GMS INC (GMS) Stock Fundamental Analysis
USA - NYSE:GMS - US36251C1036 - Common Stock
109.96 USD
-0.01 (-0.01%)
109.97 USD
+0.01 (+0.01%)
We assign a fundamental rating of 5 out of 10 to GMS. GMS was compared to 51 industry peers in the Trading Companies & Distributors industry. GMS has an average financial health and profitability rating. 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
GMS has a Return On Assets (2.65%) which is in line with its industry peers.
The Return On Equity of GMS (7.01%) is comparable to the rest of the industry.
GMS's Return On Invested Capital of 6.19% is in line compared to the rest of the industry. GMS outperforms 56.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GMS is in line with the industry average of 10.12%.
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
Looking at the Profit Margin, with a value of 1.86%, GMS is in line with its industry, outperforming 42.00% of the companies in the same industry.
In the last couple of years the Profit Margin of GMS has grown nicely.
The Operating Margin of GMS (5.03%) is worse than 60.00% of its industry peers.
GMS's Operating Margin has been stable in the last couple of years.
The Gross Margin of GMS (31.15%) is comparable to the rest of the industry.
GMS's Gross Margin has been stable in the last couple of years.
| 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
GMS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
GMS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for GMS has been reduced compared to 5 years ago.
The debt/assets ratio for GMS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.45 indicates that GMS is not in any danger for bankruptcy at the moment.
GMS has a Altman-Z score (3.45) which is comparable to the rest of the industry.
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.
GMS has a Debt to FCF ratio of 4.00. This is in the better half of the industry: GMS outperforms 68.00% of its industry peers.
GMS has a Debt/Equity ratio of 0.87. This is a neutral value indicating GMS is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.87, GMS perfoms like the industry average, outperforming 42.00% of the companies in the same industry.
| 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.
Looking at the Current ratio, with a value of 2.11, GMS is in line with its industry, outperforming 56.00% of the companies in the same 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
The earnings per share for GMS have decreased strongly by -22.81% in the last year.
The Earnings Per Share has been growing by 15.71% on average over the past years. This is quite good.
GMS shows a decrease in Revenue. In the last year, the revenue decreased by -1.10%.
Measured over the past years, GMS shows a quite strong growth in Revenue. The Revenue has been growing by 11.21% on average per year.
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.
Based on estimates for the next years, GMS will show a small growth in Revenue. The Revenue will grow by 1.94% on average per year.
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
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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
GMS is valuated rather expensively with a Price/Earnings ratio of 18.36.
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.
GMS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.89.
A Price/Forward Earnings ratio of 14.71 indicates a correct valuation of GMS.
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.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, GMS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.36 | ||
| Fwd PE | 14.71 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GMS indicates a somewhat cheap valuation: GMS is cheaper than 62.00% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GMS indicates a rather cheap valuation: GMS is cheaper than 84.00% of the companies listed 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
No dividends for GMS!.
| 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-21.43%
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.