AMEX:GSB

Stock Analysis Report

Executive Summary

GlobalSCAPE, Inc., together with its subsidiaries, develops and distributes software, delivers managed and hosted solutions, and provides associated services for secure information exchange, and data transfer and sharing for enterprises and consumers worldwide.

Rewards

Trading at 70.6% below its fair value

Earnings grew by 2628.1% over the past year

Risk Analysis

No risks detected for GSB from our risk checks.


Snowflake Analysis

Flawless balance sheet with outstanding track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

12.8%

GSB

-0.3%

US Software

-1.5%

US Market


1 Year Return

155.2%

GSB

41.6%

US Software

21.7%

US Market

Return vs Industry: GSB exceeded the US Software industry which returned 39.8% over the past year.

Return vs Market: GSB exceeded the US Market which returned 24.7% over the past year.


Shareholder returns

GSBIndustryMarket
7 Day12.8%-0.3%-1.5%
30 Day19.1%5.5%1.4%
90 Day19.8%14.2%7.9%
1 Year264.4%155.2%42.8%41.6%24.3%21.7%
3 Year341.7%201.0%138.6%129.1%49.5%39.9%
5 Year688.3%421.8%214.3%192.4%72.6%53.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is GlobalSCAPE 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: GSB ($10.67) is trading below our estimate of fair value ($36.26)

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


Price To Earnings Ratio

PE vs Industry: GSB is good value based on its PE Ratio (14.7x) compared to the Software industry average (47.3x).

PE vs Market: GSB is good value based on its PE Ratio (14.7x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate GSB's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: GSB is overvalued based on its PB Ratio (10.1x) compared to the US Software industry average (5.9x).


Next Steps

Future Growth

How is GlobalSCAPE forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

14.8%

Forecasted Software 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 GlobalSCAPE 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.


Next Steps

Past Performance

How has GlobalSCAPE performed over the past 5 years?

15.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GSB has high quality earnings.

Growing Profit Margin: GSB's current net profit margins (32.3%) are higher than last year (1.4%).


Past Earnings Growth Analysis

Earnings Trend: GSB's earnings have grown by 15.2% per year over the past 5 years.

Accelerating Growth: GSB's earnings growth over the past year (2628.1%) exceeds its 5-year average (15.2% per year).

Earnings vs Industry: GSB earnings growth over the past year (2628.1%) exceeded the Software industry 20.8%.


Return on Equity

High ROE: GSB's Return on Equity (68.7%) is considered outstanding.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is GlobalSCAPE's financial position?


Financial Position Analysis

Short Term Liabilities: GSB's short term assets ($20.5M) exceed its short term liabilities ($16.9M).

Long Term Liabilities: GSB's short term assets ($20.5M) exceed its long term liabilities ($5.0M).


Debt to Equity History and Analysis

Debt Level: GSB is debt free.

Reducing Debt: GSB had no debt 5 years ago.

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

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


Balance Sheet

Inventory Level: GSB has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if GSB's debt is covered by short term assets.


Next Steps

Dividend

What is GlobalSCAPE's current dividend yield, its reliability and sustainability?

0.51%

Current Dividend Yield


Dividend Yield vs Market

company0.5%marketbottom25%1.4%markettop25%3.7%industryaverage1.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: GSB's dividend (0.56%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.4%).

High Dividend: GSB's dividend (0.56%) is low compared to the top 25% of dividend payers in the US market (3.66%).


Stability and Growth of Payments

Stable Dividend: GSB is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: GSB is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: GSB is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GSB's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

1.6yrs

Average management tenure


CEO

Robert Alpert (54yo)

0.8yrs

Tenure

US$40,500

Compensation

Mr. Robert Hudson Alpert has been Co-Chief Executive Officer of P10 Industries, Inc. since October 6, 2017. He has been the Chairman of the Board at GlobalSCAPE, Inc. since October 2018 and its Interim Chi ...


Management Age and Tenure

1.6yrs

Average Tenure

54yo

Average Age

Experienced Management: GSB's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Age and Tenure

2.6yrs

Average Tenure

61.5yo

Average Age

Experienced Board: GSB's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Insider Trading

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.


Management Team

  • Robert Alpert (54yo)

    Chairman of the Board & Interim CEO

    • Tenure: 0.8yrs
    • Compensation: US$40.50k
  • Dave Mello (55yo)

    Executive VP of Technical Services & Engineering

    • Tenure: 0.8yrs
    • Compensation: US$468.20k
  • Robert Oslin

    Senior Director of Product Strategy

    • Compensation: US$104.51k
  • Bobby Langenbahn

    Enterprise Sales Manager

    • Compensation: US$140.84k
  • Mark Hood (54yo)

    Chief Operating Officer

    • Tenure: 1.4yrs
  • Mike Canavan (38yo)

    Executive VP of Sales & Marketing

    • Tenure: 2.3yrs
    • Compensation: US$466.44k
  • Karen Young (56yo)

    Chief Financial Officer

    • Tenure: 1.8yrs
  • Leah Webb

    Head of Administrative Services

    • Tenure: 2yrs

Board Members

  • Robert Alpert (54yo)

    Chairman of the Board & Interim CEO

    • Tenure: 0.8yrs
    • Compensation: US$40.50k
  • David Mann (69yo)

    Independent Director

    • Tenure: 17.6yrs
    • Compensation: US$203.67k
  • Thomas Hicks (70yo)

    Independent Director

    • Tenure: 4yrs
    • Compensation: US$142.40k
  • C. Webb (38yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$38.50k

Company Information

GlobalSCAPE, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GlobalSCAPE, Inc.
  • Ticker: GSB
  • Exchange: AMEX
  • Founded: 1996
  • Industry: Systems Software
  • Sector: Software
  • Market Cap: US$203.940m
  • Shares outstanding: 17.37m
  • Website: https://www.globalscape.com

Number of Employees


Location

  • GlobalSCAPE, Inc.
  • 4500 Lockhill-Selma Road
  • Suite 150
  • San Antonio
  • Texas
  • 78249
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GSBAMEX (NYSE MKT LLC)YesCommon StockUSUSDFeb 2002

Biography

GlobalSCAPE, Inc., together with its subsidiaries, develops and distributes software, delivers managed and hosted solutions, and provides associated services for secure information exchange, and data transfer and sharing for enterprises and consumers worldwide. It offers managed file transfer solutions, including enhanced file transfer platforms; and Mail Express solution that enable users to send and receive encrypted email and attachments of unlimited size. The company also provides Wide Area File Services Solution that enables to replicate, share, and backup files within a wide or local area network; and CuteFTP, a file transfer program for individuals and small businesses. In addition, it offers various professional services, such as product configuration and system integration, solution quickstart implementations, business process and workflow, policy development, education and training, and solution health checks, as well as engineering services; and maintenance and support services. The company primarily serves the finance, health care, energy, retail, manufacturing, and engineering markets. GlobalSCAPE, Inc. was founded in 1996 and is based in San Antonio, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/28 23:37
End of Day Share Price2020/01/28 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.