OTCPK:GPTG.F

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

The GPT Group is one of Australia’s largest diversified property groups and a top 50 ASX listed company by market capitalisation.


Snowflake Analysis

Established dividend payer and good value.


Similar Companies

Share Price & News

How has GPT Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

GPTG.F

2.1%

US REITs

1.9%

US Market


1 Year Return

n/a

GPTG.F

-7.9%

US REITs

16.4%

US Market

Return vs Industry: Insufficient data to determine how GPTG.F performed against the US REITs industry.

Return vs Market: Insufficient data to determine how GPTG.F performed against the US Market.


Shareholder returns

GPTG.FIndustryMarket
7 Day0%2.1%1.9%
30 Day-6.3%5.7%4.5%
90 Day7.6%15.4%17.6%
1 Yearn/a-4.2%-7.9%18.9%16.4%
3 Yearn/a17.8%3.8%44.1%34.8%
5 Year-20.6%-20.6%43.6%14.4%75.3%56.3%

Price Volatility Vs. Market

How volatile is GPT Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is GPT Group undervalued compared to its fair value and its price relative to the market?

8.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GPTG.F ($2.7) is trading below our estimate of fair value ($2.96)

Significantly Below Fair Value: GPTG.F is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: GPTG.F is good value based on its PE Ratio (8.2x) compared to the US REITs industry average (35.4x).

PE vs Market: GPTG.F is good value based on its PE Ratio (8.2x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: GPTG.F's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: GPTG.F is good value based on its PB Ratio (0.7x) compared to the US REITs industry average (1.5x).


Next Steps

Future Growth

How is GPT Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

-4.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GPTG.F's earnings are forecast to decline over the next 3 years (-4.5% per year).

Earnings vs Market: GPTG.F's earnings are forecast to decline over the next 3 years (-4.5% per year).

High Growth Earnings: GPTG.F's earnings are forecast to decline over the next 3 years.

Revenue vs Market: GPTG.F's revenue (2.3% per year) is forecast to grow slower than the US market (9.4% per year).

High Growth Revenue: GPTG.F's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GPTG.F's Return on Equity is forecast to be low in 3 years time (5.7%).


Next Steps

Past Performance

How has GPT Group performed over the past 5 years?

8.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GPTG.F has a large one-off gain of A$322.9M impacting its December 31 2019 financial results.

Growing Profit Margin: GPTG.F's current net profit margins are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: GPTG.F's earnings have grown by 8.4% per year over the past 5 years.

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

Earnings vs Industry: GPTG.F had negative earnings growth (-38.7%) over the past year, making it difficult to compare to the REITs industry average (2.1%).


Return on Equity

High ROE: GPTG.F's Return on Equity (7.8%) is considered low.


Next Steps

Financial Health

How is GPT Group's financial position?


Financial Position Analysis

Short Term Liabilities: GPTG.F's short term assets (A$258.8M) do not cover its short term liabilities (A$971.3M).

Long Term Liabilities: GPTG.F's short term assets (A$258.8M) do not cover its long term liabilities (A$3.6B).


Debt to Equity History and Analysis

Debt Level: GPTG.F's debt to equity ratio (35.3%) is considered satisfactory.

Reducing Debt: GPTG.F's debt to equity ratio has reduced from 41.3% to 35.3% over the past 5 years.

Debt Coverage: GPTG.F's debt is not well covered by operating cash flow (15.4%).

Interest Coverage: GPTG.F's interest payments on its debt are well covered by EBIT (4.5x coverage).


Balance Sheet


Next Steps

Dividend

What is GPT Group current dividend yield, its reliability and sustainability?

6.98%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GPTG.F's dividend (6.98%) is higher than the bottom 25% of dividend payers in the US market (1.62%).

High Dividend: GPTG.F's dividend (6.98%) is in the top 25% of dividend payers in the US market (4.35%)


Stability and Growth of Payments

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

Growing Dividend: GPTG.F's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (79.2%), GPTG.F's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GPTG.F's dividends in 3 years are forecast to be covered by earnings (77.8% payout ratio).


Next Steps

Management

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

4.8yrs

Average management tenure


CEO

Bob Johnston (58 yo)

4.92yrs

Tenure

AU$3,789,034

Compensation

Mr. Robert William Johnston, also known as Bob, B. Eng (Electrical) (Honours 1), serves as Chief Executive, Managing Director and Executive Director at GPT RE Limited since September 9, 2015. He has been t ...


CEO Compensation Analysis

Compensation vs Market: Bob's total compensation ($USD2.72M) is below average for companies of similar size in the US market ($USD7.26M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Robert Johnston
CEO, MD & Director4.92yrsAU$3.79m0.087%
A$ 4.6m
Anastasia Clarke
Chief Financial Officer4.75yrsAU$1.95mno data
Mark Fookes
Chief Operating Officer4.75yrsAU$1.91mno data
Brett Ward
Head of Investor Relations & Corporate Affairsno datano datano data
James Coyne
General Counsel & Company Secretary16.58yrsAU$1.07mno data
Matthew Faddy
Head of Office & Logistics4.75yrsAU$1.22mno data
Nicholas Harris
Head of Funds Management4.67yrsAU$1.70mno data
Chris Barnett
Head of Retail1.33yrsno datano data
Jacqui O'Dea
Chief Risk Officer1.33yrsno datano data
Lisa Bau
Senior Legal Counsel & Company Secretary4.92yrsno datano data
Martin Ritchie
Fund Manager of Wholesale Office14.08yrsno datano data

4.8yrs

Average Tenure

Experienced Management: GPTG.F's management team is considered experienced (4.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Johnston
CEO, MD & Director4.92yrsAU$3.79m0.087%
A$ 4.6m
Tracey Horton
Independent Non-Executive Director1.25yrsAU$145.30k0.00090%
A$ 48.2k
Gene Tilbrook
Independent Non-Executive Director10.25yrsAU$217.91k0.0026%
A$ 140.3k
Angus McNaughton
Independent Non-Executive Director1.75yrsAU$210.38k0.0013%
A$ 69.1k
Robert Whitfield
Non- Executive Director0.25yrno datano data
Vickki McFadden
Independent Chairman of the Board2.25yrsAU$430.00k0.0040%
A$ 213.1k
Mark Menhinnitt
Independent Non-Executive Director0.92yrAU$42.50k0.0015%
A$ 82.4k
Michelle Somerville
Independent Non-Executive Director4.67yrsAU$227.00k0.0019%
A$ 100.6k

2.0yrs

Average Tenure

58yo

Average Age

Experienced Board: GPTG.F's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

GPT Group's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GPT Group
  • Ticker: GPTG.F
  • Exchange: OTCPK
  • Founded: 1971
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: AU$7.461b
  • Listing Market Cap: AU$5.353b
  • Shares outstanding: 1.95b
  • Website: https://www.gpt.com.au

Location

  • GPT Group
  • MLC Centre
  • Level 51
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GPTASX (Australian Securities Exchange)YesStapled SecuritiesAUAUDNov 1980
GPTG.FOTCPK (Pink Sheets LLC)YesStapled SecuritiesUSUSDNov 1980
46TDB (Deutsche Boerse AG)YesStapled SecuritiesDEEURNov 1980
GPTCHIA (Chi-X Australia)YesStapled SecuritiesAUAUDNov 1980

Biography

The GPT Group is one of Australia’s largest diversified property groups and a top 50 ASX listed company by market capitalisation. GPT owns and manages a $24.8 billion portfolio of retail, office and logist ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/10 00:14
End of Day Share Price2020/07/29 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.