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GMS

GMS NYSE:GMS Stock Report

Last Price

US$45.30

Market Cap

US$1.9b

7D

0.3%

1Y

-3.5%

Updated

05 Jul, 2022

Data

Company Financials +
GMS fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance5/6
Financial Health4/6
Dividends0/6

GMS Stock Overview

GMS Inc. distributes wallboard, ceilings, steel framing and complementary construction products in the United States and Canada.

GMS Competitors

Price History & Performance

Summary of all time highs, changes and price drops for GMS
Historical stock prices
Current Share PriceUS$45.30
52 Week HighUS$61.79
52 Week LowUS$36.10
Beta1.87
1 Month Change-12.07%
3 Month Change-2.05%
1 Year Change-3.49%
3 Year Change100.27%
5 Year Change66.30%
Change since IPO106.76%

Recent News & Updates

Jun 27
Should You Think About Buying GMS Inc. (NYSE:GMS) Now?

Should You Think About Buying GMS Inc. (NYSE:GMS) Now?

While GMS Inc. ( NYSE:GMS ) might not be the most widely known stock at the moment, it saw a double-digit share price...

Shareholder Returns

GMSUS Trade DistributorsUS Market
7D0.3%-1.6%-2.2%
1Y-3.5%-10.0%-19.1%

Return vs Industry: GMS exceeded the US Trade Distributors industry which returned -10% over the past year.

Return vs Market: GMS exceeded the US Market which returned -19.1% over the past year.

Price Volatility

Is GMS's price volatile compared to industry and market?
GMS volatility
GMS Average Weekly Movement6.9%
Trade Distributors Industry Average Movement7.1%
Market Average Movement8.1%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.3%

Stable Share Price: GMS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: GMS's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19715,475John Turnerhttps://www.gms.com

GMS Inc. distributes wallboard, ceilings, steel framing and complementary construction 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, lumber and other wood products, ready-mix joint compound, and various other interior construction products, as well as ancillary products comprising tools, fasteners, and safety products.

GMS Fundamentals Summary

How do GMS's earnings and revenue compare to its market cap?
GMS fundamental statistics
Market CapUS$1.93b
Earnings (TTM)US$273.44m
Revenue (TTM)US$4.63b

7.1x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GMS income statement (TTM)
RevenueUS$4.63b
Cost of RevenueUS$3.14b
Gross ProfitUS$1.49b
Other ExpensesUS$1.22b
EarningsUS$273.44m

Last Reported Earnings

Apr 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)6.41
Gross Margin32.19%
Net Profit Margin5.90%
Debt/Equity Ratio100.9%

How did GMS perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is GMS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for GMS?

Other financial metrics that can be useful for relative valuation.

GMS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.7x
Enterprise Value/EBITDA5.9x
PEG Ratio8.7x

Price to Earnings Ratio vs Peers

How does GMS's PE Ratio compare to its peers?

GMS PE Ratio vs Peers
The above table shows the PE ratio for GMS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average10.7x
MGRC McGrath RentCorp
20.6x13.3%US$1.9b
BCC Boise Cascade
2.7x-47.4%US$2.4b
TGH Textainer Group Holdings
4.5x1.4%US$1.3b
GIC Global Industrial
14.9x8.4%US$1.3b
GMS GMS
7.1x0.8%US$1.9b

Price-To-Earnings vs Peers: GMS is good value based on its Price-To-Earnings Ratio (7.1x) compared to the peer average (10.7x).


Price to Earnings Ratio vs Industry

How does GMS's PE Ratio compare vs other companies in the US Trade Distributors Industry?

Price-To-Earnings vs Industry: GMS is good value based on its Price-To-Earnings Ratio (7.1x) compared to the US Trade Distributors industry average (12.1x)


Price to Earnings Ratio vs Fair Ratio

What is GMS'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.

GMS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.1x
Fair PE Ratio15x

Price-To-Earnings vs Fair Ratio: GMS is good value based on its Price-To-Earnings Ratio (7.1x) compared to the estimated Fair Price-To-Earnings Ratio (15x).


Share Price vs Fair Value

What is the Fair Price of GMS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: GMS ($45.3) is trading below our estimate of fair value ($117.39)

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


Price to Earnings Growth Ratio

PEG Ratio: GMS is poor value based on its PEG Ratio (8.7x)


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Future Growth

How is GMS forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


0.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GMS's forecast earnings growth (0.8% per year) is below the savings rate (1.9%).

Earnings vs Market: GMS's earnings (0.8% per year) are forecast to grow slower than the US market (12.8% per year).

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

Revenue vs Market: GMS's revenue (1.6% per year) is forecast to grow slower than the US market (7.8% per year).

High Growth Revenue: GMS's revenue (1.6% 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


Discover growth companies

Past Performance

How has GMS performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


32.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GMS has high quality earnings.

Growing Profit Margin: GMS's current net profit margins (5.9%) are higher than last year (3.2%).


Past Earnings Growth Analysis

Earnings Trend: GMS's earnings have grown significantly by 32.1% per year over the past 5 years.

Accelerating Growth: GMS's earnings growth over the past year (159%) exceeds its 5-year average (32.1% per year).

Earnings vs Industry: GMS earnings growth over the past year (159%) exceeded the Trade Distributors industry 80.4%.


Return on Equity

High ROE: Whilst GMS's Return on Equity (25.69%) is high, this metric is skewed due to their high level of debt.


Discover strong past performing companies

Financial Health

How is GMS's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: GMS's short term assets ($1.4B) exceed its short term liabilities ($689.2M).

Long Term Liabilities: GMS's short term assets ($1.4B) exceed its long term liabilities ($1.4B).


Debt to Equity History and Analysis

Debt Level: GMS's net debt to equity ratio (91.4%) is considered high.

Reducing Debt: GMS's debt to equity ratio has reduced from 115.6% to 100.9% over the past 5 years.

Debt Coverage: GMS's debt is not well covered by operating cash flow (16.7%).

Interest Coverage: GMS's interest payments on its debt are well covered by EBIT (7.3x coverage).


Balance Sheet


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Dividend

What is GMS current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate GMS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GMS'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 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.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as GMS has not reported any payouts.


Discover strong dividend paying companies

Management

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

3.0yrs

Average management tenure


CEO

John Turner (53 yo)

3.17yrs

Tenure

US$4,134,614

Compensation

Mr. John C. Turner, Jr., has been the President of GMS Inc. since May 1, 2019 and has been its Chief Executive Officer and Director since August 2, 2019. He joined GMS Inc. in 2019. He was the President of...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD4.13M) is about average for companies of similar size in the US market ($USD5.53M).

Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: GMS's management team is considered experienced (3 years average tenure).


Board Members

Experienced Board: GMS'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

GMS Inc.'s 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
  • Implied Market Cap: US$1.932b
  • Shares outstanding: 42.65m
  • Website: https://www.gms.com

Number of Employees


Location

  • GMS Inc.
  • 100 Crescent Centre Parkway
  • Suite 800
  • Tucker
  • Georgia
  • 30084
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/05 00:00
End of Day Share Price2022/07/05 00:00
Earnings2022/04/30
Annual Earnings2022/04/30


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.