ASX:GDI

Stock Analysis Report

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Executive Summary

GDI Property Group (GDI) is an ASX listed property owner and fund manager.


Snowflake Analysis

Excellent balance sheet average dividend payer.


Similar Companies

Share Price & News

How has GDI Property Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GDI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

4.1%

GDI

4.0%

AU REITs

4.2%

AU Market


1 Year Return

-17.2%

GDI

-18.1%

AU REITs

-7.3%

AU Market

Return vs Industry: GDI matched the Australian REITs industry which returned -18.1% over the past year.

Return vs Market: GDI underperformed the Australian Market which returned -7% over the past year.


Shareholder returns

GDIIndustryMarket
7 Day4.1%4.0%4.2%
30 Day12.4%14.9%12.6%
90 Day-22.3%-17.1%-2.5%
1 Year-12.7%-17.2%-14.2%-18.1%-3.5%-7.3%
3 Year29.4%8.1%14.1%-2.3%18.6%3.0%
5 Year77.9%25.6%40.8%8.6%33.4%4.6%

Price Volatility Vs. Market

How volatile is GDI Property Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is GDI Property Group undervalued compared to its fair value and its price relative to the market?

36.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GDI (A$1.13) is trading below our estimate of fair value (A$1.77)

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


Price To Earnings Ratio

PE vs Industry: GDI is unprofitable, so we can't compare its PE Ratio to the REITs industry average.

PE vs Market: GDI is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GDI is overvalued based on its PB Ratio (31.5x) compared to the AU REITs industry average (0.9x).


Next Steps

Future Growth

How is GDI Property Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

40.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GDI is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.3%).

Earnings vs Market: GDI is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: GDI's is expected to become profitable in the next 3 years.

Revenue vs Market: Insufficient data to determine if GDI's revenue is forecast to grow faster than the Australian market.

High Growth Revenue: Insufficient data to determine if GDI's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GDI's Return on Equity is forecast to be low in 3 years time (6.6%).


Next Steps

Past Performance

How has GDI Property Group performed over the past 5 years?

29.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GDI is currently unprofitable.

Growing Profit Margin: GDI is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GDI is unprofitable, but has reduced losses over the past 5 years at a rate of 29.5% per year.

Accelerating Growth: Unable to compare GDI's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: GDI is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (3.3%).


Return on Equity

High ROE: GDI has a negative Return on Equity (13.84%), as it is currently unprofitable.


Next Steps

Financial Health

How is GDI Property Group's financial position?


Financial Position Analysis

Short Term Liabilities: GDI's short term assets (A$135.2M) exceed its short term liabilities (A$26.7M).

Long Term Liabilities: GDI's short term assets (A$135.2M) exceed its long term liabilities (A$81.0M).


Debt to Equity History and Analysis

Debt Level: GDI's debt to equity ratio (10.6%) is considered satisfactory.

Reducing Debt: GDI's debt to equity ratio has reduced from 45.5% to 10.6% over the past 5 years.

Debt Coverage: GDI's debt is well covered by operating cash flow (65.3%).

Interest Coverage: GDI is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is GDI Property Group's current dividend yield, its reliability and sustainability?

6.86%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GDI's dividend (6.86%) is higher than the bottom 25% of dividend payers in the Australian market (2.47%).

High Dividend: GDI's dividend (6.86%) is in the top 25% of dividend payers in the Australian market (6.45%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, GDI has been paying a dividend for less than 10 years.

Growing Dividend: GDI's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (90.6%), GDI's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GDI's dividends in 3 years are forecast to be covered by earnings (79.6% payout ratio).


Next Steps

Management

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

6.2yrs

Average management tenure


CEO

Steve Gillard (53yo)

6.5yrs

Tenure

AU$1,893,290

Compensation

Mr. Steven Neville Gillard, also known as Steve, has been Managing Director of GDI Property Group since December 16, 2013 and has been its Director since November 5, 2013. Mr. Gillard has over 34 years’ ex ...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD1.32M) is above average for companies of similar size in the Australian market ($USD764.04K).

Compensation vs Earnings: Steve's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Steven Gillard
MD & Director6.5yrsAU$1.89m5.43% A$33.1m
David Williams
Joint Company Secretary & CFO7.42yrsAU$783.97k0.26% A$1.6m
John Garland
Head of Propertyno dataAU$704.43k0.11% A$652.9k
Greg Marr
Head of Unlisted Funds5.83yrsAU$586.84k0.065% A$393.8k
Kate Malcolm
Accountant & Joint Company Secretary1.83yrsno datano data

6.2yrs

Average Tenure

52yo

Average Age

Experienced Management: GDI's management team is seasoned and experienced (6.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Steven Gillard
MD & Director6.5yrsAU$1.89m5.43% A$33.1m
Giles Woodgate
Independent Non Executive Director2.58yrsAU$75.00kno data
Gina Nancy Anderson
Independent Chairman1.58yrsAU$122.16k0.013% A$79.1k
John Tuxworth
Independent Non Executive Director3.33yrsAU$75.00k0.026% A$158.5k
Stephen Burns
Independent Non-Executive Director1.58yrsAU$47.16k0.0051% A$31.1k

2.6yrs

Average Tenure

Experienced Board: GDI's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: GDI insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

GDI Property Group's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GDI Property Group
  • Ticker: GDI
  • Exchange: ASX
  • Founded:
  • Industry: Office REITs
  • Sector: Real Estate
  • Market Cap: AU$609.272m
  • Shares outstanding: 539.18m
  • Website: https://www.gdi.com.au

Location

  • GDI Property Group
  • 56 Pitt Street
  • Level 23
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GDIASX (Australian Securities Exchange)YesStapled SecuritiesAUAUDDec 2013
GDICHIA (Chi-X Australia)YesStapled SecuritiesAUAUDDec 2013

Biography

GDI Property Group (GDI) is an ASX listed property owner and fund manager. We have a proud history of delivering strong returns to investors for over 25 years. Our Board and employees are passionate about property and about funds management. We aim to continue to grow the wealth of our investors, provide exceptional accommodation to our customers and be a highly respected brand in our community. Our success has been founded on a sound investment philosophy of buying well, managing well and selling well. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 10:43
End of Day Share Price2020/06/05 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.