Market Cap
US$1.2b
Last Updated
2020/02/17 01:24 UTC
Data Sources
Company Financials +
Executive Summary
GMS Inc. distributes wallboards, suspended ceilings systems, and building products in the United States and Canada.
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with proven track record.
Similar Companies
Share Price & News
How has GMS's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GMS has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
8.1%
GMS
2.9%
US Trade Distributors
1.5%
US Market
1 Year Return
42.3%
GMS
9.9%
US Trade Distributors
20.1%
US Market
Return vs Industry: GMS exceeded the US Trade Distributors industry which returned 9.9% over the past year.
Return vs Market: GMS exceeded the US Market which returned 20.1% over the past year.
Shareholder returns
| GMS | Industry | Market | |
|---|---|---|---|
| 7 Day | 8.1% | 2.9% | 1.5% |
| 30 Day | -0.2% | -2.2% | 1.4% |
| 90 Day | -7.8% | 1.3% | 8.7% |
| 1 Year | 42.3%42.3% | 12.0%9.9% | 22.7%20.1% |
| 3 Year | -0.6%-0.6% | 21.2%15.5% | 50.1%40.5% |
| 5 Year | n/a | 43.2%32.4% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is GMS's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is GMS Inc.'s (NYSE:GMS) 11% ROE Better Than Average?3 weeks ago | Simply Wall St
GMS (NYSE:GMS) Shareholders Booked A 47% Gain In The Last Year1 month ago | Simply Wall St
Here's Why I Think GMS (NYSE:GMS) Is An Interesting StockValuation
Is GMS undervalued compared to its fair value and its price relative to the market?
46.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GMS ($28.74) is trading below our estimate of fair value ($53.28)
Significantly Below Fair Value: GMS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GMS is good value based on its PE Ratio (15.6x) compared to the Trade Distributors industry average (16.6x).
PE vs Market: GMS is good value based on its PE Ratio (15.6x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: GMS is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: GMS is overvalued based on its PB Ratio (1.7x) compared to the US Trade Distributors industry average (1.7x).
Next Steps
Future Growth
How is GMS forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
18.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GMS's forecast earnings growth (18.6% per year) is above the savings rate (1.7%).
Earnings vs Market: GMS's earnings (18.6% per year) are forecast to grow faster than the US market (14.5% per year).
High Growth Earnings: GMS's earnings are forecast to grow, but not significantly.
Revenue vs Market: GMS's revenue (3.7% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: GMS's revenue (3.7% 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 GMS's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has GMS performed over the past 5 years?
43.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GMS has high quality earnings.
Growing Profit Margin: GMS's current net profit margins (2.3%) are higher than last year (2.2%).
Past Earnings Growth Analysis
Earnings Trend: GMS has become profitable over the past 5 years, growing earnings by 43.2% per year.
Accelerating Growth: GMS's earnings growth over the past year (20.8%) is below its 5-year average (43.2% per year).
Earnings vs Industry: GMS earnings growth over the past year (20.8%) exceeded the Trade Distributors industry 3.5%.
Return on Equity
High ROE: GMS's Return on Equity (11%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is GMS's financial position?
Financial Position Analysis
Short Term Liabilities: GMS's short term assets ($829.7M) exceed its short term liabilities ($375.9M).
Long Term Liabilities: GMS's short term assets ($829.7M) do not cover its long term liabilities ($1.2B).
Debt to Equity History and Analysis
Debt Level: GMS's debt to equity ratio (143.9%) is considered high.
Reducing Debt: GMS's debt to equity ratio has reduced from 183% to 143.9% over the past 5 years.
Debt Coverage: GMS's debt is well covered by operating cash flow (21.7%).
Interest Coverage: GMS's interest payments on its debt are not well covered by EBIT (2.3x coverage).
Balance Sheet
Inventory Level: GMS has a high level of physical assets or inventory.
Debt Coverage by Assets: GMS's debt is not covered by short term assets (assets are 0.8x debt).
Next Steps
Dividend
What is GMS's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate GMS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate GMS's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if GMS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if GMS's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of GMS's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.2yrs
Average management tenure
CEO
John Turner (50yo)
0.5yrs
Tenure
Mr. John C. Turner, Jr., has been President of GMS Inc. since May 1, 2019 and also serves as its Chief Executive Officer and Director since August 2, 2019. He joined GMS Inc. in 2019. He was the President ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| VP of Finance | 3.4yrs | US$537.30k | 0.0097% $117.7k | |
| VP, General Counsel & Corporate Secretary | 4.6yrs | US$1.11m | 0.024% $294.0k | |
| President | 0.5yrs | no data | no data | |
| VP & CFO | 0.3yrs | no data | no data | |
| Chief Information Officer & VP | 2.8yrs | no data | no data | |
| Vice President of Investor Relations | 1.2yrs | no data | no data | |
| Marketing Director | 0yrs | no data | no data | |
| Vice President of Corporate Development / M&A | 0yrs | no data | no data | |
| VP & Chief Human Resources Officer | 0.2yrs | no data | no data | |
| Vice President of Operations - Western Region | 0yrs | no data | no data |
1.2yrs
Average Tenure
52yo
Average Age
Experienced Management: GMS's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 0.5yrs | no data | no data | |
| Independent Non-Executive Chairman & Lead Independent Director | 0yrs | US$226.79k | 0.065% $782.6k | |
| Independent Director | 6.1yrs | US$200.00k | 0.028% $336.8k | |
| Independent Director | 6.1yrs | US$215.00k | 0.033% $405.3k | |
| Independent Director | 6.1yrs | US$195.00k | 0.59% $7.2m | |
| Independent Director | 0.6yrs | no data | no data | |
| Director | 6.1yrs | no data | no data | |
| Independent Director | 0.8yrs | US$105.00k | no data | |
| Independent Director | 6.1yrs | US$192.50k | 0.033% $405.3k | |
| Director | 0yrs | US$355.02k | 0.10% $1.2m |
6.1yrs
Average Tenure
60yo
Average Age
Experienced Board: GMS's board of directors are considered experienced (6.1 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
GMS Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: GMS Inc.
- Ticker: GMS
- Exchange: NYSE
- Founded: 1971
- Industry: Trading Companies and Distributors
- Sector: Capital Goods
- Market Cap: US$1.212b
- Shares outstanding: 42.17m
- Website: https://www.gms.com
Number of Employees
Location
- GMS Inc.
- 100 Crescent Centre Parkway
- Suite 800
- Tucker
- Georgia
- 30084
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| GMS | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | May 2016 |
| CLG | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | May 2016 |
Biography
GMS Inc. distributes wallboards, suspended ceilings systems, and building products in the United States and Canada. The company offers ceilings products, including suspended mineral fibers, soft fibers, and metal ceiling systems primarily used in offices, hotels, hospitals, retail facilities, schools, and various other commercial and institutional buildings. It also provides steel framing products, such as steel tracks, studs, and various other steel products used to frame the interior walls of a commercial or institutional building; and insulation, ready-mix joint compound, and various other interior construction products, as well as ancillary products comprising tools and safety products. In addition, the company distributes wallboards, drywall, lumber, ceiling tiles, commercial, and residential building materials. As of April 30, 2019, it operated 254 branches across 43 states and the District of Columbia, as well as 5 provinces in Canada. The company also operates a network of approximately 250 distribution centers. The company was formerly known as GYP Holdings I Corp. and changed its name to GMS Inc. in July 2015. GMS Inc. was founded in 1971 and is headquartered in Tucker, Georgia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/17 01:24 |
| End of Day Share Price | 2020/02/14 00:00 |
| Earnings | 2019/10/31 |
| Annual Earnings | 2019/04/30 |
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.