| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 0/6 |
| Past Performance | 4/6 |
| Financial Health | 3/6 |
| Dividends | 4/6 |
GAB Stock Overview
The Gabelli Equity Trust Inc. is a closed ended equity mutual fund launched by GAMCO Investors, Inc.
Gabelli Equity Trust Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$6.63 |
| 52 Week High | US$7.57 |
| 52 Week Low | US$6.39 |
| Beta | 0.96 |
| 1 Month Change | -4.88% |
| 3 Month Change | -2.21% |
| 1 Year Change | -12.07% |
| 3 Year Change | 9.95% |
| 5 Year Change | 8.51% |
| Change since IPO | -52.22% |
Recent News & Updates
GAB: 10% Managed Distribution Plan Attracts Income Investors, Premium Is Climbing Higher
GAB had conducted a rights offering earlier this year that saw the premium slide but has recently recovered to its higher level once again. The fund has a 10% managed distribution plan and, thanks to the solid returns this year, led to a recent distribution boost. This can be an excellent equity fund for income investors; however, it keeps me on the sidelines with its premium.
GAB: Tempting Distribution Yield, Potential Opportunity
GAB carries a high distribution rate on a fairly vanilla portfolio; that's their appeal. Recently GAB closed out a rights offering - and as we typically see, the valuation has come down. The fund is now trading near par and presents some potential opportunity.
Gabelli Equity Trust: Rights Offering Analysis
GAB is in the middle of a 10-for-1 transferable rights offering. The offering is likely to be dilutive due to the substantial discount that the new shares are offered at. What should investors, who held through the ex-rights date and now own GAB rights, do?
Shareholder Returns
| GAB | US Capital Markets | US Market | |
|---|---|---|---|
| 7D | -0.2% | 3.3% | 1.0% |
| 1Y | -12.1% | -13.5% | -15.1% |
Return vs Industry: GAB exceeded the US Capital Markets industry which returned -14% over the past year.
Return vs Market: GAB exceeded the US Market which returned -13.2% over the past year.
Price Volatility
| GAB volatility | |
|---|---|
| GAB Average Weekly Movement | 2.6% |
| Capital Markets Industry Average Movement | 0.4% |
| Market Average Movement | 7.8% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 2.9% |
Stable Share Price: GAB is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: GAB's weekly volatility (3%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1986 | n/a | Bruce Alpert | https://www.gabelli.com/Template/fundinfo.cfm?tid=MWY5ZDg=&bid=YjUxNQ==&mid=MjJmMTI=&num=NmVjMTI=&kid=Mzc2MDA=&pid=obj&rid=111-=edoc_dnuf |
The Gabelli Equity Trust Inc. is a closed ended equity mutual fund launched by GAMCO Investors, Inc. The fund is managed by Gabelli Funds, LLC. It invests in public equity markets of the United States. The fund seeks to invest in stocks of companies operating across diversified sectors.
Gabelli Equity Trust Fundamentals Summary
| GAB fundamental statistics | |
|---|---|
| Market Cap | US$1.93b |
| Earnings (TTM) | US$342.82m |
| Revenue (TTM) | US$34.59m |
5.6x
P/E Ratio55.9x
P/S RatioIs GAB overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| GAB income statement (TTM) | |
|---|---|
| Revenue | US$34.59m |
| Cost of Revenue | US$0 |
| Gross Profit | US$34.59m |
| Other Expenses | -US$308.22m |
| Earnings | US$342.82m |
Last Reported Earnings
Dec 31, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 1.17 |
| Gross Margin | 100.00% |
| Net Profit Margin | 990.95% |
| Debt/Equity Ratio | 2.9% |
How did GAB perform over the long term?
See historical performance and comparisonDividends
10.9%
Current Dividend Yield54%
Payout RatioDoes GAB pay a reliable dividends?
See GAB dividend history and benchmarks| Gabelli Equity Trust dividend dates | |
|---|---|
| Ex Dividend Date | Jun 14 2022 |
| Dividend Pay Date | Jun 23 2022 |
| Days until Ex dividend | 18 days |
| Days until Dividend pay date | 27 days |
Does GAB pay a reliable dividends?
See GAB dividend history and benchmarksValuation
Is Gabelli Equity Trust undervalued compared to its fair value and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry
15.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GAB ($6.63) is trading below our estimate of fair value ($7.82)
Significantly Below Fair Value: GAB is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: GAB is good value based on its Price-To-Earnings Ratio (5.6x) compared to the US Capital Markets industry average (29.6x).
PE vs Market: GAB is good value based on its Price-To-Earnings Ratio (5.6x) compared to the US market (14.9x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate GAB's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: GAB is overvalued based on its Price-To-Book Ratio (1x) compared to the US Capital Markets industry average (-18.8x).
Future Growth
How is Gabelli Equity Trust forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
Future Growth Score
0/6Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
9.8%
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 Gabelli Equity Trust 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.
Past Performance
How has Gabelli Equity Trust performed over the past 5 years?
Past Performance Score
4/6Past Performance Score 4/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
16.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GAB has a large one-off gain of $354.2M impacting its December 31 2021 financial results.
Growing Profit Margin: GAB's current net profit margins are higher than last year .
Past Earnings Growth Analysis
Earnings Trend: GAB's earnings have grown by 16.6% per year over the past 5 years.
Accelerating Growth: GAB's earnings growth over the past year (125.3%) exceeds its 5-year average (16.6% per year).
Earnings vs Industry: GAB earnings growth over the past year (125.3%) exceeded the Capital Markets industry 96.7%.
Return on Equity
High ROE: GAB's Return on Equity (15.6%) is considered low.
Financial Health
How is Gabelli Equity Trust's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: GAB's short term assets ($6.0M) exceed its short term liabilities ($5.0M).
Long Term Liabilities: GAB's short term assets ($6.0M) do not cover its long term liabilities ($67.9M).
Debt to Equity History and Analysis
Debt Level: GAB's net debt to equity ratio (2.9%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if GAB's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: GAB's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: GAB's interest payments on its debt are well covered by EBIT (85.6x coverage).
Balance Sheet
Dividend
What is Gabelli Equity Trust current dividend yield, its reliability and sustainability?
Dividend Score
4/6Dividend Score 4/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
10.86%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: GAB's dividend (10.86%) is higher than the bottom 25% of dividend payers in the US market (1.57%).
High Dividend: GAB's dividend (10.86%) is in the top 25% of dividend payers in the US market (4.06%)
Stability and Growth of Payments
Stable Dividend: GAB's dividend payments have been volatile in the past 10 years.
Growing Dividend: GAB's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonable payout ratio (53.6%), GAB's dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: GAB is paying a dividend but the company has no free cash flows.
Management
How experienced are the management team and are they aligned to shareholders interests?
11.1yrs
Average management tenure
CEO
Bruce Alpert (69 yo)
19.33yrs
Tenure
Mr. Bruce N. Alpert, CPA, has been the President of GAMCO Global Gold, Natural Resources & Income Trust since 2005. He served as a Senior Vice President of GAMCO Investors Inc. since May 2008 and serves as...
Leadership Team
Experienced Management: GAB's management team is seasoned and experienced (11.1 years average tenure).
Board Members
Experienced Board: GAB's board of directors are seasoned and experienced ( 24 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 11.5%.
Top Shareholders
Company Information
The Gabelli Equity Trust Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: The Gabelli Equity Trust Inc.
- Ticker: GAB
- Exchange: NYSE
- Founded: 1986
- Industry: Asset Management and Custody Banks
- Sector: Diversified Financials
- Implied Market Cap: US$1.935b
- Shares outstanding: 291.80m
- Website: https://www.gabelli.com/Template/fundinfo.cfm?tid=MWY5ZDg=&bid=YjUxNQ==&mid=MjJmMTI=&num=NmVjMTI=&kid=Mzc2MDA=&pid=obj&rid=111-=edoc_dnuf
Location
- The Gabelli Equity Trust Inc.
- One Corporate Center
- Rye
- New York
- 10580-1422
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/05/25 00:00 |
| End of Day Share Price | 2022/05/25 00:00 |
| Earnings | 2021/12/31 |
| Annual Earnings | 2021/12/31 |
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.