Is Globus Maritime Ltd. overvalued or undervalued?

Sep 20 2025 05:57 PM IST
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As of June 16, 2025, Globus Maritime Ltd. is considered risky and overvalued due to its low Price to Book Value of 0.14, high EV to EBIT ratio of 29.71, poor ROCE of 0.76%, and significant underperformance with a 1-year return of -38.86% compared to the S&P 500's 17.14%.
As of 16 June 2025, the valuation grade for Globus Maritime Ltd. has moved from expensive to risky, indicating a deterioration in its perceived value. The company appears to be overvalued, particularly given its low Price to Book Value of 0.14 and a high EV to EBIT ratio of 29.71, which suggests that investors are paying a premium for earnings that are not currently being generated. Additionally, the ROCE stands at a mere 0.76%, further highlighting the company's struggles in generating returns on capital.

In comparison to its peers, Globus Maritime Ltd. has a significantly lower EV to EBITDA ratio of 3.97 compared to Euroseas Ltd. at 3.81 and KNOT Offshore Partners LP at 5.74, which indicates that it is not performing as well in terms of operational efficiency. Furthermore, the company's stock has underperformed relative to the S&P 500, with a 1-year return of -38.86% compared to the index's 17.14%, reinforcing the notion that it is currently overvalued in the market.
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