Fact based stock research
GMO GlobalSign Holdings (TSE:3788)

JP3386040004

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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.

GMO GlobalSign Holdings stock research in summary

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ANALYSIS: With an Obermatt Combined Rank of 41 (worse than 59% compared with investment alternatives), GMO GlobalSign Holdings (Internet Services & Infrastructure, Japan) shares have somewhat below-average financial characteristics compared with similar stocks. Shares of GMO GlobalSign Holdings are a good value (attractively priced) with a consolidated Value Rank of 55 (better than 55% of alternatives), are safely financed (Safety Rank of 63, which means low debt burdens), but show below-average growth (Growth Rank of 29). ...read more

RECOMMENDATION: A Combined Rank of 41, is a hold recommendation based on GMO GlobalSign Holdings's financial characteristics. As the company GMO GlobalSign Holdings's key financial metrics exhibit good value (Obermatt Value Rank of 55) but low growth (Obermatt Growth Rank of 29) while being safely financed (Obermatt Safety Rank of 63), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 55% of comparable companies, may also indicate that 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 and the downside is limited due to below-average financing risks. 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	55
Growth Rank	29
Safety Rank	63
Combined Rank	41

Country	Japan
Industry	Internet Services & Infrastructure
Index
Size class	Small

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

Further information

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

Research History: GMO GlobalSign Holdings

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	46	47	52	55
GROWTH
GROWTH	3	5	21	29
SAFETY
SAFETY	69	74	71	63
SENTIMENT
SENTIMENT	n/a	67	58	^new
360° VIEW
360° VIEW	n/a	45	51	^new

Most recent update of the stock research: 19-Dec-2024. Financial reporting date used for calculating ranks: 30-Sep-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better GMO GlobalSign Holdings is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	46	47	52	55
GROWTH
GROWTH	3	5	21	29
SAFETY
SAFETY	69	74	71	63
COMBINED
COMBINED	23	28	42	41

Last update of combined financial performance: 19-Dec-2024. Stock analysis on combined financial performance: The higher the rank of GMO GlobalSign Holdings the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 55 (better than 55% compared with alternatives), GMO GlobalSign Holdings shares are more attractively priced than the majority of comparable stocks. The Value Rank is based on consolidating four value indicators, where three out of four indicators are above average for GMO GlobalSign Holdings. Price-to-Sales (P/S) is 78 which means that the stock price compared with what market professionals expect for future sales is lower than for 78% of comparable companies, indicating a good value for GMO GlobalSign Holdings's revenue size. The same is valid for the Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 52. Finally, compared with other companies in the same industry, dividend yields of GMO GlobalSign Holdings are expected to be higher than for 61% of all competitors (a Dividend Yield rank of 61). The only low rank is for expected profits with a Price-to-Profit Rank of 35, indicating that the market expects the company's profit to be low despite a high dividend. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 55, is a buy recommendation based on GMO GlobalSign Holdings's stock price compared with the company's operational size and dividend yields. The low Profit Rank could result from a one-off charge, for instance, for an accident, a legal settlement, or a restructuring project. If the company keeps its dividends high, the low expected profit may be transitory. If that is the case, the three good value ranks for Sales, Capital, and Dividends are reliable indicators for good stock price value, a low stock price. 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)	43	56	66	78
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	46	28	43	35
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	18	40	47	52
DIVIDEND YIELD
DIVIDEND YIELD	78	56	62	61
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	46	47	52	55

Last update of Value Rank: 19-Dec-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of GMO GlobalSign Holdings; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 29 (better than 29% compared with alternatives), GMO GlobalSign Holdings 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 three out of four indicators below average for GMO GlobalSign Holdings. Only Capital Growth has a good rank of 65, which means that currently professionals expect the company to grow its invested capital more than 18% of its competitors. The other three indicators are pointing South: Sales Growth has a rank of 46 which means that currently professionals expect the company to grow less than 54% of its competitors. Profit Growth with a rank of 18 and Stock Returns with a rank of 35 are also low (below 65% of alternative investments). ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 29, is a hold recommendation for growth and momentum investors. The good news from the invested capital side is surprising. A company with disappointing revenues, profits, and disappointed shareholders typically doesn't invest above average. Overall, the growth momentum for GMO GlobalSign Holdings is thus negative. As it is intriguing to see that company executives are optimistic about their investment policy, it is worthwhile looking into the details of the capital investment projects. They may indicate future growth and profits and thus if accompanied by a good value, a sign of good timing to invest in the stock. 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 limited here. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	17	37	23	46
PROFIT GROWTH
PROFIT GROWTH	n/a	10	29	18
CAPITAL GROWTH
CAPITAL GROWTH	n/a	45	65	65
STOCK RETURNS
STOCK RETURNS	2	13	15	35
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	3	5	21	29

Last update of Growth Rank: 19-Dec-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of GMO GlobalSign Holdings.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 63 (better than 63% compared with alternatives), the company GMO GlobalSign Holdings has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of GMO GlobalSign Holdings is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with two out of three indicators above-average for GMO GlobalSign Holdings. Refinancing is at 69, meaning the portion of the debt that is about to be refinanced is below average. It has less debt in the refinancing stage than 69% of its competitors. Liquidity is also good at 67, meaning the company generates more profit to service its debt than 67% of its competitors. This indicates that the company is safer when it comes to debt service. However, Leverage is rather large at 37, which means the company has an above-average debt-to-equity ratio. It has more debt than 63% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 63 (better than 63% compared with alternatives), GMO GlobalSign Holdings has a financing structure that is safer than that of its competitors. This is not bad if things go well. The higher debt level means better returns to shareholders if things go well. Many top-performing companies operate with higher debt levels, and GMO GlobalSign Holdings could be in that group. But if you expect the environment to turn rougher, the higher leverage could become a problem. The same is valid if you expect interest rates to rise. That could squeeze shareholder returns, which so far have benefitted from better conditions. In the long-term, investors may have a debt challenge with GMO GlobalSign Holdings and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	67	65	42	37
REFINANCING
REFINANCING	29	46	60	69
LIQUIDITY
LIQUIDITY	91	81	80	67
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	69	74	71	63

Last update of Safety Rank: 19-Dec-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of GMO GlobalSign Holdings 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	76	85	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	50	50	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	77	69	^new
MARKET PULSE
MARKET PULSE	n/a	13	15	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	67	58	^new

Last update of Sentiment Rank: 19-Dec-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for GMO GlobalSign Holdings.
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