11.26 USD
-0.14 (-1.23%)
11.26 USD
0 (0%)
Taking everything into account, GOOD scores 3 out of 10 in our fundamental rating. GOOD was compared to 124 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 is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year GOOD was profitable.
- In the past year GOOD had a positive cash flow from operations.
- In multiple years GOOD reported negative net income over the last 5 years.
- In the past 5 years GOOD always reported a positive cash flow from operatings.
1.2 Ratios
- GOOD's Return On Assets of 0.66% is in line compared to the rest of the industry. GOOD outperforms 50.81% of its industry peers.
- With a Return On Equity value of 2.35%, GOOD perfoms like the industry average, outperforming 51.61% of the companies in the same industry.
- The Return On Invested Capital of GOOD (3.64%) is better than 69.35% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for GOOD is in line with the industry average of 3.05%.
- 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
- GOOD has a Profit Margin (5.36%) which is in line with its industry peers.
- The Operating Margin of GOOD (36.74%) is better than 79.03% 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 77.42% of the companies in the same industry.
- In the last couple of years the Gross Margin of GOOD has remained more or less at the same level.
| 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.
- Compared to 1 year ago, GOOD has more shares outstanding
- GOOD has more shares outstanding than it did 5 years ago.
- GOOD has a better debt/assets ratio than last year.
2.2 Solvency
- GOOD has an Altman-Z score of -0.08. This is a bad value and indicates that GOOD is not financially healthy and even has some risk of bankruptcy.
- GOOD has a worse Altman-Z score (-0.08) than 78.23% 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.
- The Debt to Equity ratio of GOOD (2.37) is worse than 73.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.37 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.08 |
ROIC/WACC0.55
WACC6.66%
2.3 Liquidity
- A Current Ratio of 0.68 indicates that GOOD may have some problems paying its short term obligations.
- The Current ratio of GOOD (0.68) is worse than 67.74% of its industry peers.
- GOOD has a Quick Ratio of 0.68. This is a bad value and indicates that GOOD is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.68, GOOD is doing worse than 67.74% of the companies in the same industry.
| 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%.
- Looking at the last year, GOOD shows a small growth in Revenue. The Revenue has grown by 4.95% in the last year.
- Measured over the past years, GOOD shows a small growth in Revenue. The Revenue has been growing by 5.48% on average per year.
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
- The Earnings Per Share is expected to decrease by -14.38% on average over the next years. This is quite bad
- The Revenue is expected to grow by 3.16% on average over the next years.
EPS Next Y-54.23%
EPS Next 2Y-22.65%
EPS Next 3Y-14.38%
EPS Next 5YN/A
Revenue Next Year6.02%
Revenue Next 2Y6.15%
Revenue Next 3Y5.74%
Revenue Next 5Y3.16%
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
- A Price/Earnings ratio of 62.56 indicates a quite expensive valuation of GOOD.
- GOOD's Price/Earnings ratio is in line with the industry average.
- When comparing the Price/Earnings ratio of GOOD to the average of the S&P500 Index (28.82), we can say GOOD is valued expensively.
- GOOD is valuated quite expensively with a Price/Forward Earnings ratio of 72.39.
- GOOD's Price/Forward Earnings ratio is in line with the industry average.
- GOOD's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.95.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 62.56 | ||
| Fwd PE | 72.39 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GOOD indicates a somewhat cheap valuation: GOOD is cheaper than 70.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.53 |
4.3 Compensation for Growth
- GOOD has a very decent profitability rating, which may justify a higher PE ratio.
- GOOD's earnings are expected to decrease with -14.38% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-22.65%
EPS Next 3Y-14.38%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 10.44%, GOOD is a good candidate for dividend investing.
- GOOD's Dividend Yield is rather good when compared to the industry average which is at 6.82. GOOD pays more dividend than 91.13% of the companies in the same industry.
- GOOD's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.44% |
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.
- GOOD's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP803.1%
EPS Next 2Y-22.65%
EPS Next 3Y-14.38%
GLADSTONE COMMERCIAL CORP / GOOD FAQ
What is the fundamental rating for GOOD stock?
ChartMill assigns a fundamental rating of 3 / 10 to GOOD.
What is the valuation status of GLADSTONE COMMERCIAL CORP (GOOD) stock?
ChartMill assigns a valuation rating of 2 / 10 to GLADSTONE COMMERCIAL CORP (GOOD). This can be considered as Overvalued.
What is the profitability of GOOD stock?
GLADSTONE COMMERCIAL CORP (GOOD) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for GOOD stock?
The Price/Earnings (PE) ratio for GLADSTONE COMMERCIAL CORP (GOOD) is 62.56 and the Price/Book (PB) ratio is 1.63.
How financially healthy is GLADSTONE COMMERCIAL CORP?
The financial health rating of GLADSTONE COMMERCIAL CORP (GOOD) is 0 / 10.