Grocery Outlet Valuation
| GO Stock | USD 17.20 0.12 0.70% |
At this time, the firm appears to be fairly valued. Grocery Outlet Holding retains a regular Real Value of $15.75 per share. The prevalent price of the firm is $17.2. Our model calculates the value of Grocery Outlet Holding from evaluating the firm fundamentals such as Return On Asset of 0.0194, return on equity of 0.0422, and Current Valuation of 3.12 B as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Grocery Outlet's valuation include:
Price Book 1.3088 | Enterprise Value | Enterprise Value Ebitda 15.8642 | Price Sales 0.3891 | Forward PE 16.1812 |
Fairly Valued
Today
Please note that Grocery Outlet's price fluctuation is not too volatile at this time. Calculation of the real value of Grocery Outlet Holding is based on 3 months time horizon. Increasing Grocery Outlet's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Grocery Outlet is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Grocery Stock. However, Grocery Outlet's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 17.2 | Real 15.75 | Target 17.21 | Hype 16.21 |
The intrinsic value of Grocery Outlet's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Grocery Outlet's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Grocery Outlet Holding helps investors to forecast how Grocery stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Grocery Outlet more accurately as focusing exclusively on Grocery Outlet's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Grocery Outlet's intrinsic value based on its ongoing forecasts of Grocery Outlet's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Grocery Outlet's closest peers.
Grocery Outlet Cash |
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Grocery Valuation Trend
Knowing Grocery Outlet's actual value is paramount for traders when making sound investment determinations. Using both Grocery Outlet's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Grocery Valuation Data Drivers
Grocery Revenue by Product
Grocery Outlet Total Value Analysis
Grocery Outlet Holding is currently estimated to have takeover value of 3.12 B with market capitalization of 1.66 B, debt of 1.39 B, and cash on hands of 107.28 M. Please note that takeover value may be misleading and is a subject to accounting mistakes. We encourage investors to methodically examine all of the Grocery Outlet fundamentals before making investment evaluation based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
3.12 B | 1.66 B | 1.39 B | 107.28 M |
Grocery Outlet Investor Information
About 96.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 1.31. Some equities with similar Price to Book (P/B) outperform the market in the long run. Grocery Outlet Holding has Price/Earnings To Growth (PEG) ratio of 2.48. The entity had not issued any dividends in recent years. Based on the key indicators related to Grocery Outlet's liquidity, profitability, solvency, and operating efficiency, Grocery Outlet Holding is not in a good financial situation at the moment. It has a very high risk of going through financial straits in March.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.0352 | 0.0305 |
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| Total Cash From Operating Activities | 366.4 M | 349 M |
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| Operating Income | 97.5 M | 144.6 M |
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Grocery Outlet Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Grocery Outlet has an asset utilization ratio of 133.67 percent. This suggests that the Company is making $1.34 for each dollar of assets. An increasing asset utilization means that Grocery Outlet Holding is more efficient with each dollar of assets it utilizes for everyday operations.Grocery Outlet Ownership Allocation
The majority of Grocery Outlet Holding outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in Grocery Outlet to benefit from reduced commissions. Consequently, third-party entities are subject to a different set of regulations than regular investors in Grocery Outlet Holding. Please pay attention to any change in the institutional holdings of Grocery Outlet Holding as this could imply that something significant has changed or is about to change at the company.Grocery Outlet Profitability Analysis
The company generated the yearly revenue of 3.97 B. Reported Net Income was 79.44 M with gross profit of 1.3 B.About Grocery Outlet Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Grocery Outlet Holding. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Grocery Outlet Holding based exclusively on its fundamental and basic technical indicators. By analyzing Grocery Outlet's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Grocery Outlet's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Grocery Outlet. We calculate exposure to Grocery Outlet's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Grocery Outlet's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.4 B | 953.1 M | |
| Pretax Profit Margin | 0.02 | 0.01 | |
| Operating Profit Margin | 0.03 | 0.04 | |
| Net Profit Margin | 0.02 | 0.01 | |
| Gross Profit Margin | 0.27 | 0.25 |
Grocery Outlet Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 100.8 M | |
| Quarterly Earnings Growth Y O Y | -0.111 | |
| Forward Price Earnings | 16.1812 |
Grocery Outlet Current Valuation Indicators
Grocery Outlet's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Grocery Outlet's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Grocery Outlet, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Grocery Outlet's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Grocery Outlet's worth.Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Grocery Outlet Holding. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons. You can also try the Stocks Directory module to find actively traded stocks across global markets.
Is Consumer Staples Distribution & Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Grocery Outlet. If investors know Grocery will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Grocery Outlet listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.11) | Earnings Share 0.53 | Revenue Per Share | Quarterly Revenue Growth 0.104 | Return On Assets |
The market value of Grocery Outlet Holding is measured differently than its book value, which is the value of Grocery that is recorded on the company's balance sheet. Investors also form their own opinion of Grocery Outlet's value that differs from its market value or its book value, called intrinsic value, which is Grocery Outlet's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Grocery Outlet's market value can be influenced by many factors that don't directly affect Grocery Outlet's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Grocery Outlet's value and its price as these two are different measures arrived at by different means. Investors typically determine if Grocery Outlet is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Grocery Outlet's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.