HEALTHPEAK PROPERTIES INC (DOC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DOC - US42250P1030 - REIT
17.69 USD
-0.07 (-0.39%)
We assign a fundamental rating of 3 out of 10 to DOC. DOC was compared to 124 industry peers in the Diversified REITs industry. There are concerns on the financial health of DOC while its profitability can be described as average. DOC is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year DOC was profitable.
- DOC had a positive operating cash flow in the past year.
- Each year in the past 5 years DOC has been profitable.
- DOC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- DOC has a worse Return On Assets (-0.20%) than 61.29% of its industry peers.
- Looking at the Return On Equity, with a value of -0.51%, DOC is doing worse than 61.29% of the companies in the same industry.
- The Return On Invested Capital of DOC (2.23%) is comparable to the rest of the industry.
- Measured over the past 3 years, the Average Return On Invested Capital for DOC is in line with the industry average of 3.05%.
- The last Return On Invested Capital (2.23%) for DOC is above the 3 year average (2.19%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.2% | ||
| ROE | -0.51% | ||
| ROIC | 2.23% |
ROA(3y)2.1%
ROA(5y)2.44%
ROE(3y)5.05%
ROE(5y)5.78%
ROIC(3y)2.19%
ROIC(5y)1.92%
1.3 Margins
- In the last couple of years the Profit Margin of DOC has grown nicely.
- DOC has a Operating Margin (18.19%) which is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of DOC has declined.
- Looking at the Gross Margin, with a value of 60.08%, DOC is doing worse than 66.94% of the companies in the same industry.
- DOC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.19% | ||
| PM (TTM) | N/A | ||
| GM | 60.08% |
OM growth 3Y-2.63%
OM growth 5Y-7.45%
PM growth 3Y-30.28%
PM growth 5Y20.4%
GM growth 3Y0.52%
GM growth 5Y-2.11%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DOC is destroying value.
- The number of shares outstanding for DOC has been increased compared to 1 year ago.
- DOC has more shares outstanding than it did 5 years ago.
- DOC has about the same debt/assets ratio as last year.
2.2 Solvency
- DOC has an Altman-Z score of 0.34. This is a bad value and indicates that DOC is not financially healthy and even has some risk of bankruptcy.
- DOC's Altman-Z score of 0.34 is on the low side compared to the rest of the industry. DOC is outperformed by 60.48% of its industry peers.
- DOC has a debt to FCF ratio of 20.30. This is a negative value and a sign of low solvency as DOC would need 20.30 years to pay back of all of its debts.
- With a decent Debt to FCF ratio value of 20.30, DOC is doing good in the industry, outperforming 76.61% of the companies in the same industry.
- DOC has a Debt/Equity ratio of 1.20. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of DOC (1.20) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.2 | ||
| Debt/FCF | 20.3 | ||
| Altman-Z | 0.34 |
ROIC/WACC0.35
WACC6.42%
2.3 Liquidity
- DOC has a Current Ratio of 0.11. This is a bad value and indicates that DOC is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.11, DOC is not doing good in the industry: 95.16% of the companies in the same industry are doing better.
- A Quick Ratio of 0.11 indicates that DOC may have some problems paying its short term obligations.
- DOC has a worse Quick ratio (0.11) than 95.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.11 | ||
| Quick Ratio | 0.11 |
3. Growth
3.1 Past
- DOC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -57.45%.
- Measured over the past years, DOC shows a very strong growth in Earnings Per Share. The EPS has been growing by 28.47% on average per year.
- The Revenue has grown by 9.58% in the past year. This is quite good.
- Measured over the past years, DOC shows a quite strong growth in Revenue. The Revenue has been growing by 16.84% on average per year.
EPS 1Y (TTM)-57.45%
EPS 3Y-16.9%
EPS 5Y28.47%
EPS Q2Q%-33.33%
Revenue 1Y (TTM)9.58%
Revenue growth 3Y12.51%
Revenue growth 5Y16.84%
Sales Q2Q%0.78%
3.2 Future
- The Earnings Per Share is expected to decrease by -0.97% on average over the next years.
- DOC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.64% yearly.
EPS Next Y-34.78%
EPS Next 2Y-13.14%
EPS Next 3Y-6.42%
EPS Next 5Y-0.97%
Revenue Next Year3.23%
Revenue Next 2Y2.31%
Revenue Next 3Y2.58%
Revenue Next 5Y4.64%
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
- Based on the Price/Earnings ratio of 88.45, the valuation of DOC can be described as expensive.
- The rest of the industry has a similar Price/Earnings ratio as DOC.
- The average S&P500 Price/Earnings ratio is at 27.25. DOC is valued rather expensively when compared to this.
- The Price/Forward Earnings ratio is 67.00, which means the current valuation is very expensive for DOC.
- The rest of the industry has a similar Price/Forward Earnings ratio as DOC.
- DOC's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 88.45 | ||
| Fwd PE | 67 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DOC is valued a bit cheaper than 62.90% of the companies in the same industry.
- 74.19% of the companies in the same industry are more expensive than DOC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.32 | ||
| EV/EBITDA | 13.53 |
4.3 Compensation for Growth
- A cheap valuation may be justified as DOC's earnings are expected to decrease with -6.42% in the coming years.
PEG (NY)N/A
PEG (5Y)3.11
EPS Next 2Y-13.14%
EPS Next 3Y-6.42%
5. Dividend
5.1 Amount
- DOC has a Yearly Dividend Yield of 6.86%, which is a nice return.
- Compared to an average industry Dividend Yield of 6.82, DOC pays a bit more dividend than its industry peers.
- DOC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.86% |
5.2 History
- The dividend of DOC decreases each year by -2.76%.
- DOC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-2.76%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- DOC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
- The Dividend Rate of DOC has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP-2176.08%
EPS Next 2Y-13.14%
EPS Next 3Y-6.42%
HEALTHPEAK PROPERTIES INC / DOC FAQ
Can you provide the ChartMill fundamental rating for HEALTHPEAK PROPERTIES INC?
ChartMill assigns a fundamental rating of 3 / 10 to DOC.
What is the valuation status for DOC stock?
ChartMill assigns a valuation rating of 2 / 10 to HEALTHPEAK PROPERTIES INC (DOC). This can be considered as Overvalued.
Can you provide the profitability details for HEALTHPEAK PROPERTIES INC?
HEALTHPEAK PROPERTIES INC (DOC) has a profitability rating of 4 / 10.
What is the valuation of HEALTHPEAK PROPERTIES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for HEALTHPEAK PROPERTIES INC (DOC) is 88.45 and the Price/Book (PB) ratio is 1.62.
How sustainable is the dividend of HEALTHPEAK PROPERTIES INC (DOC) stock?
The dividend rating of HEALTHPEAK PROPERTIES INC (DOC) is 5 / 10 and the dividend payout ratio is -2176.08%.