GLOBAL NET LEASE INC (GNL) Stock Fundamental Analysis
USA - NYSE:GNL - US3793782018 - REIT
7.93 USD
+0.07 (+0.89%)
7.93 USD
0 (0%)
Taking everything into account, GNL scores 4 out of 10 in our fundamental rating. GNL was compared to 128 industry peers in the Diversified REITs industry. GNL has only an average score on both its financial health and profitability. GNL does not seem to be growing, but still is valued expensively.
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.
In the past 5 years GNL always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -6.66%, GNL is doing worse than 84.38% of the companies in the same industry.
The Return On Equity of GNL (-18.12%) is worse than 80.47% of its industry peers.
With a decent Return On Invested Capital value of 3.61%, GNL is doing good in the industry, outperforming 67.19% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GNL is in line with the industry average of 3.04%.
The last Return On Invested Capital (3.61%) for GNL is above the 3 year average (2.23%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.66% | ||
| ROE | -18.12% | ||
| ROIC | 3.61% |
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 34.15%, GNL is in the better half of the industry, outperforming 71.09% of the companies in the same industry.
GNL's Operating Margin has been stable in the last couple of years.
The Gross Margin of GNL (85.44%) is better than 86.72% of its industry peers.
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 | 34.15% | ||
| PM (TTM) | N/A | ||
| GM | 85.44% |
OM growth 3Y-2.28%
OM growth 5Y-1.1%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.27%
GM growth 5Y0.6%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GNL is destroying value.
The number of shares outstanding for GNL remains at a similar level compared to 1 year ago.
Compared to 5 years ago, GNL has more shares outstanding
GNL has a worse debt/assets ratio than last year.
2.2 Solvency
GNL has an Altman-Z score of -0.06. 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 (-0.06) is worse than 75.78% of its industry peers.
The Debt to FCF ratio of GNL is 14.92, which is on the high side as it means it would take GNL, 14.92 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 14.92, GNL belongs to the top of the industry, outperforming 83.59% of the companies in the same industry.
GNL has a Debt/Equity ratio of 1.62. This is a high value indicating a heavy dependency on external financing.
GNL has a Debt to Equity ratio of 1.62. This is in the lower half of the industry: GNL underperforms 64.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 14.92 | ||
| Altman-Z | -0.06 |
ROIC/WACC0.55
WACC6.52%
2.3 Liquidity
A Current Ratio of 2.33 indicates that GNL has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.33, GNL belongs to the best of the industry, outperforming 85.16% of the companies in the same industry.
A Quick Ratio of 2.33 indicates that GNL has no problem at all paying its short term obligations.
The Quick ratio of GNL (2.33) is better than 85.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.33 | ||
| Quick Ratio | 2.33 |
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 has grown by 56.29% in the past year. This is a very strong growth!
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)56.29%
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.
Based on estimates for the next years, GNL will show a decrease in Revenue. The Revenue will decrease by -8.79% on average per year.
EPS Next Y-298.15%
EPS Next 2Y-19.77%
EPS Next 3Y-75.46%
EPS Next 5YN/A
Revenue Next Year-33.86%
Revenue Next 2Y-20.81%
Revenue Next 3Y-20.88%
Revenue Next 5Y-8.79%
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
The Price/Earnings Ratio is negative for GNL. In the last year negative earnings were reported.
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
Based on the Enterprise Value to EBITDA ratio, GNL is valued cheaply inside the industry as 92.97% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GNL indicates a rather cheap valuation: GNL is cheaper than 92.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.81 | ||
| EV/EBITDA | 8.73 |
4.3 Compensation for Growth
GNL's earnings are expected to decrease with -75.46% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-19.77%
EPS Next 3Y-75.46%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 9.54%, GNL is a good candidate for dividend investing.
GNL's Dividend Yield is rather good when compared to the industry average which is at 6.49. GNL pays more dividend than 89.06% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, GNL pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.54% |
5.2 History
The dividend of GNL decreases each year by -6.85%.
GNL has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-6.85%
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-83.73%
EPS Next 2Y-19.77%
EPS Next 3Y-75.46%
7.93
+0.07 (+0.89%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners70.37%
Inst Owner Change2.2%
Ins Owners1.3%
Ins Owner Change-2.65%
Market Cap1.75B
Revenue(TTM)805.01M
Net Income(TTM)-332.00M
Analysts73.33
Price Target9.54 (20.3%)
Short Float %3.59%
Short Ratio5.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.54% |
Yearly Dividend1.37
Dividend Growth(5Y)-6.85%
DP-83.73%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-369.86%
Min EPS beat(2)-633.09%
Max EPS beat(2)-106.62%
EPS beat(4)1
Avg EPS beat(4)-204.84%
Min EPS beat(4)-633.09%
Max EPS beat(4)24.56%
EPS beat(8)5
Avg EPS beat(8)263.81%
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)-20.56%
Min Revenue beat(2)-30.3%
Max Revenue beat(2)-10.83%
Revenue beat(4)1
Avg Revenue beat(4)-10.67%
Min Revenue beat(4)-30.3%
Max Revenue beat(4)1.51%
Revenue beat(8)3
Avg Revenue beat(8)10.15%
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)-1.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)7.41%
EPS NY rev (1m)0%
EPS NY rev (3m)-50.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 2.68 | ||
| P/FCF | 8.81 | ||
| P/OCF | 7.09 | ||
| P/B | 0.96 | ||
| P/tB | 0.98 | ||
| EV/EBITDA | 8.73 |
EPS(TTM)-1.43
EYN/A
EPS(NY)-0.33
Fwd EYN/A
FCF(TTM)0.9
FCFY11.36%
OCF(TTM)1.12
OCFY14.1%
SpS2.96
BVpS8.29
TBVpS8.08
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.66% | ||
| ROE | -18.12% | ||
| ROCE | 4.56% | ||
| ROIC | 3.61% | ||
| ROICexc | 3.72% | ||
| ROICexgc | 3.83% | ||
| OM | 34.15% | ||
| PM (TTM) | N/A | ||
| GM | 85.44% | ||
| FCFM | 30.47% |
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)2.34%
ROCE(3y)2.83%
ROCE(5y)2.83%
ROICexgc growth 3Y5.4%
ROICexgc growth 5Y4.88%
ROICexc growth 3Y5.2%
ROICexc growth 5Y4.76%
OM growth 3Y-2.28%
OM growth 5Y-1.1%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.27%
GM growth 5Y0.6%
F-Score7
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 14.92 | ||
| Debt/EBITDA | 5.68 | ||
| Cap/Depr | 16.03% | ||
| Cap/Sales | 7.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 47.27% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.33 | ||
| Quick Ratio | 2.33 | ||
| Altman-Z | -0.06 |
F-Score7
WACC6.52%
ROIC/WACC0.55
Cap/Depr(3y)45.38%
Cap/Depr(5y)154.63%
Cap/Sales(3y)19.23%
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-298.15%
EPS Next 2Y-19.77%
EPS Next 3Y-75.46%
EPS Next 5YN/A
Revenue 1Y (TTM)56.29%
Revenue growth 3Y27.19%
Revenue growth 5Y21.33%
Sales Q2Q%-38.44%
Revenue Next Year-33.86%
Revenue Next 2Y-20.81%
Revenue Next 3Y-20.88%
Revenue Next 5Y-8.79%
EBIT growth 1Y12.7%
EBIT growth 3Y24.3%
EBIT growth 5Y19.99%
EBIT Next Year142.45%
EBIT Next 3Y26.31%
EBIT Next 5Y18.26%
FCF growth 1Y366.04%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y54.09%
OCF growth 3Y15.81%
OCF growth 5Y15.42%
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 -298.15% 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 -83.73%.