CAMDEN PROPERTY TRUST (CPT) Stock Fundamental Analysis
NYSE:CPT - New York Stock Exchange, Inc. - US1331311027 - REIT - Currency: USD
Overall CPT gets a fundamental rating of 4 out of 10. We evaluated CPT against 20 industry peers in the Residential REITs industry. There are concerns on the financial health of CPT while its profitability can be described as average. CPT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CPT had positive earnings in the past year.
In the past year CPT had a positive cash flow from operations.
In the past 5 years CPT has always been profitable.
In the past 5 years CPT always reported a positive cash flow from operatings.
1.2 Ratios
CPT has a better Return On Assets (1.31%) than 65.00% of its industry peers.
CPT has a Return On Equity (2.56%) which is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 2.73%, CPT is in line with its industry, outperforming 60.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CPT is in line with the industry average of 2.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.31% | ||
| ROE | 2.56% | ||
| ROIC | 2.73% |
ROA(3y)4.38%
ROA(5y)3.73%
ROE(3y)8.22%
ROE(5y)7.1%
ROIC(3y)2.74%
ROIC(5y)2.62%
1.3 Margins
CPT has a better Profit Margin (7.61%) than 65.00% of its industry peers.
CPT's Profit Margin has declined in the last couple of years.
The Operating Margin of CPT (19.20%) is comparable to the rest of the industry.
CPT's Operating Margin has declined in the last couple of years.
The Gross Margin of CPT (61.26%) is better than 75.00% of its industry peers.
In the last couple of years the Gross Margin of CPT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.2% | ||
| PM (TTM) | 7.61% | ||
| GM | 61.26% |
OM growth 3Y-0.89%
OM growth 5Y-4.58%
PM growth 3Y-26.44%
PM growth 5Y-13.1%
GM growth 3Y0.19%
GM growth 5Y-0.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CPT is destroying value.
CPT has less shares outstanding than it did 1 year ago.
CPT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CPT has been reduced compared to a year ago.
2.2 Solvency
CPT has an Altman-Z score of 1.74. This is a bad value and indicates that CPT is not financially healthy and even has some risk of bankruptcy.
CPT has a better Altman-Z score (1.74) than 80.00% of its industry peers.
The Debt to FCF ratio of CPT is 8.87, which is on the high side as it means it would take CPT, 8.87 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.87, CPT belongs to the top of the industry, outperforming 95.00% of the companies in the same industry.
A Debt/Equity ratio of 0.81 indicates that CPT is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.81, CPT is doing good in the industry, outperforming 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 8.87 | ||
| Altman-Z | 1.74 |
ROIC/WACC0.36
WACC7.54%
2.3 Liquidity
CPT has a Current Ratio of 0.10. This is a bad value and indicates that CPT is not financially healthy enough and could expect problems in meeting its short term obligations.
CPT has a worse Current ratio (0.10) than 75.00% of its industry peers.
CPT has a Quick Ratio of 0.10. This is a bad value and indicates that CPT is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.10, CPT is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.1 | ||
| Quick Ratio | 0.1 |
3. Growth
3.1 Past
The earnings per share for CPT have decreased strongly by -64.15% in the last year.
The Earnings Per Share has been growing slightly by 0.43% on average over the past years.
CPT shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -19.42%.
The Revenue has been growing by 8.46% on average over the past years. This is quite good.
EPS 1Y (TTM)-64.15%
EPS 3Y13.97%
EPS 5Y0.43%
EPS Q2Q%-53.25%
Revenue 1Y (TTM)-19.42%
Revenue growth 3Y10.52%
Revenue growth 5Y8.46%
Sales Q2Q%1.94%
3.2 Future
CPT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.76% yearly.
CPT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.86% yearly.
EPS Next Y-30.93%
EPS Next 2Y-8.93%
EPS Next 3Y4.76%
EPS Next 5YN/A
Revenue Next Year2.18%
Revenue Next 2Y2.72%
Revenue Next 3Y3.47%
Revenue Next 5Y4.86%
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 accelerating.
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
CPT is valuated quite expensively with a Price/Earnings ratio of 77.14.
Based on the Price/Earnings ratio, CPT is valued a bit cheaper than the industry average as 65.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.28, CPT is valued quite expensively.
Based on the Price/Forward Earnings ratio of 72.73, the valuation of CPT can be described as expensive.
CPT's Price/Forward Earnings is on the same level as the industry average.
CPT is valuated expensively when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 77.14 | ||
| Fwd PE | 72.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CPT is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CPT indicates a somewhat cheap valuation: CPT is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.77 | ||
| EV/EBITDA | 17.84 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)178.96
EPS Next 2Y-8.93%
EPS Next 3Y4.76%
5. Dividend
5.1 Amount
CPT has a Yearly Dividend Yield of 3.67%.
Compared to an average industry Dividend Yield of 4.72, CPT is paying slightly less dividend.
CPT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.67% |
5.2 History
The dividend of CPT has a limited annual growth rate of 4.99%.
CPT has paid a dividend for at least 10 years, which is a reliable track record.
CPT has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.99%
Div Incr Years7
Div Non Decr Years14
5.3 Sustainability
CPT pays out 384.83% of its income as dividend. This is not a sustainable payout ratio.
The dividend of CPT is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP384.83%
EPS Next 2Y-8.93%
EPS Next 3Y4.76%
113.4
+0.43 (+0.38%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners96.56%
Inst Owner Change0.78%
Ins Owners1.25%
Ins Owner Change2.8%
Market Cap12.12B
Analysts73.33
Price Target132.4 (16.75%)
Short Float %2.27%
Short Ratio2.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.67% |
Yearly Dividend4.15
Dividend Growth(5Y)4.99%
DP384.83%
Div Incr Years7
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.3%
Min EPS beat(2)-12.31%
Max EPS beat(2)5.72%
EPS beat(4)1
Avg EPS beat(4)-4.15%
Min EPS beat(4)-12.31%
Max EPS beat(4)5.72%
EPS beat(8)5
Avg EPS beat(8)78.71%
EPS beat(12)8
Avg EPS beat(12)114.05%
EPS beat(16)8
Avg EPS beat(16)81.6%
Revenue beat(2)0
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-1.1%
Max Revenue beat(2)-0.57%
Revenue beat(4)0
Avg Revenue beat(4)-0.92%
Min Revenue beat(4)-1.54%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-0.95%
Revenue beat(12)1
Avg Revenue beat(12)6.98%
Revenue beat(16)4
Avg Revenue beat(16)11.46%
PT rev (1m)0.23%
PT rev (3m)0.45%
EPS NQ rev (1m)-0.4%
EPS NQ rev (3m)-10.58%
EPS NY rev (1m)-1.67%
EPS NY rev (3m)-15.81%
Revenue NQ rev (1m)0.14%
Revenue NQ rev (3m)0.39%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 77.14 | ||
| Fwd PE | 72.73 | ||
| P/S | 7.81 | ||
| P/FCF | 28.77 | ||
| P/OCF | 15.39 | ||
| P/B | 2.63 | ||
| P/tB | 2.63 | ||
| EV/EBITDA | 17.84 |
EPS(TTM)1.47
EY1.3%
EPS(NY)1.56
Fwd EY1.37%
FCF(TTM)3.94
FCFY3.48%
OCF(TTM)7.37
OCFY6.5%
SpS14.52
BVpS43.2
TBVpS43.2
PEG (NY)N/A
PEG (5Y)178.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.31% | ||
| ROE | 2.56% | ||
| ROCE | 3.45% | ||
| ROIC | 2.73% | ||
| ROICexc | 2.73% | ||
| ROICexgc | 2.81% | ||
| OM | 19.2% | ||
| PM (TTM) | 7.61% | ||
| GM | 61.26% | ||
| FCFM | 27.15% |
ROA(3y)4.38%
ROA(5y)3.73%
ROE(3y)8.22%
ROE(5y)7.1%
ROIC(3y)2.74%
ROIC(5y)2.62%
ROICexc(3y)2.77%
ROICexc(5y)2.72%
ROICexgc(3y)2.85%
ROICexgc(5y)2.8%
ROCE(3y)3.46%
ROCE(5y)3.32%
ROICexcg growth 3Y0.86%
ROICexcg growth 5Y-2.21%
ROICexc growth 3Y1.1%
ROICexc growth 5Y-2.02%
OM growth 3Y-0.89%
OM growth 5Y-4.58%
PM growth 3Y-26.44%
PM growth 5Y-13.1%
GM growth 3Y0.19%
GM growth 5Y-0.06%
F-Score4
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 8.87 | ||
| Debt/EBITDA | 4.22 | ||
| Cap/Depr | 62.41% | ||
| Cap/Sales | 23.6% | ||
| Interest Coverage | 2.23 | ||
| Cash Conversion | 89.02% | ||
| Profit Quality | 356.94% | ||
| Current Ratio | 0.1 | ||
| Quick Ratio | 0.1 | ||
| Altman-Z | 1.74 |
F-Score4
WACC7.54%
ROIC/WACC0.36
Cap/Depr(3y)72.34%
Cap/Depr(5y)87.06%
Cap/Sales(3y)27.91%
Cap/Sales(5y)32.43%
Profit Quality(3y)124.82%
Profit Quality(5y)99.59%
High Growth Momentum
Growth
EPS 1Y (TTM)-64.15%
EPS 3Y13.97%
EPS 5Y0.43%
EPS Q2Q%-53.25%
EPS Next Y-30.93%
EPS Next 2Y-8.93%
EPS Next 3Y4.76%
EPS Next 5YN/A
Revenue 1Y (TTM)-19.42%
Revenue growth 3Y10.52%
Revenue growth 5Y8.46%
Sales Q2Q%1.94%
Revenue Next Year2.18%
Revenue Next 2Y2.72%
Revenue Next 3Y3.47%
Revenue Next 5Y4.86%
EBIT growth 1Y-25.24%
EBIT growth 3Y9.54%
EBIT growth 5Y3.5%
EBIT Next Year205.47%
EBIT Next 3Y49.68%
EBIT Next 5Y38.06%
FCF growth 1Y35.28%
FCF growth 3Y36.84%
FCF growth 5Y20.83%
OCF growth 1Y3.29%
OCF growth 3Y10.3%
OCF growth 5Y6.88%