GOLAR LNG LTD (GLNG) Stock Fundamental Analysis
NASDAQ:GLNG - Nasdaq - BMG9456A1009 - Common Stock - Currency: USD
Overall GLNG gets a fundamental rating of 2 out of 10. We evaluated GLNG against 212 industry peers in the Oil, Gas & Consumable Fuels industry. GLNG may be in some trouble as it scores bad on both profitability and health. While showing a medium growth rate, GLNG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
GLNG had positive earnings in the past year.
In the past year GLNG had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: GLNG reported negative net income in multiple years.
Each year in the past 5 years GLNG had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.16%, GLNG is doing worse than 63.68% of the companies in the same industry.
GLNG has a Return On Equity of 2.52%. This is in the lower half of the industry: GLNG underperforms 63.68% of its industry peers.
GLNG's Return On Invested Capital of 1.03% is on the low side compared to the rest of the industry. GLNG is outperformed by 74.53% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GLNG is significantly below the industry average of 25.76%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.16% | ||
| ROE | 2.52% | ||
| ROIC | 1.03% |
ROA(3y)6.14%
ROA(5y)4.09%
ROE(3y)10.59%
ROE(5y)6.9%
ROIC(3y)1.67%
ROIC(5y)1.97%
1.3 Margins
GLNG has a better Profit Margin (19.53%) than 71.23% of its industry peers.
GLNG's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 17.62%, GLNG perfoms like the industry average, outperforming 48.58% of the companies in the same industry.
GLNG's Operating Margin has declined in the last couple of years.
The Gross Margin of GLNG (53.30%) is comparable to the rest of the industry.
GLNG's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.62% | ||
| PM (TTM) | 19.53% | ||
| GM | 53.3% |
OM growth 3Y-23.38%
OM growth 5Y-9.29%
PM growth 3Y-50.3%
PM growth 5YN/A
GM growth 3Y-10.75%
GM growth 5Y-3.68%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GLNG is destroying value.
Compared to 1 year ago, GLNG has about the same amount of shares outstanding.
GLNG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for GLNG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.14, we must say that GLNG is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.14, GLNG is in line with its industry, outperforming 46.70% of the companies in the same industry.
GLNG has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of GLNG (0.46) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.14 |
ROIC/WACC0.1
WACC9.95%
2.3 Liquidity
A Current Ratio of 0.88 indicates that GLNG may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.88, GLNG is doing worse than 66.98% of the companies in the same industry.
GLNG has a Quick Ratio of 0.88. This is a bad value and indicates that GLNG is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.88, GLNG perfoms like the industry average, outperforming 41.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
The earnings per share for GLNG have decreased strongly by -32.97% in the last year.
GLNG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.16% yearly.
Looking at the last year, GLNG shows a very negative growth in Revenue. The Revenue has decreased by -12.75% in the last year.
Measured over the past years, GLNG shows a very negative growth in Revenue. The Revenue has been decreasing by -10.32% on average per year.
EPS 1Y (TTM)-32.97%
EPS 3Y-2.16%
EPS 5YN/A
EPS Q2Q%-64.91%
Revenue 1Y (TTM)-12.75%
Revenue growth 3Y0.01%
Revenue growth 5Y-10.32%
Sales Q2Q%-17.27%
3.2 Future
The Earnings Per Share is expected to grow by 5.33% on average over the next years.
The Revenue is expected to grow by 26.57% on average over the next years. This is a very strong growth
EPS Next Y2.11%
EPS Next 2Y-18.76%
EPS Next 3Y5.33%
EPS Next 5YN/A
Revenue Next Year57.08%
Revenue Next 2Y22.96%
Revenue Next 3Y26.57%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 25.82, which means the current valuation is very expensive for GLNG.
Based on the Price/Earnings ratio, GLNG is valued a bit more expensive than 61.32% of the companies in the same industry.
GLNG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.87.
With a Price/Forward Earnings ratio of 25.26, GLNG can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GLNG indicates a slightly more expensive valuation: GLNG is more expensive than 60.38% of the companies listed in the same industry.
GLNG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.38, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.82 | ||
| Fwd PE | 25.26 |
4.2 Price Multiples
GLNG's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. GLNG is more expensive than 75.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 51.33 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)12.23
PEG (5Y)N/A
EPS Next 2Y-18.76%
EPS Next 3Y5.33%
5. Dividend
5.1 Amount
GLNG has a Yearly Dividend Yield of 2.49%.
GLNG's Dividend Yield is comparable with the industry average which is at 7.32.
GLNG's Dividend Yield is comparable with the S&P500 average which is at 2.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.49% |
5.2 History
On average, the dividend of GLNG grows each year by 12.28%, which is quite nice.
GLNG has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of GLNG decreased recently.
Dividend Growth(5Y)12.28%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
GLNG pays out 204.78% of its income as dividend. This is not a sustainable payout ratio.
The dividend of GLNG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP204.78%
EPS Next 2Y-18.76%
EPS Next 3Y5.33%
41.06
+0.75 (+1.86%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners85.8%
Inst Owner Change0.13%
Ins Owners2.65%
Ins Owner ChangeN/A
Market Cap4.30B
Analysts84
Price Target48.26 (17.54%)
Short Float %5.76%
Short Ratio2.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.49% |
Yearly Dividend1
Dividend Growth(5Y)12.28%
DP204.78%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)13.76%
Min EPS beat(2)-1.1%
Max EPS beat(2)28.62%
EPS beat(4)2
Avg EPS beat(4)1.83%
Min EPS beat(4)-35.5%
Max EPS beat(4)28.62%
EPS beat(8)5
Avg EPS beat(8)10.09%
EPS beat(12)9
Avg EPS beat(12)42.77%
EPS beat(16)10
Avg EPS beat(16)1343.01%
Revenue beat(2)0
Avg Revenue beat(2)-14.88%
Min Revenue beat(2)-18.14%
Max Revenue beat(2)-11.62%
Revenue beat(4)0
Avg Revenue beat(4)-14.96%
Min Revenue beat(4)-18.14%
Max Revenue beat(4)-11.62%
Revenue beat(8)0
Avg Revenue beat(8)-11.03%
Revenue beat(12)0
Avg Revenue beat(12)-16.43%
Revenue beat(16)0
Avg Revenue beat(16)-22.37%
PT rev (1m)1.88%
PT rev (3m)3.01%
EPS NQ rev (1m)-3.93%
EPS NQ rev (3m)-19.27%
EPS NY rev (1m)3.56%
EPS NY rev (3m)8.91%
Revenue NQ rev (1m)-2.36%
Revenue NQ rev (3m)-10.62%
Revenue NY rev (1m)0.66%
Revenue NY rev (3m)-2.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.82 | ||
| Fwd PE | 25.26 | ||
| P/S | 16.5 | ||
| P/FCF | N/A | ||
| P/OCF | 13.5 | ||
| P/B | 2.13 | ||
| P/tB | 2.14 | ||
| EV/EBITDA | 51.33 |
EPS(TTM)1.59
EY3.87%
EPS(NY)1.63
Fwd EY3.96%
FCF(TTM)-1.21
FCFYN/A
OCF(TTM)3.04
OCFY7.41%
SpS2.49
BVpS19.25
TBVpS19.23
PEG (NY)12.23
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.16% | ||
| ROE | 2.52% | ||
| ROCE | 1.3% | ||
| ROIC | 1.03% | ||
| ROICexc | 1.22% | ||
| ROICexgc | 1.23% | ||
| OM | 17.62% | ||
| PM (TTM) | 19.53% | ||
| GM | 53.3% | ||
| FCFM | N/A |
ROA(3y)6.14%
ROA(5y)4.09%
ROE(3y)10.59%
ROE(5y)6.9%
ROIC(3y)1.67%
ROIC(5y)1.97%
ROICexc(3y)2.08%
ROICexc(5y)2.34%
ROICexgc(3y)2.08%
ROICexgc(5y)2.34%
ROCE(3y)2.11%
ROCE(5y)2.49%
ROICexcg growth 3Y-23.68%
ROICexcg growth 5Y-18.6%
ROICexc growth 3Y-23.7%
ROICexc growth 5Y-18.62%
OM growth 3Y-23.38%
OM growth 5Y-9.29%
PM growth 3Y-50.3%
PM growth 5YN/A
GM growth 3Y-10.75%
GM growth 5Y-3.68%
F-Score6
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 9.36 | ||
| Cap/Depr | 831.52% | ||
| Cap/Sales | 170.94% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 320.12% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 1.14 |
F-Score6
WACC9.95%
ROIC/WACC0.1
Cap/Depr(3y)654.85%
Cap/Depr(5y)578.43%
Cap/Sales(3y)124.87%
Cap/Sales(5y)114.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.97%
EPS 3Y-2.16%
EPS 5YN/A
EPS Q2Q%-64.91%
EPS Next Y2.11%
EPS Next 2Y-18.76%
EPS Next 3Y5.33%
EPS Next 5YN/A
Revenue 1Y (TTM)-12.75%
Revenue growth 3Y0.01%
Revenue growth 5Y-10.32%
Sales Q2Q%-17.27%
Revenue Next Year57.08%
Revenue Next 2Y22.96%
Revenue Next 3Y26.57%
Revenue Next 5YN/A
EBIT growth 1Y-56.56%
EBIT growth 3Y-23.38%
EBIT growth 5Y-18.65%
EBIT Next Year67.82%
EBIT Next 3Y27.5%
EBIT Next 5YN/A
FCF growth 1Y27.3%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y135.3%
OCF growth 3Y10.12%
OCF growth 5Y24.47%