DREAM OFFICE REAL ESTATE INV (D-UN.CA) Stock Fundamental Analysis
TSX:D-UN - Toronto Stock Exchange - CA26153P2035 - REIT - Currency: CAD
D-UN gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 38 industry peers in the Diversified REITs industry. Both the profitability and financial health of D-UN have multiple concerns. D-UN has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
D-UN had negative earnings in the past year.
D-UN had a positive operating cash flow in the past year.
In multiple years D-UN reported negative net income over the last 5 years.
D-UN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
D-UN has a Return On Assets of -6.15%. This is in the lower half of the industry: D-UN underperforms 76.32% of its industry peers.
D-UN's Return On Equity of -14.38% is on the low side compared to the rest of the industry. D-UN is outperformed by 68.42% of its industry peers.
Looking at the Return On Invested Capital, with a value of 1.99%, D-UN is doing worse than 94.74% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for D-UN is below the industry average of 5.66%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.15% | ||
| ROE | -14.38% | ||
| ROIC | 1.99% |
ROA(3y)-1.63%
ROA(5y)1.26%
ROE(3y)-4%
ROE(5y)1.96%
ROIC(3y)2.5%
ROIC(5y)2.51%
1.3 Margins
D-UN has a Operating Margin of 32.50%. This is amonst the worse of the industry: D-UN underperforms 86.84% of its industry peers.
In the last couple of years the Operating Margin of D-UN has declined.
D-UN's Gross Margin of 54.04% is on the low side compared to the rest of the industry. D-UN is outperformed by 63.16% of its industry peers.
In the last couple of years the Gross Margin of D-UN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.5% | ||
| PM (TTM) | N/A | ||
| GM | 54.04% |
OM growth 3Y-11.8%
OM growth 5Y-7.65%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.34%
GM growth 5Y-0.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), D-UN is destroying value.
D-UN has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, D-UN has less shares outstanding
D-UN has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.23, we must say that D-UN is in the distress zone and has some risk of bankruptcy.
D-UN has a worse Altman-Z score (-0.23) than 81.58% of its industry peers.
The Debt to FCF ratio of D-UN is 17.63, which is on the high side as it means it would take D-UN, 17.63 years of fcf income to pay off all of its debts.
D-UN has a Debt to FCF ratio (17.63) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.17 is on the high side and indicates that D-UN has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.17, D-UN is in line with its industry, outperforming 52.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 17.63 | ||
| Altman-Z | -0.23 |
ROIC/WACC0.37
WACC5.34%
2.3 Liquidity
A Current Ratio of 0.30 indicates that D-UN may have some problems paying its short term obligations.
D-UN has a Current ratio (0.30) which is comparable to the rest of the industry.
A Quick Ratio of 0.30 indicates that D-UN may have some problems paying its short term obligations.
D-UN has a Quick ratio (0.30) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.3 | ||
| Quick Ratio | 0.3 |
3. Growth
3.1 Past
D-UN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -167.58%.
D-UN shows a small growth in Revenue. In the last year, the Revenue has grown by 2.52%.
D-UN shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.05% yearly.
EPS 1Y (TTM)-167.58%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-380.73%
Revenue 1Y (TTM)2.52%
Revenue growth 3Y0.03%
Revenue growth 5Y-3.05%
Sales Q2Q%-1.17%
3.2 Future
Based on estimates for the next years, D-UN will show a very strong growth in Earnings Per Share. The EPS will grow by 52.38% on average per year.
Based on estimates for the next years, D-UN will show a decrease in Revenue. The Revenue will decrease by -0.09% on average per year.
EPS Next Y126.71%
EPS Next 2Y52.38%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-3.59%
Revenue Next 2Y-0.95%
Revenue Next 3Y-0.09%
Revenue Next 5YN/A
3.3 Evolution
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
D-UN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Based on the Price/Forward Earnings ratio of 11.70, the valuation of D-UN can be described as reasonable.
73.68% of the companies in the same industry are more expensive than D-UN, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 21.76. D-UN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 11.7 |
4.2 Price Multiples
D-UN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. D-UN is cheaper than 60.53% of the companies in the same industry.
D-UN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. D-UN is cheaper than 94.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.83 | ||
| EV/EBITDA | 23.8 |
4.3 Compensation for Growth
D-UN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
D-UN's earnings are expected to grow with 52.38% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y52.38%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.98%, D-UN is a good candidate for dividend investing.
D-UN's Dividend Yield is comparable with the industry average which is at 7.95.
Compared to an average S&P500 Dividend Yield of 2.42, D-UN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.98% |
5.2 History
The dividend of D-UN decreases each year by -4.93%.
D-UN has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-4.93%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
D-UN has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-10.89%
EPS Next 2Y52.38%
EPS Next 3YN/A
TSX:D-UN (7/2/2025, 7:00:00 PM)
16.82
+0.55 (+3.38%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners1.79%
Inst Owner ChangeN/A
Ins Owners23.07%
Ins Owner ChangeN/A
Market Cap275.18M
Analysts49.41
Price Target17.28 (2.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.98% |
Yearly Dividend0.78
Dividend Growth(5Y)-4.93%
DP-10.89%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)-9.9%
PT rev (3m)-11.59%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-2.5%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 11.7 | ||
| P/S | 1.41 | ||
| P/FCF | 3.83 | ||
| P/OCF | 3.83 | ||
| P/B | 0.26 | ||
| P/tB | 0.26 | ||
| EV/EBITDA | 23.8 |
EPS(TTM)-7.77
EYN/A
EPS(NY)1.44
Fwd EY8.55%
FCF(TTM)4.39
FCFY26.12%
OCF(TTM)4.39
OCFY26.12%
SpS11.95
BVpS63.74
TBVpS63.74
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.15% | ||
| ROE | -14.38% | ||
| ROCE | 2.77% | ||
| ROIC | 1.99% | ||
| ROICexc | 2.01% | ||
| ROICexgc | 2.01% | ||
| OM | 32.5% | ||
| PM (TTM) | N/A | ||
| GM | 54.04% | ||
| FCFM | 36.75% |
ROA(3y)-1.63%
ROA(5y)1.26%
ROE(3y)-4%
ROE(5y)1.96%
ROIC(3y)2.5%
ROIC(5y)2.51%
ROICexc(3y)2.51%
ROICexc(5y)2.53%
ROICexgc(3y)2.51%
ROICexgc(5y)2.53%
ROCE(3y)3.47%
ROCE(5y)3.49%
ROICexcg growth 3Y-1.86%
ROICexcg growth 5Y-7.02%
ROICexc growth 3Y-1.86%
ROICexc growth 5Y-7.01%
OM growth 3Y-11.8%
OM growth 5Y-7.65%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.34%
GM growth 5Y-0.58%
F-Score6
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 17.63 | ||
| Debt/EBITDA | 19.22 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.98 | ||
| Cash Conversion | 112.9% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.3 | ||
| Quick Ratio | 0.3 | ||
| Altman-Z | -0.23 |
F-Score6
WACC5.34%
ROIC/WACC0.37
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-167.58%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-380.73%
EPS Next Y126.71%
EPS Next 2Y52.38%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)2.52%
Revenue growth 3Y0.03%
Revenue growth 5Y-3.05%
Sales Q2Q%-1.17%
Revenue Next Year-3.59%
Revenue Next 2Y-0.95%
Revenue Next 3Y-0.09%
Revenue Next 5YN/A
EBIT growth 1Y-30.19%
EBIT growth 3Y-11.78%
EBIT growth 5Y-10.47%
EBIT Next Year49.87%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y5.61%
FCF growth 3Y-8.92%
FCF growth 5Y-9.94%
OCF growth 1Y5.61%
OCF growth 3Y-8.92%
OCF growth 5Y-9.94%