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GGG vs LTM

GGG
Graco Inc.
BEARISH
Price
$80.54
Market Cap
$13.37B
Sector
Industrials
AI Confidence
85%
LTM
LATAM Airlines Group S.A.
NEUTRAL
Price
$46.91
Market Cap
$13.73B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
GGG
26.32
LTM
9.48
Forward P/E
GGG
23.83
LTM
6.86
P/B Ratio
GGG
4.87
LTM
11.73
P/S Ratio
GGG
5.94
LTM
0.96
EV/EBITDA
GGG
17.63
LTM
7575.92

Profitability

Gross Margin
GGG
52.31%
LTM
29.16%
Operating Margin
GGG
25.51%
LTM
16.94%
Profit Margin
GGG
22.96%
LTM
10.23%
ROE
GGG
19.78%
LTM
142.89%
ROA
GGG
12.01%
LTM
8.88%

Growth

Revenue Growth
GGG
2.2%
LTM
16.1%
Earnings Growth
GGG
-2.8%
LTM
87.5%

Financial Health

Debt/Equity
GGG
0.02
LTM
6.05
Current Ratio
GGG
3.56
LTM
0.6
Quick Ratio
GGG
2.5
LTM
0.51

Dividends

Dividend Yield
GGG
1.47%
LTM
3.27%
Payout Ratio
GGG
36.6%
LTM
48.65%

AI Verdict

GGG BEARISH

Graco Inc. (GGG) exhibits a stable financial health profile with a Piotroski F-Score of 4/9 and an exceptionally clean balance sheet (Debt/Equity 0.02). However, the stock is severely overvalued, trading at $80.54 despite a Graham Number of $33.74 and an Intrinsic Value of $21.42. Growth has stalled with negative YoY earnings growth (-2.80%) and a high PEG ratio of 2.52, indicating the price is not supported by current fundamentals. Bearish insider activity and a 0/100 technical trend further signal a lack of confidence in near-term upside.

Strengths
Exceptional balance sheet with near-zero debt (Debt/Equity 0.02)
Strong profitability margins (Gross Margin 52.31%, Operating Margin 25.51%)
High liquidity with a Current Ratio of 3.56
Risks
Severe valuation gap between current price and deterministic fair value models
Negative earnings growth trend (YoY -2.80%, Q/Q -4.50%)
Consistent earnings misses (only 1 of last 4 quarters beat estimates)
LTM NEUTRAL

LTM presents a stark contrast between explosive growth and precarious financial health, evidenced by a stable but mediocre Piotroski F-Score of 4/9. While the company boasts an impressive 87.5% YoY earnings growth and a low P/E of 9.48, its balance sheet is severely stressed with a Debt/Equity ratio of 6.05 and a Current Ratio of 0.60. The stock trades at a significant premium to its Graham Number ($21.11) but remains well below its growth-based intrinsic value ($146.03). Despite a 'strong_buy' analyst consensus, the 0/100 technical trend and poor liquidity metrics necessitate a neutral stance.

Strengths
Exceptional earnings growth (87.5% YoY) and revenue growth (16.1% YoY)
Strong track record of earnings beats (3/4 last 4 quarters) with high average surprise (23.03%)
Attractive valuation on a P/E (9.48) and Forward P/E (6.86) basis
Risks
Extreme leverage with a Debt/Equity ratio of 6.05
Critical liquidity risk indicated by a Current Ratio of 0.60 and Quick Ratio of 0.51
Bearish technical trend (0/100) suggesting strong downward price momentum

Compare Another Pair

GGG vs LTM: Head-to-Head Comparison

This page compares Graco Inc. (GGG) and LATAM Airlines Group S.A. (LTM) 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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