Grifols, S.A.
Grifols, S.A. Fundamental Analysis
Grifols, S.A. (GIFOF) shows moderate financial fundamentals with a PE ratio of 13.25, profit margin of 5.34%, and ROE of 7.56%. The company generates $10.8B in annual revenue with moderate year-over-year growth of 9.41%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 34.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GIFOF's fundamental strength across five key dimensions:
Efficiency Score
WeakGIFOF struggles to generate sufficient returns from assets.
Valuation Score
ModerateGIFOF shows balanced valuation metrics.
Growth Score
ModerateGIFOF shows steady but slowing expansion.
Financial Health Score
ModerateGIFOF shows balanced financial health with some risks.
Profitability Score
WeakGIFOF struggles to sustain strong margins.
Key Financial Metrics
Is GIFOF Expensive or Cheap?
P/E Ratio
GIFOF trades at 13.25 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, GIFOF's PEG of 2.08 indicates potential overvaluation.
Price to Book
The market values Grifols, S.A. at 1.01 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -0.81 times EBITDA. This is generally considered low.
How Well Does GIFOF Make Money?
Net Profit Margin
For every $100 in sales, Grifols, S.A. keeps $5.34 as profit after all expenses.
Operating Margin
Core operations generate 16.96 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.56 in profit for every $100 of shareholder equity.
ROA
Grifols, S.A. generates $2.04 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Grifols, S.A. produces operating cash flow of $1.50B, showing steady but balanced cash generation.
Free Cash Flow
Grifols, S.A. generates strong free cash flow of $1.12B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.14 in free cash annually.
FCF Yield
GIFOF converts 10.27% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.25
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.08
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.01
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.01
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.83
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.51
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How GIFOF Stacks Against Its Sector Peers
| Metric | GIFOF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.25 | 28.25 | Better (Cheaper) |
| ROE | 7.56% | 780.00% | Weak |
| Net Margin | 5.34% | -20122.00% (disorted) | Weak |
| Debt/Equity | 1.83 | 0.30 | Weak (High Leverage) |
| Current Ratio | 2.51 | 4.66 | Strong Liquidity |
| ROA | 2.04% | -14687.00% (disorted) | Weak |
GIFOF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Grifols, S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
42.54%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
-74.71%
Industry Style: Defensive, Growth, Innovation
DecliningFCF CAGR
59.78%
Industry Style: Defensive, Growth, Innovation
High Growth