GTTN

GTT CommunicationsOTCPK:GTTN Stock Report

Market Cap

US$19.0m

7D

14.3%

1Y

-94.0%

Updated

22 Sep, 2021

Data

Company Financials
GTTN fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance0/6
Financial Health0/6
Dividends0/6

GTTN Overview

GTT Communications, Inc. provides cloud networking services to multinational enterprises, carriers, and government customers in the United States, Europe, and internationally.

GTT Communications Competitors

Limelight Networks

NasdaqGS:LLNW

US$311.7m

Crown Castle International (REIT)

NYSE:CCI

US$81.2b

Five9

NasdaqGM:FIVN

US$11.5b

LivePerson

NasdaqGS:LPSN

US$4.7b

Price History & Performance

Summary of all time highs, changes and price drops for GTT Communications
Historical stock prices
Current Share PriceUS$0.32
52 Week HighUS$0.25
52 Week LowUS$6.58
Beta1.28
1 Month Change-17.95%
3 Month Change-87.10%
1 Year Change-94.01%
3 Year Change-99.28%
5 Year Change-98.65%
Change since IPO-88.36%

Recent News & Updates

Shareholder Returns

GTTNUS ITUS Market
7D14.3%-1.8%-1.8%
1Y-94.0%22.3%31.5%

Return vs Industry: GTTN underperformed the US IT industry which returned 24.7% over the past year.

Return vs Market: GTTN underperformed the US Market which returned 33% over the past year.

Price Volatility

Is GTTN's price volatile compared to industry and market?
GTTN volatility
GTTN Beta1.28
Industry Beta1.18
Market Beta1

Stable Share Price: GTTN is more volatile than 90% of US stocks over the past 3 months, typically moving +/- 24% a week.

Volatility Over Time: GTTN's weekly volatility (24%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
20053,100Ernie Ortegahttps://www.gtt.net

GTT Communications, Inc. provides cloud networking services to multinational enterprises, carriers, and government customers in the United States, Europe, and internationally. The company offers wide area networking, such as software-defined wide area networking, multiprotocol label switching, and virtual private LAN service; high bandwidth-Internet connectivity and IP transit, as well as broadband and wireless Internet access services; managed equipment and security services; and unified communication services consisting of session initiation protocol trunking, cloud unified communication service, and traditional analog voice. It also provides transport services, such as Ethernet services that enable to design network equipment; and video transport services to support broadcast quality transmission of live events, sports entertainment, and news to media and entertainment industry.

GTT Communications Fundamentals Summary

How do GTT Communications's earnings and revenue compare to its market cap?
GTTN fundamental statistics
Market CapUS$19.00m
Earnings (TTM)-US$161.90m
Revenue (TTM)US$1.70b

0.01x

P/S Ratio

-0.1x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GTTN income statement (TTM)
RevenueUS$1.70b
Cost of RevenueUS$937.80m
Gross ProfitUS$764.50m
ExpensesUS$926.40m
Earnings-US$161.90m

Last Reported Earnings

Mar 31, 2020

Next Earnings Date

n/a

Earnings per share (EPS)-2.86
Gross Margin44.91%
Net Profit Margin-9.51%
Debt/Equity Ratio1,699.5%

How did GTTN perform over the long term?

See historical performance and comparison

Valuation

Is GTT Communications 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: GTTN ($0.32) is trading below our estimate of fair value ($10.2)

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


Price To Earnings Ratio

PE vs Industry: GTTN is unprofitable, so we can't compare its PE Ratio to the US IT industry average.

PE vs Market: GTTN is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GTTN is good value based on its PB Ratio (0.1x) compared to the US IT industry average (5.3x).


Future Growth

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

17.9%

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 GTT Communications 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 GTT Communications performed over the past 5 years?

32.2%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: GTTN is currently unprofitable.

Growing Profit Margin: GTTN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if GTTN's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare GTTN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: GTTN is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (28%).


Return on Equity

High ROE: GTTN has a negative Return on Equity (-82.27%), as it is currently unprofitable.


Financial Health

How is GTT Communications's financial position?


Financial Position Analysis

Short Term Liabilities: GTTN's short term assets ($338.4M) do not cover its short term liabilities ($566.2M).

Long Term Liabilities: GTTN's short term assets ($338.4M) do not cover its long term liabilities ($4.0B).


Debt to Equity History and Analysis

Debt Level: GTTN's debt to equity ratio (1699.5%) is considered high.

Reducing Debt: GTTN's debt to equity ratio has increased from 157.1% to 1699.5% over the past 5 years.


Balance Sheet


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: Insufficient data to determine if GTTN has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if GTTN has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate GTTN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GTTN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GTTN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GTTN's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

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

1.0yrs

Average management tenure


CEO

Ernie Ortega (56 yo)

1.17yrs

Tenure

Mr. Ernest Ortega, also known as Ernie, has been Chief Executive Officer of Towerstream Corporation since January 24, 2017. He serves as Chief Executive Officer at GTT Communications, Inc. since April 14,...


Leadership Team

Experienced Management: GTTN's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Members

Experienced Board: GTTN's board of directors are considered experienced (4.2 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

GTT Communications, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: GTT Communications, Inc.
  • Ticker: GTTN
  • Exchange: OTCPK
  • Founded: 2005
  • Industry: Internet Services and Infrastructure
  • Sector: Software
  • Market Cap: US$19.005m
  • Shares outstanding: 59.39m
  • Website: https://www.gtt.net

Number of Employees


Location

  • GTT Communications, Inc.
  • 7900 Tysons One Place
  • Suite 1450
  • McLean
  • Virginia
  • 22102
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/22 00:18
End of Day Share Price2021/09/21 00:00
Earnings2020/03/31
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.