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GROW

U.S. Global Investors NasdaqCM:GROW Stock Report

Last Price

US$4.26

Market Cap

US$63.7m

7D

2.2%

1Y

-26.3%

Updated

17 Aug, 2022

Data

Company Financials
GROW fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance2/6
Financial Health6/6
Dividends3/6

GROW Stock Overview

U.S. Global Investors, Inc. is a publicly owned investment manager.

U.S. Global Investors Competitors

Price History & Performance

Summary of all time highs, changes and price drops for U.S. Global Investors
Historical stock prices
Current Share PriceUS$4.26
52 Week HighUS$6.88
52 Week LowUS$4.10
Beta2.21
1 Month Change-0.47%
3 Month Change-11.80%
1 Year Change-26.30%
3 Year Change92.76%
5 Year Change230.23%
Change since IPO224.57%

Recent News & Updates

Jul 03

U.S. Global Investors says $5.30/share takeover offer undervalues company

U.S. Global Investors (NASDAQ:GROW) said that Echo Lake Capital and Deerhaven Capital's offer to purchase the company for $5.30/share undervalues the investment advisory firm. "The Company does not believe the proposal provides the company’s shareholders with appropriate value for their securities and therefore is not interested in pursuing the Proposal based on the terms submitted," U.S. Global said in a statement late Friday. The company added that it has been been building up its cash position in anticipation of a potential recession. “In a recession, cash is king,” Frank Holmes, U.S. Global CEO and Chief Investment Officer. “We have raised the limit to our share buyback program and increased our dividend twice, and now we are building up our cash position, which we believe is wise and prudent to weather this bear market and what could be a challenging recession." Echo Lake Capital and Deerhaven Capital on Monday offered $5.30/share including $2.65 per share in cash and $2.65 per share in newly issued 8.5% preferred stock in the company, and represents a premium of 20% to GROW's Jun. 24 closing price.

Jun 21
U.S. Global Investors (NASDAQ:GROW) Is Due To Pay A Dividend Of US$0.0075

U.S. Global Investors (NASDAQ:GROW) Is Due To Pay A Dividend Of US$0.0075

U.S. Global Investors, Inc. ( NASDAQ:GROW ) will pay a dividend of US$0.0075 on the 25th of July. Including this...

Shareholder Returns

GROWUS Capital MarketsUS Market
7D2.2%1.7%1.1%
1Y-26.3%-11.5%-9.0%

Return vs Industry: GROW underperformed the US Capital Markets industry which returned -12.2% over the past year.

Return vs Market: GROW underperformed the US Market which returned -8.9% over the past year.

Price Volatility

Is GROW's price volatile compared to industry and market?
GROW volatility
GROW Average Weekly Movement5.2%
Capital Markets Industry Average Movement0.5%
Market Average Movement7.6%
10% most volatile stocks in US Market17.0%
10% least volatile stocks in US Market3.1%

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

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

About the Company

FoundedEmployeesCEOWebsite
196825Frank Holmeshttps://www.usfunds.com

U.S. Global Investors, Inc. is a publicly owned investment manager. The firm primarily provides its services to investment companies. It also provides its services to pooled investment vehicles.

U.S. Global Investors Fundamentals Summary

How do U.S. Global Investors's earnings and revenue compare to its market cap?
GROW fundamental statistics
Market CapUS$63.69m
Earnings (TTM)US$9.88m
Revenue (TTM)US$26.60m

6.4x

P/E Ratio

2.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GROW income statement (TTM)
RevenueUS$26.60m
Cost of RevenueUS$6.70m
Gross ProfitUS$19.90m
Other ExpensesUS$10.02m
EarningsUS$9.88m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.66
Gross Margin74.81%
Net Profit Margin37.15%
Debt/Equity Ratio0%

How did GROW perform over the long term?

See historical performance and comparison

Dividends

2.1%

Current Dividend Yield

11%

Payout Ratio

Does GROW pay a reliable dividends?

See GROW dividend history and benchmarks
When do you need to buy GROW by to receive an upcoming dividend?
U.S. Global Investors dividend dates
Ex Dividend DateSep 09 2022
Dividend Pay DateSep 26 2022
Days until Ex dividend22 days
Days until Dividend pay date39 days

Does GROW pay a reliable dividends?

See GROW dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

GROW 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/Revenue1.2x
Enterprise Value/EBITDA2.5x
PEG Ration/a

Price to Earnings Ratio vs Peers

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

GROW PE Ratio vs Peers
The above table shows the PE ratio for GROW vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average39.3x
MCVT Mill City Ventures III
12.7xn/aUS$19.0m
MGLD Marygold Companies
92.4xn/aUS$63.8m
HGBL Heritage Global
12.9x29.5%US$59.9m
RAND Rand Capital
39.4xn/aUS$37.8m
GROW U.S. Global Investors
6.4xn/aUS$63.7m

Price-To-Earnings vs Peers: GROW is good value based on its Price-To-Earnings Ratio (6.4x) compared to the peer average (39.3x).


Price to Earnings Ratio vs Industry

How does GROW's PE Ratio compare vs other companies in the US Capital Markets Industry?

Price-To-Earnings vs Industry: GROW is good value based on its Price-To-Earnings Ratio (6.4x) compared to the US Capital Markets industry average (26.6x)


Price to Earnings Ratio vs Fair Ratio

What is GROW'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.

GROW PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.4x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate GROW's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

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

Below Fair Value: GROW ($4.26) is trading above our estimate of fair value ($0.9)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is U.S. Global Investors forecast to perform in the next 1 to 3 years based on estimates from 0 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


12.0%

Forecasted Diversified Financials industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as U.S. Global Investors has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

Past Performance

How has U.S. Global Investors performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


62.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GROW has high quality earnings.

Growing Profit Margin: GROW's current net profit margins (37.1%) are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: GROW has become profitable over the past 5 years, growing earnings by 62.3% per year.

Accelerating Growth: GROW's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: GROW had negative earnings growth (-65.6%) over the past year, making it difficult to compare to the Capital Markets industry average (35.4%).


Return on Equity

High ROE: GROW's Return on Equity (17.3%) is considered low.


Discover strong past performing companies

Financial Health

How is U.S. Global Investors's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: GROW's short term assets ($36.7M) exceed its short term liabilities ($4.8M).

Long Term Liabilities: GROW's short term assets ($36.7M) exceed its long term liabilities ($507.0K).


Debt to Equity History and Analysis

Debt Level: GROW is debt free.

Reducing Debt: GROW had no debt 5 years ago.

Debt Coverage: GROW has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: GROW has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is U.S. Global Investors's current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.11%

Current Dividend Yield

Upcoming Dividend Payment

TodayAug 18 2022Ex Dividend DateSep 09 2022Dividend Pay DateSep 26 202217 days from Ex DividendBuy in the next 22 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: GROW's dividend (2.11%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: GROW's dividend (2.11%) is low compared to the top 25% of dividend payers in the US market (3.95%).


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (11.4%), GROW's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (11.5%), GROW's dividend payments are thoroughly covered by cash flows.


Discover strong dividend paying companies

Management

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

9.1yrs

Average management tenure


CEO

Frank Holmes (67 yo)

32.83yrs

Tenure

US$3,996,000

Compensation

Mr. Frank Edward Holmes serves as Chief Executive Officer at U.S. Global Investors, Inc. since October 1989 and has been its Chief Investment Officer since June 1999. Mr. Holmes serves as the Director of U...


CEO Compensation Analysis

Compensation vs Market: Frank's total compensation ($USD4.00M) is above average for companies of similar size in the US market ($USD753.27K).

Compensation vs Earnings: Frank's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: GROW's management team is seasoned and experienced (9.1 years average tenure).


Board Members

Experienced Board: GROW's board of directors are seasoned and experienced ( 30.3 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

U.S. Global Investors, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: U.S. Global Investors, Inc.
  • Ticker: GROW
  • Exchange: NasdaqCM
  • Founded: 1968
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Implied Market Cap: US$63.685m
  • Shares outstanding: 14.95m
  • Website: https://www.usfunds.com

Number of Employees


Location

  • U.S. Global Investors, Inc.
  • 7900 Callaghan Road
  • San Antonio
  • Texas
  • 78229
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/17 00:00
End of Day Share Price2022/08/17 00:00
Earnings2022/03/31
Annual Earnings2021/06/30


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.