The Discounted Cash Flow (DCF) valuation of GTT Communications Inc (GTT) is (15.09) USD. With the latest stock price at 2.36 USD, the upside of GTT Communications Inc based on DCF is -739.3%.

Is GTT a buy or a sell?

Based on the latest price of 2.36 USD and our DCF valuation, GTT Communications Inc (GTT) is a sell. Selling GTT stocks now will result in a potential gain of 739.3%.

Note: valuation result may not be accurate due to the company's negative earnings.

	Range	Selected
WACC / Discount Rate	8.8% - 18.2%	13.5%
Long-term Growth Rate	3.0% - 5.0%	4.0%
Fair Price	(29.50) - 43.19	(15.09)
Upside	-1349.8% - 1730.2%	-739.3%

2.36 USD

Stock Price

(15.09) USD

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

GTT DCF Valuation: Revenue & Expenses Forecast

(USD in millions)		Projections

	12-2019	12-2020	12-2021	12-2022	12-2023	12-2024

Revenue	1,728	1,630	1,663	1,763	1,820	1,916
% Growth	16%	-6%	2%	6%	3%	5%

Cost of goods sold	(942)	(844)	(818)	(824)	(808)	(808)
% of Revenue	55%	52%	49%	47%	44%	42%

Selling, G&A expenses	(378)	(356)	(364)	(386)	(398)	(419)
% of Revenue	22%	22%	22%	22%	22%	22%

Research & Development	0	0	0	0	0	0
% of Revenue	0%	0%	0%	0%	0%	0%

Net interest & other expenses	(511)	(482)	(492)	(521)	(538)	(567)
% of Revenue	30%	30%	30%	30%	30%	30%

Tax expense	(3)	2	0	(1)	(2)	(4)
Tax rate	3%	3%	3%	3%	3%	3%

Net profit	(106)	(51)	(10)	31	73	119
% Margin	-6%	-3%	-1%	2%	4%	6%