CTO REALTY GROWTH INC (CTO) Stock Fundamental Analysis
NYSE:CTO - New York Stock Exchange, Inc. - US22948Q1013 - REIT - Currency: USD
CTO gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 129 industry peers in the Diversified REITs industry. Both the profitability and financial health of CTO have multiple concerns. CTO is valued expensive and it does not seem to be growing. Finally CTO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year CTO was profitable.
CTO had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: CTO reported negative net income in multiple years.
Of the past 5 years CTO 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 1.20%, CTO perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
CTO's Return On Equity of 2.38% is in line compared to the rest of the industry. CTO outperforms 54.76% of its industry peers.
CTO has a Return On Invested Capital of 1.84%. This is in the lower half of the industry: CTO underperforms 72.22% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CTO is in line with the industry average of 3.11%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.2% | ||
| ROE | 2.38% | ||
| ROIC | 1.84% |
ROA(3y)1.23%
ROA(5y)6.36%
ROE(3y)2.09%
ROE(5y)13.78%
ROIC(3y)1.86%
ROIC(5y)1.72%
1.3 Margins
CTO has a better Profit Margin (11.94%) than 61.11% of its industry peers.
In the last couple of years the Profit Margin of CTO has declined.
CTO has a Operating Margin (19.90%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of CTO has declined.
With a decent Gross Margin value of 72.62%, CTO is doing good in the industry, outperforming 64.29% of the companies in the same industry.
In the last couple of years the Gross Margin of CTO has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.9% | ||
| PM (TTM) | 11.94% | ||
| GM | 72.62% |
OM growth 3Y0.2%
OM growth 5Y-2.57%
PM growth 3Y-82.91%
PM growth 5Y-61.78%
GM growth 3Y-0.31%
GM growth 5Y-1.98%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CTO is destroying value.
CTO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
Based on the Altman-Z score of 1.10, we must say that CTO is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.10, CTO is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
CTO has a Debt/Equity ratio of 0.88. This is a neutral value indicating CTO is somewhat dependend on debt financing.
The Debt to Equity ratio of CTO (0.88) is better than 65.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.1 |
ROIC/WACC0.25
WACC7.32%
2.3 Liquidity
A Current Ratio of 0.66 indicates that CTO may have some problems paying its short term obligations.
CTO has a Current ratio of 0.66. This is in the lower half of the industry: CTO underperforms 74.60% of its industry peers.
A Quick Ratio of 0.65 indicates that CTO may have some problems paying its short term obligations.
CTO has a Quick ratio of 0.65. This is in the lower half of the industry: CTO underperforms 72.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
CTO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 4050.00%, which is quite impressive.
The earnings per share for CTO have been decreasing by -33.60% on average. This is quite bad
EPS 1Y (TTM)4050%
EPS 3Y-30.54%
EPS 5Y-33.6%
EPS Q2Q%96%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%19.59%
3.2 Future
The Earnings Per Share is expected to decrease by -45.24% on average over the next years. This is quite bad
The Revenue is expected to grow by 11.80% on average over the next years. This is quite good.
EPS Next Y-86.61%
EPS Next 2Y-45.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year13.12%
Revenue Next 2Y11.8%
Revenue Next 3YN/A
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.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.90, CTO is valued on the expensive side.
CTO's Price/Earnings ratio is a bit cheaper when compared to the industry. CTO is cheaper than 76.19% of the companies in the same industry.
CTO is valuated rather cheaply when we compare the Price/Earnings ratio to 29.63, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 171.11 indicates a quite expensive valuation of CTO.
The rest of the industry has a similar Price/Forward Earnings ratio as CTO.
When comparing the Price/Forward Earnings ratio of CTO to the average of the S&P500 Index (22.68), we can say CTO is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.9 | ||
| Fwd PE | 171.11 |
4.2 Price Multiples
CTO's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. CTO is more expensive than 61.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.91 |
4.3 Compensation for Growth
A cheap valuation may be justified as CTO's earnings are expected to decrease with -45.24% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-45.24%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.52%, CTO is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 18.48, CTO pays a better dividend. On top of this CTO pays more dividend than 80.16% of the companies listed in the same industry.
CTO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.52% |
5.2 History
On average, the dividend of CTO grows each year by 88.05%, which is quite nice.
CTO has been paying a dividend for at least 10 years, so it has a reliable track record.
CTO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)88.05%
Div Incr Years13
Div Non Decr Years13
5.3 Sustainability
303.42% of the earnings are spent on dividend by CTO. This is not a sustainable payout ratio.
CTO's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP303.42%
EPS Next 2Y-45.24%
EPS Next 3YN/A
19.01
-1.2 (-5.94%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners75.83%
Inst Owner Change18.31%
Ins Owners3.85%
Ins Owner Change6%
Market Cap569.92M
Analysts85.45
Price Target23.21 (22.09%)
Short Float %5.23%
Short Ratio4.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.52% |
Yearly Dividend1.71
Dividend Growth(5Y)88.05%
DP303.42%
Div Incr Years13
Div Non Decr Years13
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)411.88%
Min EPS beat(2)50.5%
Max EPS beat(2)773.27%
EPS beat(4)4
Avg EPS beat(4)501.56%
Min EPS beat(4)50.5%
Max EPS beat(4)892.08%
EPS beat(8)6
Avg EPS beat(8)-286.6%
EPS beat(12)8
Avg EPS beat(12)-140.55%
EPS beat(16)11
Avg EPS beat(16)114.25%
Revenue beat(2)2
Avg Revenue beat(2)4.04%
Min Revenue beat(2)3.89%
Max Revenue beat(2)4.19%
Revenue beat(4)3
Avg Revenue beat(4)3.36%
Min Revenue beat(4)-6.9%
Max Revenue beat(4)12.27%
Revenue beat(8)7
Avg Revenue beat(8)5.52%
Revenue beat(12)11
Avg Revenue beat(12)9.89%
Revenue beat(16)14
Avg Revenue beat(16)9.05%
PT rev (1m)0%
PT rev (3m)6.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.9 | ||
| Fwd PE | 171.11 | ||
| P/S | 4.8 | ||
| P/FCF | N/A | ||
| P/OCF | 10.9 | ||
| P/B | 0.96 | ||
| P/tB | 1.17 | ||
| EV/EBITDA | 15.91 |
EPS(TTM)0.83
EY4.37%
EPS(NY)0.11
Fwd EY0.58%
FCF(TTM)-5.57
FCFYN/A
OCF(TTM)1.74
OCFY9.18%
SpS3.96
BVpS19.87
TBVpS16.28
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.2% | ||
| ROE | 2.38% | ||
| ROCE | 2.04% | ||
| ROIC | 1.84% | ||
| ROICexc | 1.86% | ||
| ROICexgc | 2.1% | ||
| OM | 19.9% | ||
| PM (TTM) | 11.94% | ||
| GM | 72.62% | ||
| FCFM | N/A |
ROA(3y)1.23%
ROA(5y)6.36%
ROE(3y)2.09%
ROE(5y)13.78%
ROIC(3y)1.86%
ROIC(5y)1.72%
ROICexc(3y)1.88%
ROICexc(5y)1.74%
ROICexgc(3y)2.2%
ROICexgc(5y)1.99%
ROCE(3y)2.06%
ROCE(5y)1.91%
ROICexcg growth 3Y11.11%
ROICexcg growth 5Y5.23%
ROICexc growth 3Y9.76%
ROICexc growth 5Y4.53%
OM growth 3Y0.2%
OM growth 5Y-2.57%
PM growth 3Y-82.91%
PM growth 5Y-61.78%
GM growth 3Y-0.31%
GM growth 5Y-1.98%
F-Score8
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.45 | ||
| Cap/Depr | 466.06% | ||
| Cap/Sales | 184.85% | ||
| Interest Coverage | 1.07 | ||
| Cash Conversion | 74.01% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 1.1 |
F-Score8
WACC7.32%
ROIC/WACC0.25
Cap/Depr(3y)855.53%
Cap/Depr(5y)880.17%
Cap/Sales(3y)280.18%
Cap/Sales(5y)294.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4050%
EPS 3Y-30.54%
EPS 5Y-33.6%
EPS Q2Q%96%
EPS Next Y-86.61%
EPS Next 2Y-45.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%19.59%
Revenue Next Year13.12%
Revenue Next 2Y11.8%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y36.16%
EBIT growth 3Y24.86%
EBIT growth 5Y17.02%
EBIT Next Year244.5%
EBIT Next 3Y59.14%
EBIT Next 5YN/A
FCF growth 1Y18.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y6.11%
OCF growth 3Y39.96%
OCF growth 5Y-0.59%