Gps Participacoes e Empreendimentos SA
BOVESPA:GGPS3

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Gps Participacoes e Empreendimentos SA
BOVESPA:GGPS3
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Price: 14.83 BRL -1.92% Market Closed
Market Cap: R$11.2B

EV/FCFF

17.1
Current
14%
Cheaper
vs 3-y average of 19.8

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
17.1
=
Enterprise Value
R$14.4B
/
Free Cash Flow to Firm
R$779.5m

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
17.1
=
Enterprise Value
R$14.4B
/
Free Cash Flow to Firm
R$779.5m

Valuation Scenarios

Gps Participacoes e Empreendimentos SA is trading below its 3-year average

If EV/FCFF returns to its 3-Year Average (19.8), the stock would be worth R$17.18 (16% upside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-50%
Maximum Upside
+47%
Average Downside
2%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 17.1 R$14.83
0%
3-Year Average 19.8 R$17.18
+16%
5-Year Average 25.2 R$21.84
+47%
Industry Average 8.6 R$7.44
-50%
Country Average 13.4 R$11.61
-22%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close
Market Cap EV/FCFF P/E
BR
Gps Participacoes e Empreendimentos SA
BOVESPA:GGPS3
11.1B BRL 17.1 16.3
US
Waste Management Inc
NYSE:WM
93.7B USD 41.1 34.6
US
Republic Services Inc
NYSE:RSG
64.4B USD 32.1 30.1
CA
Waste Connections Inc
TSX:WCN
56.9B CAD 45.5 40.6
US
Rollins Inc
NYSE:ROL
26.8B USD 44.1 50.7
US
Veralto Corp
NYSE:VLTO
21.9B USD 21.3 23.3
UK
Rentokil Initial PLC
LSE:RTO
12.5B GBP 21.9 26.5
US
Clean Harbors Inc
NYSE:CLH
16.5B USD 40.9 41.6
CA
GFL Environmental Inc
TSX:GFL
19.8B CAD 152.7 5
CN
Spic Yuanda Environmental Protection Co Ltd
SSE:600292
67.1B CNY -159.1 18 531.1
US
Tetra Tech Inc
NASDAQ:TTEK
8.4B USD 18.1 24

Market Distribution

In line with most companies in Brazil
Percentile
58th
Based on 365 companies
58th percentile
17.1
Low
0.2 — 8.2
Typical Range
8.2 — 24.4
High
24.4 —
Distribution Statistics
Brazil
Min 0.2
30th Percentile 8.2
Median 13.4
70th Percentile 24.4
Max 1 667.2

Gps Participacoes e Empreendimentos SA
Glance View

In the bustling realm of Brazilian business, GPS Participações e Empreendimentos SA stands out as a dynamic force, weaving a vast network of integrated facilities management services. Founded in the vibrant heart of Brazil’s economic landscape, the company has adeptly navigated market challenges, cementing its position as a leader in its field. GPS specializes in offering a diverse array of services that include cleaning, security, logistics, and maintenance services to a plethora of sectors. The company's ability to bundle these services has allowed it to form tightly knit contracts with clients, ensuring a steady stream of revenue while minimizing the operational complexities for its customers. The financial architecture of GPS Participações is built on long-term contracts that provide a steady cash flow, enabling it to reinvest in innovation and expansion. By maintaining an agile operational model, GPS can quickly adapt to the shifting needs of its clients and the broader market dynamics. Its strategic focus on relationship building and operational efficiency has allowed the company to keep its margins healthy. Furthermore, by continuously amplifying its service offerings and deepening its market penetration, GPS not only retains a strong customer base but also attracts new clients navigating the multifaceted demands of the modern market. Through this business model, GPS Participações e Empreendimentos SA successfully transforms operational challenges into lucrative opportunities.

GGPS3 Intrinsic Value
17.53 BRL
Undervaluation 15%
Intrinsic Value
Price R$14.83
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