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GS Engineering & Construction

Market Cap

₩3.7t

Last Updated

2021/05/13 08:50 UTC

Data Sources

Company Financials +

Executive Summary

GS Engineering & Construction Corporation engages in the civil works and architectural construction, construction and sale of new houses, repairs and maintenance, general construction, and technology consultation activities in South Korea and internationally. More Details


Snowflake Analysis

Very undervalued with adequate balance sheet and pays a dividend.


Similar Companies

Share Price & News

How has GS Engineering & Construction's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: A006360 is not significantly more volatile than the rest of KR stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: A006360's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-3.3%

A006360

4.3%

KR Construction

0.1%

KR Market


1 Year Return

83.3%

A006360

53.7%

KR Construction

60.1%

KR Market

Return vs Industry: A006360 exceeded the KR Construction industry which returned 53.7% over the past year.

Return vs Market: A006360 exceeded the KR Market which returned 60.1% over the past year.


Shareholder returns

A006360IndustryMarket
7 Day-3.3%4.3%0.1%
30 Day-0.6%8.4%-0.05%
90 Day6.8%17.1%1.5%
1 Year89.8%83.3%85.4%53.7%64.6%60.1%
3 Year4.1%-4.9%11.6%-4.8%35.3%25.7%
5 Year65.0%49.1%59.4%29.2%70.9%49.9%

Long-Term Price Volatility Vs. Market

How volatile is GS Engineering & Construction's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is GS Engineering & Construction undervalued compared to its fair value and its price relative to the market?

47.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: A006360 (₩43450) is trading below our estimate of fair value (₩82548.34)

Significantly Below Fair Value: A006360 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: A006360 is good value based on its PE Ratio (10x) compared to the KR Construction industry average (13.4x).

PE vs Market: A006360 is good value based on its PE Ratio (10x) compared to the KR market (21x).


Price to Earnings Growth Ratio

PEG Ratio: A006360 is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: A006360 is good value based on its PB Ratio (0.8x) compared to the KR Construction industry average (1.1x).


Future Growth

How is GS Engineering & Construction forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

11.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: A006360's forecast earnings growth (11.7% per year) is above the savings rate (3.6%).

Earnings vs Market: A006360's earnings (11.7% per year) are forecast to grow slower than the KR market (24.3% per year).

High Growth Earnings: A006360's earnings are forecast to grow, but not significantly.

Revenue vs Market: A006360's revenue (6% per year) is forecast to grow slower than the KR market (8.9% per year).

High Growth Revenue: A006360's revenue (6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: A006360's Return on Equity is forecast to be low in 3 years time (12.6%).


Past Performance

How has GS Engineering & Construction performed over the past 5 years?

44.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: A006360 has high quality earnings.

Growing Profit Margin: A006360's current net profit margins (3.8%) are lower than last year (4.3%).


Past Earnings Growth Analysis

Earnings Trend: A006360's earnings have grown significantly by 44% per year over the past 5 years.

Accelerating Growth: A006360's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: A006360 had negative earnings growth (-17.9%) over the past year, making it difficult to compare to the Construction industry average (19.3%).


Return on Equity

High ROE: A006360's Return on Equity (8%) is considered low.


Financial Health

How is GS Engineering & Construction's financial position?


Financial Position Analysis

Short Term Liabilities: A006360's short term assets (₩7,782.0B) exceed its short term liabilities (₩1,371.0B).

Long Term Liabilities: A006360's short term assets (₩7,782.0B) do not cover its long term liabilities (₩8,524.0B).


Debt to Equity History and Analysis

Debt Level: A006360's debt to equity ratio (56.6%) is considered high.

Reducing Debt: A006360's debt to equity ratio has reduced from 105.4% to 56.6% over the past 5 years.

Debt Coverage: A006360's debt is well covered by operating cash flow (21.6%).

Interest Coverage: A006360's interest payments on its debt are well covered by EBIT (10.3x coverage).


Balance Sheet


Dividend

What is GS Engineering & Construction current dividend yield, its reliability and sustainability?

2.30%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: A006360's dividend (2.3%) is higher than the bottom 25% of dividend payers in the KR market (0.65%).

High Dividend: A006360's dividend (2.3%) is in the top 25% of dividend payers in the KR market (2.09%)


Stability and Growth of Payments

Stable Dividend: A006360's dividend payments have been volatile in the past 10 years.

Growing Dividend: A006360's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.9%), A006360's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: A006360's dividends in 3 years are forecast to be well covered by earnings (15.5% payout ratio).


Next Steps

Management

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

1.2yrs

Average board tenure


CEO

Byeong-Yong Lim (58 yo)

7.92yrs

Tenure

Mr. Byeong-Yong Lim has been the Chief Executive Officer of GS Engineering & Construction Corporation since June 17, 2013 and serves its Vice Chairman since March 2019. Mr. Lim also serves as President of ...


Board Members

Experienced Board: A006360's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.


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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.8%.


Top Shareholders

Company Information

GS Engineering & Construction Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GS Engineering & Construction Corporation
  • Ticker: A006360
  • Exchange: KOSE
  • Founded: 1969
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: ₩3.718t
  • Shares outstanding: 84.80m
  • Website: https://www.gsenc.com

Number of Employees


Location

  • GS Engineering & Construction Corporation
  • GRAN Seoul
  • 33 Jong-ro
  • Seoul
  • 3159
  • South Korea

Listings


Biography

GS Engineering & Construction Corporation engages in the civil works and architectural construction, construction and sale of new houses, repairs and maintenance, general construction, and technology consu...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/13 08:50
End of Day Share Price2021/05/13 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.