GOGO INC (GOGO) Stock Fundamental Analysis
USA - NASDAQ:GOGO - US38046C1099 - Common Stock
6.79 USD
-0.08 (-1.16%)
7.1 USD
+0.31 (+4.57%)
Taking everything into account, GOGO scores 4 out of 10 in our fundamental rating. GOGO was compared to 22 industry peers in the Wireless Telecommunication Services industry. While GOGO is still in line with the averages on profitability rating, there are concerns on its financial health. While showing a medium growth rate, GOGO is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year GOGO was profitable.
In the past year GOGO had a positive cash flow from operations.
Of the past 5 years GOGO 4 years were profitable.
GOGO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GOGO has a Return On Assets (0.58%) which is comparable to the rest of the industry.
GOGO has a Return On Equity (7.07%) which is in line with its industry peers.
With a Return On Invested Capital value of 4.83%, GOGO perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GOGO is significantly above the industry average of 5.83%.
The 3 year average ROIC (10.98%) for GOGO is well above the current ROIC(4.83%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 7.07% | ||
| ROIC | 4.83% |
ROA(3y)10.63%
ROA(5y)3.67%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.98%
ROIC(5y)15.49%
1.3 Margins
Looking at the Profit Margin, with a value of 1.05%, GOGO is in line with its industry, outperforming 50.00% of the companies in the same industry.
GOGO's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 9.51%, GOGO is in line with its industry, outperforming 54.55% of the companies in the same industry.
In the last couple of years the Operating Margin of GOGO has declined.
GOGO has a Gross Margin of 51.04%. This is comparable to the rest of the industry: GOGO outperforms 45.45% of its industry peers.
GOGO's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.51% | ||
| PM (TTM) | 1.05% | ||
| GM | 51.04% |
OM growth 3Y-31.55%
OM growth 5Y-18.09%
PM growth 3Y-59.19%
PM growth 5YN/A
GM growth 3Y-3.48%
GM growth 5Y-2.12%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), GOGO is creating some value.
Compared to 1 year ago, GOGO has more shares outstanding
GOGO has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, GOGO has an improved debt to assets ratio.
2.2 Solvency
GOGO has an Altman-Z score of 0.05. This is a bad value and indicates that GOGO is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.05, GOGO is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
GOGO has a debt to FCF ratio of 30.33. This is a negative value and a sign of low solvency as GOGO would need 30.33 years to pay back of all of its debts.
GOGO has a worse Debt to FCF ratio (30.33) than 77.27% of its industry peers.
A Debt/Equity ratio of 8.10 is on the high side and indicates that GOGO has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 8.10, GOGO is doing worse than 86.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.1 | ||
| Debt/FCF | 30.33 | ||
| Altman-Z | 0.05 |
ROIC/WACC0.63
WACC7.71%
2.3 Liquidity
GOGO has a Current Ratio of 1.71. This is a normal value and indicates that GOGO is financially healthy and should not expect problems in meeting its short term obligations.
GOGO has a better Current ratio (1.71) than 77.27% of its industry peers.
A Quick Ratio of 1.32 indicates that GOGO should not have too much problems paying its short term obligations.
GOGO has a better Quick ratio (1.32) than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The earnings per share for GOGO have decreased strongly by -87.50% in the last year.
GOGO shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -47.56% yearly.
GOGO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.85%.
Measured over the past years, GOGO shows a small growth in Revenue. The Revenue has been growing by 7.55% on average per year.
EPS 1Y (TTM)-87.5%
EPS 3Y-47.56%
EPS 5YN/A
EPS Q2Q%-23.08%
Revenue 1Y (TTM)11.85%
Revenue growth 3Y9.83%
Revenue growth 5Y7.55%
Sales Q2Q%122.41%
3.2 Future
GOGO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 77.09% yearly.
GOGO is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 34.72% yearly.
EPS Next Y104%
EPS Next 2Y94.27%
EPS Next 3Y77.09%
EPS Next 5YN/A
Revenue Next Year123.97%
Revenue Next 2Y51.97%
Revenue Next 3Y34.72%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 113.17, GOGO can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of GOGO indicates a slightly more expensive valuation: GOGO is more expensive than 77.27% of the companies listed in the same industry.
GOGO is valuated expensively when we compare the Price/Earnings ratio to 25.51, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.99, which indicates a very decent valuation of GOGO.
Based on the Price/Forward Earnings ratio, GOGO is valued a bit cheaper than the industry average as 68.18% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of GOGO to the average of the S&P500 Index (34.98), we can say GOGO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 113.17 | ||
| Fwd PE | 11.99 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GOGO is valued a bit more expensive than 72.73% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GOGO is valued a bit more expensive than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.97 | ||
| EV/EBITDA | 15.5 |
4.3 Compensation for Growth
GOGO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as GOGO's earnings are expected to grow with 77.09% in the coming years.
PEG (NY)1.09
PEG (5Y)N/A
EPS Next 2Y94.27%
EPS Next 3Y77.09%
5. Dividend
5.1 Amount
GOGO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.79
-0.08 (-1.16%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners59.65%
Inst Owner Change1.43%
Ins Owners0.1%
Ins Owner Change-6.8%
Market Cap907.76M
Revenue(TTM)444.71M
Net Income(TTM)7.27M
Analysts80
Price Target16.58 (144.18%)
Short Float %24.97%
Short Ratio10.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-8.16%
Min EPS beat(2)-23.27%
Max EPS beat(2)6.95%
EPS beat(4)2
Avg EPS beat(4)-197.75%
Min EPS beat(4)-929.56%
Max EPS beat(4)154.9%
EPS beat(8)5
Avg EPS beat(8)-80.78%
EPS beat(12)8
Avg EPS beat(12)-20.47%
EPS beat(16)12
Avg EPS beat(16)105.04%
Revenue beat(2)2
Avg Revenue beat(2)2.98%
Min Revenue beat(2)0.67%
Max Revenue beat(2)5.29%
Revenue beat(4)4
Avg Revenue beat(4)11.51%
Min Revenue beat(4)0.67%
Max Revenue beat(4)38.77%
Revenue beat(8)6
Avg Revenue beat(8)5.61%
Revenue beat(12)7
Avg Revenue beat(12)3.23%
Revenue beat(16)11
Avg Revenue beat(16)2.8%
PT rev (1m)0%
PT rev (3m)-1.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-36.36%
EPS NY rev (1m)-5.66%
EPS NY rev (3m)-31.82%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 113.17 | ||
| Fwd PE | 11.99 | ||
| P/S | 1.31 | ||
| P/FCF | 32.97 | ||
| P/OCF | 16.21 | ||
| P/B | 8.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.5 |
EPS(TTM)0.06
EY0.88%
EPS(NY)0.57
Fwd EY8.34%
FCF(TTM)0.21
FCFY3.03%
OCF(TTM)0.42
OCFY6.17%
SpS5.2
BVpS0.77
TBVpS-2.64
PEG (NY)1.09
PEG (5Y)N/A
Graham Number1.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 7.07% | ||
| ROCE | 6.37% | ||
| ROIC | 4.83% | ||
| ROICexc | 5.35% | ||
| ROICexgc | 10.44% | ||
| OM | 9.51% | ||
| PM (TTM) | 1.05% | ||
| GM | 51.04% | ||
| FCFM | 3.96% |
ROA(3y)10.63%
ROA(5y)3.67%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.98%
ROIC(5y)15.49%
ROICexc(3y)13.98%
ROICexc(5y)N/A
ROICexgc(3y)16.46%
ROICexgc(5y)N/A
ROCE(3y)14.49%
ROCE(5y)20.44%
ROICexgc growth 3Y-41%
ROICexgc growth 5Y-6.98%
ROICexc growth 3Y-49.04%
ROICexc growth 5Y-16%
OM growth 3Y-31.55%
OM growth 5Y-18.09%
PM growth 3Y-59.19%
PM growth 5YN/A
GM growth 3Y-3.48%
GM growth 5Y-2.12%
F-Score6
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.1 | ||
| Debt/FCF | 30.33 | ||
| Debt/EBITDA | 7.81 | ||
| Cap/Depr | 70.27% | ||
| Cap/Sales | 4.1% | ||
| Interest Coverage | 0.97 | ||
| Cash Conversion | 52.55% | ||
| Profit Quality | 378.96% | ||
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 0.05 |
F-Score6
WACC7.71%
ROIC/WACC0.63
Cap/Depr(3y)227.62%
Cap/Depr(5y)160.48%
Cap/Sales(3y)8.16%
Cap/Sales(5y)6.08%
Profit Quality(3y)66.76%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-87.5%
EPS 3Y-47.56%
EPS 5YN/A
EPS Q2Q%-23.08%
EPS Next Y104%
EPS Next 2Y94.27%
EPS Next 3Y77.09%
EPS Next 5YN/A
Revenue 1Y (TTM)11.85%
Revenue growth 3Y9.83%
Revenue growth 5Y7.55%
Sales Q2Q%122.41%
Revenue Next Year123.97%
Revenue Next 2Y51.97%
Revenue Next 3Y34.72%
Revenue Next 5YN/A
EBIT growth 1Y-42.32%
EBIT growth 3Y-24.83%
EBIT growth 5Y-11.9%
EBIT Next Year138.29%
EBIT Next 3Y41.68%
EBIT Next 5YN/A
FCF growth 1Y-44.93%
FCF growth 3Y-33.57%
FCF growth 5YN/A
OCF growth 1Y-39.98%
OCF growth 3Y-10.46%
OCF growth 5YN/A
GOGO INC / GOGO FAQ
What is the fundamental rating for GOGO stock?
ChartMill assigns a fundamental rating of 4 / 10 to GOGO.
What is the valuation status of GOGO INC (GOGO) stock?
ChartMill assigns a valuation rating of 3 / 10 to GOGO INC (GOGO). This can be considered as Overvalued.
What is the profitability of GOGO stock?
GOGO INC (GOGO) has a profitability rating of 5 / 10.
What are the PE and PB ratios of GOGO INC (GOGO) stock?
The Price/Earnings (PE) ratio for GOGO INC (GOGO) is 113.17 and the Price/Book (PB) ratio is 8.83.
Can you provide the expected EPS growth for GOGO stock?
The Earnings per Share (EPS) of GOGO INC (GOGO) is expected to grow by 104% in the next year.