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 231 industry peers in the Capital Markets industry. Both the profitability and financial health of GCMG have multiple concerns. GCMG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
GCMG had positive earnings in the past year.
GCMG had a positive operating cash flow in the past year.
Each year in the past 5 years GCMG has been profitable.
Each year in the past 5 years GCMG had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.94%, GCMG is in line with its industry, outperforming 51.95% of the companies in the same industry.
The Return On Invested Capital of GCMG (20.54%) is better than 97.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | N/A | ||
| ROIC | 20.54% |
ROA(3y)3.21%
ROA(5y)2.79%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 3.21%, GCMG is not doing good in the industry: 70.56% of the companies in the same industry are doing better.
GCMG's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 19.73%, GCMG is in line with its industry, outperforming 40.26% of the companies in the same industry.
GCMG's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.73% | ||
| PM (TTM) | 3.21% | ||
| GM | N/A |
OM growth 3Y-11.44%
OM growth 5Y-7.05%
PM growth 3Y-3.48%
PM growth 5Y-20.2%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for GCMG has been increased compared to 1 year ago.
GCMG has more shares outstanding than it did 5 years ago.
GCMG has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.26 indicates that GCMG is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.26, GCMG is in the better half of the industry, outperforming 78.79% of the companies in the same industry.
The Debt to FCF ratio of GCMG is 2.99, which is a good value as it means it would take GCMG, 2.99 years of fcf income to pay off all of its debts.
GCMG has a better Debt to FCF ratio (2.99) than 76.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 2.99 | ||
| Altman-Z | 3.26 |
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's Current ratio of -0.41 is on the low side compared to the rest of the industry. GCMG is outperformed by 94.81% of its industry peers.
GCMG has a Quick 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 Quick ratio (-0.41) than 94.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | -0.41 | ||
| Quick Ratio | -0.41 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 29.31% over the past year.
GCMG shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -43.14% 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.
GCMG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.30% yearly.
EPS 1Y (TTM)29.31%
EPS 3Y4.07%
EPS 5Y-43.14%
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 2Y10.89%
EPS Next 3Y-41.41%
EPS Next 5YN/A
Revenue Next Year2.21%
Revenue Next 2Y7%
Revenue Next 3Y3.2%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
The Price/Earnings ratio is 16.81, which indicates a correct valuation of GCMG.
Compared to the rest of the industry, the Price/Earnings ratio of GCMG is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.25. GCMG is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 14.44, the valuation of GCMG can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GCMG is on the same level as its industry peers.
GCMG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.15.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.81 | ||
| Fwd PE | 14.44 |
4.2 Price Multiples
GCMG's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. GCMG is cheaper than 67.10% of the companies in the same industry.
GCMG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. GCMG is cheaper than 61.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.99 | ||
| EV/EBITDA | 26.06 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
GCMG's earnings are expected to decrease with -41.41% in the coming years. This may justify a cheaper valuation.
PEG (NY)3.09
PEG (5Y)N/A
EPS Next 2Y10.89%
EPS Next 3Y-41.41%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.52%, GCMG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 8.17, GCMG has a dividend in line with its industry peers.
GCMG's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.52% |
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 Years2
Div Non Decr Years3
5.3 Sustainability
596.91% of the earnings are spent on dividend by GCMG. This is not a sustainable payout ratio.
DP596.91%
EPS Next 2Y10.89%
EPS Next 3Y-41.41%
12.61
-0.21 (-1.64%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners110.53%
Inst Owner Change9.78%
Ins Owners3.13%
Ins Owner Change4.81%
Market Cap2.45B
Analysts80
Price Target14.15 (12.21%)
Short Float %15.88%
Short Ratio17.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.52% |
Yearly Dividend0.48
Dividend Growth(5Y)N/A
DP596.91%
Div Incr Years2
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)-13.95%
PT rev (3m)-12.6%
EPS NQ rev (1m)-12.5%
EPS NQ rev (3m)-14.44%
EPS NY rev (1m)-9.61%
EPS NY rev (3m)-10.85%
Revenue NQ rev (1m)-4.56%
Revenue NQ rev (3m)-8.24%
Revenue NY rev (1m)-5.03%
Revenue NY rev (3m)-7.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.81 | ||
| Fwd PE | 14.44 | ||
| P/S | 4.61 | ||
| P/FCF | 16.99 | ||
| P/OCF | 15.52 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 26.06 |
EPS(TTM)0.75
EY5.95%
EPS(NY)0.87
Fwd EY6.92%
FCF(TTM)0.74
FCFY5.88%
OCF(TTM)0.81
OCFY6.44%
SpS2.73
BVpS-0.15
TBVpS-0.3
PEG (NY)3.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | N/A | ||
| ROCE | 28.15% | ||
| ROIC | 20.54% | ||
| ROICexc | 27.54% | ||
| ROICexgc | 33.97% | ||
| OM | 19.73% | ||
| PM (TTM) | 3.21% | ||
| GM | N/A | ||
| FCFM | 27.14% |
ROA(3y)3.21%
ROA(5y)2.79%
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-10.92%
ROICexcg growth 5Y-19.37%
ROICexc growth 3Y-10.31%
ROICexc growth 5Y-12.45%
OM growth 3Y-11.44%
OM growth 5Y-7.05%
PM growth 3Y-3.48%
PM growth 5Y-20.2%
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 | 370.68% | ||
| Cap/Sales | 2.58% | ||
| Interest Coverage | 3.31 | ||
| Cash Conversion | 145.51% | ||
| Profit Quality | 846.13% | ||
| Current Ratio | -0.41 | ||
| Quick Ratio | -0.41 | ||
| Altman-Z | 3.26 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)221.33%
Cap/Depr(5y)138.45%
Cap/Sales(3y)1.43%
Cap/Sales(5y)0.94%
Profit Quality(3y)828.99%
Profit Quality(5y)997.66%
High Growth Momentum
Growth
EPS 1Y (TTM)29.31%
EPS 3Y4.07%
EPS 5Y-43.14%
EPS Q2Q%28.57%
EPS Next Y5.45%
EPS Next 2Y10.89%
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 Year2.21%
Revenue Next 2Y7%
Revenue Next 3Y3.2%
Revenue Next 5YN/A
EBIT growth 1Y801.18%
EBIT growth 3Y-12.42%
EBIT growth 5Y-3.05%
EBIT Next Year8.39%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-15.52%
FCF growth 3Y-9.51%
FCF growth 5Y12.07%
OCF growth 1Y-7.86%
OCF growth 3Y-5.94%
OCF growth 5Y9.11%