Concentric Capital Strategies LP Acquires New Stake in GMS Inc. $GMS

Key Points

• Concentric Capital Strategies LP acquired 15,912 shares of GMS Inc., valued at approximately $1,164,000, indicating growing institutional interest in the company.
• GMS reported a quarterly earnings miss with earnings per share of $1.76, slightly below the expected $1.77, and a revenue of $1.41 billion, up from analyst expectations.
• Major shareholders, including COO George T. Hendren and Coliseum Capital Management, significantly reduced their stakes, selling over 184,000 shares combined in recent transactions.

Concentric Capital Strategies LP acquired a new stake in shares of GMS Inc. (NYSE:GMS - Free Report) during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 15,912 shares of the company's stock, valued at approximately $1,164,000.

Other hedge funds have also recently modified their holdings of the company. Eukles Asset Management acquired a new position in shares of GMS during the first quarter valued at about $33,000. Brooklyn Investment Group purchased a new stake in GMS in the first quarter valued at approximately $47,000. Versant Capital Management Inc boosted its position in GMS by 170.5% in the first quarter. Versant Capital Management Inc now owns 706 shares of the company's stock valued at $52,000 after buying an additional 445 shares during the last quarter. GAMMA Investing LLC boosted its position in GMS by 38.3% in the first quarter. GAMMA Investing LLC now owns 801 shares of the company's stock valued at $59,000 after buying an additional 222 shares during the last quarter. Finally, Summit Securities Group LLC purchased a new stake in GMS in the first quarter valued at approximately $228,000. Institutional investors and hedge funds own 95.28% of the company's stock.

Insider Buying and Selling

In other news, COO George T. Hendren sold 5,000 shares of the stock in a transaction that occurred on Monday, June 30th. The stock was sold at an average price of $108.23, for a total transaction of $541,150.00. Following the transaction, the chief operating officer owned 23,950 shares in the company, valued at $2,592,108.50. This trade represents a 17.27% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, major shareholder Coliseum Capital Management, L sold 179,133 shares of the stock in a transaction that occurred on Monday, July 14th. The shares were sold at an average price of $110.05, for a total value of $19,713,586.65. Following the transaction, the insider owned 3,646,018 shares in the company, valued at $401,244,280.90. This trade represents a 4.68% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 343,627 shares of company stock worth $37,808,097 in the last quarter. Insiders own 1.90% of the company's stock.

GMS Stock Performance

GMS stock traded down $0.02 during mid-day trading on Tuesday, hitting $109.96. The company had a trading volume of 710,652 shares, compared to its average volume of 780,710. GMS Inc. has a 12-month low of $65.77 and a 12-month high of $110.28. The company has a market capitalization of $4.20 billion, a price-to-earnings ratio of 42.29 and a beta of 1.76. The company has a current ratio of 2.11, a quick ratio of 1.31 and a debt-to-equity ratio of 0.87. The company's fifty day moving average is $109.66 and its 200-day moving average is $88.08.

GMS (NYSE:GMS - Get Free Report) last announced its earnings results on Thursday, September 4th. The company reported $1.76 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.77 by ($0.01). GMS had a net margin of 1.86% and a return on equity of 16.36%. The business had revenue of $1.41 billion for the quarter, compared to analysts' expectations of $1.40 billion. During the same quarter last year, the business earned $1.93 EPS. The company's quarterly revenue was down 2.4% on a year-over-year basis. Equities research analysts predict that GMS Inc. will post 7.26 EPS for the current year.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on the company. Stephens lowered GMS from a "strong-buy" rating to a "hold" rating and set a $95.00 target price on the stock. in a research report on Friday, June 27th. Baird R W lowered GMS from a "strong-buy" rating to a "hold" rating in a research report on Monday, June 23rd. Raymond James Financial lowered GMS from an "outperform" rating to a "market perform" rating in a research report on Wednesday, June 25th. DA Davidson upped their target price on GMS from $95.20 to $110.00 and gave the company a "neutral" rating in a research report on Tuesday, July 1st. Finally, Robert W. Baird reiterated a "neutral" rating and issued a $95.00 target price (up previously from $93.00) on shares of GMS in a research report on Monday, June 23rd. Nine research analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $101.11.

GMS Company Profile

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.