CAMDEN PROPERTY TRUST (CPT) Stock Fundamental Analysis
NYSE:CPT - New York Stock Exchange, Inc. - US1331311027 - REIT - Currency: USD
We assign a fundamental rating of 5 out of 10 to CPT. CPT was compared to 20 industry peers in the Residential REITs industry. CPT has only an average score on both its financial health and profitability. CPT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CPT was profitable.
In the past year CPT had a positive cash flow from operations.
In the past 5 years CPT has always been profitable.
CPT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CPT has a Return On Assets of 1.84%. This is in the better half of the industry: CPT outperforms 65.00% of its industry peers.
CPT's Return On Equity of 3.49% is fine compared to the rest of the industry. CPT outperforms 65.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.78%, CPT is in line with its industry, outperforming 60.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CPT is in line with the industry average of 2.75%.
The last Return On Invested Capital (2.78%) for CPT is above the 3 year average (2.74%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.84% | ||
| ROE | 3.49% | ||
| ROIC | 2.78% |
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
With a decent Profit Margin value of 10.56%, CPT is doing good in the industry, outperforming 65.00% of the companies in the same industry.
In the last couple of years the Profit Margin of CPT has declined.
CPT has a Operating Margin of 19.25%. This is comparable to the rest of the industry: CPT outperforms 55.00% of its industry peers.
In the last couple of years the Operating Margin of CPT has declined.
CPT has a better Gross Margin (61.18%) 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 | 19.25% | ||
| PM (TTM) | 10.56% | ||
| GM | 61.18% |
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.
The number of shares outstanding for CPT has been reduced compared to 1 year ago.
The number of shares outstanding for CPT has been increased compared to 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 2.00. This is not the best score and indicates that CPT is in the grey zone with still only limited risk for bankruptcy at the moment.
CPT has a Altman-Z score of 2.00. This is in the better half of the industry: CPT outperforms 80.00% of its industry peers.
CPT has a debt to FCF ratio of 9.15. This is a negative value and a sign of low solvency as CPT would need 9.15 years to pay back of all of its debts.
CPT has a better Debt to FCF ratio (9.15) than 100.00% of its industry peers.
CPT has a Debt/Equity ratio of 0.75. This is a neutral value indicating CPT is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.75, CPT is doing good in the industry, outperforming 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 9.15 | ||
| Altman-Z | 2 |
ROIC/WACC0.37
WACC7.58%
2.3 Liquidity
A Current Ratio of 0.07 indicates that CPT may have some problems paying its short term obligations.
With a Current ratio value of 0.07, CPT is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
A Quick Ratio of 0.07 indicates that CPT may have some problems paying its short term obligations.
CPT's Quick ratio of 0.07 is on the low side compared to the rest of the industry. CPT is outperformed by 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 |
3. Growth
3.1 Past
The earnings per share for CPT have decreased strongly by -49.46% in the last year.
The Earnings Per Share has been growing slightly by 0.43% on average over the past years.
Looking at the last year, CPT shows a very negative growth in Revenue. The Revenue has decreased by -19.60% in the last year.
The Revenue has been growing by 8.46% on average over the past years. This is quite good.
EPS 1Y (TTM)-49.46%
EPS 3Y13.97%
EPS 5Y0.43%
EPS Q2Q%-81.77%
Revenue 1Y (TTM)-19.6%
Revenue growth 3Y10.52%
Revenue growth 5Y8.46%
Sales Q2Q%-0.33%
3.2 Future
Based on estimates for the next years, CPT will show a small growth in Earnings Per Share. The EPS will grow by 6.37% on average per year.
CPT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.83% yearly.
EPS Next Y-14.34%
EPS Next 2Y-1.53%
EPS Next 3Y6.37%
EPS Next 5YN/A
Revenue Next Year1.92%
Revenue Next 2Y2.88%
Revenue Next 3Y3.75%
Revenue Next 5Y4.83%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 65.20, which means the current valuation is very expensive for CPT.
CPT's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 29.71. CPT is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 76.12, which means the current valuation is very expensive for CPT.
The rest of the industry has a similar Price/Forward Earnings ratio as CPT.
The average S&P500 Price/Forward Earnings ratio is at 22.34. CPT is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 65.2 | ||
| Fwd PE | 76.12 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CPT is valued a bit cheaper than 80.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CPT is valued a bit cheaper than 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.31 | ||
| EV/EBITDA | 19.04 |
4.3 Compensation for Growth
The decent profitability rating of CPT may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)151.27
EPS Next 2Y-1.53%
EPS Next 3Y6.37%
5. Dividend
5.1 Amount
CPT has a Yearly Dividend Yield of 3.41%. Purely for dividend investing, there may be better candidates out there.
CPT's Dividend Yield is comparable with the industry average which is at 4.06.
CPT's Dividend Yield is a higher than the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
5.2 History
The dividend of CPT has a limited annual growth rate of 4.99%.
CPT has been paying a dividend for at least 10 years, so it has a reliable track record.
CPT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.99%
Div Incr Years6
Div Non Decr Years13
5.3 Sustainability
276.67% of the earnings are spent on dividend by CPT. This is not a sustainable payout ratio.
CPT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP276.67%
EPS Next 2Y-1.53%
EPS Next 3Y6.37%
NYSE:CPT (3/6/2025, 11:26:06 AM)
122.585
-1.84 (-1.47%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners96.35%
Inst Owner Change-3.09%
Ins Owners1.2%
Ins Owner Change3.03%
Market Cap13.08B
Analysts71.03
Price Target129.54 (5.67%)
Short Float %1.75%
Short Ratio2.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
Yearly Dividend4.15
Dividend Growth(5Y)4.99%
DP276.67%
Div Incr Years6
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.67%
Min EPS beat(2)-12.31%
Max EPS beat(2)-9.02%
EPS beat(4)1
Avg EPS beat(4)16.19%
Min EPS beat(4)-12.31%
Max EPS beat(4)87.09%
EPS beat(8)5
Avg EPS beat(8)80.41%
EPS beat(12)7
Avg EPS beat(12)113.4%
EPS beat(16)7
Avg EPS beat(16)80.99%
Revenue beat(2)0
Avg Revenue beat(2)-1.32%
Min Revenue beat(2)-1.54%
Max Revenue beat(2)-1.1%
Revenue beat(4)0
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-1.54%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-0.98%
Revenue beat(12)2
Avg Revenue beat(12)7.08%
Revenue beat(16)5
Avg Revenue beat(16)11.53%
PT rev (1m)0.87%
PT rev (3m)0.12%
EPS NQ rev (1m)-2.78%
EPS NQ rev (3m)-6.91%
EPS NY rev (1m)5.94%
EPS NY rev (3m)0.19%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)-0.49%
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 65.2 | ||
| Fwd PE | 76.12 | ||
| P/S | 8.47 | ||
| P/FCF | 34.31 | ||
| P/OCF | 16.88 | ||
| P/B | 2.8 | ||
| P/tB | 2.8 | ||
| EV/EBITDA | 19.04 |
EPS(TTM)1.88
EY1.53%
EPS(NY)1.61
Fwd EY1.31%
FCF(TTM)3.57
FCFY2.91%
OCF(TTM)7.26
OCFY5.93%
SpS14.47
BVpS43.82
TBVpS43.82
PEG (NY)N/A
PEG (5Y)151.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.84% | ||
| ROE | 3.49% | ||
| ROCE | 3.52% | ||
| ROIC | 2.78% | ||
| ROICexc | 2.79% | ||
| ROICexgc | 2.87% | ||
| OM | 19.25% | ||
| PM (TTM) | 10.56% | ||
| GM | 61.18% | ||
| FCFM | 24.69% |
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 | 0.75 | ||
| Debt/FCF | 9.15 | ||
| Debt/EBITDA | 3.96 | ||
| Cap/Depr | 67.65% | ||
| Cap/Sales | 25.5% | ||
| Interest Coverage | 2.29 | ||
| Cash Conversion | 88.13% | ||
| Profit Quality | 233.83% | ||
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 | ||
| Altman-Z | 2 |
F-Score4
WACC7.58%
ROIC/WACC0.37
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)-49.46%
EPS 3Y13.97%
EPS 5Y0.43%
EPS Q2Q%-81.77%
EPS Next Y-14.34%
EPS Next 2Y-1.53%
EPS Next 3Y6.37%
EPS Next 5YN/A
Revenue 1Y (TTM)-19.6%
Revenue growth 3Y10.52%
Revenue growth 5Y8.46%
Sales Q2Q%-0.33%
Revenue Next Year1.92%
Revenue Next 2Y2.88%
Revenue Next 3Y3.75%
Revenue Next 5Y4.83%
EBIT growth 1Y-25.94%
EBIT growth 3Y9.54%
EBIT growth 5Y3.5%
EBIT Next Year204.52%
EBIT Next 3Y51.51%
EBIT Next 5Y40.26%
FCF growth 1Y-0.75%
FCF growth 3Y36.84%
FCF growth 5Y20.83%
OCF growth 1Y-2.53%
OCF growth 3Y10.3%
OCF growth 5Y6.88%