NYSE:GFLU

Stock Analysis Report

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Executive Summary

GFL Environmental Inc. operates as a diversified environmental services company in North America. More Details

Rewards

Trading at 8.2% below our estimate of its fair value

Earnings are forecast to grow 133.47% per year

Risk Analysis

No risks detected for GFLU from our risk checks.


Snowflake Analysis

Moderate growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

How has GFL Environmental's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GFLU is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.

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


Market Performance


7 Day Return

5.6%

GFLU

-0.05%

US Commercial Services

-1.4%

US Market


1 Year Return

n/a

GFLU

9.1%

US Commercial Services

37.1%

US Market

Return vs Industry: Insufficient data to determine how GFLU performed against the US Commercial Services industry.

Return vs Market: Insufficient data to determine how GFLU performed against the US Market.


Shareholder returns

GFLUIndustryMarket
7 Day5.6%-0.05%-1.4%
30 Day0.7%0.3%1.6%
90 Day13.7%-0.7%7.3%
1 Yearn/a10.6%9.1%40.2%37.1%
3 Yearn/a45.3%35.4%62.5%52.1%
5 Yearn/a119.5%96.4%133.9%108.0%

Long-Term Price Volatility Vs. Market

How volatile is GFL Environmental's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is GFL Environmental undervalued compared to its fair value and its price relative to the market?

8.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GFLU ($73.82) is trading below our estimate of fair value ($80.38)

Significantly Below Fair Value: GFLU is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: GFLU is unprofitable, so we can't compare its PE Ratio to the US Commercial Services industry average.

PE vs Market: GFLU is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate GFLU's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: GFLU's PB Ratio (2.4x) is in line with the US Commercial Services industry average.


Next Steps

Future Growth

How is GFL Environmental forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

133.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GFLU is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: GFLU is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: GFLU's is expected to become profitable in the next 3 years.

Revenue vs Market: GFLU's revenue (8.9% per year) is forecast to grow slower than the US market (10.5% per year).

High Growth Revenue: GFLU's revenue (8.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GFLU's Return on Equity is forecast to be low in 3 years time (1.1%).


Next Steps

Past Performance

How has GFL Environmental performed over the past 5 years?

-36.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GFLU is currently unprofitable.

Growing Profit Margin: GFLU is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GFLU is unprofitable, and losses have increased over the past 5 years at a rate of 36.9% per year.

Accelerating Growth: Unable to compare GFLU's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: GFLU is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (-10.4%).


Return on Equity

High ROE: GFLU has a negative Return on Equity (-17.52%), as it is currently unprofitable.


Next Steps

Financial Health

How is GFL Environmental's financial position?


Financial Position Analysis

Short Term Liabilities: GFLU's short term assets (CA$1.0B) do not cover its short term liabilities (CA$1.2B).

Long Term Liabilities: GFLU's short term assets (CA$1.0B) do not cover its long term liabilities (CA$8.9B).


Debt to Equity History and Analysis

Debt Level: GFLU's debt to equity ratio (110.4%) is considered high.

Reducing Debt: Insufficient data to determine if GFLU's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable GFLU has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: GFLU is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 3.2% per year.


Next Steps

Dividend

What is GFL Environmental current dividend yield, its reliability and sustainability?

0.13%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GFLU's dividend (0.13%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: GFLU's dividend (0.13%) is low compared to the top 25% of dividend payers in the US market (3.75%).


Stability and Growth of Payments

Stable Dividend: GFLU is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: GFLU is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: GFLU is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GFLU'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?

2.3yrs

Average management tenure


CEO

Patrick Dovigi (40 yo)

no data

Tenure

CA$1,457,999

Compensation

Mr. Patrick Dovigi founded GFL Environmental Inc. (also known as Green For Life Corp. and Green for Life Waste and Recycling Solutions Corp) and serves as its Chief Executive Officer, President and Chairma...


CEO Compensation Analysis

Compensation vs Market: Patrick's total compensation ($USD1.16M) is below average for companies of similar size in the US market ($USD6.21M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Patrick Dovigi
Founderno dataCA$1.46m3.7%
CA$ 352.6m
Luke Pelosi
Executive VP & CFO2.33yrsCA$639.03k0.11%
CA$ 10.3m
Mindy Gilbert
Executive VP & General Counsel2.33yrsCA$523.27k0.028%
CA$ 2.7m
Greg Yorston
Executive VP & COO of Solid Waste2.25yrsCA$818.37k0.13%
CA$ 12.7m
Elizabeth Grahek
Senior Vice President of Strategic Initiatives2.33yrsCA$444.01k0.020%
CA$ 1.9m
Craig Orenstein
Vice-President of Corporate Development2.67yrsno datano data
Richard Early
Vice-President of Human Resources5.42yrsno datano data
Lonnie Poole
Senior VP & Director2.25yrsno data3.35%
CA$ 319.2m
Julie Boudreau
Vice-President of Treasury6.83yrsno datano data
Christian Dover
Area Vice-President of Infrastructure & Soil Remediationno datano data0.014%
CA$ 1.3m
Mark Bouldin
Area Vice-President of Liquid Waste of United Statesno datano data0.025%
CA$ 2.4m
Edward Glavina
Area Vice-President of Liquid Wasteno datano data0.014%
CA$ 1.3m

2.3yrs

Average Tenure

56yo

Average Age

Experienced Management: GFLU's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Patrick Dovigi
Founderno dataCA$1.46m3.7%
CA$ 352.6m
Lonnie Poole
Senior VP & Director2.25yrsno data3.35%
CA$ 319.2m
Raymond Svider
Independent Director3.08yrsno data0.036%
CA$ 3.4m
Dino Chiesa
Lead Independent Directorno datano data0.0058%
CA$ 552.4k
Blake Sumler
Independent Director3.08yrsno data0.0028%
CA$ 263.3k
Arun Nayar
Independent Director3.08yrsno data0.0075%
CA$ 713.6k
Shahir Guindi
Independent Director3.08yrsno data0.0058%
CA$ 553.3k
Paolo Notarnicola
Independent Director3.08yrsno datano data

3.1yrs

Average Tenure

57yo

Average Age

Experienced Board: GFLU's board of directors are considered experienced (3.1 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: GFLU only recently listed within the past 12 months.


Top Shareholders

Company Information

GFL Environmental Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GFL Environmental Inc.
  • Ticker: GFLU
  • Exchange: NYSE
  • Founded: 2007
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: CA$11.978b
  • Listing Market Cap: CA$9.540b
  • Shares outstanding: 326.36m
  • Website: https://www.gflenv.com

Number of Employees


Location

  • GFL Environmental Inc.
  • 100 New Park Place
  • Suite 500
  • Vaughan
  • Ontario
  • L4K 0H9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GFLTSX (The Toronto Stock Exchange)YesSubordinate Voting SharesCACADMar 2020
GFLNYSE (New York Stock Exchange)YesSubordinate Voting SharesUSUSDMar 2020
GFLUNYSE (New York Stock Exchange)Tangible Equity UnitUSUSDMar 2020
36EDB (Deutsche Boerse AG)YesSubordinate Voting SharesDEEURMar 2020

Biography

GFL Environmental Inc. operates as a diversified environmental services company in North America. The company offers non-hazardous solid waste management, infrastructure and soil remediation, and liquid wa...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/24 23:51
End of Day Share Price2021/02/24 00:00
Earnings2020/12/31
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.