Grupo Financiero Galicia S.A.
Grupo Financiero Galicia S.A. Fundamental Analysis
Grupo Financiero Galicia S.A. (GGAL) shows weak financial fundamentals with a PE ratio of 50.40, profit margin of 1.77%, and ROE of 2.88%. The company generates $10404.1B in annual revenue with weak year-over-year growth of 2.24%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 55.8/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze GGAL's fundamental strength across five key dimensions:
Efficiency Score
WeakGGAL struggles to generate sufficient returns from assets.
Valuation Score
ModerateGGAL shows balanced valuation metrics.
Growth Score
WeakGGAL faces weak or negative growth trends.
Financial Health Score
ModerateGGAL shows balanced financial health with some risks.
Profitability Score
ModerateGGAL maintains healthy but balanced margins.
Key Financial Metrics
Is GGAL Expensive or Cheap?
P/E Ratio
GGAL trades at 50.40 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, GGAL's PEG of -0.00 indicates potential undervaluation.
Price to Book
The market values Grupo Financiero Galicia S.A. at 1.54 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 30.36 times EBITDA. This signals the market has high growth expectations.
How Well Does GGAL Make Money?
Net Profit Margin
For every $100 in sales, Grupo Financiero Galicia S.A. keeps $1.77 as profit after all expenses.
Operating Margin
Core operations generate 2.51 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.88 in profit for every $100 of shareholder equity.
ROA
Grupo Financiero Galicia S.A. generates $0.50 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Grupo Financiero Galicia S.A. produces operating cash flow of $2.44T, showing steady but balanced cash generation.
Free Cash Flow
Grupo Financiero Galicia S.A. generates strong free cash flow of $2.19T, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $13657.20 in free cash annually.
FCF Yield
GGAL converts 23.73% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
50.40
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.00
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.54
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.89
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.34
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.005
vs 25 benchmark
ROCE
Return on capital employed
0.007
vs 25 benchmark
How GGAL Stacks Against Its Sector Peers
| Metric | GGAL Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 50.40 | 18.50 | Worse (Expensive) |
| ROE | 2.88% | 809.00% | Weak |
| Net Margin | 1.77% | 2211.00% | Weak |
| Debt/Equity | 0.34 | 0.90 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 691.82 | Weak Liquidity |
| ROA | 0.50% | -24320.00% (disorted) | Weak |
GGAL outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Grupo Financiero Galicia S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
4981.37%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
5139.56%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
39.25%
Industry Style: Value, Dividend, Cyclical
High Growth