GMS INC (GMS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GMS - US36251C1036 - Common Stock
109.96 USD
-0.01 (-0.01%)
109.97 USD
+0.01 (+0.01%)
Overall GMS gets a fundamental rating of 5 out of 10. We evaluated GMS against 50 industry peers in the Trading Companies & Distributors industry. GMS has only an average score on both its financial health and profitability. GMS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
GMS had positive earnings in the past year.
GMS had a positive operating cash flow in the past year.
Each year in the past 5 years GMS has been profitable.
In the past 5 years GMS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.65%, GMS is in line with its industry, outperforming 44.00% of the companies in the same industry.
GMS has a Return On Equity (7.01%) which is in line with its industry peers.
With a Return On Invested Capital value of 6.19%, GMS perfoms like the industry average, outperforming 56.00% of the companies in the same industry.
GMS had an Average Return On Invested Capital over the past 3 years of 10.30%. This is in line with the industry average of 9.63%.
The 3 year average ROIC (10.30%) for GMS is well above the current ROIC(6.19%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 7.01% | ||
| ROIC | 6.19% |
ROA(3y)6.85%
ROA(5y)6.72%
ROE(3y)17.72%
ROE(5y)18.34%
ROIC(3y)10.3%
ROIC(5y)10%
1.3 Margins
GMS has a Profit Margin (1.86%) which is in line with its industry peers.
GMS's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 5.03%, GMS is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of GMS has remained more or less at the same level.
The Gross Margin of GMS (31.15%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of GMS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.03% | ||
| PM (TTM) | 1.86% | ||
| GM | 31.15% |
OM growth 3Y-16.26%
OM growth 5Y0.26%
PM growth 3Y-29.19%
PM growth 5Y23.84%
GM growth 3Y-0.92%
GM growth 5Y-0.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so GMS is still creating some value.
The number of shares outstanding for GMS has been reduced compared to 1 year ago.
Compared to 5 years ago, GMS has less shares outstanding
The debt/assets ratio for GMS has been reduced compared to a year ago.
2.2 Solvency
GMS has an Altman-Z score of 3.45. This indicates that GMS is financially healthy and has little risk of bankruptcy at the moment.
GMS has a Altman-Z score (3.45) which is in line with its industry peers.
GMS has a debt to FCF ratio of 4.00. This is a good value and a sign of high solvency as GMS would need 4.00 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.00, GMS is in the better half of the industry, outperforming 68.00% of the companies in the same industry.
GMS has a Debt/Equity ratio of 0.87. This is a neutral value indicating GMS is somewhat dependend on debt financing.
GMS has a Debt to Equity ratio of 0.87. This is comparable to the rest of the industry: GMS outperforms 42.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 4 | ||
| Altman-Z | 3.45 |
ROIC/WACC0.66
WACC9.43%
2.3 Liquidity
A Current Ratio of 2.11 indicates that GMS has no problem at all paying its short term obligations.
GMS has a Current ratio (2.11) which is comparable to the rest of the industry.
A Quick Ratio of 1.31 indicates that GMS should not have too much problems paying its short term obligations.
GMS has a Quick ratio of 1.31. This is comparable to the rest of the industry: GMS outperforms 56.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
GMS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.81%.
GMS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.71% yearly.
The Revenue has decreased by -1.10% in the past year.
GMS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.21% yearly.
EPS 1Y (TTM)-22.81%
EPS 3Y-6.35%
EPS 5Y15.71%
EPS Q2Q%-8.81%
Revenue 1Y (TTM)-1.1%
Revenue growth 3Y5.96%
Revenue growth 5Y11.21%
Sales Q2Q%-2.36%
3.2 Future
GMS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.83% yearly.
The Revenue is expected to grow by 1.94% on average over the next years.
EPS Next Y2.35%
EPS Next 2Y10.15%
EPS Next 3Y11.83%
EPS Next 5YN/A
Revenue Next Year-0.22%
Revenue Next 2Y2.35%
Revenue Next 3Y1.94%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
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
A Price/Earnings ratio of 18.36 indicates a rather expensive valuation of GMS.
Based on the Price/Earnings ratio, GMS is valued a bit cheaper than the industry average as 72.00% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.50. GMS is valued slightly cheaper when compared to this.
GMS is valuated correctly with a Price/Forward Earnings ratio of 14.71.
GMS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. GMS is cheaper than 72.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.93. GMS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.36 | ||
| Fwd PE | 14.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GMS is valued a bit cheaper than 62.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GMS is valued cheaper than 84.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.77 | ||
| EV/EBITDA | 12.36 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GMS does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)7.82
PEG (5Y)1.17
EPS Next 2Y10.15%
EPS Next 3Y11.83%
5. Dividend
5.1 Amount
GMS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
109.96
-0.01 (-0.01%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners108.75%
Inst Owner Change-99.61%
Ins Owners0.62%
Ins Owner Change-18.99%
Market Cap4.20B
Revenue(TTM)5.48B
Net Income(TTM)101.78M
Analysts52
Price Target109.01 (-0.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.89%
Min EPS beat(2)1.11%
Max EPS beat(2)14.68%
EPS beat(4)2
Avg EPS beat(4)-6.95%
Min EPS beat(4)-34.78%
Max EPS beat(4)14.68%
EPS beat(8)3
Avg EPS beat(8)-5.68%
EPS beat(12)5
Avg EPS beat(12)-1.57%
EPS beat(16)8
Avg EPS beat(16)1.34%
Revenue beat(2)2
Avg Revenue beat(2)1.1%
Min Revenue beat(2)0.38%
Max Revenue beat(2)1.82%
Revenue beat(4)2
Avg Revenue beat(4)-0.47%
Min Revenue beat(4)-3.47%
Max Revenue beat(4)1.82%
Revenue beat(8)3
Avg Revenue beat(8)-0.64%
Revenue beat(12)7
Avg Revenue beat(12)0.18%
Revenue beat(16)10
Avg Revenue beat(16)0.74%
PT rev (1m)0%
PT rev (3m)28.25%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.68%
EPS NY rev (1m)0%
EPS NY rev (3m)1.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.36 | ||
| Fwd PE | 14.71 | ||
| P/S | 0.77 | ||
| P/FCF | 12.77 | ||
| P/OCF | 11.18 | ||
| P/B | 2.89 | ||
| P/tB | 80.14 | ||
| EV/EBITDA | 12.36 |
EPS(TTM)5.99
EY5.45%
EPS(NY)7.47
Fwd EY6.8%
FCF(TTM)8.61
FCFY7.83%
OCF(TTM)9.84
OCFY8.95%
SpS143.56
BVpS38.04
TBVpS1.37
PEG (NY)7.82
PEG (5Y)1.17
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 7.01% | ||
| ROCE | 8.84% | ||
| ROIC | 6.19% | ||
| ROICexc | 6.27% | ||
| ROICexgc | 11.5% | ||
| OM | 5.03% | ||
| PM (TTM) | 1.86% | ||
| GM | 31.15% | ||
| FCFM | 6% |
ROA(3y)6.85%
ROA(5y)6.72%
ROE(3y)17.72%
ROE(5y)18.34%
ROIC(3y)10.3%
ROIC(5y)10%
ROICexc(3y)10.86%
ROICexc(5y)10.57%
ROICexgc(3y)20.46%
ROICexgc(5y)20.55%
ROCE(3y)14.71%
ROCE(5y)14.28%
ROICexgc growth 3Y-19.55%
ROICexgc growth 5Y-4.38%
ROICexc growth 3Y-18.44%
ROICexc growth 5Y-1.06%
OM growth 3Y-16.26%
OM growth 5Y0.26%
PM growth 3Y-29.19%
PM growth 5Y23.84%
GM growth 3Y-0.92%
GM growth 5Y-0.98%
F-Score6
Asset Turnover1.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 4 | ||
| Debt/EBITDA | 2.84 | ||
| Cap/Depr | 28.11% | ||
| Cap/Sales | 0.86% | ||
| Interest Coverage | 3.24 | ||
| Cash Conversion | 84.87% | ||
| Profit Quality | 322.86% | ||
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 3.45 |
F-Score6
WACC9.43%
ROIC/WACC0.66
Cap/Depr(3y)37.8%
Cap/Depr(5y)35.11%
Cap/Sales(3y)0.96%
Cap/Sales(5y)0.94%
Profit Quality(3y)181.36%
Profit Quality(5y)142.32%
High Growth Momentum
Growth
EPS 1Y (TTM)-22.81%
EPS 3Y-6.35%
EPS 5Y15.71%
EPS Q2Q%-8.81%
EPS Next Y2.35%
EPS Next 2Y10.15%
EPS Next 3Y11.83%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.1%
Revenue growth 3Y5.96%
Revenue growth 5Y11.21%
Sales Q2Q%-2.36%
Revenue Next Year-0.22%
Revenue Next 2Y2.35%
Revenue Next 3Y1.94%
Revenue Next 5YN/A
EBIT growth 1Y-32.73%
EBIT growth 3Y-11.27%
EBIT growth 5Y11.5%
EBIT Next Year50.4%
EBIT Next 3Y20.72%
EBIT Next 5YN/A
FCF growth 1Y-17.31%
FCF growth 3Y34.38%
FCF growth 5Y3.88%
OCF growth 1Y-17.04%
OCF growth 3Y28.78%
OCF growth 5Y4.82%
GMS INC / GMS FAQ
What is the ChartMill fundamental rating of GMS INC (GMS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to GMS.
Can you provide the valuation status for GMS INC?
ChartMill assigns a valuation rating of 5 / 10 to GMS INC (GMS). This can be considered as Fairly Valued.
Can you provide the profitability details for GMS INC?
GMS INC (GMS) has a profitability rating of 5 / 10.
Can you provide the expected EPS growth for GMS stock?
The Earnings per Share (EPS) of GMS INC (GMS) is expected to grow by 2.35% in the next year.