NYSE:GNL

Stock Analysis Report

Executive Summary

Global Net Lease, Inc. (NYSE: GNL) is a publicly traded real estate investment trust listed on the NYSE focused on acquiring a diversified global portfolio of commercial properties, with an emphasis on sale-leaseback transactions involving single tenant, mission critical income producing net-leased assets across the United States, Western and Northern Europe.


Snowflake Analysis

Proven track record and fair value.


Similar Companies

Share Price & News

How has Global Net Lease's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GNL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.1%

GNL

-0.07%

US REITs

-1.1%

US Market


1 Year Return

10.0%

GNL

16.0%

US REITs

17.9%

US Market

Return vs Industry: GNL underperformed the US REITs industry which returned 16% over the past year.

Return vs Market: GNL underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

GNLIndustryMarket
7 Day-0.1%-0.07%-1.1%
30 Day5.6%3.6%1.4%
90 Day8.1%7.8%6.9%
1 Year21.6%10.0%20.7%16.0%20.3%17.9%
3 Year19.6%-11.9%37.9%20.6%47.8%38.3%
5 Yearn/a60.3%27.3%71.9%53.0%

Price Volatility Vs. Market

How volatile is Global Net Lease's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Global Net Lease undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GNL ($21.64) is trading below our estimate of fair value ($47.93)

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


Price To Earnings Ratio

PE vs Industry: GNL is poor value based on its PE Ratio (98.2x) compared to the REITs industry average (37.2x).

PE vs Market: GNL is poor value based on its PE Ratio (98.2x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: GNL is poor value based on its PEG Ratio (5.8x)


Price to Book Ratio

PB vs Industry: GNL is good value based on its PB Ratio (1.2x) compared to the US REITs industry average (2.1x).


Next Steps

Future Growth

How is Global Net Lease forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

17.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GNL's forecast earnings growth (17.1% per year) is above the savings rate (1.7%).

Earnings vs Market: GNL's earnings (17.1% per year) are forecast to grow faster than the US market (14.1% per year).

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

Revenue vs Market: GNL's revenue (7.3% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: GNL's revenue (7.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if GNL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Global Net Lease performed over the past 5 years?

41.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GNL has high quality earnings.

Growing Profit Margin: GNL's current net profit margins (5.9%) are higher than last year (4.7%).


Past Earnings Growth Analysis

Earnings Trend: GNL has become profitable over the past 5 years, growing earnings by 41.5% per year.

Accelerating Growth: GNL's earnings growth over the past year (36.2%) is below its 5-year average (41.5% per year).

Earnings vs Industry: GNL earnings growth over the past year (36.2%) exceeded the REITs industry 7.6%.


Return on Equity

High ROE: GNL's Return on Equity (1.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Global Net Lease's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: GNL has a high level of physical assets or inventory.

Debt Coverage by Assets: GNL's debt is not covered by short term assets (assets are 0.3x debt).


Financial Institutions Analysis

Asset Level: GNL's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if GNL has a sufficient allowance for bad loans.

Low Risk Liabilities: GNL reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if GNL has an acceptable proportion of non-loan assets held.

Low Risk Deposits: GNL has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if GNL has an appropriate level of bad loans.


Next Steps

Dividend

What is Global Net Lease's current dividend yield, its reliability and sustainability?

9.84%

Current Dividend Yield


Dividend Yield vs Market

company9.8%marketbottom25%1.4%markettop25%3.7%industryaverage3.5%forecastin3Years9.8%

Current dividend yield vs market & industry

Notable Dividend: GNL's dividend (9.84%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: GNL's dividend (9.84%) is in the top 25% of dividend payers in the US market (3.73%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, GNL has been paying a dividend for less than 10 years.

Growing Dividend: GNL has only been paying a dividend for 5 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (109.4%), GNL's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GNL's dividends in 3 years are forecast to be thoroughly covered by earnings (1.2% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Jim Nelson (69yo)

2.5yrs

Tenure

0

Mr. James L. Nelson, also known as Jim, has been Chief Executive Officer and President at Global Net Lease, Inc since August 08, 2017. Mr. Nelson served as an Advisor and Consultant at Theorem Capital, LLC ...


Leadership Team

NamePositionTenureCompensationOwnership
James Nelson
President2.5yrsno data0.016% $303.0k
Christopher Masterson
CFO, Treasurer & Secretary2.3yrsno datano data
Brian Mansouri
Senior Vice President of Investments0yrsno datano data
Louisa Quarto
Executive Vice President0yrsno datano data
Jason Slear
Executive Vice President of Acquisitions0yrsno datano data
Jacqui Shimmin
Managing Director2.2yrsno datano data

2.3yrs

Average Tenure

50yo

Average Age

Experienced Management: GNL's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
James Nelson
President2.5yrsno data0.016% $303.0k
Abby Wenzel
Independent Director7.9yrsUS$216.30k0.027% $531.9k
Portia Perrotty
Non-Executive Chairwoman of the Board4.9yrsUS$335.61k0.035% $679.4k
Edward Rendell
Independent Director7.9yrsUS$214.30k0.024% $458.8k
Edward Weil
Director3.1yrsno data0.025% $476.4k
Lee Elman
Independent Director3.2yrsUS$209.24k0.012% $224.8k

4.0yrs

Average Tenure

67yo

Average Age

Experienced Board: GNL's board of directors are considered experienced (4 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 19.5%.


Top Shareholders

Company Information

Global Net Lease, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Global Net Lease, Inc.
  • Ticker: GNL
  • Exchange: NYSE
  • Founded: 2011
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: US$1.935b
  • Shares outstanding: 89.42m
  • Website: https://www.globalnetlease.com

Number of Employees


Location

  • Global Net Lease, Inc.
  • 650 Fifth Avenue
  • 30th Floor
  • New York
  • New York
  • 10019
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GNLNYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2015
2N8DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2015
0IW3LSE (London Stock Exchange)YesCommon StockGBUSDJun 2015
GNL.PRANYSE (New York Stock Exchange)7.25% CUM PFD AUSUSDSep 2017
GBLN.POTCPK (Pink Sheets LLC)6.875% PFD SER BUSUSDNov 2019

Biography

Global Net Lease, Inc. (NYSE: GNL) is a publicly traded real estate investment trust listed on the NYSE focused on acquiring a diversified global portfolio of commercial properties, with an emphasis on sale-leaseback transactions involving single tenant, mission critical income producing net-leased assets across the United States, Western and Northern Europe. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 02:25
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.