LSE:GFRD

Stock Analysis Report

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Executive Summary

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


Snowflake Analysis

Undervalued with proven track record.


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

3.5%

GFRD

6.6%

GB Construction

2.7%

GB Market


1 Year Return

-82.3%

GFRD

-8.9%

GB Construction

-12.4%

GB Market

Return vs Industry: GFRD underperformed the UK Construction industry which returned -8.9% over the past year.

Return vs Market: GFRD underperformed the UK Market which returned -12.4% over the past year.


Shareholder returns

GFRDIndustryMarket
7 Day3.5%6.6%2.7%
30 Day-3.6%-1.3%0.2%
90 Day-25.7%-4.2%4.0%
1 Year76.7%-82.3%6.3%-8.9%-8.8%-12.4%
3 Year-3.1%-92.6%-39.8%-53.8%-4.9%-16.3%
5 Year-20.2%-94.5%-35.7%-56.4%14.2%-11.1%

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 (£0.99) is trading below our estimate of fair value (£8.31)

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


Price To Earnings Ratio

PE vs Industry: GFRD is good value based on its PE Ratio (0.9x) compared to the GB Construction industry average (10x).

PE vs Market: GFRD is good value based on its PE Ratio (0.9x) compared to the UK market (15.9x).


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 (0.2x) compared to the GB Construction industry average (1.2x).


Next Steps

Future Growth

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

-10.9%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if GFRD's forecast earnings growth is above the savings rate (1.2%).

Earnings vs Market: Insufficient data to determine if GFRD's earnings are forecast to grow faster than the UK market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: GFRD's revenue is expected to decline over the next 3 years (-10.9% per year).

High Growth Revenue: GFRD's revenue is forecast to decline over the next 3 years (-10.9% 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?

-3.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GFRD has high quality earnings.

Growing Profit Margin: GFRD's current net profit margins (4.5%) are higher than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: GFRD's earnings have declined by 3.4% per year over the past 5 years.

Accelerating Growth: GFRD's earnings growth over the past year (130.3%) exceeds its 5-year average (-3.4% per year).

Earnings vs Industry: GFRD earnings growth over the past year (130.3%) exceeded the Construction industry -1.2%.


Return on Equity

High ROE: GFRD's Return on Equity (17.1%) is considered low.


Next Steps

Financial Health

How is Galliford Try's financial position?


Financial Position Analysis

Short Term Liabilities: GFRD's short term assets (£3.1B) exceed its short term liabilities (£2.5B).

Long Term Liabilities: GFRD's short term assets (£3.1B) exceed its long term liabilities (£132.8M).


Debt to Equity History and Analysis

Debt Level: GFRD's debt to equity ratio (71.3%) is considered high.

Reducing Debt: GFRD's debt to equity ratio has increased from 30.3% to 71.3% over the past 5 years.

Debt Coverage: GFRD's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: GFRD's interest payments on its debt are well covered by EBIT (85.6x coverage).


Balance Sheet


Next Steps

Dividend

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

3.29%

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

Management

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

0.6yrs

Average management tenure


CEO

Bill Hocking (55 yo)

no data

Tenure

Mr. Bill Hocking serves as Chief Executive & Executive Director at Galliford Try Plc. Mr. Hocking had been Chief Executive of Construction & Investments at Galliford Try plc since August 1, 2016 and served ...


Leadership Team

NamePositionTenureCompensationOwnership
Andrew Duxbury
Group Finance Director & Director1.42yrsUK£417.25k0.0027%
£ 2.9k
Bill Hocking
CEO & Executive Directorno datano data0.11%
£ 118.6k
Kevin Corbett
General Counsel8.5yrsno data0.060%
£ 66.2k
Ian Jubb
Divisional MD & Member of Executive Board0.58yrno datano data
Mark Baxter
Divisional MD of Specialist Services & Member of the Executive Board0.58yrno datano data
Vikki Skene
HR Director & Member Of Executive Board0.58yrno datano data
Paul Money
Assistant Company Secretaryno datano datano data

0.6yrs

Average Tenure

51.5yo

Average Age

Experienced Management: GFRD's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Andrew Duxbury
Group Finance Director & Director1.42yrsUK£417.25k0.0027%
£ 2.9k
Bill Hocking
CEO & Executive Directorno datano data0.11%
£ 118.6k
Gavin Slark
Independent Non-Executive Director5.25yrsUK£42.00k0.0014%
£ 1.6k
Peter Ventress
Independent Non-Executive Chairman3.75yrsUK£196.00k0.013%
£ 14.0k
Maria-Luisa Cassoni
Non-Executive Director1.92yrsUK£35.00kno data
Jeremy Townsend
Non-Executive Director2.92yrsUK£50.00k0.0030%
£ 3.3k
Terry Miller
Non-Executive Senior Independent Director3.75yrsUK£54.00k0.0019%
£ 2.1k

3.3yrs

Average Tenure

56yo

Average Age

Experienced Board: GFRD's board of directors are considered experienced (3.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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£109.662m
  • Shares outstanding: 110.77m
  • 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 Analysis2020/08/09 21:09
End of Day Share Price2020/08/07 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.