Games Workshop Group PLC
Games Workshop Group PLC Fundamental Analysis
Games Workshop Group PLC (GMWKF) shows strong financial fundamentals with a PE ratio of 29.46, profit margin of 31.75%, and ROE of 68.77%. The company generates $0.7B in annual revenue with strong year-over-year growth of 17.46%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 92.6/100 based on profitability, valuation, growth, and balance sheet metrics. The A grade reflects excellent fundamentals and strong overall stability.
Fundamental Health Score
We analyze GMWKF's fundamental strength across five key dimensions:
Efficiency Score
ExcellentGMWKF demonstrates superior asset utilization.
Valuation Score
WeakGMWKF trades at a premium to fair value.
Growth Score
ExcellentGMWKF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentGMWKF maintains a strong and stable balance sheet.
Profitability Score
ExcellentGMWKF achieves industry-leading margins.
Key Financial Metrics
Is GMWKF Expensive or Cheap?
P/E Ratio
GMWKF trades at 29.46 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, GMWKF's PEG of 7.52 indicates potential overvaluation.
Price to Book
The market values Games Workshop Group PLC at 19.04 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 19.21 times EBITDA. This signals the market has high growth expectations.
How Well Does GMWKF Make Money?
Net Profit Margin
For every $100 in sales, Games Workshop Group PLC keeps $31.75 as profit after all expenses.
Operating Margin
Core operations generate 42.62 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $68.77 in profit for every $100 of shareholder equity.
ROA
Games Workshop Group PLC generates $47.72 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Games Workshop Group PLC generates strong operating cash flow of $283.71M, reflecting robust business health.
Free Cash Flow
Games Workshop Group PLC generates strong free cash flow of $256.77M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $7.77 in free cash annually.
FCF Yield
GMWKF converts 4.21% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
29.46
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
7.52
vs 25 benchmark
P/B Ratio
Price to book value ratio
19.04
vs 25 benchmark
P/S Ratio
Price to sales ratio
9.37
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.16
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.83
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.69
vs 25 benchmark
ROA
Return on assets percentage
0.48
vs 25 benchmark
ROCE
Return on capital employed
0.76
vs 25 benchmark
How GMWKF Stacks Against Its Sector Peers
| Metric | GMWKF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 29.46 | 23.72 | Worse (Expensive) |
| ROE | 68.77% | 1091.00% | Weak |
| Net Margin | 31.75% | -627.00% (disorted) | Strong |
| Debt/Equity | 0.16 | 0.72 | Strong (Low Leverage) |
| Current Ratio | 3.83 | 2.64 | Strong Liquidity |
| ROA | 47.72% | 1053.00% | Weak |
GMWKF outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Games Workshop Group PLC's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
126.45%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
172.02%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
133.93%
Industry Style: Cyclical, Growth, Discretionary
High Growth