GLADSTONE COMMERCIAL CORP (GOOD) Stock Fundamental Analysis
USA - NASDAQ:GOOD - US3765361080 - REIT
11.2 USD
-0.07 (-0.62%)
11.2 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to GOOD. GOOD was compared to 128 industry peers in the Diversified REITs industry. GOOD has a medium profitability rating, but doesn't score so well on its financial health evaluation. GOOD has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
GOOD had positive earnings in the past year.
GOOD had a positive operating cash flow in the past year.
In multiple years GOOD reported negative net income over the last 5 years.
GOOD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of GOOD (0.66%) is comparable to the rest of the industry.
With a Return On Equity value of 2.35%, GOOD perfoms like the industry average, outperforming 54.69% of the companies in the same industry.
GOOD has a Return On Invested Capital of 3.64%. This is in the better half of the industry: GOOD outperforms 69.53% of its industry peers.
GOOD had an Average Return On Invested Capital over the past 3 years of 3.53%. This is in line with the industry average of 3.04%.
The 3 year average ROIC (3.53%) for GOOD is below the current ROIC(3.64%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.66% | ||
| ROE | 2.35% | ||
| ROIC | 3.64% |
ROA(3y)0.03%
ROA(5y)-0.01%
ROE(3y)0.02%
ROE(5y)-0.07%
ROIC(3y)3.53%
ROIC(5y)3.14%
1.3 Margins
With a Profit Margin value of 5.36%, GOOD perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
GOOD's Operating Margin of 36.74% is fine compared to the rest of the industry. GOOD outperforms 78.91% of its industry peers.
In the last couple of years the Operating Margin of GOOD has grown nicely.
With a decent Gross Margin value of 77.68%, GOOD is doing good in the industry, outperforming 77.34% of the companies in the same industry.
GOOD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.74% | ||
| PM (TTM) | 5.36% | ||
| GM | 77.68% |
OM growth 3Y12.15%
OM growth 5Y2.58%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.16%
GM growth 5Y-1.4%
2. Health
2.1 Basic Checks
GOOD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
GOOD has more shares outstanding than it did 1 year ago.
GOOD has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, GOOD has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -0.10, we must say that GOOD is in the distress zone and has some risk of bankruptcy.
GOOD has a Altman-Z score of -0.10. This is in the lower half of the industry: GOOD underperforms 76.56% of its industry peers.
A Debt/Equity ratio of 2.37 is on the high side and indicates that GOOD has dependencies on debt financing.
With a Debt to Equity ratio value of 2.37, GOOD is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.37 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.1 |
ROIC/WACC0.55
WACC6.57%
2.3 Liquidity
A Current Ratio of 0.68 indicates that GOOD may have some problems paying its short term obligations.
GOOD has a Current ratio of 0.68. This is in the lower half of the industry: GOOD underperforms 69.53% of its industry peers.
A Quick Ratio of 0.68 indicates that GOOD may have some problems paying its short term obligations.
With a Quick ratio value of 0.68, GOOD is not doing good in the industry: 69.53% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
GOOD shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.00%.
GOOD shows a small growth in Revenue. In the last year, the Revenue has grown by 4.95%.
GOOD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.48% yearly.
EPS 1Y (TTM)-10%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-90%
Revenue 1Y (TTM)4.95%
Revenue growth 3Y2.75%
Revenue growth 5Y5.48%
Sales Q2Q%4.09%
3.2 Future
GOOD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.88% yearly.
Based on estimates for the next years, GOOD will show a small growth in Revenue. The Revenue will grow by 2.82% on average per year.
EPS Next Y-8.79%
EPS Next 2Y-5.01%
EPS Next 3Y7.88%
EPS Next 5YN/A
Revenue Next Year5.21%
Revenue Next 2Y5.17%
Revenue Next 3Y3.34%
Revenue Next 5Y2.82%
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 62.22, which means the current valuation is very expensive for GOOD.
The rest of the industry has a similar Price/Earnings ratio as GOOD.
The average S&P500 Price/Earnings ratio is at 25.89. GOOD is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 47.74, the valuation of GOOD can be described as expensive.
GOOD's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.59. GOOD is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 62.22 | ||
| Fwd PE | 47.74 |
4.2 Price Multiples
GOOD's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. GOOD is cheaper than 70.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.25 |
4.3 Compensation for Growth
GOOD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.01%
EPS Next 3Y7.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.61%, GOOD is a good candidate for dividend investing.
GOOD's Dividend Yield is a higher than the industry average which is at 6.49.
Compared to an average S&P500 Dividend Yield of 2.44, GOOD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.61% |
5.2 History
The dividend of GOOD decreases each year by -4.40%.
GOOD has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of GOOD decreased recently.
Dividend Growth(5Y)-4.4%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
803.10% of the earnings are spent on dividend by GOOD. This is not a sustainable payout ratio.
DP803.1%
EPS Next 2Y-5.01%
EPS Next 3Y7.88%
11.2
-0.07 (-0.62%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners50.5%
Inst Owner Change4.85%
Ins Owners1.2%
Ins Owner Change1.72%
Market Cap555.74M
Revenue(TTM)155.25M
Net Income(TTM)8.32M
Analysts78.18
Price Target14.38 (28.39%)
Short Float %4.67%
Short Ratio4.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.61% |
Yearly Dividend1.48
Dividend Growth(5Y)-4.4%
DP803.1%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-70.47%
Min EPS beat(2)-76.23%
Max EPS beat(2)-64.7%
EPS beat(4)2
Avg EPS beat(4)-26.61%
Min EPS beat(4)-76.23%
Max EPS beat(4)20.66%
EPS beat(8)5
Avg EPS beat(8)-19.31%
EPS beat(12)6
Avg EPS beat(12)-80.1%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.36%
Min Revenue beat(2)-0.44%
Max Revenue beat(2)1.15%
Revenue beat(4)1
Avg Revenue beat(4)-1.12%
Min Revenue beat(4)-3.67%
Max Revenue beat(4)1.15%
Revenue beat(8)3
Avg Revenue beat(8)-0.84%
Revenue beat(12)4
Avg Revenue beat(12)-1.91%
Revenue beat(16)5
Avg Revenue beat(16)-1.53%
PT rev (1m)-5.37%
PT rev (3m)-10.76%
EPS NQ rev (1m)-13.89%
EPS NQ rev (3m)36.76%
EPS NY rev (1m)-11.71%
EPS NY rev (3m)-3.12%
Revenue NQ rev (1m)2.01%
Revenue NQ rev (3m)5.94%
Revenue NY rev (1m)0.27%
Revenue NY rev (3m)2.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 62.22 | ||
| Fwd PE | 47.74 | ||
| P/S | 3.58 | ||
| P/FCF | N/A | ||
| P/OCF | 5.84 | ||
| P/B | 1.57 | ||
| P/tB | 2.39 | ||
| EV/EBITDA | 12.25 |
EPS(TTM)0.18
EY1.61%
EPS(NY)0.23
Fwd EY2.09%
FCF(TTM)-2.8
FCFYN/A
OCF(TTM)1.92
OCFY17.13%
SpS3.13
BVpS7.15
TBVpS4.69
PEG (NY)N/A
PEG (5Y)N/A
Graham Number5.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.66% | ||
| ROE | 2.35% | ||
| ROCE | 4.61% | ||
| ROIC | 3.64% | ||
| ROICexc | 3.7% | ||
| ROICexgc | 4.15% | ||
| OM | 36.74% | ||
| PM (TTM) | 5.36% | ||
| GM | 77.68% | ||
| FCFM | N/A |
ROA(3y)0.03%
ROA(5y)-0.01%
ROE(3y)0.02%
ROE(5y)-0.07%
ROIC(3y)3.53%
ROIC(5y)3.14%
ROICexc(3y)3.56%
ROICexc(5y)3.17%
ROICexgc(3y)4%
ROICexgc(5y)3.56%
ROCE(3y)4.46%
ROCE(5y)3.98%
ROICexgc growth 3Y17.8%
ROICexgc growth 5Y7.28%
ROICexc growth 3Y17.97%
ROICexc growth 5Y7.68%
OM growth 3Y12.15%
OM growth 5Y2.58%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.16%
GM growth 5Y-1.4%
F-Score3
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.37 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.44 | ||
| Cap/Depr | 418.99% | ||
| Cap/Sales | 150.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.32% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | -0.1 |
F-Score3
WACC6.57%
ROIC/WACC0.55
Cap/Depr(3y)109.89%
Cap/Depr(5y)149.38%
Cap/Sales(3y)44.05%
Cap/Sales(5y)61.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-90%
EPS Next Y-8.79%
EPS Next 2Y-5.01%
EPS Next 3Y7.88%
EPS Next 5YN/A
Revenue 1Y (TTM)4.95%
Revenue growth 3Y2.75%
Revenue growth 5Y5.48%
Sales Q2Q%4.09%
Revenue Next Year5.21%
Revenue Next 2Y5.17%
Revenue Next 3Y3.34%
Revenue Next 5Y2.82%
EBIT growth 1Y8.21%
EBIT growth 3Y15.23%
EBIT growth 5Y8.21%
EBIT Next Year142.11%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-999.78%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y56.68%
OCF growth 3Y-6.7%
OCF growth 5Y-1.1%
GLADSTONE COMMERCIAL CORP / GOOD FAQ
What is the ChartMill fundamental rating of GLADSTONE COMMERCIAL CORP (GOOD) stock?
ChartMill assigns a fundamental rating of 3 / 10 to GOOD.
What is the valuation status for GOOD stock?
ChartMill assigns a valuation rating of 2 / 10 to GLADSTONE COMMERCIAL CORP (GOOD). This can be considered as Overvalued.
How profitable is GLADSTONE COMMERCIAL CORP (GOOD) stock?
GLADSTONE COMMERCIAL CORP (GOOD) has a profitability rating of 6 / 10.
How financially healthy is GLADSTONE COMMERCIAL CORP?
The financial health rating of GLADSTONE COMMERCIAL CORP (GOOD) is 0 / 10.
What is the earnings growth outlook for GLADSTONE COMMERCIAL CORP?
The Earnings per Share (EPS) of GLADSTONE COMMERCIAL CORP (GOOD) is expected to decline by -8.79% in the next year.