company background image
GMED

Globus MedicalNYSE:GMED Stock Report

Last Price

US$67.93

Market Cap

US$6.9b

7D

-7.5%

1Y

4.0%

Updated

21 Jan, 2022

Data

Company Financials +
GMED fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance5/6
Financial Health6/6
Dividends0/6

GMED Stock Overview

Globus Medical, Inc., a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders.

Globus Medical Competitors

Integer Holdings

NYSE:ITGR

US$2.6b

Alphatec Holdings

NasdaqGS:ATEC

US$1.0b

SI-BONE

NasdaqGM:SIBN

US$673.1m

SeaSpine Holdings

NasdaqGS:SPNE

US$435.5m

Price History & Performance

Summary of all time highs, changes and price drops for Globus Medical
Historical stock prices
Current Share PriceUS$67.93
52 Week HighUS$84.23
52 Week LowUS$59.37
Beta1.11
1 Month Change-5.19%
3 Month Change-15.00%
1 Year Change4.00%
3 Year Change55.95%
5 Year Change160.67%
Change since IPO403.19%

Recent News & Updates

Jan 21
Should You Think About Buying Globus Medical, Inc. (NYSE:GMED) Now?

Should You Think About Buying Globus Medical, Inc. (NYSE:GMED) Now?

While Globus Medical, Inc. ( NYSE:GMED ) might not be the most widely known stock at the moment, it received a lot of...

Nov 28
Are Globus Medical, Inc. (NYSE:GMED) Investors Paying Above The Intrinsic Value?

Are Globus Medical, Inc. (NYSE:GMED) Investors Paying Above The Intrinsic Value?

Today we will run through one way of estimating the intrinsic value of Globus Medical, Inc. ( NYSE:GMED ) by taking the...

Nov 10
Returns On Capital At Globus Medical (NYSE:GMED) Paint A Concerning Picture

Returns On Capital At Globus Medical (NYSE:GMED) Paint A Concerning Picture

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Firstly, we'd...

Oct 19
At US$76.32, Is Globus Medical, Inc. (NYSE:GMED) Worth Looking At Closely?

At US$76.32, Is Globus Medical, Inc. (NYSE:GMED) Worth Looking At Closely?

While Globus Medical, Inc. ( NYSE:GMED ) might not be the most widely known stock at the moment, it received a lot of...

Shareholder Returns

GMEDUS Medical EquipmentUS Market
7D-7.5%-3.9%-4.0%
1Y4.0%-0.9%6.6%

Return vs Industry: GMED exceeded the US Medical Equipment industry which returned -0.9% over the past year.

Return vs Market: GMED underperformed the US Market which returned 6.6% over the past year.

Price Volatility

Is GMED's price volatile compared to industry and market?
GMED volatility
GMED Average Weekly Movement4.5%
Medical Equipment Industry Average Movement8.2%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

Stable Share Price: GMED is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: GMED's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20032,200Dave Demskihttps://www.globusmedical.com

Globus Medical, Inc., a medical device company, develops and commercializes healthcare solutions for patients with musculoskeletal disorders. Its offers spine products, such as consists of traditional fusion implants, such as pedicle screw and rod systems, plating systems, intervertebral spacers, and corpectomy devices for treating degenerative, deformity, tumors, and trauma conditions; treatment options for motion preservation technologies, such as dynamic stabilization, total disc replacement, and interspinous distraction devices; interventional pain management solutions to treat vertebral compression fractures; and regenerative biologic products, comprising of allografts and synthetic alternatives. The company also offers products for the treatment of orthopedic trauma, including fracture plates, compression screws, intramedullary nails, and external fixation systems; and hip and knee joint solutions, including modular hip stems and acetabular cups, as well as posterior stabilizing and cruciate retaining knee arthroplasty implants.

Globus Medical Fundamentals Summary

How do Globus Medical's earnings and revenue compare to its market cap?
GMED fundamental statistics
Market CapUS$6.89b
Earnings (TTM)US$187.04m
Revenue (TTM)US$941.53m

36.9x

P/E Ratio

7.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GMED income statement (TTM)
RevenueUS$941.53m
Cost of RevenueUS$238.29m
Gross ProfitUS$703.24m
ExpensesUS$516.20m
EarningsUS$187.04m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.84
Gross Margin74.69%
Net Profit Margin19.87%
Debt/Equity Ratio0%

How did GMED perform over the long term?

See historical performance and comparison

Valuation

Is Globus Medical undervalued compared to its fair value and its price relative to the market?

21.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GMED ($67.93) is trading below our estimate of fair value ($86.2)

Significantly Below Fair Value: GMED is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GMED is good value based on its PE Ratio (36.9x) compared to the US Medical Equipment industry average (46.2x).

PE vs Market: GMED is poor value based on its PE Ratio (36.9x) compared to the US market (16.7x).


Price to Earnings Growth Ratio

PEG Ratio: GMED is poor value based on its PEG Ratio (3.1x)


Price to Book Ratio

PB vs Industry: GMED is overvalued based on its PB Ratio (4x) compared to the US Medical Equipment industry average (3.4x).


Future Growth

How is Globus Medical forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

11.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GMED's forecast earnings growth (11.9% per year) is above the savings rate (2%).

Earnings vs Market: GMED's earnings (11.9% per year) are forecast to grow slower than the US market (13.1% per year).

High Growth Earnings: GMED's earnings are forecast to grow, but not significantly.

Revenue vs Market: GMED's revenue (10.1% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: GMED's revenue (10.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GMED's Return on Equity is forecast to be low in 3 years time (11.7%).


Past Performance

How has Globus Medical performed over the past 5 years?

6.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GMED has high quality earnings.

Growing Profit Margin: GMED's current net profit margins (19.9%) are higher than last year (12.4%).


Past Earnings Growth Analysis

Earnings Trend: GMED's earnings have grown by 6% per year over the past 5 years.

Accelerating Growth: GMED's earnings growth over the past year (97.2%) exceeds its 5-year average (6% per year).

Earnings vs Industry: GMED earnings growth over the past year (97.2%) exceeded the Medical Equipment industry 51.2%.


Return on Equity

High ROE: GMED's Return on Equity (10.9%) is considered low.


Financial Health

How is Globus Medical's financial position?


Financial Position Analysis

Short Term Liabilities: GMED's short term assets ($980.5M) exceed its short term liabilities ($122.5M).

Long Term Liabilities: GMED's short term assets ($980.5M) exceed its long term liabilities ($69.8M).


Debt to Equity History and Analysis

Debt Level: GMED is debt free.

Reducing Debt: GMED has not had any debt for past 5 years.

Debt Coverage: GMED has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: GMED has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Globus Medical current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate GMED's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GMED's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GMED's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GMED's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GMED's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.4yrs

Average management tenure


CEO

Dave Demski (63 yo)

4.42yrs

Tenure

US$4,026,977

Compensation

Mr. David M. Demski, also known as Dave, serves as an Director of Axonics Inc. since January 1, 2021. Mr. Demski has been the Chief Executive Officer of Globus Medical, Inc. since August 29, 2017 and has b...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD4.03M) is below average for companies of similar size in the US market ($USD6.45M).

Compensation vs Earnings: Dave's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: GMED's management team is considered experienced (4.4 years average tenure).


Board Members

Experienced Board: GMED's board of directors are seasoned and experienced ( 10.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.8%.


Top Shareholders

Company Information

Globus Medical, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Globus Medical, Inc.
  • Ticker: GMED
  • Exchange: NYSE
  • Founded: 2003
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Implied Market Cap: US$6.893b
  • Shares outstanding: 101.47m
  • Website: https://www.globusmedical.com

Number of Employees


Location

  • Globus Medical, Inc.
  • 2560 General Armistead Avenue
  • Audubon
  • Pennsylvania
  • 19403
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/21 23:46
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.