Griffon Corporation, through its subsidiaries, engages in the consumer and professional products, home and building products, and defense electronics businesses primarily in the United States, Europe, Canada, Australia, the United Kingdom, Mexico, China, and internationally. More Details
Very undervalued with moderate growth potential.
Share Price & News
How has Griffon's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GFF is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: GFF's weekly volatility (8%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: GFF underperformed the US Building industry which returned 22% over the past year.
Return vs Market: GFF underperformed the US Market which returned 19.6% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Griffon's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StShould You Be Concerned About Griffon Corporation's (NYSE:GFF) ROE?
2 weeks ago | Simply Wall StHow Much Is Griffon Corporation (NYSE:GFF) Paying Its CEO?
1 month ago | Simply Wall StDid Griffon's (NYSE:GFF) Share Price Deserve to Gain 12%?
Is Griffon undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GFF ($23.36) is trading below our estimate of fair value ($37.03)
Significantly Below Fair Value: GFF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GFF is good value based on its PE Ratio (18.6x) compared to the US Building industry average (24.8x).
PE vs Market: GFF is good value based on its PE Ratio (18.6x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: GFF is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: GFF is good value based on its PB Ratio (1.8x) compared to the US Building industry average (3.1x).
How is Griffon forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GFF's forecast earnings growth (22.3% per year) is above the savings rate (2%).
Earnings vs Market: GFF's earnings (22.3% per year) are forecast to grow faster than the US market (21.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: GFF's revenue (2.8% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: GFF's revenue (2.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GFF's Return on Equity is forecast to be low in 3 years time (11.3%).
How has Griffon performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GFF has a large one-off loss of $24.1M impacting its September 30 2020 financial results.
Growing Profit Margin: GFF's current net profit margins (2.2%) are higher than last year (2.1%).
Past Earnings Growth Analysis
Earnings Trend: GFF's earnings have grown by 16.4% per year over the past 5 years.
Accelerating Growth: GFF's earnings growth over the past year (17.1%) exceeds its 5-year average (16.4% per year).
Earnings vs Industry: GFF earnings growth over the past year (17.1%) underperformed the Building industry 17.1%.
Return on Equity
High ROE: GFF's Return on Equity (7.6%) is considered low.
How is Griffon's financial position?
Financial Position Analysis
Short Term Liabilities: GFF's short term assets ($1.1B) exceed its short term liabilities ($449.2M).
Long Term Liabilities: GFF's short term assets ($1.1B) do not cover its long term liabilities ($1.3B).
Debt to Equity History and Analysis
Debt Level: GFF's debt to equity ratio (146.9%) is considered high.
Reducing Debt: GFF's debt to equity ratio has reduced from 196.3% to 146.9% over the past 5 years.
Debt Coverage: GFF's debt is not well covered by operating cash flow (13%).
Interest Coverage: GFF's interest payments on its debt are not well covered by EBIT (2.6x coverage).
What is Griffon current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GFF's dividend (1.28%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.39%).
High Dividend: GFF's dividend (1.28%) is low compared to the top 25% of dividend payers in the US market (3.85%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, GFF has been paying a dividend for less than 10 years.
Growing Dividend: GFF's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (23.9%), GFF's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: GFF's dividends in 3 years are forecast to be thoroughly covered by earnings (14% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ron Kramer (62 yo)
Mr. Ronald J. Kramer, also known as Ron, serves as Independent Director of Business Development Corporation of America since October 28, 2016. He has been the Chief Executive Officer of Griffon Corporation...
CEO Compensation Analysis
Compensation vs Market: Ron's total compensation ($USD16.13M) is above average for companies of similar size in the US market ($USD3.89M).
Compensation vs Earnings: Ron's compensation has increased by more than 20% in the past year.
|Chairman of the Board & CEO||12.75yrs||US$16.13m||4.01% |
|Senior VP & CFO||5.42yrs||US$1.89m||0.36% |
|Senior VP||10.67yrs||US$1.82m||0.48% |
|VP, Controller & Chief Accounting Officer||no data||no data||0.095% |
|Senior Vice President of Operations||4yrs||no data||no data|
|VP & Treasurer||no data||no data||no data|
Experienced Management: GFF's management team is seasoned and experienced (8.1 years average tenure).
|Chairman of the Board & CEO||12.75yrs||US$16.13m||4.01% |
|Independent Director||5.5yrs||US$195.01k||0.054% |
|Independent Director||25.92yrs||US$192.51k||0.13% |
|Independent Director||58yrs||US$175.01k||0.11% |
|Independent Director||1.5yrs||US$165.51k||0.018% |
|Independent Director||2.67yrs||US$177.01k||0.046% |
|Independent Director||16.92yrs||US$174.51k||0.078% |
|Independent Director||2.33yrs||US$170.01k||0.027% |
|Independent Director||5.75yrs||US$197.51k||0.078% |
|Independent Director||7yrs||US$165.51k||0.053% |
|Lead Independent Director||5.17yrs||US$215.51k||0.084% |
Experienced Board: GFF's board of directors are considered experienced (5.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GFF insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 21.7%.
Griffon Corporation's company bio, employee growth, exchange listings and data sources
- Name: Griffon Corporation
- Ticker: GFF
- Exchange: NYSE
- Founded: 1959
- Industry: Building Products
- Sector: Capital Goods
- Market Cap: US$1.266b
- Shares outstanding: 54.19m
- 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|
Griffon Corporation, through its subsidiaries, engages in the consumer and professional products, home and building products, and defense electronics businesses primarily in the United States, Europe, Cana...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/01/17 00:44|
|End of Day Share Price||2021/01/15 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.