Gorman Rupp Valuation
GRC Stock | USD 36.39 0.18 0.49% |
At this time, the firm appears to be undervalued. Gorman Rupp retains a regular Real Value of $38.41 per share. The prevalent price of the firm is $36.39. Our model calculates the value of Gorman Rupp from evaluating the firm fundamentals such as Return On Asset of 0.0606, current valuation of 1.35 B, and Return On Equity of 0.1 as well as inspecting its technical indicators and probability of bankruptcy. In general, most investors encourage purchasing undervalued assets and exiting overvalued assets since, at some point, asset prices and their ongoing real values will come together. Key fundamental drivers impacting Gorman Rupp's valuation include:
Price Book 2.7519 | Enterprise Value 1.4 B | Enterprise Value Ebitda 11.7438 | Price Sales 1.4582 | Forward PE 22.7273 |
Undervalued
Today
Please note that Gorman Rupp's price fluctuation is very steady at this time. Calculation of the real value of Gorman Rupp is based on 3 months time horizon. Increasing Gorman Rupp's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Gorman Rupp is useful when determining the fair value of the Gorman stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Gorman Rupp. Since Gorman Rupp is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Gorman Stock. However, Gorman Rupp'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 36.39 | Real 38.41 | Target 40.5 | Hype 36.57 |
The real value of Gorman Stock, also known as its intrinsic value, is the underlying worth of Gorman Rupp Company, which is reflected in its stock price. It is based on Gorman Rupp's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Gorman Rupp'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 Gorman Rupp'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 Gorman Rupp helps investors to forecast how Gorman 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 Gorman Rupp more accurately as focusing exclusively on Gorman Rupp'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 Gorman Rupp's intrinsic value based on its ongoing forecasts of Gorman Rupp's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Gorman Rupp's closest peers. When choosing an evaluation method for Gorman Rupp, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Gorman Rupp Investments |
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Gorman Valuation Trend
Knowing Gorman Rupp's actual value is paramount for traders to make sound investment determinations. Gorman Rupp's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Gorman Rupp's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Gorman Rupp's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Gorman Market Cap
Gorman Rupp is rated below average in market capitalization category among related companies. Market capitalization of Industrials industry is currently estimated at about 56.83 Billion. Gorman Rupp claims roughly 958.8 Million in market capitalization contributing just under 2% to equities under Industrials industry.Gorman Rupp Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Gorman Rupp's current stock value. Our valuation model uses many indicators to compare Gorman Rupp value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Gorman Rupp competition to find correlations between indicators driving Gorman Rupp's intrinsic value. More Info.Gorman Rupp is rated below average in price to earning category among related companies. It is rated below average in price to book category among related companies fabricating about 0.10 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Gorman Rupp is roughly 9.69 . As of April 17, 2024, Price To Book Ratio is expected to decline to 1.95. Comparative valuation analysis is a catch-all model that can be used if you cannot value Gorman Rupp by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Gorman Rupp's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Gorman Rupp's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Gorman Rupp's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Gorman Rupp and how it compares across the competition.
About Gorman Rupp Valuation
The stock valuation mechanism determines the current worth of Gorman Rupp on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Gorman Rupp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Gorman Rupp based exclusively on its fundamental and basic technical indicators. By analyzing Gorman Rupp's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Gorman Rupp's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Gorman Rupp. We calculate exposure to Gorman Rupp's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Gorman Rupp's related companies.Last Reported | Projected for Next Year | ||
Gross Profit | 183.7 M | 192.9 M | |
Pretax Profit Margin | 0.07 | 0.11 | |
Operating Profit Margin | 0.13 | 0.11 | |
Net Profit Margin | 0.05 | 0.05 | |
Gross Profit Margin | 0.28 | 0.29 |
Gorman Rupp Quarterly Retained Earnings |
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8 Steps to conduct Gorman Rupp's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Gorman Rupp's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Gorman Rupp's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Gorman Rupp's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Gorman Rupp's revenue streams: Identify Gorman Rupp's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Gorman Rupp's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Gorman Rupp's growth potential: Evaluate Gorman Rupp's management, business model, and growth potential.
- Determine Gorman Rupp's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Gorman Rupp's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Gorman Rupp represents a small ownership stake in the entity. As a stockholder of Gorman, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Gorman Rupp Dividends Analysis For Valuation
The current year's Dividend Yield is expected to grow to 0.03, whereas Dividends Paid is projected to grow to (17.5 M). . At present, Gorman Rupp's Earnings Yield is projected to slightly decrease based on the last few years of reporting. The current year's Price Earnings To Growth Ratio is expected to grow to 0.13, whereas Retained Earnings Total Equity is forecasted to decline to about 308.5 M.
Last Reported | Projected for Next Year | ||
Dividends Paid | -18.4 M | -17.5 M | |
Dividend Yield | 0.02 | 0.03 | |
Dividend Payout Ratio | 0.53 | 0.40 | |
Dividend Paid And Capex Coverage Ratio | (41.13) | (39.08) |
There are various types of dividends Gorman Rupp can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Gorman shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Gorman Rupp directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Gorman pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Gorman Rupp by the value of the dividends paid out.
Gorman Rupp Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Gorman Rupp 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 | 26.2 M | |
Quarterly Earnings Growth Y O Y | 2.778 | |
Forward Price Earnings | 22.7273 |
Gorman Rupp Current Valuation Indicators
Valuation refers to the process of determining the present value of Gorman Rupp and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Gorman we look at many different elements of the entity such as Gorman's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Gorman Rupp's valuation analysis is also 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 Gorman Rupp'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 Gorman Rupp, 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 Gorman Rupp'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 Gorman Rupp's worth.When determining whether Gorman Rupp offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Gorman Rupp's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Gorman Rupp Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Gorman Rupp Stock: Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Gorman Rupp. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in metropolitan statistical area. For information on how to trade Gorman Stock refer to our How to Trade Gorman Stock guide.You can also try the Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
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Is Gorman Rupp's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Gorman Rupp. If investors know Gorman will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Gorman Rupp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 2.778 | Dividend Share 0.705 | Earnings Share 1.34 | Revenue Per Share 25.197 | Quarterly Revenue Growth 0.1 |
The market value of Gorman Rupp is measured differently than its book value, which is the value of Gorman that is recorded on the company's balance sheet. Investors also form their own opinion of Gorman Rupp's value that differs from its market value or its book value, called intrinsic value, which is Gorman Rupp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Gorman Rupp's market value can be influenced by many factors that don't directly affect Gorman Rupp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Gorman Rupp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Gorman Rupp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Gorman Rupp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.