LSE:GFRD

Stock Analysis Report

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Executive Summary

Galliford Try plc operates in the construction business in the United Kingdom. More Details


Snowflake Analysis

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

How has Galliford Try's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-7.6%

GFRD

-0.2%

GB Construction

-1.9%

GB Market


1 Year Return

-90.2%

GFRD

-23.8%

GB Construction

-16.2%

GB Market

Return vs Industry: GFRD underperformed the UK Construction industry which returned -23.7% over the past year.

Return vs Market: GFRD underperformed the UK Market which returned -14.8% over the past year.


Shareholder returns

GFRDIndustryMarket
7 Day-7.6%-0.2%-1.9%
30 Day-8.8%-1.1%0.7%
90 Day-25.0%-6.3%-4.8%
1 Year-2.4%-90.2%-12.8%-23.8%-13.0%-16.2%
3 Year-28.5%-94.5%-34.5%-48.6%-9.4%-20.6%
5 Year-31.6%-95.2%-23.6%-45.6%13.5%-12.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Galliford Try 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: GFRD (£0.73) is trading below our estimate of fair value (£2.23)

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


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GFRD is good value based on its PB Ratio (0.7x) compared to the GB Construction industry average (1x).


Next Steps

Future Growth

How is Galliford Try forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

86.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GFRD is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.2%).

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

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

Revenue vs Market: GFRD's revenue (5.7% per year) is forecast to grow slower than the UK market (6% per year).

High Growth Revenue: GFRD's revenue (5.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if GFRD's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Galliford Try performed over the past 5 years?

-23.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GFRD is currently unprofitable.

Growing Profit Margin: GFRD is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GFRD is unprofitable, and losses have increased over the past 5 years at a rate of 23.8% per year.

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

Earnings vs Industry: GFRD is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (-13.9%).


Return on Equity

High ROE: GFRD has a negative Return on Equity (-27.05%), as it is currently unprofitable.


Next Steps

Financial Health

How is Galliford Try's financial position?


Financial Position Analysis

Short Term Liabilities: GFRD's short term assets (£467.8M) do not cover its short term liabilities (£482.2M).

Long Term Liabilities: GFRD's short term assets (£467.8M) exceed its long term liabilities (£22.9M).


Debt to Equity History and Analysis

Debt Level: GFRD is debt free.

Reducing Debt: GFRD has no debt compared to 5 years ago when its debt to equity ratio was 31.8%.

Debt Coverage: GFRD has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: GFRD has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Galliford Try current dividend yield, its reliability and sustainability?

5.46%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate GFRD's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GFRD's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GFRD's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GFRD's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: GFRD is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GFRD's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

  • Explore strong dividend paying companies in the Capital Goods industry.

Management

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

0.8yrs

Average management tenure


CEO

Bill Hocking (55 yo)

0.75

Tenure

UK£535,920

Compensation

Mr. Bill Hocking has been Chief Executive at Galliford Try Plc since January 3, 2020 and serves as its Executive Director. Mr. Hocking had been Chief Executive of Construction & Investments at Galliford Tr ...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD704.29K) is above average for companies of similar size in the UK market ($USD356.15K).

Compensation vs Earnings: Insufficient data to compare Bill's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Bill Hocking
CEO & Executive Director0.75yrUK£535.92k0.11%
£ 87.4k
Andrew Duxbury
Finance Director & Director1.58yrsUK£640.00k0.023%
£ 18.2k
Kevin Corbett
General Counsel8.67yrsno data0.060%
£ 48.8k
Ian Jubb
MD of Building & Member of Executive Board0.75yrno datano data
Mark Baxter
MD of Investments & Specialist Services and Member of the Executive Board0.75yrno datano data
Vikki Skene
Human Resources Director & Member of Executive Board0.75yrno datano data

0.8yrs

Average Tenure

51.5yo

Average Age

Experienced Management: GFRD's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Bill Hocking
CEO & Executive Director0.75yrUK£535.92k0.11%
£ 87.4k
Andrew Duxbury
Finance Director & Director1.58yrsUK£640.00k0.023%
£ 18.2k
Gavin Slark
Independent Non-Executive Director5.42yrsUK£42.00k0.0014%
£ 1.2k
Peter Ventress
Independent Non-Executive Chairman3.92yrsUK£194.00k0.013%
£ 10.3k
Maria-Luisa Cassoni
Non-Executive Director2.08yrsUK£53.00kno data
Terry Miller
Senior Independent Non-Executive Director3.92yrsUK£54.00k0.0019%
£ 1.5k

3.9yrs

Average Tenure

57yo

Average Age

Experienced Board: GFRD's board of directors are considered experienced (3.9 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: GFRD 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

Galliford Try plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Galliford Try plc
  • Ticker: GFRD
  • Exchange: LSE
  • Founded: 1965
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: UK£80.907m
  • Shares outstanding: 110.83m
  • Website: https://www.gallifordtry.co.uk

Number of Employees


Location

  • Galliford Try plc
  • Cowley Business Park
  • Cowley
  • Uxbridge
  • Greater London
  • UB8 2AL
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GFRDLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
GFRDLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992
3WCDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992

Biography

Galliford Try plc operates in the construction business in the United Kingdom. The company operates through Building, Infrastructure, and PPP Investments divisions. The Building division works with clients ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/21 21:33
End of Day Share Price2020/10/21 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.