GM LEATHER SPA (GML.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:GML • IT0005498610
0.86 EUR
-0.08 (-8.02%)
Last: Dec 2, 2025, 07:00 PM
Overall GML gets a fundamental rating of 4 out of 10. We evaluated GML against 52 industry peers in the Textiles, Apparel & Luxury Goods industry. GML has a bad profitability rating. Also its financial health evaluation is rather negative. GML has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year GML was profitable.
- In the past year GML had a positive cash flow from operations.
- In the past 5 years GML has always been profitable.
- In the past 5 years GML reported 4 times negative operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 0.37%, GML is doing worse than 73.08% of the companies in the same industry.
- GML's Return On Equity of 1.59% is on the low side compared to the rest of the industry. GML is outperformed by 73.08% of its industry peers.
- GML has a Return On Invested Capital of 7.88%. This is comparable to the rest of the industry: GML outperforms 46.15% of its industry peers.
- GML had an Average Return On Invested Capital over the past 3 years of 8.32%. This is below the industry average of 11.64%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.37% | ||
| ROE | 1.59% | ||
| ROIC | 7.88% |
ROA(3y)3.22%
ROA(5y)4.65%
ROE(3y)11.59%
ROE(5y)18.27%
ROIC(3y)8.32%
ROIC(5y)9.87%
1.3 Margins
- GML has a Profit Margin of 0.51%. This is in the lower half of the industry: GML underperforms 73.08% of its industry peers.
- GML's Profit Margin has declined in the last couple of years.
- GML has a Operating Margin (8.17%) which is in line with its industry peers.
- In the last couple of years the Operating Margin of GML has grown nicely.
- GML has a Gross Margin of 34.21%. This is amonst the worse of the industry: GML underperforms 92.31% of its industry peers.
- In the last couple of years the Gross Margin of GML has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.17% | ||
| PM (TTM) | 0.51% | ||
| GM | 34.21% |
OM growth 3Y5.28%
OM growth 5YN/A
PM growth 3Y-45.3%
PM growth 5YN/A
GM growth 3Y27.63%
GM growth 5YN/A
2. Health
2.1 Basic Checks
- GML has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for GML remains at a similar level compared to 1 year ago.
- Compared to 1 year ago, GML has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.51, we must say that GML is in the distress zone and has some risk of bankruptcy.
- GML's Altman-Z score of 1.51 is on the low side compared to the rest of the industry. GML is outperformed by 78.85% of its industry peers.
- GML has a debt to FCF ratio of 19.48. This is a negative value and a sign of low solvency as GML would need 19.48 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 19.48, GML is doing worse than 76.92% of the companies in the same industry.
- GML has a Debt/Equity ratio of 0.66. This is a neutral value indicating GML is somewhat dependend on debt financing.
- The Debt to Equity ratio of GML (0.66) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 19.48 | ||
| Altman-Z | 1.51 |
ROIC/WACC1.07
WACC7.37%
2.3 Liquidity
- A Current Ratio of 1.32 indicates that GML should not have too much problems paying its short term obligations.
- The Current ratio of GML (1.32) is worse than 61.54% of its industry peers.
- GML has a Quick Ratio of 1.32. This is a bad value and indicates that GML is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.56, GML is doing worse than 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
- GML shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -81.56%.
- GML shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -49.19% yearly.
- The Revenue has grown by 11.87% in the past year. This is quite good.
- GML shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.61% yearly.
EPS 1Y (TTM)-81.56%
EPS 3Y-49.19%
EPS 5YN/A
EPS Q2Q%-42.17%
Revenue 1Y (TTM)11.87%
Revenue growth 3Y-6.61%
Revenue growth 5YN/A
Sales Q2Q%11.64%
3.2 Future
- Based on estimates for the next years, GML will show a very strong growth in Earnings Per Share. The EPS will grow by 39.11% on average per year.
- GML is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.31% yearly.
EPS Next Y-9.09%
EPS Next 2Y31.43%
EPS Next 3Y36.54%
EPS Next 5Y39.11%
Revenue Next Year8.85%
Revenue Next 2Y10.24%
Revenue Next 3Y9.71%
Revenue Next 5Y9.31%
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
- With a Price/Earnings ratio of 43.00, GML can be considered very expensive at the moment.
- 63.46% of the companies in the same industry are cheaper than GML, based on the Price/Earnings ratio.
- GML's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.39.
- The Price/Forward Earnings ratio is 4.48, which indicates a rather cheap valuation of GML.
- Based on the Price/Forward Earnings ratio, GML is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of GML to the average of the S&P500 Index (25.72), we can say GML is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43 | ||
| Fwd PE | 4.48 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, GML is valued cheaply inside the industry as 82.69% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, GML is valued cheaper than 84.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.08 | ||
| EV/EBITDA | 5.1 |
4.3 Compensation for Growth
- GML's earnings are expected to grow with 36.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y31.43%
EPS Next 3Y36.54%
5. Dividend
5.1 Amount
- GML has a Yearly Dividend Yield of 1.48%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.99, GML has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, GML has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y31.43%
EPS Next 3Y36.54%
GM LEATHER SPA / GML.MI FAQ
Can you provide the ChartMill fundamental rating for GM LEATHER SPA?
ChartMill assigns a fundamental rating of 4 / 10 to GML.MI.
What is the valuation status of GM LEATHER SPA (GML.MI) stock?
ChartMill assigns a valuation rating of 6 / 10 to GM LEATHER SPA (GML.MI). This can be considered as Fairly Valued.
Can you provide the profitability details for GM LEATHER SPA?
GM LEATHER SPA (GML.MI) has a profitability rating of 3 / 10.
What is the valuation of GM LEATHER SPA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for GM LEATHER SPA (GML.MI) is 43 and the Price/Book (PB) ratio is 0.7.
How sustainable is the dividend of GM LEATHER SPA (GML.MI) stock?
The dividend rating of GM LEATHER SPA (GML.MI) is 2 / 10 and the dividend payout ratio is 0%.