XTRA:GFT

Stock Analysis Report

Executive Summary

GFT Technologies SE, together with its subsidiaries, provides information technology (IT) consulting and solutions.

Snowflake

Fundamentals

Very undervalued 6 star dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.9%

GFT

2.3%

DE IT

-0.05%

DE Market


1 Year Return

-44.1%

GFT

-13.0%

DE IT

-4.6%

DE Market

GFT underperformed the IT industry which returned -13% over the past year.

GFT underperformed the Market in Germany which returned -4.6% over the past year.


Share holder returns

GFTIndustryMarket
7 Day1.9%2.3%-0.05%
30 Day6.5%8.5%5.1%
90 Day-4.5%0.6%0.6%
1 Year-41.8%-44.1%-12.5%-13.0%-1.6%-4.6%
3 Year-59.8%-62.9%160.8%154.4%18.0%7.9%
5 Year-31.0%-38.1%336.9%318.1%31.4%13.4%

Price Volatility Vs. Market

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


Simply Wall St News

3 weeks ago | Simply Wall St

An Intrinsic Calculation For GFT Technologies SE (ETR:GFT) Suggests It's 47% Undervalued

Valuation

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

45%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

GFT Technologies is good value based on earnings compared to the DE IT industry average.

GFT Technologies is good value based on earnings compared to the Germany market.


Price Based on Expected Growth

GFT Technologies is good value based on expected growth next year.


Price Based on Value of Assets

GFT Technologies is good value based on assets compared to the DE IT industry average.


Next Steps

Future Growth

How is GFT Technologies expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

21.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

GFT Technologies's revenue is expected to grow by 4.7% yearly, however this is not considered high growth (20% yearly).

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

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

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

GFT 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

GFT Technologies is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has GFT Technologies performed over the past 5 years?

-3.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

GFT Technologies's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

GFT Technologies's 1-year earnings growth is negative, it can't be compared to the 5-year average.

GFT Technologies's 1-year earnings growth is negative, it can't be compared to the DE IT industry average.


Return on Equity

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


Return on Assets

GFT Technologies used its assets less efficiently than the DE IT industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is GFT Technologies's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

GFT Technologies's level of debt (102.8%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (67.2% vs 102.8% today).

Debt is well covered by operating cash flow (34.1%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 10.9x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.5x debt.


Next Steps

Dividend

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

4.61%

Expected Dividend Yield


Dividend Yield and Payments Analysis

GFT Technologies's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.39%).

GFT Technologies's dividend is above the markets top 25% of dividend payers in Germany (3.86%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.8x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.6x coverage).


Next Steps

Management

What is the CEO of GFT Technologies's salary, the management and board of directors tenure and is there insider trading?

9.3yrs

Average management tenure


CEO

Marika Lulay (57yo)

2.3yrs

Tenure

€2,455,719

Compensation

Mrs. Marika Lulay serves as Chairman of the Managing Directors and Member of Executive Board at GFT Technologies SE and has been its Chief Executive Officer since June 2017. Mrs. Lulay has been responsible ...


CEO Compensation Analysis

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

Marika's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

9.3yrs

Average Tenure

The average tenure for the GFT Technologies management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

4.7yrs

Average Tenure

60.5yo

Average Age

The tenure for the GFT Technologies board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Ulrich Dietz

    Founder & Chairman of the Administrative Board

    • Tenure: 2.3yrs
  • Jochen Ruetz

    CFO, MD

    • Tenure: 4.7yrs
    • Compensation: €2.07m
  • Marika Lulay (57yo)

    CEO, Chairman of MD

    • Tenure: 2.3yrs
    • Compensation: €2.46m
  • Alfio Puglisi

    MD of the Regions Germany

    • Tenure: 0yrs
  • Andrea Wlcek

    Head of Group Communications and Director of Global Marketing

    • Tenure: 17.7yrs
  • Christian Ball

    Head of Retail

    • Tenure: 2.7yrs
  • Markus Kreitinger

    Head of M&A

    • Tenure: 0yrs
  • Carlos Eres

    MD of Spain & Mexico and Member of Executive Board

    • Tenure: 0yrs
  • Guillermo Rodríguez

    Global Head of Human Resources

    • Tenure: 0yrs
  • Joan Fonoll

    COO & Member of Group Executive Board

    • Tenure: 0.2yrs

Board Members

  • Gerhard Barth (69yo)

    Member of the Advisory Board

    • Tenure: 0yrs
    • Compensation: €4.83k
  • Ulrich Dietz

    Founder & Chairman of the Administrative Board

    • Tenure: 2.3yrs
  • Paul Lerbinger (64yo)

    Vice Chairman of the Administrative Board

    • Tenure: 2.3yrs
  • Jochen Ruetz

    CFO, MD

    • Tenure: 4.7yrs
    • Compensation: €2.07m
  • Marika Lulay (57yo)

    CEO, Chairman of MD

    • Tenure: 2.3yrs
    • Compensation: €2.46m
  • Andreas Bereczky (66yo)

    Member of the Administrative Board

    • Tenure: 8.3yrs
  • Maria Dietz (57yo)

    Member of the Administrative Board

    • Tenure: 4.3yrs
  • Andreas Wiedemann (51yo)

    Member of the Administrative Board

    • Tenure: 4.7yrs

Company Information

GFT Technologies SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GFT Technologies SE
  • Ticker: GFT
  • Exchange: XTRA
  • Founded: 1987
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: €185.071m
  • Shares outstanding: 26.33m
  • Website: https://www.gft.com

Number of Employees


Location

  • GFT Technologies SE
  • Schelmenwasenstrasse 34
  • Stuttgart
  • Baden-Württemberg
  • 70567
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GFTDB (Deutsche Boerse AG)YesBearer SharesDEEURJun 1999
GFTXTRA (XETRA Trading Platform)YesBearer SharesDEEURJun 1999
0O2WLSE (London Stock Exchange)YesBearer SharesGBEURJun 1999
GFTDBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURJun 1999
GFTWBAG (Wiener Boerse AG)YesBearer SharesATEURJun 1999

Biography

GFT Technologies SE, together with its subsidiaries, provides information technology (IT) consulting and solutions. The company operates in two segments, Americas & UK and Continental Europe. It offers con ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/19 20:55
End of Day Share Price2019/09/19 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.