GCM GROSVENOR INC - CLASS A (GCMG) Stock Fundamental Analysis
NASDAQ:GCMG - Nasdaq - US36831E1082 - Common Stock - Currency: USD
We assign a fundamental rating of 3 out of 10 to GCMG. GCMG was compared to 236 industry peers in the Capital Markets industry. Both the profitability and financial health of GCMG have multiple concerns. GCMG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
GCMG had positive earnings in the past year.
In the past year GCMG had a positive cash flow from operations.
GCMG had positive earnings in each of the past 5 years.
Each year in the past 5 years GCMG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GCMG (2.94%) is comparable to the rest of the industry.
GCMG's Return On Invested Capital of 20.27% is amongst the best of the industry. GCMG outperforms 96.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | N/A | ||
| ROIC | 20.27% |
ROA(3y)3.24%
ROA(5y)2.81%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 3.21%, GCMG is doing worse than 68.64% of the companies in the same industry.
In the last couple of years the Profit Margin of GCMG has declined.
GCMG has a Operating Margin (19.77%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of GCMG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.77% | ||
| PM (TTM) | 3.21% | ||
| GM | N/A |
OM growth 3Y-11.63%
OM growth 5Y-7.17%
PM growth 3Y-2.95%
PM growth 5Y-19.94%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, GCMG has more shares outstanding
Compared to 5 years ago, GCMG has more shares outstanding
Compared to 1 year ago, GCMG has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.07 indicates that GCMG is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.07, GCMG is in the better half of the industry, outperforming 76.27% of the companies in the same industry.
GCMG has a debt to FCF ratio of 2.99. This is a good value and a sign of high solvency as GCMG would need 2.99 years to pay back of all of its debts.
The Debt to FCF ratio of GCMG (2.99) is better than 77.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.99 | ||
| Altman-Z | 3.07 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
GCMG has a Current Ratio of -0.41. This is a bad value and indicates that GCMG is not financially healthy enough and could expect problems in meeting its short term obligations.
GCMG has a worse Current ratio (-0.41) than 95.76% of its industry peers.
A Quick Ratio of -0.41 indicates that GCMG may have some problems paying its short term obligations.
GCMG has a Quick ratio of -0.41. This is amonst the worse of the industry: GCMG underperforms 95.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | -0.41 | ||
| Quick Ratio | -0.41 |
3. Growth
3.1 Past
GCMG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 29.31%, which is quite impressive.
GCMG shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -42.92% yearly.
Looking at the last year, GCMG shows a quite strong growth in Revenue. The Revenue has grown by 16.77% in the last year.
The Revenue has been growing slightly by 4.30% on average over the past years.
EPS 1Y (TTM)29.31%
EPS 3Y4.07%
EPS 5Y-42.92%
EPS Q2Q%28.57%
Revenue 1Y (TTM)16.77%
Revenue growth 3Y-1.12%
Revenue growth 5Y4.3%
Sales Q2Q%15.6%
3.2 Future
Based on estimates for the next years, GCMG will show a very negative growth in Earnings Per Share. The EPS will decrease by -41.41% on average per year.
Based on estimates for the next years, GCMG will show a small growth in Revenue. The Revenue will grow by 3.20% on average per year.
EPS Next Y5.45%
EPS Next 2Y10.76%
EPS Next 3Y-41.41%
EPS Next 5YN/A
Revenue Next Year1.33%
Revenue Next 2Y7%
Revenue Next 3Y3.2%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
GCMG is valuated correctly with a Price/Earnings ratio of 15.56.
Compared to the rest of the industry, the Price/Earnings ratio of GCMG is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.82, GCMG is valued a bit cheaper.
GCMG is valuated correctly with a Price/Forward Earnings ratio of 13.40.
The rest of the industry has a similar Price/Forward Earnings ratio as GCMG.
GCMG is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.21, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.56 | ||
| Fwd PE | 13.4 |
4.2 Price Multiples
69.07% of the companies in the same industry are more expensive than GCMG, based on the Enterprise Value to EBITDA ratio.
65.25% of the companies in the same industry are more expensive than GCMG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.74 | ||
| EV/EBITDA | 24.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GCMG does not grow enough to justify the current Price/Earnings ratio.
GCMG's earnings are expected to decrease with -41.41% in the coming years. This may justify a cheaper valuation.
PEG (NY)2.86
PEG (5Y)N/A
EPS Next 2Y10.76%
EPS Next 3Y-41.41%
5. Dividend
5.1 Amount
GCMG has a Yearly Dividend Yield of 3.61%. Purely for dividend investing, there may be better candidates out there.
GCMG's Dividend Yield is comparable with the industry average which is at 8.06.
GCMG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
5.2 History
GCMG has been paying a dividend for over 5 years, so it has already some track record.
GCMG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
592.72% of the earnings are spent on dividend by GCMG. This is not a sustainable payout ratio.
DP592.72%
EPS Next 2Y10.76%
EPS Next 3Y-41.41%
11.67
-0.12 (-1.02%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners108.58%
Inst Owner Change-0.26%
Ins Owners3.37%
Ins Owner Change8.68%
Market Cap2.27B
Analysts80
Price Target15.05 (28.96%)
Short Float %15.56%
Short Ratio15.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
Yearly Dividend0.48
Dividend Growth(5Y)N/A
DP592.72%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.61%
Min EPS beat(2)-3.04%
Max EPS beat(2)14.26%
EPS beat(4)2
Avg EPS beat(4)2.14%
Min EPS beat(4)-4.09%
Max EPS beat(4)14.26%
EPS beat(8)4
Avg EPS beat(8)1.68%
EPS beat(12)6
Avg EPS beat(12)26.63%
EPS beat(16)9
Avg EPS beat(16)21.04%
Revenue beat(2)1
Avg Revenue beat(2)-0.62%
Min Revenue beat(2)-1.82%
Max Revenue beat(2)0.57%
Revenue beat(4)2
Avg Revenue beat(4)-0.68%
Min Revenue beat(4)-2.65%
Max Revenue beat(4)1.2%
Revenue beat(8)4
Avg Revenue beat(8)-1.24%
Revenue beat(12)5
Avg Revenue beat(12)0.12%
Revenue beat(16)8
Avg Revenue beat(16)1.52%
PT rev (1m)-0.84%
PT rev (3m)6.31%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-12.5%
EPS NY rev (1m)0%
EPS NY rev (3m)-9.61%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.71%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.56 | ||
| Fwd PE | 13.4 | ||
| P/S | 4.27 | ||
| P/FCF | 15.74 | ||
| P/OCF | 14.35 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.16 |
EPS(TTM)0.75
EY6.43%
EPS(NY)0.87
Fwd EY7.46%
FCF(TTM)0.74
FCFY6.35%
OCF(TTM)0.81
OCFY6.97%
SpS2.73
BVpS-0.14
TBVpS-0.3
PEG (NY)2.86
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | N/A | ||
| ROCE | 28.15% | ||
| ROIC | 20.27% | ||
| ROICexc | 27.15% | ||
| ROICexgc | 33.47% | ||
| OM | 19.77% | ||
| PM (TTM) | 3.21% | ||
| GM | N/A | ||
| FCFM | 27.12% |
ROA(3y)3.24%
ROA(5y)2.81%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-11.13%
ROICexcg growth 5Y-19.49%
ROICexc growth 3Y-10.52%
ROICexc growth 5Y-12.58%
OM growth 3Y-11.63%
OM growth 5Y-7.17%
PM growth 3Y-2.95%
PM growth 5Y-19.94%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.99 | ||
| Debt/EBITDA | 3.97 | ||
| Cap/Depr | 377.57% | ||
| Cap/Sales | 2.63% | ||
| Interest Coverage | 3.35 | ||
| Cash Conversion | 145.35% | ||
| Profit Quality | 845.25% | ||
| Current Ratio | -0.41 | ||
| Quick Ratio | -0.41 | ||
| Altman-Z | 3.07 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)223.94%
Cap/Depr(5y)140.02%
Cap/Sales(3y)1.44%
Cap/Sales(5y)0.95%
Profit Quality(3y)820.97%
Profit Quality(5y)992.85%
High Growth Momentum
Growth
EPS 1Y (TTM)29.31%
EPS 3Y4.07%
EPS 5Y-42.92%
EPS Q2Q%28.57%
EPS Next Y5.45%
EPS Next 2Y10.76%
EPS Next 3Y-41.41%
EPS Next 5YN/A
Revenue 1Y (TTM)16.77%
Revenue growth 3Y-1.12%
Revenue growth 5Y4.3%
Sales Q2Q%15.6%
Revenue Next Year1.33%
Revenue Next 2Y7%
Revenue Next 3Y3.2%
Revenue Next 5YN/A
EBIT growth 1Y800.84%
EBIT growth 3Y-12.62%
EBIT growth 5Y-3.18%
EBIT Next Year8.39%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-15.57%
FCF growth 3Y-9.52%
FCF growth 5Y12.06%
OCF growth 1Y-7.76%
OCF growth 3Y-5.9%
OCF growth 5Y9.14%