GLADSTONE COMMERCIAL COR - GOOD 6 5/8 PERP (GOODN) Stock Fundamental Analysis
NASDAQ:GOODN - Nasdaq - US3765367020
We assign a fundamental rating of 3 out of 10 to GOODN. GOODN was compared to 129 industry peers in the Diversified REITs industry. While GOODN is still in line with the averages on profitability rating, there are concerns on its financial health. GOODN is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year GOODN was profitable.
GOODN had a positive operating cash flow in the past year.
GOODN had negative earnings in 4 of the past 5 years.
Each year in the past 5 years GOODN had a positive operating cash flow.
1.2 Ratios
GOODN has a Return On Assets of 0.77%. This is comparable to the rest of the industry: GOODN outperforms 52.38% of its industry peers.
With a Return On Equity value of 2.50%, GOODN perfoms like the industry average, outperforming 56.35% of the companies in the same industry.
The Return On Invested Capital of GOODN (3.89%) is better than 75.40% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GOODN is in line with the industry average of 3.11%.
The last Return On Invested Capital (3.89%) for GOODN is above the 3 year average (3.01%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.77% | ||
| ROE | 2.5% | ||
| ROIC | 3.89% |
ROA(3y)-0.44%
ROA(5y)-0.3%
ROE(3y)-1.48%
ROE(5y)-0.99%
ROIC(3y)3.01%
ROIC(5y)2.9%
1.3 Margins
Looking at the Profit Margin, with a value of 5.73%, GOODN is in line with its industry, outperforming 51.59% of the companies in the same industry.
GOODN has a better Operating Margin (35.64%) than 76.98% of its industry peers.
GOODN's Operating Margin has been stable in the last couple of years.
GOODN's Gross Margin of 79.86% is fine compared to the rest of the industry. GOODN outperforms 76.19% of its industry peers.
In the last couple of years the Gross Margin of GOODN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.64% | ||
| PM (TTM) | 5.73% | ||
| GM | 79.86% |
OM growth 3Y7.49%
OM growth 5Y0.58%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.77%
GM growth 5Y-1.62%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GOODN is destroying value.
The number of shares outstanding for GOODN has been increased compared to 1 year ago.
The number of shares outstanding for GOODN has been increased compared to 5 years ago.
The debt/assets ratio for GOODN is higher compared to a year ago.
2.2 Solvency
GOODN has an Altman-Z score of 0.36. This is a bad value and indicates that GOODN is not financially healthy and even has some risk of bankruptcy.
GOODN's Altman-Z score of 0.36 is on the low side compared to the rest of the industry. GOODN is outperformed by 64.29% of its industry peers.
GOODN has a debt to FCF ratio of 357.22. This is a negative value and a sign of low solvency as GOODN would need 357.22 years to pay back of all of its debts.
The Debt to FCF ratio of GOODN (357.22) is comparable to the rest of the industry.
A Debt/Equity ratio of 2.04 is on the high side and indicates that GOODN has dependencies on debt financing.
GOODN has a worse Debt to Equity ratio (2.04) than 76.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.04 | ||
| Debt/FCF | 357.22 | ||
| Altman-Z | 0.36 |
ROIC/WACC0.56
WACC6.9%
2.3 Liquidity
GOODN has a Current Ratio of 1.09. This is a normal value and indicates that GOODN is financially healthy and should not expect problems in meeting its short term obligations.
GOODN has a Current ratio (1.09) which is comparable to the rest of the industry.
A Quick Ratio of 0.42 indicates that GOODN may have some problems paying its short term obligations.
GOODN's Quick ratio of 0.42 is on the low side compared to the rest of the industry. GOODN is outperformed by 89.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 164.29% over the past year.
GOODN shows a decrease in Revenue. In the last year, the revenue decreased by -0.65%.
The Revenue has been growing slightly by 6.68% on average over the past years.
EPS 1Y (TTM)164.29%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%550%
Revenue 1Y (TTM)-0.65%
Revenue growth 3Y3.48%
Revenue growth 5Y6.68%
Sales Q2Q%7.6%
3.2 Future
GOODN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 49.55% yearly.
The Revenue is expected to grow by 2.63% on average over the next years.
EPS Next Y214.75%
EPS Next 2Y80.01%
EPS Next 3Y49.55%
EPS Next 5YN/A
Revenue Next Year1.06%
Revenue Next 2Y1.45%
Revenue Next 3Y2.3%
Revenue Next 5Y2.63%
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
With a Price/Earnings ratio of 126.94, GOODN can be considered very expensive at the moment.
Based on the Price/Earnings ratio, GOODN is valued a bit more expensive than 62.70% of the companies in the same industry.
GOODN is valuated expensively when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
GOODN is valuated quite expensively with a Price/Forward Earnings ratio of 83.75.
The rest of the industry has a similar Price/Forward Earnings ratio as GOODN.
The average S&P500 Price/Forward Earnings ratio is at 24.44. GOODN is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 126.94 | ||
| Fwd PE | 83.75 |
4.2 Price Multiples
GOODN's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. GOODN is more expensive than 62.70% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as GOODN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 553.63 | ||
| EV/EBITDA | 16.09 |
4.3 Compensation for Growth
GOODN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as GOODN's earnings are expected to grow with 49.55% in the coming years.
PEG (NY)0.59
PEG (5Y)N/A
EPS Next 2Y80.01%
EPS Next 3Y49.55%
5. Dividend
5.1 Amount
GOODN has a Yearly Dividend Yield of 7.32%, which is a nice return.
GOODN's Dividend Yield is a higher than the industry average which is at 18.51.
GOODN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.32% |
5.2 History
The dividend of GOODN decreases each year by -3.92%.
GOODN has been paying a dividend for over 5 years, so it has already some track record.
As GOODN did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-3.92%
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
GOODN pays out 727.22% of its income as dividend. This is not a sustainable payout ratio.
DP727.22%
EPS Next 2Y80.01%
EPS Next 3Y49.55%
GLADSTONE COMMERCIAL COR - GOOD 6 5/8 PERP
NASDAQ:GOODN (1/21/2025, 8:04:00 PM)
22.85
-0.11 (-0.48%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners43.05%
Inst Owner ChangeN/A
Ins Owners1.36%
Ins Owner Change0%
Market Cap1.07B
Analysts78.18
Price Target24.11 (5.51%)
Short Float %0.01%
Short Ratio0.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.32% |
Yearly Dividend1.5
Dividend Growth(5Y)-3.92%
DP727.22%
Div Incr Years0
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-206.4%
Min EPS beat(2)-884.31%
Max EPS beat(2)471.52%
EPS beat(4)3
Avg EPS beat(4)-22.34%
Min EPS beat(4)-884.31%
Max EPS beat(4)471.52%
EPS beat(8)4
Avg EPS beat(8)-112%
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)2
Avg Revenue beat(2)2.8%
Min Revenue beat(2)1.46%
Max Revenue beat(2)4.13%
Revenue beat(4)2
Avg Revenue beat(4)-0.56%
Min Revenue beat(4)-4.33%
Max Revenue beat(4)4.13%
Revenue beat(8)3
Avg Revenue beat(8)-2.31%
Revenue beat(12)4
Avg Revenue beat(12)-1.67%
Revenue beat(16)5
Avg Revenue beat(16)-1.84%
PT rev (1m)0.15%
PT rev (3m)7.61%
EPS NQ rev (1m)0%
EPS NQ rev (3m)287.5%
EPS NY rev (1m)0%
EPS NY rev (3m)315.22%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.75%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 126.94 | ||
| Fwd PE | 83.75 | ||
| P/S | 7.26 | ||
| P/FCF | 553.63 | ||
| P/OCF | 23.32 | ||
| P/B | 3.17 | ||
| P/tB | 4.49 | ||
| EV/EBITDA | 16.09 |
EPS(TTM)0.18
EY0.79%
EPS(NY)0.27
Fwd EY1.19%
FCF(TTM)0.04
FCFY0.18%
OCF(TTM)0.98
OCFY4.29%
SpS3.15
BVpS7.21
TBVpS5.09
PEG (NY)0.59
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.77% | ||
| ROE | 2.5% | ||
| ROCE | 4.92% | ||
| ROIC | 3.89% | ||
| ROICexc | 3.93% | ||
| ROICexgc | 4.39% | ||
| OM | 35.64% | ||
| PM (TTM) | 5.73% | ||
| GM | 79.86% | ||
| FCFM | 1.31% |
ROA(3y)-0.44%
ROA(5y)-0.3%
ROE(3y)-1.48%
ROE(5y)-0.99%
ROIC(3y)3.01%
ROIC(5y)2.9%
ROICexc(3y)3.04%
ROICexc(5y)2.92%
ROICexgc(3y)3.41%
ROICexgc(5y)3.29%
ROCE(3y)3.81%
ROCE(5y)3.67%
ROICexcg growth 3Y10.89%
ROICexcg growth 5Y3.72%
ROICexc growth 3Y11.18%
ROICexc growth 5Y4.16%
OM growth 3Y7.49%
OM growth 5Y0.58%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.77%
GM growth 5Y-1.62%
F-Score7
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.04 | ||
| Debt/FCF | 357.22 | ||
| Debt/EBITDA | 6.33 | ||
| Cap/Depr | 78.19% | ||
| Cap/Sales | 29.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 42.19% | ||
| Profit Quality | 22.86% | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 0.36 |
F-Score7
WACC6.9%
ROIC/WACC0.56
Cap/Depr(3y)144.21%
Cap/Depr(5y)187.98%
Cap/Sales(3y)60.62%
Cap/Sales(5y)80.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)164.29%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%550%
EPS Next Y214.75%
EPS Next 2Y80.01%
EPS Next 3Y49.55%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.65%
Revenue growth 3Y3.48%
Revenue growth 5Y6.68%
Sales Q2Q%7.6%
Revenue Next Year1.06%
Revenue Next 2Y1.45%
Revenue Next 3Y2.3%
Revenue Next 5Y2.63%
EBIT growth 1Y10.58%
EBIT growth 3Y11.23%
EBIT growth 5Y7.3%
EBIT Next Year207.3%
EBIT Next 3Y49.61%
EBIT Next 5YN/A
FCF growth 1Y102.43%
FCF growth 3YN/A
FCF growth 5Y21.56%
OCF growth 1Y-37.22%
OCF growth 3Y-2.68%
OCF growth 5Y1.66%