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BGCP

BGC PartnersNasdaqGS:BGCP Stock Report

Market Cap

US$2.2b

7D

7.1%

1Y

118.8%

Updated

27 Sep, 2021

Data

Company Financials +
BGCP fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance4/6
Financial Health3/6
Dividends1/6

BGCP Overview

BGC Partners, Inc. operates as a brokerage and financial technology company in the United States, Canada, Europe, the United Kingdom, Latin America, Asia, Africa, the Middle East, and internationally.

BGC Partners Competitors

Price History & Performance

Summary of all time highs, changes and price drops for BGC Partners
Historical stock prices
Current Share PriceUS$5.25
52 Week HighUS$2.30
52 Week LowUS$6.52
Beta2.21
1 Month Change-0.38%
3 Month Change-8.06%
1 Year Change118.75%
3 Year Change-54.94%
5 Year Change-39.52%
Change since IPO-88.05%

Recent News & Updates

Aug 09

BGC Partners: Exploring The Misunderstood Potential Of Fenics

BGC Partners is an under-the-radar fintech market leader in a relatively less-understood segment. This article breaks down Fenics product offerings, explores growth drivers and discusses upcoming catalysts to unlock shareholder value. BGCP is significantly undervalued and can potentially double from current price levels.

May 26

BGC Partners sells insurance brokerage for $500M, to buy back shares

BGC Partners (BGCP) stock gains 8.8% after the brokerage and fintech firm agrees to sell its insurance brokerage business to The Ardonagh Group for $500M in cash.BGCP plans to use the proceeds to accelerate the growth of its Fenics business and to buy back shares and/or units."While our insurance brokerage business provided less than 10% of BGC's total revenue over the trailing twelve-months, the $500M of cash that we expect to receive represents over 17% of BGC's fully diluted market capitalization," said

May 11
Should You Be Adding BGC Partners (NASDAQ:BGCP) To Your Watchlist Today?

Should You Be Adding BGC Partners (NASDAQ:BGCP) To Your Watchlist Today?

Some have more dollars than sense, they say, so even companies that have no revenue, no profit, and a record of falling...

Shareholder Returns

BGCPUS Capital MarketsUS Market
7D7.1%0.1%0.1%
1Y118.8%65.7%35.3%

Return vs Industry: BGCP exceeded the US Capital Markets industry which returned 65.7% over the past year.

Return vs Market: BGCP exceeded the US Market which returned 35.3% over the past year.

Price Volatility

Is BGCP's price volatile compared to industry and market?
BGCP volatility
BGCP Beta2.21
Industry Beta1.19
Market Beta1

Stable Share Price: BGCP is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

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

About the Company

FoundedEmployeesCEOWebsite
19724,950Howard Lutnickhttps://www.bgcpartners.com

BGC Partners, Inc. operates as a brokerage and financial technology company in the United States, Canada, Europe, the United Kingdom, Latin America, Asia, Africa, the Middle East, and internationally. It offers various brokerage products, such as fixed income, such as government bonds, corporate bonds, and other debt instruments, as well as related interest rate derivatives and credit derivatives; and fixed income, equity derivatives and cash equities, energy and commodities, shipping, insurance, and futures and options. The company also provides other services that include trade execution, brokerage, clearing, trade compression, post-trade, information, and other back office services to financial and non-financial institutions.

BGC Partners Fundamentals Summary

How do BGC Partners's earnings and revenue compare to its market cap?
BGCP fundamental statistics
Market CapUS$2.25b
Earnings (TTM)US$68.58m
Revenue (TTM)US$1.94b

33.7x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BGCP income statement (TTM)
RevenueUS$1.94b
Cost of RevenueUS$202.26m
Gross ProfitUS$1.73b
ExpensesUS$1.67b
EarningsUS$68.58m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.16
Gross Margin89.55%
Net Profit Margin3.54%
Debt/Equity Ratio154.4%

How did BGCP perform over the long term?

See historical performance and comparison

Dividends

0.8%

Current Dividend Yield

22%

Payout Ratio

Valuation

Is BGC Partners undervalued compared to its fair value and its price relative to the market?

33.74x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BGCP ($5.1) is trading above our estimate of fair value ($2.39)

Significantly Below Fair Value: BGCP is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BGCP is poor value based on its PE Ratio (32.8x) compared to the US Capital Markets industry average (15.7x).

PE vs Market: BGCP is poor value based on its PE Ratio (32.8x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: BGCP is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: BGCP is good value based on its PB Ratio (3.1x) compared to the US Capital Markets industry average (61.2x).


Future Growth

How is BGC Partners forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

19.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BGCP's forecast earnings growth (19.8% per year) is above the savings rate (2%).

Earnings vs Market: BGCP's earnings (19.8% per year) are forecast to grow faster than the US market (15% per year).

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

Revenue vs Market: BGCP's revenue (3.5% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: BGCP's revenue (3.5% 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 BGCP's Return on Equity is forecast to be high in 3 years time


Past Performance

How has BGC Partners performed over the past 5 years?

-15.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BGCP has high quality earnings.

Growing Profit Margin: BGCP's current net profit margins (3.5%) are higher than last year (0.7%).


Past Earnings Growth Analysis

Earnings Trend: BGCP's earnings have declined by 15.4% per year over the past 5 years.

Accelerating Growth: BGCP's earnings growth over the past year (401.4%) exceeds its 5-year average (-15.4% per year).

Earnings vs Industry: BGCP earnings growth over the past year (401.4%) exceeded the Capital Markets industry 78.6%.


Return on Equity

High ROE: BGCP's Return on Equity (9.8%) is considered low.


Financial Health

How is BGC Partners's financial position?


Financial Position Analysis

Short Term Liabilities: BGCP's short term assets ($3.7B) exceed its short term liabilities ($2.8B).

Long Term Liabilities: BGCP's short term assets ($3.7B) exceed its long term liabilities ($1.5B).


Debt to Equity History and Analysis

Debt Level: BGCP's debt to equity ratio (154.4%) is considered high.

Reducing Debt: BGCP's debt to equity ratio has increased from 93.6% to 154.4% over the past 5 years.

Debt Coverage: BGCP's debt is well covered by operating cash flow (34.4%).

Interest Coverage: Insufficient data to determine if BGCP's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is BGC Partners's current dividend yield, its reliability and sustainability?

0.76%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BGCP's dividend (0.78%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: BGCP's dividend (0.78%) is low compared to the top 25% of dividend payers in the US market (3.6%).


Stability and Growth of Payments

Stable Dividend: BGCP's dividend payments have been volatile in the past 10 years.

Growing Dividend: BGCP's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (21.7%), BGCP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

5.7yrs

Average management tenure


CEO

Howard Lutnick (59 yo)

22.25yrs

Tenure

US$12,000,000

Compensation

Mr. Howard W. Lutnick has been Chairman and Chief Executive Officer at Cantor Fitzgerald Income Trust, Inc. since February 2017. In addition, he has served as Chief Executive Officer of Rodin Income Adviso...


CEO Compensation Analysis

Compensation vs Market: Howard's total compensation ($USD12.00M) is above average for companies of similar size in the US market ($USD3.68M).

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


Leadership Team

Experienced Management: BGCP's management team is seasoned and experienced (5.7 years average tenure).


Board Members

Experienced Board: BGCP's board of directors are considered experienced (8.3 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 been diluted in the past year, with total shares outstanding growing by 7%.


Top Shareholders

Company Information

BGC Partners, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: BGC Partners, Inc.
  • Ticker: BGCP
  • Exchange: NasdaqGS
  • Founded: 1972
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Implied Market Cap: US$2.248b
  • Market Cap: US$1.966b
  • Shares outstanding: 440.71m
  • Website: https://www.bgcpartners.com

Number of Employees


Location

  • BGC Partners, Inc.
  • 499 Park Avenue
  • New York
  • New York
  • 10022
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/27 22:04
End of Day Share Price2021/09/27 00:00
Earnings2021/06/30
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.