DB:43G

Stock Analysis Report

GCP Applied Technologies

Executive Summary

GCP Applied Technologies Inc. produces and sells specialty construction chemicals and specialty building materials worldwide.

Snowflake

Fundamentals

Moderate growth potential with mediocre balance sheet.

Risks

  • GCP Applied Technologies has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has GCP Applied Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-6.3%

DB:43G

-2.0%

DE Chemicals

-1.5%

DE Market


1 Year Return

-28.4%

DB:43G

-21.0%

DE Chemicals

-10.4%

DE Market

43G underperformed the Chemicals industry which returned -21% over the past year.

43G underperformed the Market in Germany which returned -10.4% over the past year.


Share holder returns

43GIndustryMarket
7 Day-6.3%-2.0%-1.5%
30 Day-17.8%-5.4%-4.6%
90 Day-30.2%-6.6%-4.6%
1 Year-28.4%-28.4%-17.8%-21.0%-7.6%-10.4%
3 Year-37.5%-37.5%4.4%-5.2%9.4%0.03%
5 Yearn/a9.9%-6.2%25.6%8.1%

Price Volatility Vs. Market

How volatile is GCP Applied Technologies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is GCP Applied Technologies undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

GCP Applied Technologies's share price is below the future cash flow value, and at a moderate discount (> 20%).

GCP Applied Technologies's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

GCP Applied Technologies is overvalued based on earnings compared to the DE Chemicals industry average.

GCP Applied Technologies is overvalued based on earnings compared to the Germany market.


Price Based on Expected Growth

GCP Applied Technologies is poor value based on expected growth next year.


Price Based on Value of Assets

GCP Applied Technologies is overvalued based on assets compared to the DE Chemicals industry average.


Next Steps

Future Growth

How is GCP Applied Technologies expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

24.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

GCP Applied Technologies's revenue is expected to grow by 3% yearly, however this is not considered high growth (20% yearly).

GCP Applied Technologies's earnings are expected to grow significantly at over 20% yearly.

GCP Applied Technologies's revenue growth is positive but not above the Germany market average.

GCP Applied Technologies's earnings growth is expected to exceed the Germany market average.

GCP Applied Technologies's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if GCP Applied Technologies will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has GCP Applied Technologies performed over the past 5 years?

-64.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

GCP Applied Technologies's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

GCP Applied Technologies has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

GCP Applied Technologies has become profitable in the last year making it difficult to compare the DE Chemicals industry average.


Return on Equity

GCP Applied Technologies has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

GCP Applied Technologies used its assets more efficiently than the DE Chemicals industry average last year based on Return on Assets.


Return on Capital Employed

GCP Applied Technologies's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is GCP Applied Technologies's financial position?


Financial Position Analysis

GCP Applied Technologies is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

GCP Applied Technologies's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

GCP Applied Technologies's level of debt (68.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (13.9% vs 68.1% today).

Debt is not well covered by operating cash flow (18.3%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.5x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.8x debt.


Next Steps

Dividend

What is GCP Applied Technologies's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate GCP Applied Technologies's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate GCP Applied Technologies's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as GCP Applied Technologies has not reported any payouts.

Unable to verify if GCP Applied Technologies's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as GCP Applied Technologies 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 GCP Applied Technologies's salary, the management and board of directors tenure and is there insider trading?

3.0yrs

Average management tenure


CEO

Randy Dearth (55yo)

0.0yrs

Tenure

US$3,177,684

Compensation

Mr. Randall S. Dearth, also known as Randy, has been the Chief Executive Officer and Director of GCP Applied Technologies Inc. since August 1, 2019. Mr. Dearth has been President and Chief Operating Office ...


CEO Compensation Analysis

Randy's remuneration is higher than average for companies of similar size in Germany.

Insufficient data for Randy to compare compensation growth.


Management Age and Tenure

3.0yrs

Average Tenure

55yo

Average Age

The tenure for the GCP Applied Technologies management team is about average.


Board Age and Tenure

2.3yrs

Average Tenure

62.5yo

Average Age

The average tenure for the GCP Applied Technologies board of directors is less than 3 years, this suggests a new board.


Insider Trading

More shares have been bought than sold by GCP Applied Technologies individual insiders in the past 3 months.


Recent Insider Transactions

BuyUS$157,68808 Jul 19
GAMCO Investors, Inc.
EntityCompany
Shares699,065
Max PriceUS$24.38
SellUS$008 Jul 19
GAMCO Investors, Inc.
EntityCompany
Shares34,172
Max PriceUS$24.00
BuyUS$562,53208 Jul 19
Mario Gabelli
EntityIndividual
Shares27,500
Max PriceUS$20.47
BuyUS$008 Jul 19
Gabelli & Company Investment Advisers, Inc.
EntityCompany
Shares33,586
Max PriceUS$20.35
BuyUS$13,98108 Jul 19
Associated Capital Group Inc, Asset Management Arm
EntityCompany
Shares700
Max PriceUS$20.24
SellUS$20,63808 Jul 19
Gabelli & Company Investment Advisers, Inc.
EntityCompany
Shares1,000
Max PriceUS$20.64
BuyUS$37,623,35806 Jun 19
Starboard Value LP
EntityCompany
Shares1,485,050
Max PriceUS$25.33
SellUS$13,01130 May 19
GAMCO Investors, Inc.
EntityCompany
Shares160,810
Max PriceUS$26.78
SellUS$5,21930 May 19
Associated Capital Group Inc, Asset Management Arm
EntityCompany
Shares200
Max PriceUS$26.42
BuyUS$304,24330 May 19
Mario Gabelli
EntityIndividual
Shares11,600
Max PriceUS$26.32
BuyUS$23,00030 May 19
Gabelli & Company Investment Advisers, Inc.
EntityCompany
Shares1,000
Max PriceUS$23.00
BuyUS$2,35530 May 19
Associated Capital Group Inc, Asset Management Arm
EntityCompany
Shares100
Max PriceUS$23.55
BuyUS$90,32030 May 19
GAMCO Investors, Inc.
EntityCompany
Shares554,270
Max PriceUS$26.89
BuyUS$179,069,01115 Mar 19
Standard Industries, Inc.
EntityCompany
Shares6,990,798
Max PriceUS$25.61
BuyUS$5,589,86422 Oct 18
Standard Industries, Inc.
EntityCompany
Shares257,912
Max PriceUS$22.05
BuyUS$702,96217 Oct 18
Standard Industries, Inc.
EntityCompany
Shares31,957
Max PriceUS$22.05
BuyUS$15,617,79112 Oct 18
Standard Industries, Inc.
EntityCompany
Shares720,675
Max PriceUS$21.85
BuyUS$29,497,40310 Oct 18
Standard Industries, Inc.
EntityCompany
Shares1,282,169
Max PriceUS$23.01
BuyUS$10,727,10309 Oct 18
Standard Industries, Inc.
EntityCompany
Shares477,374
Max PriceUS$22.87
BuyUS$2,323,74404 Oct 18
Standard Industries, Inc.
EntityCompany
Shares101,900
Max PriceUS$22.93
BuyUS$6,635,51201 Oct 18
Standard Industries, Inc.
EntityCompany
Shares293,525
Max PriceUS$22.88
BuyUS$1,891,47525 Sep 18
Standard Industries, Inc.
EntityCompany
Shares84,298
Max PriceUS$22.58
BuyUS$129,12220 Sep 18
GAMCO Investors, Inc.
EntityCompany
Shares1,327,055
Max PriceUS$25.34
BuyUS$80,65720 Sep 18
Gabelli Foundation Inc, Endowment Arm
EntityCompany
Shares3,600
Max PriceUS$22.80
SellUS$33,48520 Sep 18
Mario Gabelli
EntityIndividual
Shares1,600
Max PriceUS$20.93
BuyUS$364,31420 Sep 18
Mario Gabelli
EntityIndividual
Shares16,600
Max PriceUS$22.38
SellUS$193,26620 Sep 18
GAMCO Investors, Inc.
EntityCompany
Shares26,243
Max PriceUS$25.17
BuyUS$6,662,61119 Sep 18
Standard Industries, Inc.
EntityCompany
Shares299,687
Max PriceUS$22.24
BuyUS$10,265,25914 Sep 18
Standard Industries, Inc.
EntityCompany
Shares478,252
Max PriceUS$21.85

Ownership Breakdown


Management Team

  • James Thompson (58yo)

    VP, General Counsel & Secretary

    • Tenure: 0.3yrs
  • Greg Poling (63yo)

    Executive Chairman

    • Tenure: 0.0yrs
    • Compensation: US$3.66m
  • Kevin Holland (57yo)

    VP & Chief Human Resources Officer

    • Tenure: 2.6yrs
    • Compensation: US$1.24m
  • Randy Dearth (55yo)

    CEO, President & Director

    • Tenure: 0.0yrs
    • Compensation: US$3.18m
  • Dean Freeman (54yo)

    VP & CFO

    • Tenure: 3.5yrs
    • Compensation: US$1.33m
  • Naren Srinivasan (46yo)

    Vice President of Strategy & Corporate Development

    • Tenure: 3.6yrs
    • Compensation: US$1.04m
  • Kenneth Korotkin (52yo)

    VP, Controller & Chief Accounting Officer

    • Tenure: 0.0yrs
  • Joe DeCristofaro

    Vice President of Investor Relations

    • Tenure: 0.0yrs

Board Members

  • Janice Henry (67yo)

    Director

    • Tenure: 3.5yrs
    • Compensation: US$194.99k
  • Danny Shepherd (68yo)

    Director

    • Tenure: 3.5yrs
    • Compensation: US$179.99k
  • James Kirsch (61yo)

    Director

    • Tenure: 0.8yrs
    • Compensation: US$78.33k
  • Clay Kiefaber (63yo)

    Independent Director

    • Tenure: 0.4yrs
  • Marran J. Ogilvie (51yo)

    Independent Director

    • Tenure: 0.4yrs
  • Jerry Colella (62yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: US$179.99k
  • Greg Poling (63yo)

    Executive Chairman

    • Tenure: 0.0yrs
    • Compensation: US$3.66m
  • Phillip Mason (69yo)

    Director

    • Tenure: 3.5yrs
    • Compensation: US$179.99k
  • Randy Dearth (55yo)

    CEO, President & Director

    • Tenure: 0.0yrs
    • Compensation: US$3.18m
  • Elizabeth Mora (58yo)

    Lead Independent Director

    • Tenure: 0.0yrs
    • Compensation: US$179.99k

Company Information

GCP Applied Technologies Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GCP Applied Technologies Inc.
  • Ticker: 43G
  • Exchange: DB
  • Founded: 2015
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: US$1.298b
  • Listing Market Cap: US$1.170b
  • Shares outstanding: 72.67m
  • Website: https://www.gcpat.com

Number of Employees


Location

  • GCP Applied Technologies Inc.
  • 62 Whittemore Avenue
  • Cambridge
  • Massachusetts
  • 2140
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GCPNYSE (New York Stock Exchange)YesCommon StockUSUSDFeb 2016
43GDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2016

Biography

GCP Applied Technologies Inc. produces and sells specialty construction chemicals and specialty building materials worldwide. Its Specialty Construction Chemicals segment offers concrete admixtures under t ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 22:01
End of Day Share Price2019/08/19 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.