Fact based stock research
Globe Telecom (PSE:GLO)

PHY272571498

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

Globe Telecom stock research in summary

globe.com.ph

ANALYSIS: With an Obermatt Combined Rank of 25 (worse than 75% compared with investment alternatives), Globe Telecom (Wireless Telecommunication, Philippines) shares have somewhat below-average financial characteristics compared with similar stocks. Shares of Globe Telecom are a good value (attractively priced) with a consolidated Value Rank of 60 (better than 60% of alternatives) but show below-average growth (Growth Rank of 39), and are riskily financed (Safety Rank of 26), which means above-average debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 25, is a hold recommendation based on Globe Telecom's financial characteristics. As the company Globe Telecom's key financial metrics exhibit good value (Obermatt Value Rank of 60) but low growth (Obermatt Growth Rank of 39) and risky financing practices (Obermatt Safety Rank of 26), it may be a risky investment, because debt in times of crises can make things worse. The good value, better than 60% of comparable companies, may indicate the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	60
Growth Rank	39
Safety Rank	26
Combined Rank	25

Country	Philippines
Industry	Wireless Telecommunication
Index	Good Governace Growth Markets, Independent Boards Growth Markets
Size class	X-Large

14-Nov-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

Multiple opinions. One number.

Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

Why popular stocks have low ratings

It’s easier said than done. When your stock drops, it’s easy to want to sell it and find a better performer. Think twice, or even three times, before trading. Those fees (especially the hidden ones) can eat up your gains.

Review the performance ranks of the individual metrics that form each investment strategy.

Research History: Globe Telecom

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	25	55	86	60
GROWTH
GROWTH	61	69	9	39
SAFETY
SAFETY	14	32	39	26
SENTIMENT
SENTIMENT	n/a	27	26	^new
360° VIEW
360° VIEW	n/a	37	33	^new

Most recent update of the stock research: 14-Nov-2024. Financial reporting date used for calculating ranks: 30-Jun-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better Globe Telecom is in the corresponding investment strategy.
Upgrade to a Premium Account to access the latest ranks.

Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	25	55	86	60
GROWTH
GROWTH	61	69	9	39
SAFETY
SAFETY	14	32	39	26
COMBINED
COMBINED	18	46	39	25

Last update of combined financial performance: 14-Nov-2024. Stock analysis on combined financial performance: The higher the rank of Globe Telecom the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 60 (better than 60% compared with alternatives), Globe Telecom shares are more attractively priced than the majority of comparable stocks. The Value Rank is based on consolidating four value indicators that are all above average for Globe Telecom. Price-to-Sales is 50 which means that the stock price compared with what market professionals expect for future sales is lower than for 50% of comparable companies, indicating a good value for Globe Telecom's revenue size. The same is valid for expected Price-to-Profits, more favorable than for 53% of alternatives, and this is also true for the Price-to-Book capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 53. Compared with other companies in the same industry, dividend yields of Globe Telecom are expected to be higher than for 84% of all competitors (a Dividend Yield rank of 84). ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 60, is a buy recommendation based on Globe Telecom's stock price compared with the company's operational size and dividend yields. Since all value metrics are above the industry average, there is no objection to investing in Globe Telecom based on its detailed value metrics. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	11	42	66	50
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	45	48	59	53
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	11	28	73	53
DIVIDEND YIELD
DIVIDEND YIELD	58	76	84	84
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	25	55	86	60

Last update of Value Rank: 14-Nov-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of Globe Telecom; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 39 (better than 39% compared with alternatives), Globe Telecom shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for Globe Telecom. Profit Growth has a rank of 53, which means that currently professionals expect the company to grow its profits more than 53% of its competitors. This is a good sign for shareholders, which is confirmed by an above-average Stock Returns rank of 71 (above 71% of alternative investments). But Sales Growth has a below the median rank of 40, which means that, currently, professionals expect the company to grow less than 60% of its competitors, and Capital Growth also has a lower rank of 14. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 39, is a hold recommendation for growth and momentum investors. Because revenues and invested capital are the more solid growth indicators, the positive development on the profit side is less relevant. It may have been caused by cost-cutting, which may be a negative growth indicator. Finally, the above-average stock returns recently are a thing of the past and not a good indicator of future returns. Investors should be confident that the cost-cutting initiative leading to higher profits is to benefit the company's future. If not, there is little growth momentum, and investment is only advisable if the Value Ranks suggest a good investment timing for Globe Telecom. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is mixed here. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	41	39	38	40
PROFIT GROWTH
PROFIT GROWTH	n/a	43	34	53
CAPITAL GROWTH
CAPITAL GROWTH	n/a	64	16	14
STOCK RETURNS
STOCK RETURNS	83	89	21	71
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	61	69	9	39

Last update of Growth Rank: 14-Nov-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of Globe Telecom.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 26 (better than 26% compared with alternatives), the company Globe Telecom has financing practices on the riskier side, which means that their overall debt burden is above the industry average. This doesn't mean that the business of Globe Telecom is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with just one indicator above average for Globe Telecom. Liquidity is at 50, meaning the company generates more profit to service its debt than 50% of its competitors. This indicates that the company is safer when it comes to debt service. But Refinancing is riskier at a rank of 21, which means that the portion of the debt that is about to be refinanced is above average. It has more debt in the refinancing stage than 79% of its competitors. Leverage is also high at a rank of 24, which means that the company has an above-average debt-to-equity ratio. It has more debt than 76% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 26 (worse than 74% compared with alternatives), Globe Telecom has a financing structure that is riskier than that of its competitors. High Leverage (a low Obermatt Leverage Rank) is good in good times, because it usually indicates that shareholders get higher returns. The good Liquidity performance of the company is an indicator that this is the case. However, if you expect an economic downturn, you may stay clear of this stock because they have an above-average debt level that needs refinancing soon. If the company is sailing with good winds, as may be visible from the Growth and Sentiment performance, the refinancing risk may be lower than the low Refinancing rank suggests. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	32	26	32	24
REFINANCING
REFINANCING	15	21	15	21
LIQUIDITY
LIQUIDITY	44	67	63	50
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	14	32	39	26

Last update of Safety Rank: 14-Nov-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of Globe Telecom and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	23	39	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	50	50	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	59	26	^new
MARKET PULSE
MARKET PULSE	n/a	38	27	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	27	26	^new

Last update of Sentiment Rank: 14-Nov-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for Globe Telecom.
Upgrade to a Premium Account to access the latest ranks.