GMS Valuation
| GMS Stock | USD 99.09 0.79 0.80% |
At this time, the firm appears to be overvalued. GMS Inc retains a regular Real Value of $87.43 per share. The prevalent price of the firm is $99.09. Our model calculates the value of GMS Inc from analyzing the firm fundamentals such as return on equity of 0.17, and Return On Asset of 0.0714 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting GMS's valuation include:
Price Book 2.6265 | Enterprise Value 5.5 B | Enterprise Value Ebitda 9.844 | Price Sales 0.697 | Forward PE 12.4224 |
Overvalued
Today
Please note that GMS's price fluctuation is very steady at this time. Calculation of the real value of GMS Inc is based on 3 months time horizon. Increasing GMS's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the GMS stock is determined by what a typical buyer is willing to pay for full or partial control of GMS Inc. Since GMS is currently traded on the exchange, buyers and sellers on that exchange determine the market value of GMS Stock. However, GMS's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 99.09 | Real 87.43 | Target 78.89 | Hype 99.09 | Naive 96.99 |
The intrinsic value of GMS's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence GMS's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of GMS Inc helps investors to forecast how GMS stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of GMS more accurately as focusing exclusively on GMS's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use GMS's intrinsic value based on its ongoing forecasts of GMS's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against GMS's closest peers.
GMS Cash |
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GMS Valuation Trend
GMS's real value is important for investors to make better decisions and a more accurate overall view of GMS's financial worth over time. Using both GMS's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
GMS Revenue by Product
GMS Total Value Analysis
GMS Inc is currently expected to have company total value of 5.48 B with market capitalization of 3.86 B, debt of 1.53 B, and cash on hands of 164.75 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the GMS fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
5.48 B | 3.86 B | 1.53 B | 164.75 M |
GMS Investor Information
About 99.0% of the company shares are owned by institutional investors. The book value of GMS was currently reported as 37.43. The company has Price/Earnings To Growth (PEG) ratio of 0.73. GMS Inc recorded earning per share (EPS) of 6.08. The entity had not issued any dividends in recent years. Based on the key indicators related to GMS's liquidity, profitability, solvency, and operating efficiency, GMS Inc is performing exceptionally good at this time. It has a great probability to report excellent financial results in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.0419 | 0.0805 |
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| Total Cash From Operating Activities | 454.9 M | 433.2 M |
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| Operating Income | 465 M | 442.8 M |
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GMS Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. GMS has an asset utilization ratio of 146.33 percent. This implies that the Company is making $1.46 for each dollar of assets. An increasing asset utilization means that GMS Inc is more efficient with each dollar of assets it utilizes for everyday operations.GMS Ownership Allocation
The majority of GMS Inc outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in GMS to benefit from reduced commissions. Therefore, third-party entities are subject to a different set of regulations than regular investors in GMS Inc. Please pay attention to any change in the institutional holdings of GMS Inc as this could imply that something significant has changed or is about to change at the company.GMS Profitability Analysis
The company reported the last year's revenue of 5.5 B. Total Income to common stockholders was 276.08 M with profit before taxes, overhead, and interest of 1.49 B.About GMS Valuation
The stock valuation mechanism determines GMS's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of GMS Inc based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of GMS. We calculate exposure to GMS's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of GMS's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.6 B | 1 B | |
| Pretax Profit Margin | 0.07 | 0.07 | |
| Operating Profit Margin | 0.08 | 0.04 | |
| Net Profit Margin | 0.05 | 0.05 | |
| Gross Profit Margin | 0.30 | 0.26 |
GMS Growth Indicators
Investing in growth stocks can be very risky. If the company such as GMS does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 40.9 M | |
| Quarterly Earnings Growth Y O Y | -0.321 | |
| Forward Price Earnings | 12.4224 |
GMS Current Valuation Indicators
GMS's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final GMS's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as GMS, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use GMS's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes GMS's worth.Additional Tools for GMS Stock Analysis
When running GMS's price analysis, check to measure GMS's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy GMS is operating at the current time. Most of GMS's value examination focuses on studying past and present price action to predict the probability of GMS's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move GMS's price. Additionally, you may evaluate how the addition of GMS to your portfolios can decrease your overall portfolio volatility.