CORNING INC (GLW.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:GLW - US2193501051 - Common Stock
80.13 EUR
-0.13 (-0.16%)
GLW gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 52 industry peers in the Electronic Equipment, Instruments & Components industry. GLW has an average financial health and profitability rating. GLW is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
- GLW had positive earnings in the past year.
- GLW had a positive operating cash flow in the past year.
- GLW had positive earnings in each of the past 5 years.
- Each year in the past 5 years GLW had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 4.57%, GLW is doing good in the industry, outperforming 73.08% of the companies in the same industry.
- GLW has a Return On Equity of 11.84%. This is in the better half of the industry: GLW outperforms 76.92% of its industry peers.
- The Return On Invested Capital of GLW (6.25%) is better than 71.15% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for GLW is below the industry average of 7.60%.
- The last Return On Invested Capital (6.25%) for GLW is above the 3 year average (3.70%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.57% | ||
| ROE | 11.84% | ||
| ROIC | 6.25% |
ROA(3y)2.77%
ROA(5y)2.65%
ROE(3y)6.91%
ROE(5y)6.52%
ROIC(3y)3.7%
ROIC(5y)3.77%
1.3 Margins
- GLW has a better Profit Margin (9.16%) than 86.54% of its industry peers.
- In the last couple of years the Profit Margin of GLW has declined.
- GLW has a Operating Margin of 13.41%. This is amongst the best in the industry. GLW outperforms 86.54% of its industry peers.
- In the last couple of years the Operating Margin of GLW has declined.
- Looking at the Gross Margin, with a value of 35.69%, GLW is in line with its industry, outperforming 40.38% of the companies in the same industry.
- GLW's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.41% | ||
| PM (TTM) | 9.16% | ||
| GM | 35.69% |
OM growth 3Y-16.75%
OM growth 5Y-5.29%
PM growth 3Y-20.45%
PM growth 5Y-12.44%
GM growth 3Y-3.21%
GM growth 5Y-1.46%
2. Health
2.1 Basic Checks
- GLW has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for GLW has been reduced compared to 1 year ago.
- GLW has more shares outstanding than it did 5 years ago.
- GLW has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 4.23 indicates that GLW is not in any danger for bankruptcy at the moment.
- The Altman-Z score of GLW (4.23) is better than 78.85% of its industry peers.
- GLW has a debt to FCF ratio of 7.07. This is a slightly negative value and a sign of low solvency as GLW would need 7.07 years to pay back of all of its debts.
- GLW's Debt to FCF ratio of 7.07 is in line compared to the rest of the industry. GLW outperforms 46.15% of its industry peers.
- GLW has a Debt/Equity ratio of 0.64. This is a neutral value indicating GLW is somewhat dependend on debt financing.
- The Debt to Equity ratio of GLW (0.64) is worse than 73.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 7.07 | ||
| Altman-Z | 4.23 |
ROIC/WACC0.43
WACC14.63%
2.3 Liquidity
- GLW has a Current Ratio of 1.56. This is a normal value and indicates that GLW is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.56, GLW perfoms like the industry average, outperforming 40.38% of the companies in the same industry.
- A Quick Ratio of 1.00 indicates that GLW may have some problems paying its short term obligations.
- GLW has a Quick ratio (1.00) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
- GLW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.71%, which is quite impressive.
- The Earnings Per Share has been growing slightly by 2.29% on average over the past years.
- Looking at the last year, GLW shows a quite strong growth in Revenue. The Revenue has grown by 18.27% in the last year.
- Measured over the past years, GLW shows a small growth in Revenue. The Revenue has been growing by 2.66% on average per year.
EPS 1Y (TTM)33.71%
EPS 3Y-1.96%
EPS 5Y2.29%
EPS Q2Q%24.07%
Revenue 1Y (TTM)18.27%
Revenue growth 3Y-2.34%
Revenue growth 5Y2.66%
Sales Q2Q%14.44%
3.2 Future
- The Earnings Per Share is expected to grow by 20.01% on average over the next years. This is a very strong growth
- Based on estimates for the next years, GLW will show a quite strong growth in Revenue. The Revenue will grow by 11.98% on average per year.
EPS Next Y29.85%
EPS Next 2Y25.62%
EPS Next 3Y22.89%
EPS Next 5Y20.01%
Revenue Next Year13.9%
Revenue Next 2Y12.92%
Revenue Next 3Y11.98%
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
- A Price/Earnings ratio of 39.47 indicates a quite expensive valuation of GLW.
- GLW's Price/Earnings ratio is a bit cheaper when compared to the industry. GLW is cheaper than 63.46% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.30. GLW is valued slightly more expensive when compared to this.
- A Price/Forward Earnings ratio of 30.33 indicates a quite expensive valuation of GLW.
- Based on the Price/Forward Earnings ratio, GLW is valued a bit more expensive than 61.54% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.32, GLW is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.47 | ||
| Fwd PE | 30.33 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, GLW is valued a bit more expensive than the industry average as 61.54% of the companies are valued more cheaply.
- GLW's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. GLW is more expensive than 69.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 69.21 | ||
| EV/EBITDA | 26.12 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of GLW may justify a higher PE ratio.
- GLW's earnings are expected to grow with 22.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.32
PEG (5Y)17.22
EPS Next 2Y25.62%
EPS Next 3Y22.89%
5. Dividend
5.1 Amount
- GLW has a Yearly Dividend Yield of 1.20%. Purely for dividend investing, there may be better candidates out there.
- GLW's Dividend Yield is comparable with the industry average which is at 1.54.
- Compared to the average S&P500 Dividend Yield of 1.82, GLW is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.2% |
5.2 History
- The dividend of GLW has a limited annual growth rate of 4.75%.
Dividend Growth(5Y)4.75%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
- 72.69% of the earnings are spent on dividend by GLW. This is not a sustainable payout ratio.
- The dividend of GLW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP72.69%
EPS Next 2Y25.62%
EPS Next 3Y22.89%
CORNING INC / GLW.DE FAQ
What is the ChartMill fundamental rating of CORNING INC (GLW.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to GLW.DE.
What is the valuation status of CORNING INC (GLW.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to CORNING INC (GLW.DE). This can be considered as Overvalued.
How profitable is CORNING INC (GLW.DE) stock?
CORNING INC (GLW.DE) has a profitability rating of 6 / 10.
Can you provide the expected EPS growth for GLW stock?
The Earnings per Share (EPS) of CORNING INC (GLW.DE) is expected to grow by 29.85% in the next year.
Can you provide the dividend sustainability for GLW stock?
The dividend rating of CORNING INC (GLW.DE) is 3 / 10 and the dividend payout ratio is 72.69%.