GLOBAL NET LEASE INC (GNL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GNL - US3793782018 - REIT
8.45 USD
+0.05 (+0.6%)
8.45 USD
0 (0%)
Overall GNL gets a fundamental rating of 4 out of 10. We evaluated GNL against 128 industry peers in the Diversified REITs industry. GNL has only an average score on both its financial health and profitability. GNL has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
GNL had negative earnings in the past year.
GNL had a positive operating cash flow in the past year.
In the past 5 years GNL always reported negative net income.
GNL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -6.84%, GNL is doing worse than 85.16% of the companies in the same industry.
GNL has a Return On Equity of -19.15%. This is amonst the worse of the industry: GNL underperforms 80.47% of its industry peers.
GNL's Return On Invested Capital of 3.52% is fine compared to the rest of the industry. GNL outperforms 65.63% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GNL is in line with the industry average of 3.05%.
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
GNL has a better Operating Margin (36.03%) than 76.56% of its industry peers.
In the last couple of years the Operating Margin of GNL has remained more or less at the same level.
Looking at the Gross Margin, with a value of 87.14%, GNL belongs to the top of the industry, outperforming 89.06% of the companies in the same industry.
GNL's Gross Margin has been stable in the last couple of years.
| 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
GNL 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 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.
Compared to 1 year ago, GNL has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -0.10, we must say that GNL is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -0.10, GNL is doing worse than 77.34% of the companies in the same industry.
GNL has a debt to FCF ratio of 14.31. This is a negative value and a sign of low solvency as GNL would need 14.31 years to pay back of all of its debts.
GNL has a better Debt to FCF ratio (14.31) than 84.38% 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 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | 14.31 | ||
| Altman-Z | -0.1 |
ROIC/WACC0.54
WACC6.57%
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.
GNL has a better Current ratio (2.53) than 87.50% of its industry peers.
GNL has a Quick Ratio of 2.53. This indicates that GNL is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 2.53, GNL belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
| 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%.
GNL shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -28.94%.
Measured over the past years, GNL shows a very strong growth in Revenue. The Revenue has been growing by 21.33% on average per year.
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.
The Revenue is expected to decrease by -9.34% on average over the next years.
EPS Next Y-330.35%
EPS Next 2Y-12.85%
EPS Next 3Y-75.46%
EPS Next 5YN/A
Revenue Next Year-33.58%
Revenue Next 2Y-20.6%
Revenue Next 3Y-20.88%
Revenue Next 5Y-9.34%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GNL reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for GNL. No positive earnings are expected for the next year.
| 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 85.94% of the companies in the same industry.
GNL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GNL is cheaper than 92.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.17 | ||
| EV/EBITDA | 9.79 |
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
GNL has a Yearly Dividend Yield of 9.21%, which is a nice return.
GNL's Dividend Yield is rather good when compared to the industry average which is at 6.20. GNL pays more dividend than 87.50% of the companies in the same industry.
GNL's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.21% |
5.2 History
The dividend of GNL decreases each year by -6.84%.
GNL has been paying a dividend for at least 10 years, so it has 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.
GNL's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP-79.07%
EPS Next 2Y-12.85%
EPS Next 3Y-75.46%
8.45
+0.05 (+0.6%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners72.42%
Inst Owner Change2.23%
Ins Owners1.26%
Ins Owner Change-6.75%
Market Cap1.85B
Revenue(TTM)577.45M
Net Income(TTM)-325.74M
Analysts73.33
Price Target9.54 (12.9%)
Short Float %3.72%
Short Ratio5.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.21% |
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%
PT rev (3m)0%
EPS NQ rev (1m)11.11%
EPS NQ rev (3m)11.11%
EPS NY rev (1m)-8.09%
EPS NY rev (3m)-8.09%
Revenue NQ rev (1m)-1.13%
Revenue NQ rev (3m)2.1%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)-0.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 3.21 | ||
| P/FCF | 9.17 | ||
| P/OCF | 7.68 | ||
| P/B | 1.09 | ||
| P/tB | 1.12 | ||
| EV/EBITDA | 9.79 |
EPS(TTM)-1.43
EYN/A
EPS(NY)-0.29
Fwd EYN/A
FCF(TTM)0.92
FCFY10.91%
OCF(TTM)1.1
OCFY13.02%
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 | -0.1 |
F-Score7
WACC6.57%
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-33.58%
Revenue Next 2Y-20.6%
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 Year136.29%
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.
Can you provide the valuation status for GLOBAL NET LEASE INC?
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.
What is the earnings growth outlook for GLOBAL NET LEASE INC?
The Earnings per Share (EPS) of GLOBAL NET LEASE INC (GNL) is expected to decline by -330.35% in the next year.
How sustainable is the dividend of GLOBAL NET LEASE INC (GNL) stock?
The dividend rating of GLOBAL NET LEASE INC (GNL) is 5 / 10 and the dividend payout ratio is -79.07%.