Stock fact sheet · data as of
Great Elm Capital Corp. (GECC): fair value, margin of safety and Wheel Score
Financial Services · Asset Management · United States · Speculative / Distressed
Is GECC undervalued?
Great Elm Capital Corp. (GECC) closed at 5.02 on 16 Oct 2026. The GLS average fair value - the simple average of the 2 valuation models that produced a positive number - is 55.69, which puts the price 91% below it. 2 of the 2 models value the shares above the current price. A gap this wide is rare in our universe of ~7,400 US stocks and is exactly what the Value part of the Wheel Score rewards; it is also where the question "why is it this cheap?" matters most.
Only 2 of the nine models produced a value (10 Cap, DDM); the others need a dividend, positive free cash flow or positive book value the company does not have yet, so the average rests on a narrow base.
The nightly engine files GECC under Speculative / Distressed - negative earnings or a Piotroski score of 3 or less - which caps its Wheel Score at 45 and keeps it out of the Sunday Scan.
Nine valuation models for GECC
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | - | - | The most a defensive investor pays for the earnings and book value per share; no value tonight |
| Graham Growth | - | - | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields; no value tonight |
| Lynch | - | - | EPS × the earnings growth rate (PEG of 1), growth capped at 25%; no value tonight |
| GLS Growth | - | - | EPS compounded ten years at the blended growth rate, discounted back at 15% a year; no value tonight |
| 10 Cap | 94.17 | +1776% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 17.22 | +243% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | - | - | Earnings power value: current EPS capitalised at 9% with no growth; no value tonight |
| Zombie (liquidation) | -16.27 | -424% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 11.00 | +119% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - GECC passes 6 of the nine Piotroski tests, which passes the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is low at 1.7 out of 10, which says the ten-year record of revenue, earnings, margins and returns on capital has been inconsistent - growth and shocks rather than steady compounding.
Returns on capital are thin or negative - ROIC -10.5%, ROE -28.1%, ROA -9.3% - with debt at 1.68 times equity and a free-cash-flow yield of 77.3%.
The dividend yield is high at 23.31% (payout ratio -46%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual.
Institutional ownership scores 1/10, insider activity 10/10 and Congressional trading 5/10 on the GLS smart-money scales; the last recorded insider buy was on 21 Sep 2026.
| Piotroski F-score | 6 / 9 | ROIC | -10.5% |
|---|---|---|---|
| GLS Moat | 1.7 / 10 | ROE | -28.1% |
| Debt / equity | 1.68 | ROA | -9.3% |
| Free-cash-flow yield | 77.3% | Payout ratio | -46% |
| Institutions | 1 / 10 | Insiders · Congress | 10 · 5 / 10 |
Wheel Score 39: No options
GECC has no listed options in the nightly snapshot, so there is nothing to sell and the stock cannot be wheeled however good the business; the Wheel Score is capped at 39 and shown as "No options" (39 here). The valuation and quality numbers still apply to owning the shares outright.
Volume runs at 29k shares a day on a market cap of $70M, with a beta of 0.90; the Stability part of the Wheel Score gives that 6 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 91% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 3 / 15 | moat 1.7/10 | |
| Premium | 0 / 20 | no option data | |
| Stability | 6 / 20 | 29k shares/day, $70M cap, beta 0.90 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 3 Nov 2026 (before the open), 18 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Asset Management
The 12 companies below are the closest to Great Elm Capital Corp. by market cap within the Asset Management industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| AFCG Advanced Flower Capital Inc. | 3.10 | 4.69 | +34% | 43Weak | $70M |
| PCL PGIM ETF Trust - PGIM Corporate Bond 10+ Year ETF | 45.65 | 22.68 | -101% | 23No options | $70M |
| EEA The European Equity Fund, Inc. | 10.24 | 50.36 | +80% | 39No options | $70M |
| BSVSX Baird Equity Opportunity Fund - Investor Class | 14.57 | 784.60 | +98% | 39No options | $70M |
| GECCH Great Elm Capital Corp. - 8.125 | 24.92 | 57.34 | +57% | 39No options | $70M |
| SVRN SVRN, Inc. | 36.51 | - | - | 26No options | $68M |
| GLV Clough Global Dividend and Income Fund | 5.78 | 45.38 | +87% | 39No options | $72M |
| GEG Great Elm Group, Inc. | 2.16 | 7.75 | +72% | 39No options | $67M |
| FHLKX Fidelity Health Savings Fund Class K | 11.49 | 1,202.58 | +99% | 39No options | $72M |
| ZSTK ZeroStack Corp. | 4.15 | - | - | 21No options | $72M |
| FCIVX Frontier MFG Core Infrastructure Fund Service Class | 12.87 | 29.24 | +56% | 38No options | $67M |
| VGI Virtus Global Multi-Sector Income Fund | 6.54 | 25.03 | +74% | 39No options | $74M |
⚖ Compare GECC with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about GECC
Is GECC undervalued right now?
By the GLS models, yes: at 5.02 the stock is 91% below the average fair value of 55.69 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of GECC and what does it mean?
GECC has no listed options in our nightly snapshot, so it cannot be wheeled; its Wheel Score is capped at 39 and shown as "No options".
What is the GLS fair value for GECC?
55.69 per share as of 16 Oct 2026 - the simple average of the 2 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Great Elm Capital Corp. report earnings next?
The next earnings report is due on 3 Nov 2026 (before the open), 18 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does GECC have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on GECC, so the wheel strategy cannot be run on it and the Wheel Score is capped at 39.