Global Net Lease, Inc. (GNL) vs Gladstone Commercial Corporation (GOOD)

Global Net Lease, Inc. and Gladstone Commercial Corporation are both Reit Diversified companies. Global Net Lease, Inc. is the larger, with a market value of $1.6B against $562.4M — 2.8× the size. Global Net Lease, Inc. has negative trailing earnings, so its P/E is not meaningful; Gladstone Commercial Corporation trades at 88.2×. Gladstone Commercial Corporation grew revenue faster over the last twelve months: 10.7% against −13.9%. Gladstone Commercial Corporation has the higher net margin (3.50% vs −12.5%) and the higher return on invested capital (27.8% vs 4.14%). Both pay a dividend; Gladstone Commercial Corporation yields more (12.2% vs 11.0%). Across the 21 metrics below, Global Net Lease, Inc. leads on 11 and Gladstone Commercial Corporation on 10.

Valuation

Metric GNL GOOD Reit Diversified median
P/E n/m 88.23 22.82
P/S 3.18 3.26 3.07
P/B 0.97 3.78 0.91
Price to free cash flow 7.26 n/m 7.40
EV/EBITDA 6.67 11.30 12.30
EV/Sales 5.88 8.17 6.35
Earnings yield (4.05%) 1.13% 0.86%
Free cash flow yield 13.78% (0.75%) (1.02%)

Profitability

Metric GNL GOOD Reit Diversified median
Gross margin 88.78% 0.00% 74.86%
Operating margin 39.64% 35.52% 31.73%
Net margin (12.46%) 3.50% 2.33%
Free cash flow margin 43.76% 41.98% 4.30%
Return on equity (3.43%) 3.61% 2.79%
Return on assets (1.27%) 0.48% 0.29%
Return on invested capital 4.14% 27.77% 2.89%

Growth

Metric GNL GOOD Reit Diversified median
Revenue growth (TTM) (13.87%) 10.65% 6.36%
EPS growth (last fiscal year) (59.21%) (46.15%) (13.25%)
Revenue growth, 5-year CAGR 8.45% 3.91% 4.83%
Net income growth, 5-year CAGR 0.00% 15.92% 0.00%

Health

Metric GNL GOOD Reit Diversified median
Debt to equity 0.94 0.00 1.03
Current ratio 0.16 0.00 1.25
Net debt to EBITDA 0.32 7.29 5.88

Dividend

Metric GNL GOOD Reit Diversified median
Dividend yield 11.00% 12.21% 6.30%
Payout ratio — 10.77 1.41

Size

Metric GNL GOOD Reit Diversified median
Market cap 1.60b 562.41m 798.31m

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