EASTGROUP PROPERTIES INC (EGP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EGP - US2772761019 - REIT
181.18 USD
0 (0%)
181.18 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to EGP. EGP was compared to 128 industry peers in the Diversified REITs industry. While EGP has a great profitability rating, there are quite some concerns on its financial health. EGP 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 EGP was profitable.
In the past year EGP had a positive cash flow from operations.
In the past 5 years EGP has always been profitable.
In the past 5 years EGP always reported a positive cash flow from operatings.
1.2 Ratios
EGP has a better Return On Assets (4.64%) than 92.97% of its industry peers.
EGP has a Return On Equity of 7.08%. This is amongst the best in the industry. EGP outperforms 80.47% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.43%, EGP belongs to the top of the industry, outperforming 85.94% of the companies in the same industry.
EGP had an Average Return On Invested Capital over the past 3 years of 4.12%. This is in line with the industry average of 3.06%.
The 3 year average ROIC (4.12%) for EGP is below the current ROIC(4.43%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.64% | ||
| ROE | 7.08% | ||
| ROIC | 4.43% |
ROA(3y)4.51%
ROA(5y)4.48%
ROE(3y)8.05%
ROE(5y)8.54%
ROIC(3y)4.12%
ROIC(5y)4.02%
1.3 Margins
The Profit Margin of EGP (35.58%) is better than 89.06% of its industry peers.
EGP's Profit Margin has been stable in the last couple of years.
The Operating Margin of EGP (39.91%) is better than 85.94% of its industry peers.
In the last couple of years the Operating Margin of EGP has grown nicely.
With a decent Gross Margin value of 73.30%, EGP is doing good in the industry, outperforming 67.19% of the companies in the same industry.
EGP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.91% | ||
| PM (TTM) | 35.58% | ||
| GM | 73.3% |
OM growth 3Y2.65%
OM growth 5Y2.53%
PM growth 3Y-2.58%
PM growth 5Y-0.63%
GM growth 3Y0.41%
GM growth 5Y0.26%
2. Health
2.1 Basic Checks
EGP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for EGP has been increased compared to 1 year ago.
EGP has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, EGP has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.27 indicates that EGP is not in any danger for bankruptcy at the moment.
EGP has a Altman-Z score of 3.27. This is amongst the best in the industry. EGP outperforms 97.66% of its industry peers.
A Debt/Equity ratio of 0.39 indicates that EGP is not too dependend on debt financing.
EGP's Debt to Equity ratio of 0.39 is amongst the best of the industry. EGP outperforms 94.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.27 |
ROIC/WACC0.58
WACC7.68%
2.3 Liquidity
EGP has a Current Ratio of 0.32. This is a bad value and indicates that EGP is not financially healthy enough and could expect problems in meeting its short term obligations.
EGP has a Current ratio of 0.32. This is amonst the worse of the industry: EGP underperforms 85.16% of its industry peers.
A Quick Ratio of 0.32 indicates that EGP may have some problems paying its short term obligations.
EGP's Quick ratio of 0.32 is on the low side compared to the rest of the industry. EGP is outperformed by 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.32 | ||
| Quick Ratio | 0.32 |
3. Growth
3.1 Past
EGP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.65%.
The Earnings Per Share has been growing slightly by 7.49% on average over the past years.
The Revenue has grown by 11.61% in the past year. This is quite good.
EGP shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.08% yearly.
EPS 1Y (TTM)-1.65%
EPS 3Y6.13%
EPS 5Y7.49%
EPS Q2Q%11.5%
Revenue 1Y (TTM)11.61%
Revenue growth 3Y16.07%
Revenue growth 5Y14.08%
Sales Q2Q%11.82%
3.2 Future
EGP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.27% yearly.
The Revenue is expected to grow by 11.63% on average over the next years. This is quite good.
EPS Next Y6.79%
EPS Next 2Y7.87%
EPS Next 3Y8.99%
EPS Next 5Y7.27%
Revenue Next Year11.9%
Revenue Next 2Y10.58%
Revenue Next 3Y10.54%
Revenue Next 5Y11.63%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 38.06, the valuation of EGP can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of EGP indicates a somewhat cheap valuation: EGP is cheaper than 60.16% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of EGP to the average of the S&P500 Index (26.31), we can say EGP is valued slightly more expensively.
A Price/Forward Earnings ratio of 33.49 indicates a quite expensive valuation of EGP.
EGP's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. EGP is cheaper than 73.44% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, EGP is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.06 | ||
| Fwd PE | 33.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EGP is valued expensively inside the industry as 86.72% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 22.75 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
EGP has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.6
PEG (5Y)5.08
EPS Next 2Y7.87%
EPS Next 3Y8.99%
5. Dividend
5.1 Amount
EGP has a Yearly Dividend Yield of 3.53%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.59, EGP is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.40, EGP pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
5.2 History
On average, the dividend of EGP grows each year by 11.97%, which is quite nice.
EGP has been paying a dividend for at least 10 years, so it has a reliable track record.
EGP has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)11.97%
Div Incr Years13
Div Non Decr Years33
5.3 Sustainability
116.28% of the earnings are spent on dividend by EGP. This is not a sustainable payout ratio.
The dividend of EGP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP116.28%
EPS Next 2Y7.87%
EPS Next 3Y8.99%
181.18
0 (0%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners101.31%
Inst Owner Change2.12%
Ins Owners0.88%
Ins Owner Change0.22%
Market Cap9.66B
Revenue(TTM)697.91M
Net Income(TTM)248.31M
Analysts79.2
Price Target196.92 (8.69%)
Short Float %3%
Short Ratio4.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
Yearly Dividend5.08
Dividend Growth(5Y)11.97%
DP116.28%
Div Incr Years13
Div Non Decr Years33
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.4%
Min EPS beat(2)1.98%
Max EPS beat(2)2.82%
EPS beat(4)4
Avg EPS beat(4)1.71%
Min EPS beat(4)0.2%
Max EPS beat(4)2.82%
EPS beat(8)7
Avg EPS beat(8)6.11%
EPS beat(12)11
Avg EPS beat(12)6.48%
EPS beat(16)14
Avg EPS beat(16)15.04%
Revenue beat(2)1
Avg Revenue beat(2)-0.29%
Min Revenue beat(2)-0.6%
Max Revenue beat(2)0.01%
Revenue beat(4)2
Avg Revenue beat(4)-0.34%
Min Revenue beat(4)-2.34%
Max Revenue beat(4)1.57%
Revenue beat(8)4
Avg Revenue beat(8)-0.14%
Revenue beat(12)8
Avg Revenue beat(12)0.26%
Revenue beat(16)11
Avg Revenue beat(16)0.41%
PT rev (1m)2.56%
PT rev (3m)2.82%
EPS NQ rev (1m)3.97%
EPS NQ rev (3m)5.79%
EPS NY rev (1m)3.73%
EPS NY rev (3m)4.52%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)0.1%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.06 | ||
| Fwd PE | 33.49 | ||
| P/S | 13.84 | ||
| P/FCF | N/A | ||
| P/OCF | 20.56 | ||
| P/B | 2.75 | ||
| P/tB | 2.88 | ||
| EV/EBITDA | 22.75 |
EPS(TTM)4.76
EY2.63%
EPS(NY)5.41
Fwd EY2.99%
FCF(TTM)-5.19
FCFYN/A
OCF(TTM)8.81
OCFY4.86%
SpS13.09
BVpS65.79
TBVpS62.91
PEG (NY)5.6
PEG (5Y)5.08
Graham Number83.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.64% | ||
| ROE | 7.08% | ||
| ROCE | 5.61% | ||
| ROIC | 4.43% | ||
| ROICexc | 4.44% | ||
| ROICexgc | 4.59% | ||
| OM | 39.91% | ||
| PM (TTM) | 35.58% | ||
| GM | 73.3% | ||
| FCFM | N/A |
ROA(3y)4.51%
ROA(5y)4.48%
ROE(3y)8.05%
ROE(5y)8.54%
ROIC(3y)4.12%
ROIC(5y)4.02%
ROICexc(3y)4.13%
ROICexc(5y)4.03%
ROICexgc(3y)4.3%
ROICexgc(5y)4.18%
ROCE(3y)5.21%
ROCE(5y)5.09%
ROICexgc growth 3Y4.65%
ROICexgc growth 5Y3.51%
ROICexc growth 3Y4.42%
ROICexc growth 5Y3.37%
OM growth 3Y2.65%
OM growth 5Y2.53%
PM growth 3Y-2.58%
PM growth 5Y-0.63%
GM growth 3Y0.41%
GM growth 5Y0.26%
F-Score5
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.79 | ||
| Cap/Depr | 356.79% | ||
| Cap/Sales | 107.01% | ||
| Interest Coverage | 8.67 | ||
| Cash Conversion | 96.32% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.32 | ||
| Quick Ratio | 0.32 | ||
| Altman-Z | 3.27 |
F-Score5
WACC7.68%
ROIC/WACC0.58
Cap/Depr(3y)356.47%
Cap/Depr(5y)350.31%
Cap/Sales(3y)108.21%
Cap/Sales(5y)107.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1.65%
EPS 3Y6.13%
EPS 5Y7.49%
EPS Q2Q%11.5%
EPS Next Y6.79%
EPS Next 2Y7.87%
EPS Next 3Y8.99%
EPS Next 5Y7.27%
Revenue 1Y (TTM)11.61%
Revenue growth 3Y16.07%
Revenue growth 5Y14.08%
Sales Q2Q%11.82%
Revenue Next Year11.9%
Revenue Next 2Y10.58%
Revenue Next 3Y10.54%
Revenue Next 5Y11.63%
EBIT growth 1Y11.88%
EBIT growth 3Y19.14%
EBIT growth 5Y16.96%
EBIT Next Year74.3%
EBIT Next 3Y28.26%
EBIT Next 5Y23.71%
FCF growth 1Y-50.35%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y38.18%
OCF growth 3Y17.55%
OCF growth 5Y16.29%
EASTGROUP PROPERTIES INC / EGP FAQ
What is the fundamental rating for EGP stock?
ChartMill assigns a fundamental rating of 5 / 10 to EGP.
What is the valuation status for EGP stock?
ChartMill assigns a valuation rating of 2 / 10 to EASTGROUP PROPERTIES INC (EGP). This can be considered as Overvalued.
What is the profitability of EGP stock?
EASTGROUP PROPERTIES INC (EGP) has a profitability rating of 8 / 10.
What is the valuation of EASTGROUP PROPERTIES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EASTGROUP PROPERTIES INC (EGP) is 38.06 and the Price/Book (PB) ratio is 2.75.
Can you provide the expected EPS growth for EGP stock?
The Earnings per Share (EPS) of EASTGROUP PROPERTIES INC (EGP) is expected to grow by 6.79% in the next year.