Fwd PE | 19.69 | ||
| P/S | 3.19 | ||
| P/FCF | 18.58 | ||
| P/OCF | 11.93 | ||
| P/B | 1.85 | ||
| P/tB | 2.01 | ||
| EV/EBITDA | 8.29 |
EPS(TTM)1.63
EY4.18%
EPS(NY)1.98
Fwd EY5.08%
FCF(TTM)2.1
FCFY5.38%
OCF(TTM)3.26
OCFY8.38%
SpS12.22
BVpS21.08
TBVpS19.39
PEG (NY)5.86
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 | 2.32 |
F-Score6
WACC9.96%
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 5Y9.44%
EBIT growth 1Y-5.93%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year162.87%
EBIT Next 3Y49.92%
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 23.9 and the Price/Book (PB) ratio is 1.85.
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.