Regents Gate Capital LLP Acquires Shares in GMS Inc. (NYSE:GMS)

Regents Gate Capital LLP has announced the acquisition of a new position in GMS Inc. (NYSE:GMS) during the fourth quarter, as documented in their latest filing with the Securities and Exchange Commission. The investment fund acquired 4,730 shares of GMS, amounting to a valuation of around $401,000.

• GMS Inc. Reports Strong Earnings Driven by Housing Backlog

In addition to Regents Gate Capital, several other institutional investors and hedge funds have made adjustments to their holdings in GMS Inc. For instance, during the third quarter, the State of New Jersey Common Pension Fund D increased its shares in GMS by 0.5%, bringing its total to 20,805 shares valued at approximately $1,884,000 after an additional purchase of 113 shares. Moreover, Inspire Investing LLC boosted its stake by 2.9% in the fourth quarter, now holding 4,716 shares valued at around $400,000 after obtaining an extra 134 shares.

Furthermore, Foundry Partners LLC expanded its position by 6.2% during the third quarter, now owning 3,964 shares valued at $359,000 following an increase of 232 shares. KBC Group NV enhanced its stake by 31.9% in the same quarter, currently possessing 1,162 shares worth $105,000 after acquiring 281 additional shares. Lastly, Blue Trust Inc. significantly upped its ownership by 71.3% during the fourth quarter, adding 285 shares and now holding 685 shares valued at $62,000. Overall, institutional investors and hedge funds control about 95.28% of GMS's stock.

GMS Stock Overview

As of Monday, GMS stock opened at $84.10. The company has recorded a 50-day moving average of $86.95 and a 200-day moving average of $90.34. GMS Inc. holds a market capitalization of $3.26 billion, a price-to-earnings (PE) ratio of 15.46, and a beta of 1.72. The financial indicators show a current ratio of 2.23, a quick ratio of 1.44, and a debt-to-equity ratio standing at 0.97. Over the past year, GMS has experienced a low of $77.29 and reached a high of $105.54.

GMS (NYSE:GMS) published its latest earnings report on December 5, revealing earnings per share (EPS) of $2.02 for the quarter. This figure fell short of analysts' expectations of $2.26 by $0.24. The company demonstrated a net margin of 3.92% and a return on equity of 20.67%. GMS Inc. generated revenue of $1.47 billion during the quarter, slightly exceeding the anticipated $1.46 billion. Comparatively, during the same quarter of the previous year, GMS reported an EPS of $2.30, indicating a 3.5% year-over-year revenue growth.

Analysts' Outlook and Price Target Adjustments

GMS has recently been the subject of various research reports, reflecting its performance and future outlook. The Royal Bank of Canada reaffirmed a "sector perform" rating, updating its price target to $86.00 from a previous $78.00 in a report released on December 6. Additionally, Barclays reduced its price target from $93.00 to $80.00 while maintaining an "equal weight" rating.

DA Davidson also adjusted its price target from $97.00 to $94.00, categorizing GMS with a "neutral" rating in a report from December 6. Loop Capital raised their price target from $85.00 to $93.00 and gave a "hold" rating, while Truist Financial increased its target from $90.00 to $97.00 while also maintaining a "hold" rating. The stock is presently rated as "Hold" by six research analysts, with two assigning a buy rating. The average price target across analysts stands at $93.57.

About GMS Inc.

GMS Inc. is involved in the distribution of various construction products, including wallboard, ceilings, steel framing, and other complementary items across the United States and Canada. Their ceiling products consist of suspended mineral fibers, soft fibers, and metal ceiling systems, primarily serving commercial and institutional facilities such as offices, hotels, hospitals, retail spaces, and educational institutions.

Regents, GMS, Shares