company background image
GAP

Gale PacificASX:GAP Stock Report

Market Cap

AU$114.4m

7D

9.2%

1Y

48.2%

Updated

20 Oct, 2021

Data

Company Financials
GAP fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance5/6
Financial Health6/6
Dividends2/6

GAP Overview

Gale Pacific Limited, together with its subsidiaries, manufactures, markets, and distributes screening, architectural shading, and commercial agricultural / horticultural fabric products for domestic, commercial, and industrial applications.

Price History & Performance

Summary of all time highs, changes and price drops for Gale Pacific
Historical stock prices
Current Share PriceAU$0.41
52 Week HighAU$0.26
52 Week LowAU$0.53
Beta1.42
1 Month Change7.79%
3 Month Change-14.43%
1 Year Change48.21%
3 Year Change22.06%
5 Year Change-1.19%
Change since IPO-62.27%

Recent News & Updates

Aug 26
Gale Pacific (ASX:GAP) Shareholders Will Want The ROCE Trajectory To Continue

Gale Pacific (ASX:GAP) Shareholders Will Want The ROCE Trajectory To Continue

What are the early trends we should look for to identify a stock that could multiply in value over the long term...

Jun 13
Gale Pacific (ASX:GAP) Seems To Use Debt Rather Sparingly

Gale Pacific (ASX:GAP) Seems To Use Debt Rather Sparingly

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Apr 15
Here's Why I Think Gale Pacific (ASX:GAP) Is An Interesting Stock

Here's Why I Think Gale Pacific (ASX:GAP) Is An Interesting Stock

Some have more dollars than sense, they say, so even companies that have no revenue, no profit, and a record of falling...

Mar 31
Returns Are Gaining Momentum At Gale Pacific (ASX:GAP)

Returns Are Gaining Momentum At Gale Pacific (ASX:GAP)

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Firstly, we'd...

Shareholder Returns

GAPAU Consumer DurablesAU Market
7D9.2%2.1%1.5%
1Y48.2%4.8%21.1%

Return vs Industry: GAP exceeded the Australian Consumer Durables industry which returned 5.2% over the past year.

Return vs Market: GAP exceeded the Australian Market which returned 20.2% over the past year.

Price Volatility

Is GAP's price volatile compared to industry and market?
GAP volatility
GAP Beta1.42
Industry Beta0.56
Market Beta1

Stable Share Price: GAP is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: GAP's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1951n/aJohn Marcantoniohttps://www.galepacific.com

Gale Pacific Limited, together with its subsidiaries, manufactures, markets, and distributes screening, architectural shading, and commercial agricultural / horticultural fabric products for domestic, commercial, and industrial applications. The company offers fabrics for agricultural, architectural, industrial, horticultural, mining, and construction applications under the GALE Pacific brand; face masks under the GALE GUARD brand; and window furnishings, such as a range of venetian and roller blinds, as well as curtain accessories for hanging curtains under the Zone Interiors brand. It also provides a range of outdoor leisure and garden products for home and garden, including gazebos, umbrellas and shade sails, synthetic grass, weed mat, bird nets, and screenings for protection from UV rays, hail and other adverse weather conditions, crop protection, water conservation, and architectural designs and construction applications under the Coolaroo brand.

Gale Pacific Fundamentals Summary

How do Gale Pacific's earnings and revenue compare to its market cap?
GAP fundamental statistics
Market CapAU$114.42m
Earnings (TTM)AU$12.33m
Revenue (TTM)AU$207.16m

9.3x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GAP income statement (TTM)
RevenueAU$207.16m
Cost of RevenueAU$107.52m
Gross ProfitAU$99.64m
ExpensesAU$87.31m
EarningsAU$12.33m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.045
Gross Margin48.10%
Net Profit Margin5.95%
Debt/Equity Ratio31.1%

How did GAP perform over the long term?

See historical performance and comparison

Dividends

4.8%

Current Dividend Yield

45%

Payout Ratio

Valuation

Is Gale Pacific undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GAP (A$0.42) is trading below our estimate of fair value (A$5.21)

Significantly Below Fair Value: GAP is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GAP is good value based on its PE Ratio (9.3x) compared to the Australian Consumer Durables industry average (15.9x).

PE vs Market: GAP is good value based on its PE Ratio (9.3x) compared to the Australian market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate GAP's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: GAP is good value based on its PB Ratio (1.2x) compared to the AU Consumer Durables industry average (2.8x).


Future Growth

How is Gale Pacific forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.3%

Forecasted Consumer Durables industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Gale Pacific has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Gale Pacific performed over the past 5 years?

20.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GAP has high quality earnings.

Growing Profit Margin: GAP's current net profit margins (6%) are higher than last year (2.4%).


Past Earnings Growth Analysis

Earnings Trend: GAP's earnings have grown significantly by 20.2% per year over the past 5 years.

Accelerating Growth: GAP's earnings growth over the past year (231.5%) exceeds its 5-year average (20.2% per year).

Earnings vs Industry: GAP earnings growth over the past year (231.5%) exceeded the Consumer Durables industry 44.2%.


Return on Equity

High ROE: GAP's Return on Equity (13.3%) is considered low.


Financial Health

How is Gale Pacific's financial position?


Financial Position Analysis

Short Term Liabilities: GAP's short term assets (A$122.4M) exceed its short term liabilities (A$60.5M).

Long Term Liabilities: GAP's short term assets (A$122.4M) exceed its long term liabilities (A$35.0M).


Debt to Equity History and Analysis

Debt Level: GAP's debt to equity ratio (31.1%) is considered satisfactory.

Reducing Debt: GAP's debt to equity ratio has reduced from 32.9% to 31.1% over the past 5 years.

Debt Coverage: GAP's debt is well covered by operating cash flow (119.6%).

Interest Coverage: GAP's interest payments on its debt are well covered by EBIT (10.6x coverage).


Balance Sheet


Dividend

What is Gale Pacific current dividend yield, its reliability and sustainability?

4.82%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GAP's dividend (4.82%) is higher than the bottom 25% of dividend payers in the Australian market (2.27%).

High Dividend: GAP's dividend (4.82%) is low compared to the top 25% of dividend payers in the Australian market (5.33%).


Stability and Growth of Payments

Stable Dividend: GAP's dividend payments have been volatile in the past 10 years.

Growing Dividend: GAP's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (44.7%), GAP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.6yrs

Average management tenure


CEO

John Marcantonio

1.92yrs

Tenure

AU$1,629,443

Compensation

Mr. John Paul Marcantonio serves as Chief Executive Officer of Gale Pacific Limited since November 29, 2019 and serves as its Managing Director and Executive Director since August 14, 2020. He serves as th...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD1.22M) is above average for companies of similar size in the Australian market ($USD302.06K).

Compensation vs Earnings: John's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: GAP's management team is considered experienced (3.6 years average tenure).


Board Members

Experienced Board: GAP's board of directors are considered experienced (4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Gale Pacific Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Gale Pacific Limited
  • Ticker: GAP
  • Exchange: ASX
  • Founded: 1951
  • Industry: Home Furnishings
  • Sector: Consumer Durables
  • Market Cap: AU$114.418m
  • Shares outstanding: 275.71m
  • Website: https://www.galepacific.com

Number of Employees


Location

  • Gale Pacific Limited
  • 145 Woodlands Drive
  • Braeside
  • Victoria
  • 3195
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/20 15:13
End of Day Share Price2021/10/20 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.