Today's stock selection:
GFA Gafisa S.A.
Inspired by:
Brazil: GDP soon to surpass that of Canada
Brazil is far more than Petrobras ( PBR ).
A number of investors consider Brazil to be little more than another South American backwater. Most don't think of Brazil at all, when developing comprehensive portfolios. Perhaps this is an oversight.
I consider a valuable reference source of quick data to be the Central Intelligence Agency ( CIA ) " World Factbook ".
Information on every country is readily available, simply by typing the name into the cursor.
https://www.cia.gov/library/publications/the-world-factbook/
Gafisa S.A. operates as a homebuilder in Brazil. The company also engages in the development of land subdivisions, commercial buildings, and entry-level housing. In addition, it provides construction services to third parties. Gafisa primarily develops residential buildings targeted at middle- and upper-income customers. As of October 26, 2007, it sold approximately 900 developments and constructed 37 million square meters. The company was founded in 1954 and is headquartered in Sao Paulo, Brazil.
| Profitability |
| Profit Margin (ttm): | 13.24% |
| Operating Margin (ttm): | 14.73% |
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| Management Effectiveness | | Return on Assets (ttm): | 3.99% | | Return on Equity (ttm): | 11.20% | |
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| Income Statement | | Revenue (ttm): | 787.17M | | Revenue Per Share (ttm): | 6.071 | | Qtrly Revenue Growth (yoy): | 42.40% | | Gross Profit (ttm): | N/A | | EBITDA (ttm): | 123.69M | | Net Income Avl to Common (ttm): | 104.22M | | Diluted EPS (ttm): | 0.80 | | Qtrly Earnings Growth (yoy): | N/A | |
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| Balance Sheet |
| Total Cash (mrq): | 448.69M |
| Total Cash Per Share (mrq): | 3.466 |
| Total Debt (mrq): | 677.62M |
| Total Debt/Equity (mrq): | 0.694 |
| Current Ratio (mrq): | 3.539 |
| Book Value Per Share (mrq): | 7.549 |
I consider this stock a buy with moderately aggressive risk.