GLOBAL NET LEASE INC (GNL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GNL - US3793782018 - REIT
8.28 USD
+0.03 (+0.36%)
8.34 USD
+0.06 (+0.72%)
We assign a fundamental rating of 4 out of 10 to GNL. GNL was compared to 128 industry peers in the Diversified REITs industry. GNL has an average financial health and profitability rating. 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.
GNL had negative earnings in each of the past 5 years.
Each year in the past 5 years GNL had a positive operating cash flow.
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.
Looking at the Return On Equity, with a value of -19.15%, GNL is doing worse than 80.47% of the companies in the same industry.
GNL has a Return On Invested Capital of 3.52%. This is in the better half 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 last Return On Invested Capital (3.52%) for GNL is above the 3 year average (2.23%), which is a sign of increasing profitability.
| 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
The Operating Margin of GNL (36.03%) is better 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.
GNL has a Gross Margin of 87.14%. This is amongst the best in the industry. GNL outperforms 89.06% 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 | 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GNL is destroying value.
GNL has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, GNL has more shares outstanding
The debt/assets ratio for GNL is higher compared to a year ago.
2.2 Solvency
GNL has an Altman-Z score of -0.11. This is a bad value and indicates that GNL is not financially healthy and even has some risk of bankruptcy.
GNL has a Altman-Z score of -0.11. This is in the lower half of the industry: GNL underperforms 76.56% 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 has a better Debt to FCF ratio (14.31) than 84.38% of its industry peers.
A Debt/Equity ratio of 1.70 is on the high side and indicates that GNL has dependencies on debt financing.
GNL's Debt to Equity ratio of 1.70 is on the low side compared to the rest of the industry. GNL is outperformed by 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | 14.31 | ||
| Altman-Z | -0.11 |
ROIC/WACC0.54
WACC6.55%
2.3 Liquidity
A Current Ratio of 2.53 indicates that GNL has no problem at all paying its short term obligations.
GNL has a better Current ratio (2.53) than 87.50% of its industry peers.
A Quick Ratio of 2.53 indicates that GNL has no problem at all paying its short term obligations.
GNL's Quick ratio of 2.53 is amongst the best of the industry. GNL outperforms 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.53 | ||
| Quick Ratio | 2.53 |
3. Growth
3.1 Past
The earnings per share for GNL have decreased strongly by -993.75% in the last year.
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-33.58%
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.
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
85.94% of the companies in the same industry are more expensive than GNL, based on the Enterprise Value to EBITDA ratio.
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 | 8.98 | ||
| EV/EBITDA | 9.7 |
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-12.85%
EPS Next 3Y-75.46%
5. Dividend
5.1 Amount
GNL has a Yearly Dividend Yield of 9.35%, which is a nice return.
GNL's Dividend Yield is rather good when compared to the industry average which is at 6.59. GNL pays more dividend than 88.28% of the companies in the same industry.
GNL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.35% |
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
The earnings of GNL are negative and hence is the payout ratio. GNL will probably not be able to sustain this dividend level.
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%
8.28
+0.03 (+0.36%)
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-6.96%
Market Cap1.82B
Revenue(TTM)577.45M
Net Income(TTM)-325.74M
Analysts73.33
Price Target9.54 (15.22%)
Short Float %3.59%
Short Ratio5.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.35% |
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)1.16%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)-2.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 3.14 | ||
| P/FCF | 8.98 | ||
| P/OCF | 7.52 | ||
| P/B | 1.07 | ||
| P/tB | 1.1 | ||
| EV/EBITDA | 9.7 |
EPS(TTM)-1.43
EYN/A
EPS(NY)-0.29
Fwd EYN/A
FCF(TTM)0.92
FCFY11.13%
OCF(TTM)1.1
OCFY13.29%
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 | -0.11 |
F-Score7
WACC6.55%
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%.