GMS INC (GMS) Fundamental Analysis & Valuation
NYSE:GMS • US36251C1036
Current stock price
109.96 USD
-0.01 (-0.01%)
At close:
109.97 USD
+0.01 (+0.01%)
After Hours:
This GMS fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. GMS Profitability Analysis
1.1 Basic Checks
- GMS had positive earnings in the past year.
- In the past year GMS had a positive cash flow from operations.
- GMS had positive earnings in each of the past 5 years.
- 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.
- 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.
- Measured over the past 3 years, the Average Return On Invested Capital for GMS is in line with the industry average of 9.03%.
- The last Return On Invested Capital (6.19%) for GMS is well below the 3 year average (10.30%), which needs to be investigated, but indicates that GMS had better years and this may not be a problem.
| 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.
- GMS's Profit Margin has improved in the last couple of years.
- The Operating Margin of GMS (5.03%) is worse than 60.00% of its industry peers.
- In the last couple of years the Operating Margin of GMS has remained more or less at the same level.
- GMS has a Gross Margin (31.15%) which 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. GMS Health Analysis
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.
- The number of shares outstanding for GMS has been reduced compared to 1 year ago.
- GMS has less shares outstanding than it did 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.
- Looking at the Altman-Z score, with a value of 3.45, GMS is in line with its industry, outperforming 56.00% of the companies in the same 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.
- 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
- GMS has a Current Ratio of 2.11. This indicates that GMS is financially healthy and has no problem in meeting its short term obligations.
- GMS has a Current ratio (2.11) which is comparable to the rest of the industry.
- GMS has a Quick Ratio of 1.31. This is a normal value and indicates that GMS is financially healthy and should not expect problems in meeting its short term obligations.
- GMS has a Quick ratio (1.31) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.31 |
3. GMS Growth Analysis
3.1 Past
- The earnings per share for GMS have decreased strongly by -22.81% in the last year.
- Measured over the past years, GMS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.71% on average per year.
- Looking at the last year, GMS shows a decrease in Revenue. The Revenue has decreased by -1.10% in the last 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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. GMS Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 18.36, which indicates a rather expensive current valuation of GMS.
- 72.00% of the companies in the same industry are more expensive than GMS, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 25.70. GMS is valued slightly cheaper when compared to this.
- Based on the Price/Forward Earnings ratio of 14.71, the valuation of GMS can be described as correct.
- 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.
- When comparing the Price/Forward Earnings ratio of GMS to the average of the S&P500 Index (23.84), we can say GMS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.36 | ||
| Fwd PE | 14.71 |
4.2 Price Multiples
- GMS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. GMS is cheaper than 62.00% of the companies in the same industry.
- GMS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GMS is 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. GMS Dividend Analysis
5.1 Amount
- No dividends for GMS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
GMS Fundamentals: All Metrics, Ratios and Statistics
109.96
-0.01 (-0.01%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)08-28 2025-08-28/bmo
Earnings (Next)12-03 2025-12-03/bmo
Inst Owners108.75%
Inst Owner Change-94.83%
Ins Owners0.62%
Ins Owner Change0%
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 Fundamental Analysis FAQ
What is the ChartMill fundamental rating of GMS INC (GMS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to GMS.
What is the valuation status of GMS INC (GMS) stock?
ChartMill assigns a valuation rating of 5 / 10 to GMS INC (GMS). This can be considered as Fairly Valued.
How profitable is GMS INC (GMS) stock?
GMS INC (GMS) has a profitability rating of 5 / 10.
What is the valuation of GMS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for GMS INC (GMS) is 18.36 and the Price/Book (PB) ratio is 2.89.
What is the financial health of GMS INC (GMS) stock?
The financial health rating of GMS INC (GMS) is 6 / 10.