Gamma Communications (LSE:GAMA) Margin of Safety % (DCF Earnings Based): 70.94% (As of Jul. 07, 2026)


LSE:GAMA Gamma Communications PLC LSE:GAMA
80 GF Score
Price £8.30
GF Value £15.83
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Gamma Communications Margin of Safety % (DCF Earnings Based)?

Gamma Communications LSE:GAMA -2.24% 80 Margin of Safety % (DCF Earnings Based) is 70.94% as of Jul. 07, 2026. GuruFocus rates LSE:GAMA with a GF Score™ of 80/100 and a GF Value™ of £15.83 (Significantly Undervalued). The stock has 3 warning signs investors should review.

Margin of Safety % (DCF Earnings Based) = (Intrinsic Value: DCF (Earnings Based) - Current Price) / Intrinsic Value: DCF (Earnings Based).

Note: Discounted Earnings model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

As of today (2026-07-07), Gamma Communications's Predictability Rank is 3.5-Stars. Gamma Communications's intrinsic value calculated from the Discounted Earnings model is £28.56 and current share price is £8.30. Consequently,

Gamma Communications's Margin of Safety % (DCF Earnings Based) using Discounted Earnings model is 70.94%.


LSE:GAMA vs TMUS, VZ, T: Margin of Safety % (DCF Earnings Based) Comparison

For the Telecom Services subindustry, Gamma Communications's Margin of Safety % (DCF Earnings Based), along with its competitors' market caps and Margin of Safety % (DCF Earnings Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Gamma Communications Margin of Safety % (DCF Earnings Based) vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Gamma Communications's Margin of Safety % (DCF Earnings Based) distribution charts can be found below:

* The bar in red indicates where Gamma Communications's Margin of Safety % (DCF Earnings Based) falls into.


LSE:GAMA
80GF Score
Gamma Communications PLC LSE:GAMA
Margin of Safety % (DCF Earnings Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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Gamma Communications Margin of Safety % (DCF Earnings Based) Calculation

Gamma Communications's Margin of Safety % (DCF Earnings Based) for today is calculated as

Margin of Safety % (DCF Earnings Based)=(Intrinsic Value: DCF (Earnings Based)-Current Price)/Intrinsic Value: DCF (Earnings Based)
=(28.56-8.30)/28.56
=70.94 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The intrinsic value is calculated from the Discounted Earnings model with default parameters. The calculation method is the same as Discounted Cash Flow model except earnings are used in the calculation instead of free cash flow.

What does a Margin of Safety % (DCF Earnings Based) of 70.94% mean?
Gamma Communications (LSE:GAMA) has a Margin of Safety % (DCF Earnings Based) of 70.94% as of Jul. 07, 2026. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on Gamma Communications.
Is Gamma Communications' Margin of Safety % (DCF Earnings Based) too high?
Gamma Communications' current Margin of Safety % (DCF Earnings Based) is 70.94%. Overall, Gamma Communications has a GF Score™ of 80/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Gamma Communications' Margin of Safety % (DCF Earnings Based) compare to TMUS and VZ?
Gamma Communications' Margin of Safety % (DCF Earnings Based) of 70.94% can be compared against companies in the Telecommunication Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Margin of Safety % (DCF Earnings Based) for a Telecommunication Services company?
A good Margin of Safety % (DCF Earnings Based) depends on the Telecommunication Services industry context. However, Margin of Safety % (DCF Earnings Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Margin of Safety % (DCF Earnings Based) mean?
A high Margin of Safety % (DCF Earnings Based) can signal that a stock is expensive relative to its fundamentals. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on Gamma Communications. Gamma Communications's current Margin of Safety % (DCF Earnings Based) is 70.94%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gamma Communications stock overvalued right now?
Based on GuruFocus' analysis, Gamma Communications (LSE:GAMA) is currently considered Significantly Undervalued. The stock's GF Value™ is £15.83, compared to a current price of £8.30 — trading 47.6% below its estimated fair value. The current Margin of Safety % (DCF Earnings Based) is 70.94%. Gamma Communications' overall GF Score™ is 80/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Margin of Safety % (DCF Earnings Based) calculated?
Margin of Safety % (DCF Earnings Based) is calculated from a company's financial statements. For Gamma Communications (LSE:GAMA), the current Margin of Safety % (DCF Earnings Based) is 70.94% as of Jul. 07, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Gamma Communications (LSE:GAMA) Overvalued in 2026?

Based on GuruFocus' analysis, Gamma Communications stock appears to be undervalued. The current stock price of £8.30 is trading 47.6% below its estimated GF Value™ of £15.83. GuruFocus considers Gamma Communications to be Significantly Undervalued.

Key valuation signals for LSE:GAMA:

  • Margin of Safety % (DCF Earnings Based): 70.94%
  • GF Value™: £15.83 vs. price of £8.30 (47.6% below fair value)
  • GF Score™: 80/100 with 3 warning signs

No single metric tells the full story. See the LSE:GAMA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Gamma Communications Business Description

Other Exchanges GAMAl:UK6GC:Germany
Address 63 Saint Mary Axe, 3rd Floor, London, Berkshire, GBR, EC3A 8AA
Gamma Communications PLC is a supplier of Unified Communications as a Service (UCaaS) in the United Kingdom and other markets, supplying communication solutions directly and via its network of trusted channel partners. The company offers various products across categories including Unified Communications, Voice Enablement, and Connectivity. The company also offers cybersecurity and managed enterprise solutions. Its operating segments are Gamma Business, Gamma Enterprise, Europe, and Central Functions. The majority of the company's revenue is generated from the Gamma Business segment which sells its products to smaller businesses in the UK. Geographically, the company generates a majority of its revenue from the United Kingdom and the rest from Europe.
80GF Score

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Margin of Safety % (DCF Earnings Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£8.30
Price
£15.83
GF Value