Green Thumb Industries Inc.
Green Thumb Industries Inc. Fundamental Analysis
Green Thumb Industries Inc. (GTBIF) shows moderate financial fundamentals with a PE ratio of 15.11, profit margin of 10.21%, and ROE of 6.57%. The company generates $1.2B in annual revenue with moderate year-over-year growth of 5.16%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 47.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GTBIF's fundamental strength across five key dimensions:
Efficiency Score
WeakGTBIF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentGTBIF trades at attractive valuation levels.
Growth Score
ExcellentGTBIF delivers strong and consistent growth momentum.
Financial Health Score
ExcellentGTBIF maintains a strong and stable balance sheet.
Profitability Score
WeakGTBIF struggles to sustain strong margins.
Key Financial Metrics
Is GTBIF Expensive or Cheap?
P/E Ratio
GTBIF trades at 15.11 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, GTBIF's PEG of 0.10 indicates potential undervaluation.
Price to Book
The market values Green Thumb Industries Inc. at 0.97 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.40 times EBITDA. This is generally considered low.
How Well Does GTBIF Make Money?
Net Profit Margin
For every $100 in sales, Green Thumb Industries Inc. keeps $10.21 as profit after all expenses.
Operating Margin
Core operations generate 11.52 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.57 in profit for every $100 of shareholder equity.
ROA
Green Thumb Industries Inc. generates $4.31 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Green Thumb Industries Inc. produces operating cash flow of $298.94M, showing steady but balanced cash generation.
Free Cash Flow
Green Thumb Industries Inc. generates strong free cash flow of $228.28M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.98 in free cash annually.
FCF Yield
GTBIF converts 12.07% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.11
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.97
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.55
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.30
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.47
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How GTBIF Stacks Against Its Sector Peers
| Metric | GTBIF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.11 | 29.35 | Better (Cheaper) |
| ROE | 6.57% | 705.00% | Weak |
| Net Margin | 10.21% | -53441.00% (disorted) | Strong |
| Debt/Equity | 0.30 | 0.39 | Strong (Low Leverage) |
| Current Ratio | 3.47 | 4.01 | Strong Liquidity |
| ROA | 4.31% | -19815.00% (disorted) | Weak |
GTBIF outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Green Thumb Industries Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
96.79%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
609.52%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
186.54%
Industry Style: Defensive, Growth, Innovation
High Growth