Grab Holdings Limited Fundamental Analysis
Grab Holdings Limited (GRABW) shows moderate financial fundamentals with a PE ratio of 35.53, profit margin of 10.67%, and ROE of 5.81%. The company generates $3.6B in annual revenue with strong year-over-year growth of 20.49%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 59.1/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze GRABW's fundamental strength across five key dimensions:
Efficiency Score
WeakGRABW struggles to generate sufficient returns from assets.
Valuation Score
ModerateGRABW shows balanced valuation metrics.
Growth Score
ModerateGRABW shows steady but slowing expansion.
Financial Health Score
ExcellentGRABW maintains a strong and stable balance sheet.
Profitability Score
WeakGRABW struggles to sustain strong margins.
Key Financial Metrics
Is GRABW Expensive or Cheap?
P/E Ratio
GRABW trades at 35.53 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, GRABW's PEG of 0.04 indicates potential undervaluation.
Price to Book
The market values Grab Holdings Limited at 2.07 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 21.34 times EBITDA. This signals the market has high growth expectations.
How Well Does GRABW Make Money?
Net Profit Margin
For every $100 in sales, Grab Holdings Limited keeps $10.67 as profit after all expenses.
Operating Margin
Core operations generate 7.82 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.81 in profit for every $100 of shareholder equity.
ROA
Grab Holdings Limited generates $3.24 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Grab Holdings Limited generates limited operating cash flow of $11.99M, signaling weaker underlying cash strength.
Free Cash Flow
Grab Holdings Limited generates weak or negative free cash flow of $-87.95M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.02 in free cash annually.
FCF Yield
GRABW converts -0.67% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
35.53
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.07
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.67
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.30
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.67
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How GRABW Stacks Against Its Sector Peers
| Metric | GRABW Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 35.53 | 36.65 | Neutral |
| ROE | 5.81% | 970.00% | Weak |
| Net Margin | 10.67% | 5896794768.00% | Weak |
| Debt/Equity | 0.30 | 0.37 | Neutral |
| Current Ratio | 1.67 | 4.95 | Neutral |
| ROA | 3.24% | -296023.00% (disorted) | Weak |
GRABW outperforms its industry in 0 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Grab Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
593.46%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
109.92%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
134.67%
Industry Style: Growth, Innovation, High Beta
High Growth