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GOODGladstone Commercial Corporation
$12.57$608M
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  4. Financial Ratios

Gladstone Commercial Corporation (GOOD) Financial Ratios

Latest Ratios: P/E Ratio 30.7x · EV/EBITDA 12.3x · ROE 7.5%. (2003–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

GOOD Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$608M$504M$678M$529M$726M$942M$622M$671M$514M$555M$466M
Enterprise Value$1.5B$1.3B$1.4B$1.3B$1.5B$1.6B$1.3B$1.3B$1.1B$1.1B$971M
P/E Ratio →30.6626.0262.46———200.00—597.33——
P/S Ratio3.773.124.543.584.876.844.675.874.815.865.40
P/B Ratio1.741.473.963.433.534.652.883.182.020.700.63
P/FCF9.067.5015.369.8511.6514.5410.5311.1522.01——
P/OCF6.905.7211.918.7610.5013.439.5011.159.2411.8511.33

P/E links to full P/E history page with 30-year chart

GOOD EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—8.369.148.549.8611.969.6611.3410.0511.5111.24
EV / EBITDA12.3011.4212.7611.6013.9917.2913.9214.7210.0514.3413.76
EV / EBIT24.2522.0522.2129.8433.9843.5830.7734.2827.8835.7632.52
EV / FCF—20.0930.9123.4823.5625.4221.7421.5445.98——

GOOD Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin5.9%5.9%78.9%78.2%77.7%76.0%76.2%84.5%89.3%91.9%93.2%
Operating Margin37.2%37.2%34.2%34.4%30.1%26.2%27.7%31.4%33.4%35.1%38.3%
Net Profit Margin12.0%12.0%16.1%3.4%7.3%7.9%11.2%8.4%11.5%6.3%4.6%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE7.5%7.5%14.7%2.8%5.3%5.2%7.0%4.1%2.4%0.8%0.8%
ROA1.6%1.6%2.2%0.4%0.9%1.0%1.4%1.0%1.3%0.7%0.5%
ROIC4.4%4.4%4.4%4.2%3.6%3.0%3.2%3.3%2.5%1.9%2.5%
ROCE5.3%5.3%4.9%4.8%4.1%3.4%3.7%3.9%4.0%3.9%4.2%

GOOD Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity2.502.504.074.823.673.523.123.002.220.690.69
Debt / EBITDA7.257.256.526.857.197.497.307.185.307.137.22
Net Debt / Equity—2.474.014.743.613.483.072.962.200.680.69
Net Debt / EBITDA7.157.156.426.747.077.407.187.105.247.047.15
Debt / FCF—12.5915.5513.6311.9110.8811.2210.3923.97——
Interest Coverage1.461.461.641.131.331.411.561.341.471.241.15

GOOD Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio1.631.631.100.430.370.290.410.290.982.001.12
Quick Ratio1.631.630.990.200.330.290.410.291.002.021.12
Cash Ratio0.300.300.280.100.150.110.140.090.120.220.10
Asset Turnover—0.130.140.130.120.120.120.110.110.100.10
Inventory Turnover——7.271.1710.07——————
Days Sales Outstanding———————————

GOOD Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield11.5%13.5%9.3%11.5%9.8%7.1%10.2%8.8%10.6%9.1%9.1%
Payout Ratio353.4%353.4%261.6%1216.0%658.0%613.7%426.8%611.6%442.9%849.0%1073.6%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield3.3%3.8%1.6%———0.5%—0.2%——
FCF Yield11.0%13.3%6.5%10.2%8.6%6.9%9.5%9.0%4.5%——
Buyback Yield0.7%0.9%0.3%0.3%0.0%0.0%0.0%0.0%0.0%0.0%8.3%
Total Shareholder Yield12.2%14.4%9.5%11.8%9.8%7.1%10.2%8.8%10.6%9.1%17.4%
Shares Outstanding—$47M$42M$40M$39M$37M$35M$31M$29M$26M$23M

Key Metrics

Growth RegimeAccelerating
ProfitabilityModerate
Balance SheetStrained
Cash FlowMixed
Top Statement Risk

High leverage and dividend sustainability pressure

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q2)

P/FFO Compression Amid Leverage Concerns

Gladstone's P/FFO of 3.34 in 2026Q2 represents a significant compression from the 7.24 level in 2025Q4, suggesting the market is pricing in the elevated leverage and dividend yield risk despite the strong FFO growth of 22.9% year-over-year.

The current P/FFO multiple appears to reflect investor skepticism about the sustainability of the 11.1% dividend yield given the strained balance sheet, rather than a pure valuation discount. The implied cap rate, derived from NOI relative to enterprise value, would need to be compared against private market transaction rates to assess whether the public market valuation offers a meaningful discount or premium to underlying asset values.

NOI Margin Volatility Masks Core Strength

The NOI margin has swung dramatically from a loss of -188.3% in 2025Q4 to a perfect 100.0% in 2026Q2, indicating that while the core portfolio generates strong property-level income, non-recurring items like impairments create extreme volatility that obscures underlying operational performance.

The 100% NOI margin in the latest quarter suggests that operating expenses are being fully covered by rental income, which is a positive sign for property-level cash generation. However, the extreme volatility, particularly the negative margin in 2025Q4, indicates that investors should focus on same-store NOI growth trends rather than headline margins to assess true organic profitability.

FFO Payout Ratio Signals Tightening Coverage

The FFO payout ratio has improved to 75.7% in 2026Q2 from 90.1% in 2024Q1, yet the AFFO payout ratio of 76% leaves minimal retained cash flow of approximately $3.5M quarterly, suggesting dividend growth may require external financing.

While the FFO payout ratio appears manageable, the AFFO payout ratio is the more critical metric for dividend sustainability as it accounts for maintenance capital expenditures. The tight coverage implies that Gladstone has limited capacity to increase dividends without either accelerating AFFO growth through acquisitions or accessing external capital markets, which could further strain the balance sheet.

Debt-to-Gross-Assets Ratio Signals Strain

The debt-to-equity ratio of 5.45 in 2026Q2, when translated to a debt-to-gross-assets metric, indicates that debt represents approximately 72% of the company's asset base, a level that appears elevated relative to the 0.60-0.98 range seen among peers like EPRT and GTY.

The interest coverage ratio of 1.73 in 2026Q2, while improved from negative territory in 2025Q4, remains thin and suggests that operating income provides a limited buffer for debt service obligations. This leverage profile, combined with minimal cash reserves of $10.4M, indicates that the company's financial flexibility is constrained and it may be vulnerable to rising interest rates or operational disruptions.

Occupancy and G&A Efficiency Unquantified

The provided data does not include occupancy rates or G&A cost metrics, preventing a direct assessment of portfolio quality and operational efficiency, though the stable NOI margins in recent quarters suggest consistent property-level performance.

Without occupancy data, it is impossible to determine whether revenue growth is driven by higher rents on existing space or by filling vacant properties. Similarly, the absence of G&A metrics means investors cannot assess whether the company is achieving economies of scale as its portfolio expands, which is a key consideration for a REIT pursuing an acquisition-driven growth strategy.

P/E Ratio Misleads on REIT Earnings

The reported P/E ratio of 31.73 is the most commonly misapplied metric for Gladstone, as it is distorted by significant non-cash depreciation charges that depress GAAP net income, making the company appear more expensive than its cash flow generation warrants.

For REITs, the P/E ratio is misleading because it includes depreciation, which is a non-cash expense that does not reflect the actual economic consumption of the real estate assets. The appropriate alternative is the P/FFO ratio, which adds back depreciation to net income, providing a clearer picture of the cash flow available to service debt and pay dividends. In Gladstone's case, the P/FFO of 3.34 suggests a much more reasonable valuation than the P/E of 31.73 implies.

Download Financial Ratios Data

Includes 30+ ratios · 23 years · Updated daily

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GOOD — Frequently Asked Questions

Quick answers to the most common questions about buying GOOD stock.

What is Gladstone Commercial Corporation's P/E ratio?

Gladstone Commercial Corporation's current P/E ratio is 30.7x. The historical average is 69.3x. This places it at the 13th percentile of its historical range.

What is Gladstone Commercial Corporation's EV/EBITDA?

Gladstone Commercial Corporation's current EV/EBITDA is 12.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 16.0x.

What is Gladstone Commercial Corporation's ROE?

Gladstone Commercial Corporation's return on equity (ROE) is 7.5%. The historical average is 3.4%.

Is GOOD stock overvalued?

Based on historical data, Gladstone Commercial Corporation is trading at a P/E of 30.7x. This is at the 13th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Gladstone Commercial Corporation's dividend yield?

Gladstone Commercial Corporation's current dividend yield is 11.49% with a payout ratio of 353.4%.

What are Gladstone Commercial Corporation's profit margins?

Gladstone Commercial Corporation has 5.9% gross margin and 37.2% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Gladstone Commercial Corporation have?

Gladstone Commercial Corporation's Debt/EBITDA ratio is 7.2x, indicating high leverage. A ratio above 4x may signal elevated financial risk.