GAROFALO HEALTH CARE SPA (GHC.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:GHC - IT0005345233 - Common Stock
5.5 EUR
+0.11 (+2.04%)
We assign a fundamental rating of 4 out of 10 to GHC. GHC was compared to 32 industry peers in the Health Care Providers & Services industry. GHC has an average financial health and profitability rating. GHC has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year GHC was profitable.
In the past year GHC had a positive cash flow from operations.
Each year in the past 5 years GHC has been profitable.
In the past 5 years GHC always reported a positive cash flow from operatings.
1.2 Ratios
GHC has a Return On Assets of 3.66%. This is in the better half of the industry: GHC outperforms 62.50% of its industry peers.
With a Return On Equity value of 9.57%, GHC perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
GHC's Return On Invested Capital of 6.52% is fine compared to the rest of the industry. GHC outperforms 65.63% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GHC is below the industry average of 7.02%.
The last Return On Invested Capital (6.52%) for GHC is above the 3 year average (4.41%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.66% | ||
| ROE | 9.57% | ||
| ROIC | 6.52% |
ROA(3y)2.83%
ROA(5y)2.81%
ROE(3y)7.12%
ROE(5y)6.88%
ROIC(3y)4.41%
ROIC(5y)3.91%
1.3 Margins
GHC's Profit Margin of 4.62% is amongst the best of the industry. GHC outperforms 81.25% of its industry peers.
GHC's Profit Margin has declined in the last couple of years.
The Operating Margin of GHC (9.37%) is better than 84.38% of its industry peers.
In the last couple of years the Operating Margin of GHC has declined.
With a decent Gross Margin value of 44.90%, GHC is doing good in the industry, outperforming 68.75% of the companies in the same industry.
In the last couple of years the Gross Margin of GHC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.37% | ||
| PM (TTM) | 4.62% | ||
| GM | 44.9% |
OM growth 3Y-0.19%
OM growth 5Y-3.37%
PM growth 3Y-11.52%
PM growth 5Y-7.03%
GM growth 3Y0.36%
GM growth 5Y-1.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so GHC is still creating some value.
GHC has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for GHC has been increased compared to 5 years ago.
Compared to 1 year ago, GHC has an improved debt to assets ratio.
2.2 Solvency
GHC has an Altman-Z score of 1.96. This is not the best score and indicates that GHC is in the grey zone with still only limited risk for bankruptcy at the moment.
GHC has a Altman-Z score of 1.96. This is comparable to the rest of the industry: GHC outperforms 46.88% of its industry peers.
The Debt to FCF ratio of GHC is 70.49, which is on the high side as it means it would take GHC, 70.49 years of fcf income to pay off all of its debts.
GHC has a Debt to FCF ratio of 70.49. This is in the lower half of the industry: GHC underperforms 75.00% of its industry peers.
GHC has a Debt/Equity ratio of 0.67. This is a neutral value indicating GHC is somewhat dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.67, GHC belongs to the best of the industry, outperforming 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 70.49 | ||
| Altman-Z | 1.96 |
ROIC/WACC1
WACC6.51%
2.3 Liquidity
A Current Ratio of 1.16 indicates that GHC should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.16, GHC is in the better half of the industry, outperforming 65.63% of the companies in the same industry.
A Quick Ratio of 1.12 indicates that GHC should not have too much problems paying its short term obligations.
The Quick ratio of GHC (1.12) is better than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for GHC have decreased strongly by -12.11% in the last year.
The Earnings Per Share has been growing by 8.81% on average over the past years. This is quite good.
Looking at the last year, GHC shows a quite strong growth in Revenue. The Revenue has grown by 10.44% in the last year.
Measured over the past years, GHC shows a quite strong growth in Revenue. The Revenue has been growing by 18.92% on average per year.
EPS 1Y (TTM)-12.11%
EPS 3Y5.52%
EPS 5Y8.81%
EPS Q2Q%2.71%
Revenue 1Y (TTM)10.44%
Revenue growth 3Y18.48%
Revenue growth 5Y18.92%
Sales Q2Q%3.08%
3.2 Future
Based on estimates for the next years, GHC will show a small growth in Earnings Per Share. The EPS will grow by 6.47% on average per year.
Based on estimates for the next years, GHC will show a small growth in Revenue. The Revenue will grow by 1.51% on average per year.
EPS Next Y3.45%
EPS Next 2Y5.05%
EPS Next 3Y6.47%
EPS Next 5YN/A
Revenue Next Year3.78%
Revenue Next 2Y4.6%
Revenue Next 3Y3.74%
Revenue Next 5Y1.51%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.28, the valuation of GHC can be described as correct.
62.50% of the companies in the same industry are more expensive than GHC, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of GHC to the average of the S&P500 Index (27.25), we can say GHC is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 17.02, the valuation of GHC can be described as rather expensive.
GHC's Price/Forward Earnings is on the same level as the industry average.
GHC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.28 | ||
| Fwd PE | 17.02 |
4.2 Price Multiples
GHC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GHC is cheaper than 81.25% of the companies in the same industry.
GHC's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. GHC is more expensive than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 152.74 | ||
| EV/EBITDA | 7.48 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of GHC may justify a higher PE ratio.
PEG (NY)4.43
PEG (5Y)1.73
EPS Next 2Y5.05%
EPS Next 3Y6.47%
5. Dividend
5.1 Amount
GHC has a Yearly Dividend Yield of 1.58%. Purely for dividend investing, there may be better candidates out there.
GHC's Dividend Yield is comparable with the industry average which is at 1.57.
Compared to an average S&P500 Dividend Yield of 1.92, GHC has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y5.05%
EPS Next 3Y6.47%
BIT:GHC (1/12/2026, 7:00:00 PM)
5.5
+0.11 (+2.04%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners11.85%
Inst Owner ChangeN/A
Ins Owners63%
Ins Owner ChangeN/A
Market Cap496.10M
Revenue(TTM)690.85M
Net Income(TTM)31.91M
Analysts84
Price Target6.73 (22.36%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
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)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.28 | ||
| Fwd PE | 17.02 | ||
| P/S | 0.72 | ||
| P/FCF | 152.74 | ||
| P/OCF | 17.76 | ||
| P/B | 1.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.48 |
EPS(TTM)0.36
EY6.55%
EPS(NY)0.32
Fwd EY5.88%
FCF(TTM)0.04
FCFY0.65%
OCF(TTM)0.31
OCFY5.63%
SpS7.66
BVpS3.7
TBVpS-0.44
PEG (NY)4.43
PEG (5Y)1.73
Graham Number5.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.66% | ||
| ROE | 9.57% | ||
| ROCE | 9.13% | ||
| ROIC | 6.52% | ||
| ROICexc | 6.77% | ||
| ROICexgc | 14.86% | ||
| OM | 9.37% | ||
| PM (TTM) | 4.62% | ||
| GM | 44.9% | ||
| FCFM | 0.47% |
ROA(3y)2.83%
ROA(5y)2.81%
ROE(3y)7.12%
ROE(5y)6.88%
ROIC(3y)4.41%
ROIC(5y)3.91%
ROICexc(3y)4.63%
ROICexc(5y)4.13%
ROICexgc(3y)10.78%
ROICexgc(5y)9.37%
ROCE(3y)6.5%
ROCE(5y)5.8%
ROICexgc growth 3Y7.97%
ROICexgc growth 5Y2.8%
ROICexc growth 3Y6.71%
ROICexc growth 5Y0.74%
OM growth 3Y-0.19%
OM growth 5Y-3.37%
PM growth 3Y-11.52%
PM growth 5Y-7.03%
GM growth 3Y0.36%
GM growth 5Y-1.06%
F-Score5
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 70.49 | ||
| Debt/EBITDA | 2.47 | ||
| Cap/Depr | 94.13% | ||
| Cap/Sales | 3.57% | ||
| Interest Coverage | 6.62 | ||
| Cash Conversion | 30.7% | ||
| Profit Quality | 10.18% | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 1.96 |
F-Score5
WACC6.51%
ROIC/WACC1
Cap/Depr(3y)82.25%
Cap/Depr(5y)102.09%
Cap/Sales(3y)4.73%
Cap/Sales(5y)5.79%
Profit Quality(3y)118.21%
Profit Quality(5y)101.66%
High Growth Momentum
Growth
EPS 1Y (TTM)-12.11%
EPS 3Y5.52%
EPS 5Y8.81%
EPS Q2Q%2.71%
EPS Next Y3.45%
EPS Next 2Y5.05%
EPS Next 3Y6.47%
EPS Next 5YN/A
Revenue 1Y (TTM)10.44%
Revenue growth 3Y18.48%
Revenue growth 5Y18.92%
Sales Q2Q%3.08%
Revenue Next Year3.78%
Revenue Next 2Y4.6%
Revenue Next 3Y3.74%
Revenue Next 5Y1.51%
EBIT growth 1Y-8.88%
EBIT growth 3Y18.26%
EBIT growth 5Y14.91%
EBIT Next Year68.09%
EBIT Next 3Y22.98%
EBIT Next 5Y16.09%
FCF growth 1Y-88.34%
FCF growth 3Y4.79%
FCF growth 5Y6.69%
OCF growth 1Y-35.2%
OCF growth 3Y-1.23%
OCF growth 5Y13.09%
GAROFALO HEALTH CARE SPA / GHC.MI FAQ
What is the ChartMill fundamental rating of GAROFALO HEALTH CARE SPA (GHC.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to GHC.MI.
What is the valuation status for GHC stock?
ChartMill assigns a valuation rating of 4 / 10 to GAROFALO HEALTH CARE SPA (GHC.MI). This can be considered as Fairly Valued.
How profitable is GAROFALO HEALTH CARE SPA (GHC.MI) stock?
GAROFALO HEALTH CARE SPA (GHC.MI) has a profitability rating of 6 / 10.
What is the financial health of GAROFALO HEALTH CARE SPA (GHC.MI) stock?
The financial health rating of GAROFALO HEALTH CARE SPA (GHC.MI) is 4 / 10.
What is the expected EPS growth for GAROFALO HEALTH CARE SPA (GHC.MI) stock?
The Earnings per Share (EPS) of GAROFALO HEALTH CARE SPA (GHC.MI) is expected to grow by 3.45% in the next year.