GFF Stock Overview
Griffon Corporation, through its subsidiaries, provides consumer and professional, and home and building products in the United States, Europe, Canada, Australia, and internationally.
Price History & Performance
|Historical stock prices|
|Current Share Price||US$29.39|
|52 Week High||US$34.92|
|52 Week Low||US$17.56|
|1 Month Change||-9.07%|
|3 Month Change||2.30%|
|1 Year Change||19.47%|
|3 Year Change||45.21%|
|5 Year Change||30.91%|
|Change since IPO||1,624.21%|
Recent News & Updates
What Does Griffon Corporation's (NYSE:GFF) Share Price Indicate?
Griffon Corporation ( NYSE:GFF ), is not the largest company out there, but it saw a significant share price rise of...
Endings Bring New Beginnings For Griffon Corporation
Griffon invests, divests, adds a new director to the board, and declares to maximise shareholder value by all means possible. Strong Q3 2022 results, with adjusted EBITDA from continuing operations increasing by 124%. Cautious of the company's unspecified future strategic decisions; subsidiaries are prone to be impacted by uncertainty in the economy and increased supply chain and labour cost. A holding company must invest and divest at the right time. Griffon Corporation (GFF) is a long-time holding company with a varying success rate over its long 54-year performance on the NYSE. Recently, dissatisfaction with the longstanding board of directors and management's decision-making ability has been vocalised. Voss Capital, an activist investor, nominated and earned a spot on the board through a proxy contest in February 2022 by a landslide vote, of which 80% were non-insider shares. This catalyst for change has created uncertain but exciting times. The new independent board member aims to improve shareholder value through various strategic alternatives. A small-cap stock at a $1.619 billion market cap, a strong performance in Q3 2022, an upward trend in stock price over the last six months, various analysts recommending the stock as purchase-worthy, and a high 1-year price target estimate 47.95% above the current stock price. There are indeed reasons to believe there is upside potential for GFF. Although unsure of the exact strategic changes, wary of increased supply chain and labour costs across subsidiaries, and cautious of the industry's sensitivity to economic market uncertainty, investors may still want to take a bullish stance on this seemingly undervalued company. Introduction GFF, founded by businessman Helmuth W. Waldorf in 1959, is a holding company headquartered in New York City and trading on the NYSE since 1961. It operates by acquiring and developing diverse and wholly owned subsidiaries in various sectors. The focus areas have slowly changed over the years, but the leading sectors have been conglomerates, building products, aerospace, defense telecommunications, garage doors, and plastics. Although defense, telecommunications, and plastics previously grew the company, today, this is not the case. We saw the plastics section sold off in 2018, and most recently, its 60-year established telephonic subsidiary was discontinued and sold to TTM for $330 million in cash. It employs just over 4000 employees worldwide. Residential, Industrial and Commercial Products (Griffon Presentation 2021) The company currently has two principal subsidiaries: Firstly, the Consumer and Professional Products ((CPP)) division is a top manufacturer and supplier of consumer tools, such as residential fans, storage, and products connected to indoor and outdoor lifestyle, and professional devices, such as industrial and commercial fans and other organizational products across North America. It has a portfolio of brands, including AMES, Hunter, True Temper, and ClosetMaid. Secondly, there is the Home and Building Products ((HBP)) division that Clopay Corporation operates, founded in 1964, which focuses on garage doors and rolling steel doors for residential and commercial purposes. Home retail centres and dealers sell the products across North America. The portfolio of brands includes Clopay, Ideal, Holmes, and CornellCookson, acquired in 2018 specifically for rolling steel doors and grille products. Revenue Divisions at Griffon (Griffon Presentation 2021) GFF has had a long-term and close-knit set of directors and managers. Executives receive well above industry average salaries and bonuses, especially compared to peer companies, as seen below in the table comparing CEO compensation across many different organisations. CEO Compensation Across Peer Group (Voss Capital Presentation 2021) There are signs of change, with a more independent board member pushing for shareholder value and willing to make significant strategic moves to achieve these. Financials and Valuation Since 2017 there has been a noteworthy strategic revival, with investors seeing yearly earnings per share grow by 65%. The company has a long-term and stable - although low - dividend payment, of which the most recent fiscal year was $0.36, an increase of 16% per annum since 2012. This year, pushed on by the current board changes, GFF is paying out a special dividend of $2 and has completed a debt prepayment of $300 million this past quarter. To maximise shareholder value by all means possible. We have seen significant changes, including completing the sale of its 61-year-old 'Telephonics' business. The sale of Telephonics to TTM Technologies (TTMI) was for $330 million in cash in June 2022, improving the company's cash flow. Furthermore, the company acquired Hunter Fan Company for $845 million, which was higher than 35% of its enterprise value at year-end 2021. The action was criticised as a poor management decision by Voss Capital and built momentum for a proxy vote in February 2022. Nonetheless, the Q3 2022 results are promising for the changes that have taken place, and the management team is confident for the rest of the year, announcing that a full year revenue of - at minimum - $475 million EBITDA before unallocated costs is realistic. Furthermore, management believes leverage will be under 3.0 times net debt to EBITDA. GFF increased its revenue by 31% compared to the prior year's third quarter to $768.2 million. The acquisition of Hunter added $105.8 million to this total. Income from continuing operations was $0.98 per share, which was 350% of that of the prior year. Adjusted EBITDA of continuing operations increased by 124% to $134.8 million YoY. If we have a look at the results per segment: 1. Consumer and Professional products ((CPP)) CPP revenue is the second largest division with $362.6 million, an increase of 12% YoY. The most significant growth is from the Hunter acquisition at $105.8 million. Adjusted EBITDA decreased by 3% to $28.4 million. If we remove Hunter, EBITDA decreased by 61%. The reason is the reduction in sales volume and increased supply chain, material, and labour costs. However, the company has benefited from the mix of products and higher prices. Mention-worthy is that Q3 2022 saw $6.5 million in costs related mainly to Hunter because of COVID and global supply chain disruptions. 2. Home and Building Products ((HBP)) HBP is the largest division by revenue and increased by 56% to $405.5 million. The reason for this is the increase in pricing and the mix of residential and commercial products. This division increased; however, supply chain disruption and labour difficulties offset the benefits. Q3 2022 HBP Adjusted EBITDA increased you by 184% to $119.8 million. As said above, EBITDA again benefited from the increased revenue but was negatively impacted by an increase in material, labor and transportation expenses. We can see in the table below that GFF's net income has been on an upward path since December 2021, in line with the company's forward-moving strategic actions. Earnings per share have also beat expectations for the last three quarters.
Griffon (NYSE:GFF) Has Announced A Dividend Of $0.09
Griffon Corporation ( NYSE:GFF ) has announced that it will pay a dividend of $0.09 per share on the 15th of September...
|GFF||US Building||US Market|
Return vs Industry: GFF exceeded the US Building industry which returned -23.2% over the past year.
Return vs Market: GFF exceeded the US Market which returned -20.3% over the past year.
|GFF Average Weekly Movement||6.4%|
|Building Industry Average Movement||5.3%|
|Market Average Movement||6.9%|
|10% most volatile stocks in US Market||15.7%|
|10% least volatile stocks in US Market||2.8%|
Stable Share Price: GFF is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: GFF's weekly volatility (6%) has been stable over the past year.
About the Company
Griffon Corporation, through its subsidiaries, provides consumer and professional, and home and building products in the United States, Europe, Canada, Australia, and internationally. Its Consumer and Professional Products segment manufactures and markets long-handled tools and landscaping products for homeowners and professionals; wood and wire closet organization, general living storage, and wire garage storage products to home center retail chains, mass merchandisers, and direct-to builder professional installers; wheelbarrows and lawn carts; snow, striking, and hand tools; planters and lawn accessories; garden hoses; and pruners, loppers, shears, and other tools, as well as cleaning products for professional, home, and industrial use. The company’s Home & Building Products segment manufactures and markets residential and commercial garage doors for professional dealers and various home center retail chains; and rolling steel door and grille products for commercial, industrial, institutional, and retail uses.
Griffon Fundamentals Summary
|GFF fundamental statistics|
Is GFF overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|GFF income statement (TTM)|
|Cost of Revenue||US$1.86b|
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
|Earnings per share (EPS)||2.56|
|Net Profit Margin||5.21%|
How did GFF perform over the long term?See historical performance and comparison
1.2%Current Dividend Yield
Is GFF undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 6/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for GFF?
Other financial metrics that can be useful for relative valuation.
|What is GFF's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does GFF's PE Ratio compare to its peers?
|GFF PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
DOOR Masonite International
JBI Janus International Group
HAYW Hayward Holdings
ROCK Gibraltar Industries
Price-To-Earnings vs Peers: GFF is good value based on its Price-To-Earnings Ratio (11.5x) compared to the peer average (13.1x).
Price to Earnings Ratio vs Industry
How does GFF's PE Ratio compare vs other companies in the US Building Industry?
Price-To-Earnings vs Industry: GFF is good value based on its Price-To-Earnings Ratio (11.5x) compared to the US Building industry average (15.1x)
Price to Earnings Ratio vs Fair Ratio
What is GFF's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||11.5x|
|Fair PE Ratio||18.3x|
Price-To-Earnings vs Fair Ratio: GFF is good value based on its Price-To-Earnings Ratio (11.5x) compared to the estimated Fair Price-To-Earnings Ratio (18.3x).
Share Price vs Fair Value
What is the Fair Price of GFF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: GFF ($29.39) is trading below our estimate of fair value ($73.27)
Significantly Below Fair Value: GFF is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.
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How is Griffon forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Future Growth Score1/6
Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GFF's forecast earnings growth (9.3% per year) is above the savings rate (1.9%).
Earnings vs Market: GFF's earnings (9.3% per year) are forecast to grow slower than the US market (14.8% per year).
High Growth Earnings: GFF's earnings are forecast to grow, but not significantly.
Revenue vs Market: GFF's revenue (4.4% per year) is forecast to grow slower than the US market (7.7% per year).
High Growth Revenue: GFF's revenue (4.4% 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 GFF's Return on Equity is forecast to be high in 3 years time
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How has Griffon performed over the past 5 years?
Past Performance Score5/6
Past Performance Score 5/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GFF has high quality earnings.
Growing Profit Margin: GFF's current net profit margins (5.2%) are higher than last year (3.3%).
Past Earnings Growth Analysis
Earnings Trend: GFF's earnings have grown significantly by 34.6% per year over the past 5 years.
Accelerating Growth: GFF's earnings growth over the past year (111.4%) exceeds its 5-year average (34.6% per year).
Earnings vs Industry: GFF earnings growth over the past year (111.4%) exceeded the Building industry 32.2%.
Return on Equity
High ROE: GFF's Return on Equity (15.6%) is considered low.
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How is Griffon's financial position?
Financial Health Score3/6
Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: GFF's short term assets ($1.3B) exceed its short term liabilities ($594.6M).
Long Term Liabilities: GFF's short term assets ($1.3B) do not cover its long term liabilities ($2.0B).
Debt to Equity History and Analysis
Debt Level: GFF's net debt to equity ratio (157.5%) is considered high.
Reducing Debt: GFF's debt to equity ratio has reduced from 253% to 173.6% over the past 5 years.
Debt Coverage: GFF's debt is not well covered by operating cash flow (2.1%).
Interest Coverage: GFF's interest payments on its debt are well covered by EBIT (4x coverage).
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What is Griffon current dividend yield, its reliability and sustainability?
Dividend Score 3/6
Cash Flow Coverage
Current Dividend Yield
Dividend Yield vs Market
|Griffon Dividend Yield vs Market|
|Market Bottom 25% (US)||1.7%|
|Market Top 25% (US)||4.7%|
|Industry Average (Building)||1.8%|
|Analyst forecast in 3 Years (Griffon)||4.7%|
Notable Dividend: GFF's dividend (1.22%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.64%).
High Dividend: GFF's dividend (1.22%) is low compared to the top 25% of dividend payers in the US market (4.61%).
Stability and Growth of Payments
Stable Dividend: GFF's dividends per share have been stable in the past 10 years.
Growing Dividend: GFF's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its low payout ratio (12.7%), GFF's dividend payments are thoroughly covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: GFF is paying a dividend but the company has no free cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ron Kramer (64 yo)
Mr. Ronald J. Kramer, also known as Ron, serves as Independent Director of Business Development Corporation of America since October 28, 2016. He serves as Independent Director of Douglas Elliman Inc. sinc...
CEO Compensation Analysis
|Ron Kramer's Compensation vs Griffon Earnings|
|Date||Total Comp.||Salary||Company Earnings|
|Jun 30 2022||n/a||n/a|
|Mar 31 2022||n/a||n/a|
|Dec 31 2021||n/a||n/a|
|Sep 30 2021||US$20m||US$1m|
|Jun 30 2021||n/a||n/a|
|Mar 31 2021||n/a||n/a|
|Dec 31 2020||n/a||n/a|
|Sep 30 2020||US$16m||US$1m|
|Jun 30 2020||n/a||n/a|
|Mar 31 2020||n/a||n/a|
|Dec 31 2019||n/a||n/a|
|Sep 30 2019||US$12m||US$1m|
|Jun 30 2019||n/a||n/a|
|Mar 31 2019||n/a||n/a|
|Dec 31 2018||n/a||n/a|
|Sep 30 2018||US$14m||US$1m|
|Jun 30 2018||n/a||n/a|
|Mar 31 2018||n/a||n/a|
|Dec 31 2017||n/a||n/a|
|Sep 30 2017||US$12m||US$1m|
|Jun 30 2017||n/a||n/a|
|Mar 31 2017||n/a||n/a|
|Dec 31 2016||n/a||n/a|
|Sep 30 2016||US$9m||US$986k|
|Jun 30 2016||n/a||n/a|
|Mar 31 2016||n/a||n/a|
|Dec 31 2015||n/a||n/a|
|Sep 30 2015||US$6m||US$959k|
Compensation vs Market: Ron's total compensation ($USD19.70M) is above average for companies of similar size in the US market ($USD5.56M).
Compensation vs Earnings: Ron's compensation has increased by more than 20% in the past year.
Experienced Management: GFF's management team is seasoned and experienced (9.8 years average tenure).
Experienced Board: GFF's board of directors are considered experienced (7.3 years average tenure).
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
|25 Aug 22||SellUS$3,260,767||GAMCO Investors, Inc.||Company||448,494||US$34.16|
|10 Aug 22||SellUS$515,686||Teton Advisors, LLC||Company||18,473||US$32.80|
|26 May 22||SellUS$681,886||GAMCO Investors, Inc.||Company||218,543||US$31.36|
|26 May 22||SellUS$1,683,365||Teton Advisors, LLC||Company||55,000||US$30.93|
|16 May 22||SellUS$119,144||Gabelli Foundation Inc, Endowment Arm||Company||4,000||US$29.79|
|10 May 22||BuyUS$0||GAMCO Investors, Inc.||Company||51,300||US$23.30|
|09 May 22||SellUS$160,147||Mario Gabelli||Individual||7,000||US$23.77|
|02 May 22||SellUS$129,462||Gabelli & Company Investment Advisers, Inc.||Company||6,000||US$21.58|
|21 Apr 22||BuyUS$149,659||Mario Gabelli||Individual||8,000||US$19.00|
|18 Apr 22||BuyUS$111,529||Gabelli & Company Investment Advisers, Inc.||Company||6,000||US$18.66|
|22 Dec 21||BuyUS$70,100||Lacy Johnson||Individual||2,500||US$28.04|
|21 Dec 21||BuyUS$49,895||Thomas Brosig||Individual||1,922||US$25.96|
|21 Dec 21||BuyUS$151,217||Louis Grabowsky||Individual||5,900||US$25.63|
|21 Dec 21||BuyUS$79,200||Henry Alpert||Individual||3,000||US$26.40|
|21 Dec 21||BuyUS$52,820||Jerome Coben||Individual||2,000||US$26.41|
|21 Dec 21||BuyUS$91,840||Kevin Sullivan||Individual||3,500||US$26.24|
|Owner Type||Number of Shares||Ownership Percentage|
|Employee Share Scheme||5,114,941||9.3%|
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
|Ownership||Name||Shares||Current Value||Change %||Portfolio %|
Griffon Corporation's employee growth, exchange listings and data sources
- Name: Griffon Corporation
- Ticker: GFF
- Exchange: NYSE
- Founded: 1959
- Industry: Building Products
- Sector: Capital Goods
- Implied Market Cap: US$1.622b
- Shares outstanding: 55.20m
- Website: https://www.griffon.com
Number of Employees
- Griffon Corporation
- 712 Fifth Avenue
- 18th Floor
- New York
- New York
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|GFF||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Jul 1968|
|GFF||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Jul 1968|
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/09/29 00:00|
|End of Day Share Price||2022/09/29 00:00|
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.