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ARLO vs GSL

ARLO
Arlo Technologies, Inc.
NEUTRAL
Price
$12.99
Market Cap
$1.38B
Sector
Industrials
AI Confidence
65%
GSL
Global Ship Lease, Inc.
BULLISH
Price
$39.15
Market Cap
$1.41B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
ARLO
433.0
GSL
3.46
Forward P/E
ARLO
16.56
GSL
4.3
P/B Ratio
ARLO
10.63
GSL
0.78
P/S Ratio
ARLO
2.7
GSL
1.87
EV/EBITDA
ARLO
1000.12
GSL
3.46

Profitability

Gross Margin
ARLO
41.63%
GSL
68.98%
Operating Margin
ARLO
0.62%
GSL
46.82%
Profit Margin
ARLO
0.84%
GSL
55.31%
ROE
ARLO
3.8%
GSL
25.51%
ROA
ARLO
-0.41%
GSL
9.29%

Growth

Revenue Growth
ARLO
1.4%
GSL
3.3%
Earnings Growth
ARLO
--
GSL
10.0%

Financial Health

Debt/Equity
ARLO
0.07
GSL
0.38
Current Ratio
ARLO
1.42
GSL
2.04
Quick Ratio
ARLO
1.14
GSL
1.72

Dividends

Dividend Yield
ARLO
--
GSL
6.39%
Payout Ratio
ARLO
0.0%
GSL
18.77%

AI Verdict

ARLO NEUTRAL

ARLO exhibits weak financial health with a Piotroski F-Score of 4/9, indicating borderline stability, and lacks an Altman Z-Score to assess bankruptcy risk. While the company shows strong recent earnings growth and beats on earnings surprises, profitability remains thin with negative ROA and elevated valuation multiples. The stock trades significantly above its Graham Number of $0.91 and intrinsic value of $0.21, suggesting substantial premium pricing. Analysts maintain a strong_buy recommendation, but insider selling worth $17.9M over the past six months raises caution, offsetting bullish sentiment.

Strengths
Strong recent earnings performance with 4 out of the last 5 quarters beating estimates and high positive surprises
Low debt burden with a Debt/Equity ratio of just 0.07, indicating conservative capital structure
Improving earnings trend: YoY EPS growth of +45.5% and Q/Q EPS growth of +433.3%
Risks
Weak financial health: Piotroski F-Score of 4/9 suggests instability and lack of Altman Z-Score increases uncertainty
Extremely high P/E of 433.00 indicates potential overvaluation, especially compared to forward P/E of 16.56
Negative ROA of -0.41% signals inefficient asset utilization and poor profitability
GSL BULLISH

GSL presents a classic deep-value opportunity, trading significantly below its Graham Number ($113.02) and Intrinsic Value ($249.04). While the Piotroski F-Score of 4/9 indicates stable but not strong financial health, the company's fundamental metrics are exceptional, featuring a P/E of 3.46 and a Price/Book of 0.78. Despite bearish technical trends and recent insider selling, the combination of high profitability (ROE 25.51%) and a highly sustainable 6.39% dividend yield provides a substantial margin of safety.

Strengths
Extreme valuation discount (P/E 3.46, P/B 0.78)
High profitability margins (Profit Margin 55.31%, ROE 25.51%)
Conservative leverage profile (Debt/Equity 0.38)
Risks
Bearish technical trend (10/100 score)
Negative insider sentiment with recent sales by CFO and Officers
Recent deceleration in earnings (Q/Q EPS growth -11.5%)

Compare Another Pair

ARLO vs GSL: Head-to-Head Comparison

This page compares Arlo Technologies, Inc. (ARLO) and Global Ship Lease, Inc. (GSL) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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