TSX:GC

Stock Analysis Report

Great Canadian Gaming

Executive Summary

Great Canadian Gaming Corporation operates gaming properties in Canada and the United States.

Snowflake

Fundamentals

Outstanding track record with adequate balance sheet.

Share Price & News

How has Great Canadian Gaming's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.3%

TSX:GC

1.3%

CA Hospitality

1.6%

CA Market


1 Year Return

-3.0%

TSX:GC

-16.5%

CA Hospitality

-0.5%

CA Market

GC outperformed the Hospitality industry which returned -18% over the past year.

GC underperformed the Market in Canada which returned -0.3% over the past year.


Share holder returns

GCIndustryMarket
7 Day2.3%1.3%1.6%
30 Day2.6%8.0%3.9%
90 Day-3.0%-2.2%0.8%
1 Year-3.0%-3.0%-15.9%-16.5%3.0%-0.5%
3 Year87.9%87.9%24.3%21.0%19.5%8.8%
5 Year130.7%130.7%-0.6%-3.5%21.0%3.6%

Price Volatility Vs. Market

How volatile is Great Canadian Gaming's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Great Canadian Gaming undervalued based on future cash flows and its price relative to the stock market?

15.72x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Great Canadian Gaming's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Great Canadian Gaming's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Great Canadian Gaming is good value based on earnings compared to the CA Hospitality industry average.

Great Canadian Gaming is overvalued based on earnings compared to the Canada market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Great Canadian Gaming, we can't assess if its growth is good value.


Price Based on Value of Assets

Great Canadian Gaming is overvalued based on assets compared to the CA Hospitality industry average.


Next Steps

Future Growth

How is Great Canadian Gaming expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

5.5%

Forecasted annual revenue growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Great Canadian Gaming's revenue is expected to grow by 5.5% yearly, however this is not considered high growth (20% yearly).

Great Canadian Gaming's earnings are expected to grow by 1.2% yearly, however this is not considered high growth (20% yearly).

Great Canadian Gaming's revenue growth is positive but not above the Canada market average.

Great Canadian Gaming's earnings growth is positive but not above the Canada market average.

Great Canadian Gaming's earnings growth is positive but not above the low risk savings rate of 1.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Great Canadian Gaming will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Great Canadian Gaming performed over the past 5 years?

18.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Great Canadian Gaming's year on year earnings growth rate has been positive over the past 5 years.

Great Canadian Gaming's 1-year earnings growth exceeds its 5-year average (48.2% vs 18.1%)

Great Canadian Gaming's earnings growth has exceeded the CA Hospitality industry average in the past year (48.2% vs -12.2%).


Return on Equity

Great Canadian Gaming has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Great Canadian Gaming used its assets more efficiently than the CA Hospitality industry average last year based on Return on Assets.


Return on Capital Employed

Great Canadian Gaming has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Great Canadian Gaming's financial position?


Financial Position Analysis

Great Canadian Gaming is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Great Canadian Gaming's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Great Canadian Gaming's level of debt (89.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (126.4% vs 89.4% today).

Debt is well covered by operating cash flow (66.1%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.8x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.8x debt.


Next Steps

Dividend

What is Great Canadian Gaming's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Great Canadian Gaming's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Great Canadian Gaming's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Great Canadian Gaming has not reported any payouts.

Unable to verify if Great Canadian Gaming's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Great Canadian Gaming has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Great Canadian Gaming's salary, the management and board of directors tenure and is there insider trading?

1.3yrs

Average management tenure


CEO

Rod Baker (53yo)

7.9yrs

Tenure

CA$6,202,291

Compensation

Mr. Rodney N. Baker, also known as Rod, has been the Chief Executive Officer of Great Canadian Gaming Corporation since October 11, 2011 and has been as its President from January 1, 2010 and also served a ...


CEO Compensation Analysis

Rod's remuneration is higher than average for companies of similar size in Canada.

Rod's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.3yrs

Average Tenure

47.5yo

Average Age

The average tenure for the Great Canadian Gaming management team is less than 2 years, this suggests a new team.


Board Age and Tenure

6.3yrs

Average Tenure

60yo

Average Age

The tenure for the Great Canadian Gaming board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyCA$21,50223 May 19
Jackie Gorton
EntityIndividual
Role
Chief Technology Officer
Vice President of Technology & Enterprise Risk Management
Shares500
Max PriceCA$43.00
BuyCA$21,60516 May 19
David Desmarais
EntityIndividual
Shares500
Max PriceCA$43.22
BuyCA$103,42514 May 19
Christopher Roberts
EntityIndividual
Shares2,500
Max PriceCA$41.37
BuyCA$43,41009 May 19
John Russo
EntityIndividual
Role
Member of the Board of Directors
General Counsel
Shares1,000
Max PriceCA$43.41
SellCA$55,19725 Apr 19
Craig Betts
EntityIndividual
Shares1,045
Max PriceCA$52.82
SellCA$331,84107 Jan 19
Patrick Ennis
EntityIndividual
Shares6,667
Max PriceCA$51.30
SellCA$1,281,75003 Dec 18
Christopher Roberts
EntityIndividual
Shares25,000
Max PriceCA$51.27
SellCA$20,20018 Nov 18
Chuck Keeling
EntityIndividual
Shares400
Max PriceCA$50.50
SellCA$51,09018 Nov 18
Michael Young
EntityIndividual
Shares1,000
Max PriceCA$51.09
SellCA$590,22115 Nov 18
Chuck Keeling
EntityIndividual
Shares11,600
Max PriceCA$51.20
SellCA$86,68412 Nov 18
Radoslaw Kielar
EntityIndividual
Shares1,667
Max PriceCA$52.00
BuyCA$55,80127 Sep 18
Darren Gwozd
EntityIndividual
Shares1,200
Max PriceCA$46.50

Ownership Breakdown


Management Team

  • Walter Soo

    Executive Vice-President of Player & Gaming Development

    • Tenure: 4.5yrs
    • Compensation: CA$533.54k
  • G. Oliver

    Vice President of Great Canadian Casinos Inc

    • Tenure: 0yrs
    • Compensation: CA$77.75k
  • Andrea Lieuwen

    Financial Controller of River Rock Casino Resort

    • Tenure: 0yrs
  • Terrance Doyle (46yo)

    President of Strategic Growth & Chief Compliance Officer

    • Tenure: 0.5yrs
    • Compensation: CA$2.94m
  • Rod Baker (53yo)

    President

    • Tenure: 7.9yrs
    • Compensation: CA$6.20m
  • Raj Mutti (37yo)

    Executive Vice President of Operations - West

    • Tenure: 0.8yrs
    • Compensation: CA$442.53k
  • John Russo (49yo)

    General Counsel

    • Tenure: 0yrs
    • Compensation: CA$1.05m
  • Craig DeMarta (62yo)

    Executive Vice President of Operations – GTA

    • Tenure: 0.8yrs
  • Jackie Gorton

    Vice President of Technology & Enterprise Risk Management

    • Tenure: 2.8yrs
  • Matt Newsome (40yo)

    Vice President of Finance

    • Tenure: 1.7yrs
    • Compensation: CA$509.50k

Board Members

  • Jacob Brouwer (92yo)

    Member of the Advisory Board

    • Tenure: 0yrs
    • Compensation: CA$13.30k
  • Peter Meredith (75yo)

    Chairman

    • Tenure: 4.3yrs
    • Compensation: CA$265.63k
  • Gordon Flatt

    Member of the Advisory Board

    • Tenure: 0yrs
  • Mark Davis (60yo)

    Independent Director

    • Tenure: 6.3yrs
    • Compensation: CA$193.75k
  • Larry Campbell (71yo)

    Independent Director

    • Tenure: 11.3yrs
    • Compensation: CA$143.75k
  • Chris Hart (60yo)

    Director

    • Tenure: 0.8yrs
    • Compensation: CA$58.42k
  • Thomas Gaffney (69yo)

    Independent Director

    • Tenure: 13.3yrs
    • Compensation: CA$143.75k
  • Rod Baker (53yo)

    President

    • Tenure: 7.9yrs
    • Compensation: CA$6.20m
  • Karen Keilty (59yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: CA$193.75k
  • John Russo (49yo)

    General Counsel

    • Tenure: 0yrs
    • Compensation: CA$1.05m

Company Information

Great Canadian Gaming Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Great Canadian Gaming Corporation
  • Ticker: GC
  • Exchange: TSX
  • Founded: 1982
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Market Cap: CA$2.495b
  • Shares outstanding: 58.84m
  • Website: https://www.gcgaming.com

Number of Employees


Location

  • Great Canadian Gaming Corporation
  • 95 Schooner Street
  • Coquitlam
  • British Columbia
  • V3K 7A8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GCTSX (The Toronto Stock Exchange)YesCommon SharesCACADJun 1998
GCGM.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJun 1998
K3WDB (Deutsche Boerse AG)YesCommon SharesDEEURJun 1998

Biography

Great Canadian Gaming Corporation operates gaming properties in Canada and the United States. The company’s gaming properties include casinos, horse racetrack casinos, community gaming centers, and commerc ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/16 23:36
End of Day Share Price2019/09/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.