GLOBAL NET LEASE INC (GNL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GNL - US3793782018 - REIT
8.95 USD
+0.06 (+0.67%)
8.95 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to GNL. GNL was compared to 126 industry peers in the Diversified REITs industry. Both the profitability and the financial health of GNL get a neutral evaluation. Nothing too spectacular is happening here. GNL is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year GNL has reported negative net income.
GNL had a positive operating cash flow in the past year.
In the past 5 years GNL always reported negative net income.
Each year in the past 5 years GNL had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GNL (-6.84%) is worse than 84.25% of its industry peers.
With a Return On Equity value of -19.15%, GNL is not doing good in the industry: 79.53% of the companies in the same industry are doing better.
The Return On Invested Capital of GNL (3.52%) is better than 65.35% of its industry peers.
GNL had an Average Return On Invested Capital over the past 3 years of 2.23%. This is in line with the industry average of 3.06%.
The 3 year average ROIC (2.23%) for GNL is below the current ROIC(3.52%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.84% | ||
| ROE | -19.15% | ||
| ROIC | 3.52% |
ROA(3y)-1.92%
ROA(5y)-1.29%
ROE(3y)-5.97%
ROE(5y)-3.94%
ROIC(3y)2.23%
ROIC(5y)2.23%
1.3 Margins
Looking at the Operating Margin, with a value of 36.03%, GNL is in the better half of the industry, outperforming 76.38% of the companies in the same industry.
GNL's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 87.14%, GNL belongs to the top of the industry, outperforming 88.98% of the companies in the same industry.
In the last couple of years the Gross Margin of GNL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.03% | ||
| PM (TTM) | N/A | ||
| GM | 87.14% |
OM growth 3Y-2.29%
OM growth 5Y-1.11%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.27%
GM growth 5Y0.6%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GNL is destroying value.
The number of shares outstanding for GNL remains at a similar level compared to 1 year ago.
The number of shares outstanding for GNL has been increased compared to 5 years ago.
GNL has a worse debt/assets ratio than last year.
2.2 Solvency
GNL has an Altman-Z score of -0.08. This is a bad value and indicates that GNL is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of GNL (-0.08) is worse than 76.38% of its industry peers.
The Debt to FCF ratio of GNL is 14.31, which is on the high side as it means it would take GNL, 14.31 years of fcf income to pay off all of its debts.
GNL's Debt to FCF ratio of 14.31 is amongst the best of the industry. GNL outperforms 84.25% of its industry peers.
GNL has a Debt/Equity ratio of 1.70. This is a high value indicating a heavy dependency on external financing.
GNL has a Debt to Equity ratio of 1.70. This is in the lower half of the industry: GNL underperforms 64.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | 14.31 | ||
| Altman-Z | -0.08 |
ROIC/WACC0.54
WACC6.56%
2.3 Liquidity
GNL has a Current Ratio of 2.53. This indicates that GNL is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of GNL (2.53) is better than 88.98% of its industry peers.
A Quick Ratio of 2.53 indicates that GNL has no problem at all paying its short term obligations.
GNL has a better Quick ratio (2.53) than 88.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.53 | ||
| Quick Ratio | 2.53 |
3. Growth
3.1 Past
GNL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -993.75%.
The Revenue for GNL has decreased by -28.94% in the past year. This is quite bad
The Revenue has been growing by 21.33% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-993.75%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%3.03%
Revenue 1Y (TTM)-28.94%
Revenue growth 3Y27.19%
Revenue growth 5Y21.33%
Sales Q2Q%-38.44%
3.2 Future
GNL is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -75.46% yearly.
GNL is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -9.34% yearly.
EPS Next Y-330.35%
EPS Next 2Y-12.85%
EPS Next 3Y-75.46%
EPS Next 5YN/A
Revenue Next Year-33.6%
Revenue Next 2Y-21.08%
Revenue Next 3Y-20.88%
Revenue Next 5Y-9.34%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for GNL. In the last year negative earnings were reported.
Also next year GNL is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
GNL's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GNL is cheaper than 86.61% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GNL indicates a rather cheap valuation: GNL is cheaper than 90.55% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.71 | ||
| EV/EBITDA | 10.02 |
4.3 Compensation for Growth
A cheap valuation may be justified as GNL's earnings are expected to decrease with -75.46% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-12.85%
EPS Next 3Y-75.46%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.85%, GNL is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.86, GNL pays a bit more dividend than its industry peers.
GNL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.85% |
5.2 History
The dividend of GNL decreases each year by -6.84%.
GNL has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-6.84%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
GNL has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The Dividend Rate of GNL has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP-79.07%
EPS Next 2Y-12.85%
EPS Next 3Y-75.46%
8.95
+0.06 (+0.67%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners72.35%
Inst Owner Change0.13%
Ins Owners1.26%
Ins Owner Change6.33%
Market Cap1.96B
Revenue(TTM)577.45M
Net Income(TTM)-325.74M
Analysts73.33
Price Target9.61 (7.37%)
Short Float %3.93%
Short Ratio5.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.85% |
Yearly Dividend1.37
Dividend Growth(5Y)-6.84%
DP-79.07%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-193.42%
Min EPS beat(2)-280.21%
Max EPS beat(2)-106.62%
EPS beat(4)1
Avg EPS beat(4)-248.84%
Min EPS beat(4)-633.09%
Max EPS beat(4)24.56%
EPS beat(8)4
Avg EPS beat(8)67.77%
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)0
Avg Revenue beat(2)-7.61%
Min Revenue beat(2)-10.83%
Max Revenue beat(2)-4.4%
Revenue beat(4)1
Avg Revenue beat(4)-11%
Min Revenue beat(4)-30.3%
Max Revenue beat(4)1.51%
Revenue beat(8)2
Avg Revenue beat(8)7.02%
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)0.64%
PT rev (3m)0.64%
EPS NQ rev (1m)37.5%
EPS NQ rev (3m)44.44%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.09%
Revenue NQ rev (1m)-6.16%
Revenue NQ rev (3m)-5.48%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 3.4 | ||
| P/FCF | 9.71 | ||
| P/OCF | 8.13 | ||
| P/B | 1.15 | ||
| P/tB | 1.19 | ||
| EV/EBITDA | 10.02 |
EPS(TTM)-1.43
EYN/A
EPS(NY)-0.29
Fwd EYN/A
FCF(TTM)0.92
FCFY10.3%
OCF(TTM)1.1
OCFY12.29%
SpS2.63
BVpS7.76
TBVpS7.55
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.84% | ||
| ROE | -19.15% | ||
| ROCE | 4.46% | ||
| ROIC | 3.52% | ||
| ROICexc | 3.65% | ||
| ROICexgc | 3.75% | ||
| OM | 36.03% | ||
| PM (TTM) | N/A | ||
| GM | 87.14% | ||
| FCFM | 34.99% |
ROA(3y)-1.92%
ROA(5y)-1.29%
ROE(3y)-5.97%
ROE(5y)-3.94%
ROIC(3y)2.23%
ROIC(5y)2.23%
ROICexc(3y)2.28%
ROICexc(5y)2.29%
ROICexgc(3y)2.35%
ROICexgc(5y)2.35%
ROCE(3y)2.83%
ROCE(5y)2.83%
ROICexgc growth 3Y5.4%
ROICexgc growth 5Y4.88%
ROICexc growth 3Y5.19%
ROICexc growth 5Y4.76%
OM growth 3Y-2.29%
OM growth 5Y-1.11%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.27%
GM growth 5Y0.6%
F-Score7
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | 14.31 | ||
| Debt/EBITDA | 6.18 | ||
| Cap/Depr | 15.09% | ||
| Cap/Sales | 6.79% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 51.57% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.53 | ||
| Quick Ratio | 2.53 | ||
| Altman-Z | -0.08 |
F-Score7
WACC6.56%
ROIC/WACC0.54
Cap/Depr(3y)45.36%
Cap/Depr(5y)154.62%
Cap/Sales(3y)19.24%
Cap/Sales(5y)64.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-993.75%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%3.03%
EPS Next Y-330.35%
EPS Next 2Y-12.85%
EPS Next 3Y-75.46%
EPS Next 5YN/A
Revenue 1Y (TTM)-28.94%
Revenue growth 3Y27.19%
Revenue growth 5Y21.33%
Sales Q2Q%-38.44%
Revenue Next Year-33.6%
Revenue Next 2Y-21.08%
Revenue Next 3Y-20.88%
Revenue Next 5Y-9.34%
EBIT growth 1Y-10.18%
EBIT growth 3Y24.28%
EBIT growth 5Y19.98%
EBIT Next Year129.89%
EBIT Next 3Y26.31%
EBIT Next 5Y17.34%
FCF growth 1Y1856.77%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y118.9%
OCF growth 3Y15.87%
OCF growth 5Y15.45%
GLOBAL NET LEASE INC / GNL FAQ
Can you provide the ChartMill fundamental rating for GLOBAL NET LEASE INC?
ChartMill assigns a fundamental rating of 4 / 10 to GNL.
What is the valuation status of GLOBAL NET LEASE INC (GNL) stock?
ChartMill assigns a valuation rating of 2 / 10 to GLOBAL NET LEASE INC (GNL). This can be considered as Overvalued.
Can you provide the profitability details for GLOBAL NET LEASE INC?
GLOBAL NET LEASE INC (GNL) has a profitability rating of 4 / 10.
How financially healthy is GLOBAL NET LEASE INC?
The financial health rating of GLOBAL NET LEASE INC (GNL) is 5 / 10.