NYSE:GMRE

Stock Analysis Report

Executive Summary

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

Snowflake

Fundamentals

Undervalued with high 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


Market Performance


7 Day Return

3.0%

GMRE

1.5%

US REITs

0.4%

US Market


1 Year Return

29.9%

GMRE

19.9%

US REITs

6.9%

US Market

Return vs Industry: GMRE exceeded the US REITs industry which returned 19.9% over the past year.

Return vs Market: GMRE exceeded the US Market which returned 6.9% over the past year.


Shareholder returns

GMREIndustryMarket
7 Day3.0%1.5%0.4%
30 Day3.4%1.6%-1.1%
90 Day15.9%7.8%-0.5%
1 Year40.7%29.9%25.2%19.9%9.3%6.9%
3 Year67.4%28.8%36.0%18.6%45.8%36.4%
5 Year444.5%-70.4%64.7%30.0%62.9%45.1%

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

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

Undervalued: GMRE ($11.85) is trading below our estimate of fair value ($34.55)

Significantly Undervalued: GMRE is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GMRE is good value based on its PE Ratio (36.1x) compared to the REITs industry average (36.2x).

PE vs Market: GMRE is poor value based on its PE Ratio (36.1x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: GMRE is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: GMRE is good value based on its PB Ratio (1.6x) compared to the US REITs industry average (2x).


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?

50.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GMRE's forecast earnings growth (50.8% per year) is above the savings rate (2.7%).

Earnings vs Market: GMRE's earnings (50.8% per year) are forecast to grow faster than the US market (14.6% per year).

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

Revenue vs Market: GMRE's revenue (20.2% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: GMRE's revenue (20.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if GMRE'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?

38.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GMRE has become profitable over the past 5 years, growing earnings by 38.9% per year.

Accelerating Growth: GMRE's earnings growth over the past year (1536.3%) exceeds its 5-year average (38.9% per year).

Earnings vs Industry: GMRE earnings growth over the past year (1536.3%) exceeded the REITs industry 17.6%.


Return on Equity

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


Return on Assets

ROA vs Industry: GMRE's Return on Assets is below or equal to the REITs industry average last year.


Return on Capital Employed

ROCE Improving: GMRE has significantly improved its Return on Capital Employed over the past 3 years.


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 has a high level of physical assets or inventory.

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


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

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

6.75%

Current Dividend Yield


Dividend Yield vs Market

company6.8%marketbottom25%1.4%markettop25%3.7%industryaverage3.6%forecastin3Years6.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: GMRE's dividend (6.75%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: GMRE's dividend (6.75%) is in the top 25% of dividend payers in the US market (3.73%)

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

Growing Dividend: GMRE'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 (126.3%), GMRE's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GMRE's dividends in 3 years are forecast to be thoroughly covered by earnings (1.9% payout ratio).


Next Steps

Management

What is the CEO of Global Medical REIT's salary, the management and board of directors tenure and is there insider trading?

2.4yrs

Average management tenure


CEO

Jeff Busch (59yo)

2.2yrs

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, ...


Management Age and Tenure

2.4yrs

Average Tenure

50yo

Average Age

Experienced Management: GMRE's management team is considered experienced (2.4 years average tenure).


Board Age and Tenure

3.6yrs

Average Tenure

60yo

Average Age

Experienced Board: GMRE's board of directors are considered experienced (3.6 years average tenure).


Insider Trading

Insider Buying: GMRE insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$16,03829 Aug 19
Henry Cole
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares1,485
Max PriceUS$10.80
BuyUS$16,08027 Aug 19
Ronald Marston
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,500
Max PriceUS$10.72
BuyUS$16,02227 Aug 19
Ronald Marston
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,500
Max PriceUS$10.69
SellUS$57,97419 Mar 19
Roscoe Moore
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,945
Max PriceUS$9.76
BuyUS$9,999,99918 Dec 18
Joy Town Inc.
EntityCompany
Shares1,111,111
Max PriceUS$9.00
BuyUS$19,97014 Nov 18
Henry Cole
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares2,120
Max PriceUS$9.42
SellUS$15,10909 Nov 18
Matthew Cypher
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,675
Max PriceUS$9.02

Ownership Breakdown


Management Team

  • Dave Young (71yo)

    Consultant

    • Tenure: 2.2yrs
    • Compensation: US$438.39k
  • Robert Kiernan (53yo)

    CFO & Treasurer

    • Tenure: 2.2yrs
    • Compensation: US$440.51k
  • Allen Webb (50yo)

    Senior VP of SEC Reporting & Technical Accounting and Officer

    • Tenure: 4yrs
    • Compensation: US$253.15k
  • Jeff Busch (59yo)

    Chairman

    • Tenure: 2.2yrs
    • Compensation: US$506.65k
  • Alfonzo Leon (43yo)

    Chief Investment Officer

    • Tenure: 4.3yrs
    • Compensation: US$367.54k
  • Danica Holley (46yo)

    Chief Operating Officer

    • Tenure: 3.6yrs
  • Jamie Barber (42yo)

    General Counsel & Corporate Secretary

    • Tenure: 2.4yrs
    • Compensation: US$420.01k
  • Mary Jensen

    Investor Relations Professional

    • Tenure: 0yrs

Board Members

  • Ron Marston (76yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$84.65k
  • Henry Cole (74yo)

    Lead Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$92.15k
  • Paula Crowley (64yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: US$54.20k
  • Roscoe Moore (65yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: US$79.65k
  • Jeff Busch (59yo)

    Chairman

    • Tenure: 2.2yrs
    • Compensation: US$506.65k
  • Lori Wittman (60yo)

    Independent Director

    • Tenure: 1.4yrs
    • Compensation: US$59.21k
  • Jingguo Zhang (56yo)

    Director

    • Tenure: 4.2yrs
  • Matthew Cypher (42yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$80.65k
  • Hui Zhang (29yo)

    Director

    • Tenure: 3.6yrs
    • Compensation: US$24.00k

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
  • Exchange: NYSE
  • Founded: 2011
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Implied Market Cap: US$450.919m
  • Market Cap: US$419.453m
  • Shares outstanding: 38.54m
  • 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
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 healthcare facilities and leases those facilities to strong healthcare systems and groups with leading market share. GM ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 00:31
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
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.