Guzman y Gomez (Holdings) Ltd
Guzman y Gomez (Holdings) Ltd Fundamental Analysis
Guzman y Gomez (Holdings) Ltd (GYG.AX) shows weak financial fundamentals with a PE ratio of 106.66, profit margin of 3.66%, and ROE of 4.82%. The company generates $0.5B in annual revenue with strong year-over-year growth of 35.77%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 37.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GYG.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakGYG.AX struggles to generate sufficient returns from assets.
Valuation Score
WeakGYG.AX trades at a premium to fair value.
Growth Score
ModerateGYG.AX shows steady but slowing expansion.
Financial Health Score
ModerateGYG.AX shows balanced financial health with some risks.
Profitability Score
WeakGYG.AX struggles to sustain strong margins.
Key Financial Metrics
Is GYG.AX Expensive or Cheap?
P/E Ratio
GYG.AX trades at 106.66 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, GYG.AX's PEG of 4.98 indicates potential overvaluation.
Price to Book
The market values Guzman y Gomez (Holdings) Ltd at 5.30 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 12.77 times EBITDA. This signals the market has high growth expectations.
How Well Does GYG.AX Make Money?
Net Profit Margin
For every $100 in sales, Guzman y Gomez (Holdings) Ltd keeps $3.66 as profit after all expenses.
Operating Margin
Core operations generate 10.54 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.82 in profit for every $100 of shareholder equity.
ROA
Guzman y Gomez (Holdings) Ltd generates $2.25 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Guzman y Gomez (Holdings) Ltd produces operating cash flow of $72.99M, showing steady but balanced cash generation.
Free Cash Flow
Guzman y Gomez (Holdings) Ltd generates weak or negative free cash flow of $9.67M, restricting financial flexibility.
FCF Per Share
Each share generates $0.09 in free cash annually.
FCF Yield
GYG.AX converts 0.50% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
106.66
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
4.98
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.95
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.002
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.76
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How GYG.AX Stacks Against Its Sector Peers
| Metric | GYG.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 106.66 | 23.83 | Worse (Expensive) |
| ROE | 4.82% | 1168.00% | Weak |
| Net Margin | 3.66% | -2451.00% (disorted) | Weak |
| Debt/Equity | 2.00 | 0.74 | Weak (High Leverage) |
| Current Ratio | 3.76 | 2.57 | Strong Liquidity |
| ROA | 2.25% | -34556.00% (disorted) | Weak |
GYG.AX 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 Guzman y Gomez (Holdings) Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
288.14%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
262.47%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
148.18%
Industry Style: Cyclical, Growth, Discretionary
High Growth