GAMEHOST INC (GH.CA) Stock Fundamental Analysis
TSX:GH - Toronto Stock Exchange - CA36468B1040 - Common Stock - Currency: CAD
We assign a fundamental rating of 6 out of 10 to GH. GH was compared to 18 industry peers in the Hotels, Restaurants & Leisure industry. While GH belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. GH is cheap, but on the other hand it scores bad on growth. These ratings could make GH a good candidate for value investing.
1. Profitability
1.1 Basic Checks
GH had positive earnings in the past year.
In the past year GH had a positive cash flow from operations.
In the past 5 years GH has always been profitable.
Each year in the past 5 years GH had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GH (11.27%) is better than 94.12% of its industry peers.
Looking at the Return On Equity, with a value of 17.61%, GH belongs to the top of the industry, outperforming 88.24% of the companies in the same industry.
The Return On Invested Capital of GH (14.36%) is better than 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GH is above the industry average of 7.70%.
The last Return On Invested Capital (14.36%) for GH is above the 3 year average (10.14%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.27% | ||
| ROE | 17.61% | ||
| ROIC | 14.36% |
ROA(3y)7.21%
ROA(5y)6.67%
ROE(3y)12.25%
ROE(5y)11.14%
ROIC(3y)10.14%
ROIC(5y)9.45%
1.3 Margins
The Profit Margin of GH (24.17%) is better than 88.24% of its industry peers.
In the last couple of years the Profit Margin of GH has remained more or less at the same level.
The Operating Margin of GH (34.41%) is better than 82.35% of its industry peers.
GH's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 39.75%, GH is in line with its industry, outperforming 52.94% of the companies in the same industry.
GH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.41% | ||
| PM (TTM) | 24.17% | ||
| GM | 39.75% |
OM growth 3Y8.76%
OM growth 5Y0.2%
PM growth 3Y18.15%
PM growth 5Y0.91%
GM growth 3Y16.64%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), GH is creating some value.
Compared to 1 year ago, GH has less shares outstanding
Compared to 5 years ago, GH has less shares outstanding
GH has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.83 indicates that GH is not a great score, but indicates only limited risk for bankruptcy at the moment.
GH's Altman-Z score of 2.83 is amongst the best of the industry. GH outperforms 82.35% of its industry peers.
GH has a debt to FCF ratio of 2.21. This is a good value and a sign of high solvency as GH would need 2.21 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.21, GH is doing good in the industry, outperforming 70.59% of the companies in the same industry.
GH has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
GH has a Debt to Equity ratio of 0.30. This is in the better half of the industry: GH outperforms 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.21 | ||
| Altman-Z | 2.83 |
ROIC/WACC1.73
WACC8.28%
2.3 Liquidity
GH has a Current Ratio of 0.90. This is a bad value and indicates that GH is not financially healthy enough and could expect problems in meeting its short term obligations.
GH's Current ratio of 0.90 is in line compared to the rest of the industry. GH outperforms 52.94% of its industry peers.
A Quick Ratio of 0.87 indicates that GH may have some problems paying its short term obligations.
With a Quick ratio value of 0.87, GH perfoms like the industry average, outperforming 58.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
GH shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.59%.
The Earnings Per Share has been growing slightly by 6.99% on average over the past years.
GH shows a small growth in Revenue. In the last year, the Revenue has grown by 2.19%.
The Revenue has been growing slightly by 3.44% on average over the past years.
EPS 1Y (TTM)1.59%
EPS 3Y63.82%
EPS 5Y6.99%
EPS Q2Q%-12.58%
Revenue 1Y (TTM)2.19%
Revenue growth 3Y34.06%
Revenue growth 5Y3.44%
Sales Q2Q%-4.71%
3.2 Future
GH is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by 0.00% yearly.
Based on estimates for the next years, GH will show a decrease in Revenue. The Revenue will decrease by -0.66% on average per year.
EPS Next Y-2.04%
EPS Next 2Y0%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.12%
Revenue Next 2Y-0.66%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.22, the valuation of GH can be described as reasonable.
GH's Price/Earnings ratio is rather cheap when compared to the industry. GH is cheaper than 82.35% of the companies in the same industry.
GH's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.62.
Based on the Price/Forward Earnings ratio of 10.33, the valuation of GH can be described as reasonable.
Based on the Price/Forward Earnings ratio, GH is valued cheaply inside the industry as 94.12% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.70, GH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.22 | ||
| Fwd PE | 10.33 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GH indicates a rather cheap valuation: GH is cheaper than 94.12% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, GH is valued a bit cheaper than the industry average as 70.59% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.53 | ||
| EV/EBITDA | 7.84 |
4.3 Compensation for Growth
GH has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.6
EPS Next 2Y0%
EPS Next 3YN/A
5. Dividend
5.1 Amount
GH has a Yearly Dividend Yield of 5.77%, which is a nice return.
GH's Dividend Yield is a higher than the industry average which is at 4.47.
Compared to an average S&P500 Dividend Yield of 2.27, GH pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.77% |
5.2 History
The dividend of GH decreases each year by -11.74%.
GH has been paying a dividend for at least 10 years, so it has a reliable track record.
GH has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-11.74%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
GH pays out 49.19% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP49.19%
EPS Next 2Y0%
EPS Next 3YN/A
TSX:GH (2/21/2025, 7:00:00 PM)
10.43
+0.03 (+0.29%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners12.94%
Inst Owner ChangeN/A
Ins Owners36.83%
Ins Owner ChangeN/A
Market Cap219.45M
Analysts84.44
Price Target14.28 (36.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.77% |
Yearly Dividend0.37
Dividend Growth(5Y)-11.74%
DP49.19%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.22 | ||
| Fwd PE | 10.33 | ||
| P/S | 2.66 | ||
| P/FCF | 9.53 | ||
| P/OCF | 9.27 | ||
| P/B | 1.94 | ||
| P/tB | 6.04 | ||
| EV/EBITDA | 7.84 |
EPS(TTM)0.93
EY8.92%
EPS(NY)1.01
Fwd EY9.68%
FCF(TTM)1.09
FCFY10.5%
OCF(TTM)1.12
OCFY10.78%
SpS3.92
BVpS5.38
TBVpS1.73
PEG (NY)N/A
PEG (5Y)1.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.27% | ||
| ROE | 17.61% | ||
| ROCE | 18.32% | ||
| ROIC | 14.36% | ||
| ROICexc | 15.91% | ||
| ROICexgc | 35.36% | ||
| OM | 34.41% | ||
| PM (TTM) | 24.17% | ||
| GM | 39.75% | ||
| FCFM | 27.91% |
ROA(3y)7.21%
ROA(5y)6.67%
ROE(3y)12.25%
ROE(5y)11.14%
ROIC(3y)10.14%
ROIC(5y)9.45%
ROICexc(3y)11.23%
ROICexc(5y)10.45%
ROICexgc(3y)25.45%
ROICexgc(5y)23.88%
ROCE(3y)12.94%
ROCE(5y)12.06%
ROICexcg growth 3Y50.03%
ROICexcg growth 5Y-0.22%
ROICexc growth 3Y47.72%
ROICexc growth 5Y2%
OM growth 3Y8.76%
OM growth 5Y0.2%
PM growth 3Y18.15%
PM growth 5Y0.91%
GM growth 3Y16.64%
GM growth 5Y-0.35%
F-Score8
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.21 | ||
| Debt/EBITDA | 1.05 | ||
| Cap/Depr | 15.08% | ||
| Cap/Sales | 0.76% | ||
| Interest Coverage | 9.96 | ||
| Cash Conversion | 72.7% | ||
| Profit Quality | 115.51% | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 2.83 |
F-Score8
WACC8.28%
ROIC/WACC1.73
Cap/Depr(3y)86.26%
Cap/Depr(5y)63.82%
Cap/Sales(3y)9.87%
Cap/Sales(5y)7.26%
Profit Quality(3y)99.24%
Profit Quality(5y)109.29%
High Growth Momentum
Growth
EPS 1Y (TTM)1.59%
EPS 3Y63.82%
EPS 5Y6.99%
EPS Q2Q%-12.58%
EPS Next Y-2.04%
EPS Next 2Y0%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)2.19%
Revenue growth 3Y34.06%
Revenue growth 5Y3.44%
Sales Q2Q%-4.71%
Revenue Next Year-0.12%
Revenue Next 2Y-0.66%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y1.93%
EBIT growth 3Y45.8%
EBIT growth 5Y3.64%
EBIT Next Year14.27%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y81.4%
FCF growth 3Y52.33%
FCF growth 5Y2.12%
OCF growth 1Y36%
OCF growth 3Y40.25%
OCF growth 5Y2.13%