NYSE:GMRE.PRA

Stock Analysis Report

Executive Summary

Global Medical REIT Inc. is net-lease medical office REIT that acquires purpose-built specialized healthcare facilities and leases those facilities to strong healthcare systems and physician groups with leading market share.


Snowflake Analysis

Proven track record with reasonable growth potential.


Similar Companies

Share Price & News

How has Global Medical REIT's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GMRE.PRA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.2%

GMRE.PRA

-0.07%

US REITs

-1.1%

US Market


1 Year Return

7.1%

GMRE.PRA

16.0%

US REITs

17.9%

US Market

Return vs Industry: GMRE.PRA underperformed the US REITs industry which returned 16% over the past year.

Return vs Market: GMRE.PRA underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

GMRE.PRAIndustryMarket
7 Day0.2%-0.07%-1.1%
30 Day-0.07%3.6%1.4%
90 Day1.5%7.8%6.9%
1 Year15.0%7.1%20.7%16.0%20.3%17.9%
3 Yearn/a37.9%20.6%47.8%38.3%
5 Yearn/a60.3%27.3%71.9%53.0%

Price Volatility Vs. Market

How volatile is Global Medical REIT's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Global Medical REIT undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GMRE.PRA ($26.84) is trading below our estimate of fair value ($66.45)

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


Price To Earnings Ratio

PE vs Industry: GMRE.PRA is poor value based on its PE Ratio (51.6x) compared to the REITs industry average (37.2x).

PE vs Market: GMRE.PRA is poor value based on its PE Ratio (51.6x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: GMRE.PRA is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: GMRE.PRA is overvalued based on its PB Ratio (2.2x) compared to the US REITs industry average (2.1x).


Next Steps

Future Growth

How is Global Medical REIT forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

52.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GMRE.PRA's forecast earnings growth (52% per year) is above the savings rate (1.7%).

Earnings vs Market: GMRE.PRA's earnings (52% per year) are forecast to grow faster than the US market (14.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: GMRE.PRA's revenue (17% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: GMRE.PRA's revenue (17% 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 GMRE.PRA's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Global Medical REIT performed over the past 5 years?

48.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GMRE.PRA has a large one-off gain of $7.3M impacting its September 30 2019 financial results.

Growing Profit Margin: GMRE.PRA's current net profit margins (14.3%) are higher than last year (0.9%).


Past Earnings Growth Analysis

Earnings Trend: GMRE.PRA has become profitable over the past 5 years, growing earnings by 48.8% per year.

Accelerating Growth: GMRE.PRA's earnings growth over the past year (1999.3%) exceeds its 5-year average (48.8% per year).

Earnings vs Industry: GMRE.PRA earnings growth over the past year (1999.3%) exceeded the REITs industry 7.6%.


Return on Equity

High ROE: GMRE.PRA's Return on Equity (4.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Global Medical REIT's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: GMRE.PRA has a high level of physical assets or inventory.

Debt Coverage by Assets: GMRE.PRA's debt is not covered by short term assets (assets are 0.1x debt).


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: GMRE.PRA is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: GMRE.PRA is profitable, therefore cash runway is not a concern.


Financial Institutions Analysis

Asset Level: GMRE.PRA's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if GMRE.PRA has a sufficient allowance for bad loans.

Low Risk Liabilities: GMRE.PRA reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if GMRE.PRA has an acceptable proportion of non-loan assets held.

Low Risk Deposits: GMRE.PRA has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if GMRE.PRA has an appropriate level of bad loans.


Next Steps

Dividend

What is Global Medical REIT's current dividend yield, its reliability and sustainability?

5.05%

Current Dividend Yield


Dividend Yield vs Market

company5.0%marketbottom25%1.4%markettop25%3.7%industryaverage3.5%forecastin3Years5.0%

Current dividend yield vs market & industry

Notable Dividend: GMRE.PRA's dividend (5.05%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: GMRE.PRA's dividend (5.05%) is in the top 25% of dividend payers in the US market (3.73%)


Stability and Growth of Payments

Stable Dividend: GMRE.PRA has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: GMRE.PRA's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (125.5%), GMRE.PRA's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GMRE.PRA's dividends in 3 years are forecast to be thoroughly covered by earnings (1.6% payout ratio).


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Jeff Busch (59yo)

2.5yrs

Tenure

US$506,653

Compensation

Mr. Jeffrey M. Busch, also known as jeff, is the Chairman of Avant Diagnostics, Inc. since May 2018. Mr. Busch has been the Chairman of the Board and President at Global Medical REIT, Inc. since August 15, ...


Leadership Team

NamePositionTenureCompensationOwnership
Jeffrey Busch
Chairman2.5yrsUS$506.65k0.066% $483.8k
Robert Kiernan
CFO & Treasurer2.5yrsUS$440.51kno data
Alfonzo Leon
Chief Investment Officer4.6yrsUS$367.54kno data
Jamie Barber
General Counsel & Corporate Secretary2.8yrsUS$420.01kno data
Allen Webb
Senior VP of SEC Reporting & Technical Accounting and Officer4.3yrsUS$253.15kno data
Danica Holley
Chief Operating Officer3.9yrsno datano data
Mary Jensen
Investor Relations Professional0yrsno datano data
David Young
Consultant2.5yrsUS$438.39kno data

2.8yrs

Average Tenure

50yo

Average Age

Experienced Management: GMRE.PRA's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jeffrey Busch
Chairman2.5yrsUS$506.65k0.066% $483.8k
Ronald Marston
Independent Director4.5yrsUS$84.65k0.013% $98.2k
Henry Cole
Lead Independent Director2.8yrsUS$92.15k0.011% $77.5k
Paula Crowley
Director1.7yrsUS$54.20kno data
Roscoe Moore
Independent Director4.5yrsUS$79.65kno data
Lori Wittman
Independent Director1.8yrsUS$59.21kno data
Jingguo Zhang
Director4.5yrsno datano data
Matthew Cypher
Independent Director3.9yrsUS$80.65kno data
Hui Zhang
Director3.9yrsUS$24.00kno data

3.9yrs

Average Tenure

60yo

Average Age

Experienced Board: GMRE.PRA's board of directors are considered experienced (3.9 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 been diluted in the past year, with total shares outstanding growing by 38.8%.


Top Shareholders

Company Information

Global Medical REIT Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Global Medical REIT Inc.
  • Ticker: GMRE.PRA
  • Exchange: NYSE
  • Founded: 2011
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Implied Market Cap: US$729.348m
  • Market Cap: US$686.661m
  • Shares outstanding: 46.02m
  • Website: https://www.globalmedicalreit.com

Number of Employees


Location

  • Global Medical REIT Inc.
  • 2 Bethesda Metro Center
  • Suite 440
  • Bethesda
  • Maryland
  • 20814
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GMRENYSE (New York Stock Exchange)YesCommon StockUSUSDNov 2012
3UNDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2012
GMRE.PRANYSE (New York Stock Exchange)7.50% CUM PFD AUSUSDSep 2017

Biography

Global Medical REIT Inc. is net-lease medical office REIT that acquires purpose-built specialized healthcare facilities and leases those facilities to strong healthcare systems and physician groups with leading market share. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 02:39
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.