BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:BEI-UN - CA0966311064 - REIT
67.02 CAD
-0.36 (-0.53%)
Taking everything into account, BEI-UN scores 5 out of 10 in our fundamental rating. BEI-UN was compared to 15 industry peers in the Residential REITs industry. While BEI-UN has a great profitability rating, there are quite some concerns on its financial health. BEI-UN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year BEI-UN was profitable.
- In the past year BEI-UN had a positive cash flow from operations.
- Of the past 5 years BEI-UN 4 years were profitable.
- Each year in the past 5 years BEI-UN had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.46%, BEI-UN is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
- BEI-UN has a Return On Equity of 6.26%. This is in the better half of the industry: BEI-UN outperforms 73.33% of its industry peers.
- BEI-UN has a better Return On Invested Capital (3.21%) than 86.67% of its industry peers.
- BEI-UN had an Average Return On Invested Capital over the past 3 years of 2.86%. This is in line with the industry average of 2.87%.
- The 3 year average ROIC (2.86%) for BEI-UN is below the current ROIC(3.21%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.46% | ||
| ROE | 6.26% | ||
| ROIC | 3.21% |
ROA(3y)6.34%
ROA(5y)4.5%
ROE(3y)11.92%
ROE(5y)8.52%
ROIC(3y)2.86%
ROIC(5y)2.84%
1.3 Margins
- BEI-UN's Profit Margin of 49.84% is fine compared to the rest of the industry. BEI-UN outperforms 80.00% of its industry peers.
- BEI-UN's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 55.29%, BEI-UN is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
- In the last couple of years the Operating Margin of BEI-UN has grown nicely.
- BEI-UN has a better Gross Margin (73.60%) than 86.67% of its industry peers.
- BEI-UN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 55.29% | ||
| PM (TTM) | 49.84% | ||
| GM | 73.6% |
OM growth 3Y3.04%
OM growth 5Y3.17%
PM growth 3Y0.93%
PM growth 5Y66.4%
GM growth 3Y1.76%
GM growth 5Y1.52%
2. Health
2.1 Basic Checks
- BEI-UN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- BEI-UN has about the same amout of shares outstanding than it did 1 year ago.
- BEI-UN has more shares outstanding than it did 5 years ago.
- BEI-UN has a better debt/assets ratio than last year.
2.2 Solvency
- BEI-UN has an Altman-Z score of 1.23. This is a bad value and indicates that BEI-UN is not financially healthy and even has some risk of bankruptcy.
- BEI-UN has a better Altman-Z score (1.23) than 93.33% of its industry peers.
- The Debt to FCF ratio of BEI-UN is 14.67, which is on the high side as it means it would take BEI-UN, 14.67 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of BEI-UN (14.67) is comparable to the rest of the industry.
- BEI-UN has a Debt/Equity ratio of 0.55. This is a neutral value indicating BEI-UN is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.55, BEI-UN belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 14.67 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.58
WACC5.5%
2.3 Liquidity
- BEI-UN has a Current Ratio of 0.11. This is a bad value and indicates that BEI-UN is not financially healthy enough and could expect problems in meeting its short term obligations.
- BEI-UN has a worse Current ratio (0.11) than 60.00% of its industry peers.
- A Quick Ratio of 0.10 indicates that BEI-UN may have some problems paying its short term obligations.
- The Quick ratio of BEI-UN (0.10) is worse than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.11 | ||
| Quick Ratio | 0.1 |
3. Growth
3.1 Past
- BEI-UN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.26%, which is quite good.
- BEI-UN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 70.76% yearly.
- Looking at the last year, BEI-UN shows a small growth in Revenue. The Revenue has grown by 6.52% in the last year.
- BEI-UN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.79% yearly.
EPS 1Y (TTM)11.26%
EPS 3Y4.33%
EPS 5Y70.76%
EPS Q2Q%12.05%
Revenue 1Y (TTM)6.52%
Revenue growth 3Y8.64%
Revenue growth 5Y5.79%
Sales Q2Q%5.87%
3.2 Future
- Based on estimates for the next years, BEI-UN will show a small growth in Earnings Per Share. The EPS will grow by 4.74% on average per year.
- BEI-UN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.29% yearly.
EPS Next Y49.82%
EPS Next 2Y4.96%
EPS Next 3Y4.74%
EPS Next 5YN/A
Revenue Next Year4.03%
Revenue Next 2Y4.58%
Revenue Next 3Y4.29%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 14.73, which indicates a correct valuation of BEI-UN.
- The rest of the industry has a similar Price/Earnings ratio as BEI-UN.
- The average S&P500 Price/Earnings ratio is at 28.82. BEI-UN is valued slightly cheaper when compared to this.
- A Price/Forward Earnings ratio of 14.30 indicates a correct valuation of BEI-UN.
- Based on the Price/Forward Earnings ratio, BEI-UN is valued a bit cheaper than the industry average as 73.33% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 25.95. BEI-UN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.73 | ||
| Fwd PE | 14.3 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BEI-UN indicates a rather cheap valuation: BEI-UN is cheaper than 93.33% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of BEI-UN indicates a slightly more expensive valuation: BEI-UN is more expensive than 60.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.31 | ||
| EV/EBITDA | 18.87 |
4.3 Compensation for Growth
- BEI-UN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- BEI-UN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.3
PEG (5Y)0.21
EPS Next 2Y4.96%
EPS Next 3Y4.74%
5. Dividend
5.1 Amount
- BEI-UN has a Yearly Dividend Yield of 1.87%. Purely for dividend investing, there may be better candidates out there.
- With a Dividend Yield of 1.87, BEI-UN pays less dividend than the industry average, which is at 4.85. 93.33% of the companies listed in the same industry pay a better dividend than BEI-UN!
- Compared to an average S&P500 Dividend Yield of 1.82, BEI-UN has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
5.2 History
- On average, the dividend of BEI-UN grows each year by 6.64%, which is quite nice.
- BEI-UN has been paying a dividend for at least 10 years, so it has a reliable track record.
- BEI-UN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)6.64%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- BEI-UN pays out 24.03% of its income as dividend. This is a sustainable payout ratio.
- BEI-UN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP24.03%
EPS Next 2Y4.96%
EPS Next 3Y4.74%
BOARDWALK REAL ESTATE INVEST / BEI-UN.CA FAQ
What is the ChartMill fundamental rating of BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to BEI-UN.CA.
What is the valuation status of BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) stock?
ChartMill assigns a valuation rating of 5 / 10 to BOARDWALK REAL ESTATE INVEST (BEI-UN.CA). This can be considered as Fairly Valued.
How profitable is BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) stock?
BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) has a profitability rating of 8 / 10.
What are the PE and PB ratios of BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) stock?
The Price/Earnings (PE) ratio for BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) is 14.73 and the Price/Book (PB) ratio is 0.66.
How financially healthy is BOARDWALK REAL ESTATE INVEST?
The financial health rating of BOARDWALK REAL ESTATE INVEST (BEI-UN.CA) is 3 / 10.