We feel now is a pretty good time to analyse Global-E Online Ltd.'s (NASDAQ:GLBE) business as it appears the company may be on the cusp of a considerable accomplishment. Global-E Online Ltd., together with its subsidiaries, provides a platform to enable and accelerate direct-to-consumer cross-border e-commerce in Israel, the United Kingdom, the United States, and internationally. The US$6.4b market-cap company posted a loss in its most recent financial year of US$134m and a latest trailing-twelve-month loss of US$110m shrinking the gap between loss and breakeven. The most pressing concern for investors is Global-E Online's path to profitability – when will it breakeven? We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.

See our latest analysis for Global-E Online

According to the 13 industry analysts covering Global-E Online, the consensus is that breakeven is near. They expect the company to post a final loss in 2025, before turning a profit of US$61m in 2026. So, the company is predicted to breakeven approximately 2 years from today. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 103%, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

Given this is a high-level overview, we won’t go into details of Global-E Online's upcoming projects, however, take into account that typically a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

One thing we’d like to point out is that Global-E Online has no debt on its balance sheet, which is rare for a loss-making growth company, which usually has a high level of debt relative to its equity. This means that the company has been operating purely on its equity investment and has no debt burden. This aspect reduces the risk around investing in the loss-making company.

Next Steps:

There are key fundamentals of Global-E Online which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Global-E Online, take a look at Global-E Online's company page on Simply Wall St. We've also put together a list of key aspects you should further research:

1. Valuation: What is Global-E Online worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Global-E Online is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Global-E Online’s board and the CEO’s background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.