DA Davidson Issues Pessimistic Forecast for GMS Earnings

GMS Inc. (NYSE:GMS) – Equities research analysts at DA Davidson cut their FY2025 earnings estimates for GMS in a note issued to investors on Friday, December 6th. DA Davidson analyst K. Yinger now anticipates that the company will post earnings per share of $7.29 for the year, down from their previous forecast of $7.78. DA Davidson has a “Neutral” rating and a $94.00 price objective on the stock. The consensus estimate for GMS’s current full-year earnings is $7.83 per share. DA Davidson also issued estimates for GMS’s FY2026 earnings at $7.74 EPS.

GMS (NYSE:GMS) last released its quarterly earnings data on Thursday, December 5th. The company reported $2.02 EPS for the quarter, missing the consensus estimate of $2.26 by ($0.24). GMS had a net margin of 3.92% and a return on equity of 20.67%. The business had revenue of $1.47 billion for the quarter, compared to the consensus estimate of $1.46 billion. During the same quarter last year, the business earned $2.30 EPS. GMS’s revenue for the quarter was up 3.5% compared to the same quarter last year.

GMS has been the subject of several other research reports. Robert W. Baird lowered their target price on shares of GMS from $115.00 to $110.00 and set an “outperform” rating for the company in a report on Friday, December 6th. Barclays raised their target price on shares of GMS from $80.00 to $93.00 and gave the stock an “equal weight” rating in a report on Friday, December 6th. StockNews.com lowered shares of GMS from a “buy” rating to a “hold” rating in a report on Monday, September 2nd. Loop Capital raised their target price on shares of GMS from $85.00 to $93.00 and gave the stock a “hold” rating in a report on Monday, November 25th. Finally, Truist Financial raised their target price on shares of GMS from $90.00 to $97.00 and gave the stock a “hold” rating in a report on Monday. Six investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to MarketBeat, GMS has an average rating of “Hold” and an average target price of $94.13.

GMS Price Performance

GMS stock opened at $95.13 on Monday. GMS has a 52 week low of $71.33 and a 52 week high of $105.54. The company has a quick ratio of 1.44, a current ratio of 2.23 and a debt-to-equity ratio of 0.97. The company has a fifty day simple moving average of $95.94 and a two-hundred day simple moving average of $91.00. The firm has a market capitalization of $3.74 billion, a P/E ratio of 17.49 and a beta of 1.68.

Insider Buying and Selling

In other news, COO George T. Hendren sold 5,000 shares of the stock in a transaction dated Monday, November 11th. The shares were sold at an average price of $102.13, for a total value of $510,650.00. Following the completion of the sale, the chief operating officer now directly owns 23,772 shares in the company, valued at $2,427,834.36. This represents a 17.38 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 1.90% of the stock is currently owned by insiders.

Institutional Investors Weigh In On GMS

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Quarry LP increased its position in GMS by 37.1% during the second quarter. Quarry LP now owns 403 shares of the company’s stock worth $32,000 after purchasing an additional 109 shares during the last quarter. State of New Jersey Common Pension Fund D increased its position in GMS by 0.5% during the third quarter. State of New Jersey Common Pension Fund D now owns 20,805 shares of the company’s stock worth $1,884,000 after purchasing an additional 113 shares during the last quarter. QRG Capital Management Inc. increased its position in GMS by 2.0% during the second quarter. QRG Capital Management Inc. now owns 8,231 shares of the company’s stock worth $664,000 after purchasing an additional 161 shares during the last quarter. SummerHaven Investment Management LLC increased its position in GMS by 1.6% during the second quarter. SummerHaven Investment Management LLC now owns 10,509 shares of the company’s stock worth $847,000 after purchasing an additional 162 shares during the last quarter. Finally, Blue Trust Inc. increased its position in GMS by 86.4% during the second quarter. Blue Trust Inc. now owns 369 shares of the company’s stock worth $30,000 after purchasing an additional 171 shares during the last quarter. 95.28% of the stock is currently owned by institutional investors and hedge funds.

About GMS

GMS Inc distributes wallboard, ceilings, steel framing and complementary construction products in the United States and Canada. The company offers ceilings products, including suspended mineral fibers, soft fibers, and metal ceiling systems primarily used in offices, hotels, hospitals, retail facilities, schools, and various other commercial and institutional buildings.