35.88 USD
+0.04 (+0.11%)
35.94 USD
+0.06 (+0.17%)
Taking everything into account, GFS scores 4 out of 10 in our fundamental rating. GFS was compared to 112 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.
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
GFS has a Return On Assets (-0.26%) which is comparable to the rest of the industry.
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.
GFS has a better Return On Invested Capital (4.20%) than 61.61% of its industry peers.
GFS had an Average Return On Invested Capital over the past 3 years of 5.80%. This is below the industry average of 10.76%.
| 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
Looking at the Operating Margin, with a value of 11.44%, GFS is in the better half of the industry, outperforming 67.86% of the companies in the same industry.
GFS has a Gross Margin of 24.02%. This is in the lower half of the industry: GFS underperforms 77.68% of its industry peers.
In the last couple of years the Gross Margin of GFS has grown nicely.
| 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.
Compared to 1 year ago, GFS has about the same amount of shares outstanding.
Compared to 5 years ago, GFS has more shares outstanding
The debt/assets ratio for GFS has been reduced compared to a year ago.
2.2 Solvency
GFS has an Altman-Z score of 2.20. This is not the best score and indicates that GFS is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.20, GFS is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
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.
With a decent Debt to FCF ratio value of 1.43, GFS is doing good in 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.
GFS has a Debt to Equity ratio of 0.13. This is comparable 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 | 2.2 |
ROIC/WACC0.43
WACC9.79%
2.3 Liquidity
A Current Ratio of 3.03 indicates that GFS has no problem at all paying its short term obligations.
With a Current ratio value of 3.03, GFS perfoms like the industry average, outperforming 51.79% of the companies in the same industry.
A Quick Ratio of 2.24 indicates that GFS has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.24, GFS is in line with its industry, outperforming 54.46% of the companies in the same industry.
| 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%.
Measured over the past years, GFS shows a small growth in Revenue. The Revenue has been growing by 3.03% on average per year.
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
Based on estimates for the next years, GFS will show a very strong growth in Earnings Per Share. The EPS will grow by 20.17% on average per year.
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 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
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 22.01, the valuation of GFS can be described as rather expensive.
Based on the Price/Earnings ratio, GFS is valued cheaply inside the industry as 83.93% of the companies are valued more expensively.
GFS's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.11.
With a Price/Forward Earnings ratio of 18.14, GFS is valued on the expensive side.
GFS's Price/Forward Earnings ratio is rather cheap when compared to the industry. GFS is cheaper than 83.93% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of GFS to the average of the S&P500 Index (36.21), we can say GFS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.01 | ||
| Fwd PE | 18.14 |
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.
Based on the Price/Free Cash Flow ratio, GFS is valued cheaply inside the industry as 91.07% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.11 | ||
| EV/EBITDA | 7.84 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
GFS's earnings are expected to grow with 16.63% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.4
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 |
35.88
+0.04 (+0.11%)
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 Cap19.94B
Revenue(TTM)6.79B
Net Income(TTM)-44.00M
Analysts73.85
Price Target40.09 (11.73%)
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)-0.05%
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 | 22.01 | ||
| Fwd PE | 18.14 | ||
| P/S | 2.94 | ||
| P/FCF | 17.11 | ||
| P/OCF | 10.99 | ||
| P/B | 1.7 | ||
| P/tB | 1.85 | ||
| EV/EBITDA | 7.84 |
EPS(TTM)1.63
EY4.54%
EPS(NY)1.98
Fwd EY5.51%
FCF(TTM)2.1
FCFY5.84%
OCF(TTM)3.26
OCFY9.1%
SpS12.22
BVpS21.08
TBVpS19.39
PEG (NY)5.4
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
WACC9.79%
ROIC/WACC0.43
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 22.01 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 4.08% in the next year.