ALEXANDER & BALDWIN INC (ALEX) Stock Fundamental Analysis
NYSE:ALEX - New York Stock Exchange, Inc. - US0144911049 - REIT - Currency: USD
ALEX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 129 industry peers in the Diversified REITs industry. ALEX has an excellent profitability rating, but there are some minor concerns on its financial health. ALEX has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year ALEX was profitable.
In the past year ALEX had a positive cash flow from operations.
Of the past 5 years ALEX 4 years were profitable.
Each year in the past 5 years ALEX had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ALEX (3.62%) is better than 86.05% of its industry peers.
ALEX's Return On Equity of 6.03% is fine compared to the rest of the industry. ALEX outperforms 76.74% of its industry peers.
ALEX's Return On Invested Capital of 3.69% is fine compared to the rest of the industry. ALEX outperforms 69.77% of its industry peers.
ALEX had an Average Return On Invested Capital over the past 3 years of 3.24%. This is in line with the industry average of 3.15%.
The 3 year average ROIC (3.24%) for ALEX is below the current ROIC(3.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.62% | ||
| ROE | 6.03% | ||
| ROIC | 3.69% |
ROA(3y)0.86%
ROA(5y)0.94%
ROE(3y)1.36%
ROE(5y)1.58%
ROIC(3y)3.24%
ROIC(5y)2.9%
1.3 Margins
Looking at the Profit Margin, with a value of 25.57%, ALEX belongs to the top of the industry, outperforming 80.62% of the companies in the same industry.
In the last couple of years the Profit Margin of ALEX has grown nicely.
ALEX's Operating Margin of 32.89% is fine compared to the rest of the industry. ALEX outperforms 71.32% of its industry peers.
In the last couple of years the Operating Margin of ALEX has grown nicely.
Looking at the Gross Margin, with a value of 45.49%, ALEX is doing worse than 79.84% of the companies in the same industry.
In the last couple of years the Gross Margin of ALEX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.89% | ||
| PM (TTM) | 25.57% | ||
| GM | 45.49% |
OM growth 3Y0.42%
OM growth 5Y32.23%
PM growth 3Y22.77%
PM growth 5YN/A
GM growth 3Y-1.01%
GM growth 5Y15.99%
2. Health
2.1 Basic Checks
ALEX has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ALEX has more shares outstanding than it did 1 year ago.
ALEX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ALEX has a worse debt to assets ratio.
2.2 Solvency
ALEX has an Altman-Z score of 0.80. This is a bad value and indicates that ALEX is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 0.80, ALEX is doing good in the industry, outperforming 66.67% of the companies in the same industry.
ALEX has a debt to FCF ratio of 10.06. This is a negative value and a sign of low solvency as ALEX would need 10.06 years to pay back of all of its debts.
ALEX's Debt to FCF ratio of 10.06 is amongst the best of the industry. ALEX outperforms 92.25% of its industry peers.
ALEX has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of ALEX (0.47) is better than 89.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 10.06 | ||
| Altman-Z | 0.8 |
ROIC/WACC0.49
WACC7.59%
2.3 Liquidity
A Current Ratio of 8.25 indicates that ALEX has no problem at all paying its short term obligations.
ALEX's Current ratio of 8.25 is amongst the best of the industry. ALEX outperforms 98.45% of its industry peers.
ALEX has a Quick Ratio of 8.25. This indicates that ALEX is financially healthy and has no problem in meeting its short term obligations.
ALEX has a better Quick ratio (8.25) than 98.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.25 | ||
| Quick Ratio | 8.25 |
3. Growth
3.1 Past
ALEX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.66%.
ALEX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 36.08% yearly.
Looking at the last year, ALEX shows a small growth in Revenue. The Revenue has grown by 4.31% in the last year.
The Revenue for ALEX have been decreasing by -11.47% on average. This is quite bad
EPS 1Y (TTM)3.66%
EPS 3Y19.68%
EPS 5Y36.08%
EPS Q2Q%3.57%
Revenue 1Y (TTM)4.31%
Revenue growth 3Y-2.33%
Revenue growth 5Y-11.47%
Sales Q2Q%4.41%
3.2 Future
ALEX is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -9.80% yearly.
The Revenue is expected to grow by 2.31% on average over the next years.
EPS Next Y-12.57%
EPS Next 2Y-9.8%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.56%
Revenue Next 2Y2.31%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.94, ALEX is valued on the expensive side.
Based on the Price/Earnings ratio, ALEX is valued cheaply inside the industry as 82.17% of the companies are valued more expensively.
ALEX is valuated rather cheaply when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 26.05 indicates a quite expensive valuation of ALEX.
ALEX's Price/Forward Earnings ratio is rather cheap when compared to the industry. ALEX is cheaper than 81.40% of the companies in the same industry.
ALEX is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.74, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.94 | ||
| Fwd PE | 26.05 |
4.2 Price Multiples
ALEX's Enterprise Value to EBITDA ratio is in line with the industry average.
74.42% of the companies in the same industry are more expensive than ALEX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.41 | ||
| EV/EBITDA | 15.21 |
4.3 Compensation for Growth
The decent profitability rating of ALEX may justify a higher PE ratio.
ALEX's earnings are expected to decrease with -9.80% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.58
EPS Next 2Y-9.8%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ALEX has a Yearly Dividend Yield of 4.93%, which is a nice return.
Compared to an average industry Dividend Yield of 6.43, ALEX has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.37, ALEX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.93% |
5.2 History
The dividend of ALEX has a limited annual growth rate of 5.27%.
ALEX has paid a dividend for at least 10 years, which is a reliable track record.
ALEX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.27%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
ALEX pays out 107.38% of its income as dividend. This is not a sustainable payout ratio.
ALEX's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP107.38%
EPS Next 2Y-9.8%
EPS Next 3YN/A
17.8
-0.38 (-2.09%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners88.92%
Inst Owner Change-0.06%
Ins Owners0.72%
Ins Owner Change4.05%
Market Cap1.29B
Analysts82
Price Target21.42 (20.34%)
Short Float %1.45%
Short Ratio2.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.93% |
Yearly Dividend0.9
Dividend Growth(5Y)5.27%
DP107.38%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.25%
Min EPS beat(2)11.11%
Max EPS beat(2)21.38%
EPS beat(4)3
Avg EPS beat(4)33.67%
Min EPS beat(4)-8.96%
Max EPS beat(4)111.16%
EPS beat(8)6
Avg EPS beat(8)-2.93%
EPS beat(12)9
Avg EPS beat(12)6.25%
EPS beat(16)11
Avg EPS beat(16)57.22%
Revenue beat(2)2
Avg Revenue beat(2)21.3%
Min Revenue beat(2)17.96%
Max Revenue beat(2)24.65%
Revenue beat(4)3
Avg Revenue beat(4)11.03%
Min Revenue beat(4)-2.32%
Max Revenue beat(4)24.65%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-4.55%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)12.5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.94 | ||
| Fwd PE | 26.05 | ||
| P/S | 5.47 | ||
| P/FCF | 27.41 | ||
| P/OCF | 13.21 | ||
| P/B | 1.29 | ||
| P/tB | 1.3 | ||
| EV/EBITDA | 15.21 |
EPS(TTM)0.85
EY4.78%
EPS(NY)0.68
Fwd EY3.84%
FCF(TTM)0.65
FCFY3.65%
OCF(TTM)1.35
OCFY7.57%
SpS3.25
BVpS13.8
TBVpS13.68
PEG (NY)N/A
PEG (5Y)0.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.62% | ||
| ROE | 6.03% | ||
| ROCE | 4.67% | ||
| ROIC | 3.69% | ||
| ROICexc | 3.77% | ||
| ROICexgc | 3.79% | ||
| OM | 32.89% | ||
| PM (TTM) | 25.57% | ||
| GM | 45.49% | ||
| FCFM | 19.95% |
ROA(3y)0.86%
ROA(5y)0.94%
ROE(3y)1.36%
ROE(5y)1.58%
ROIC(3y)3.24%
ROIC(5y)2.9%
ROICexc(3y)3.29%
ROICexc(5y)2.96%
ROICexgc(3y)3.31%
ROICexgc(5y)2.98%
ROCE(3y)4.1%
ROCE(5y)3.67%
ROICexcg growth 3Y1.17%
ROICexcg growth 5Y22.15%
ROICexc growth 3Y1.32%
ROICexc growth 5Y22.35%
OM growth 3Y0.42%
OM growth 5Y32.23%
PM growth 3Y22.77%
PM growth 5YN/A
GM growth 3Y-1.01%
GM growth 5Y15.99%
F-Score7
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 10.06 | ||
| Debt/EBITDA | 4.16 | ||
| Cap/Depr | 139.84% | ||
| Cap/Sales | 21.46% | ||
| Interest Coverage | 3.52 | ||
| Cash Conversion | 85.85% | ||
| Profit Quality | 78.02% | ||
| Current Ratio | 8.25 | ||
| Quick Ratio | 8.25 | ||
| Altman-Z | 0.8 |
F-Score7
WACC7.59%
ROIC/WACC0.49
Cap/Depr(3y)93.91%
Cap/Depr(5y)86.99%
Cap/Sales(3y)15.27%
Cap/Sales(5y)16.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.66%
EPS 3Y19.68%
EPS 5Y36.08%
EPS Q2Q%3.57%
EPS Next Y-12.57%
EPS Next 2Y-9.8%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)4.31%
Revenue growth 3Y-2.33%
Revenue growth 5Y-11.47%
Sales Q2Q%4.41%
Revenue Next Year2.56%
Revenue Next 2Y2.31%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y13.94%
EBIT growth 3Y-1.93%
EBIT growth 5Y17.06%
EBIT Next Year51.74%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y31.52%
FCF growth 3Y-12.59%
FCF growth 5YN/A
OCF growth 1Y46.04%
OCF growth 3Y-7.6%
OCF growth 5Y-9.07%