EASTGROUP PROPERTIES INC (EGP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EGP - US2772761019 - REIT
181.36 USD
+0.79 (+0.44%)
181.36 USD
0 (0%)
EGP gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 128 industry peers in the Diversified REITs industry. EGP has an excellent profitability rating, but there are concerns on its financial health. EGP is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year EGP was profitable.
EGP had a positive operating cash flow in the past year.
In the past 5 years EGP has always been profitable.
Each year in the past 5 years EGP had a positive operating cash flow.
1.2 Ratios
EGP has a Return On Assets of 4.64%. This is amongst the best in the industry. EGP outperforms 89.84% of its industry peers.
Looking at the Return On Equity, with a value of 7.08%, EGP is in the better half of the industry, outperforming 77.34% of the companies in the same industry.
With an excellent Return On Invested Capital value of 4.43%, EGP belongs to the best of the industry, outperforming 85.94% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for EGP is in line with the industry average of 3.05%.
The last Return On Invested Capital (4.43%) for EGP is above the 3 year average (4.12%), which is a sign of increasing profitability.
| 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
Looking at the Profit Margin, with a value of 35.58%, EGP belongs to the top of the industry, outperforming 89.06% of the companies in the same industry.
EGP's Profit Margin has been stable in the last couple of years.
EGP has a better Operating Margin (39.91%) than 85.94% of its industry peers.
In the last couple of years the Operating Margin of EGP has grown nicely.
EGP's Gross Margin of 73.30% is fine compared to the rest of the industry. EGP outperforms 66.41% of its industry peers.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EGP 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.
The Altman-Z score of EGP (3.27) is better than 98.44% of its industry peers.
A Debt/Equity ratio of 0.39 indicates that EGP is not too dependend on debt financing.
EGP has a better Debt to Equity ratio (0.39) than 94.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.27 |
ROIC/WACC0.57
WACC7.84%
2.3 Liquidity
A Current Ratio of 0.32 indicates that EGP may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.32, EGP is doing worse than 85.16% of the companies in the same industry.
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.
EGP shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.61%.
Measured over the past years, EGP shows a quite strong growth in Revenue. The Revenue has been growing by 14.08% on average per year.
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 7.76% yearly.
The Revenue is expected to grow by 11.35% on average over the next years. This is quite good.
EPS Next Y3.82%
EPS Next 2Y6.61%
EPS Next 3Y8.99%
EPS Next 5Y7.76%
Revenue Next Year11.93%
Revenue Next 2Y10.52%
Revenue Next 3Y10.31%
Revenue Next 5Y11.35%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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 38.10, the valuation of EGP can be described as expensive.
EGP's Price/Earnings ratio is in line with the industry average.
EGP is valuated rather expensively when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 34.32 indicates a quite expensive valuation of EGP.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EGP indicates a somewhat cheap valuation: EGP is cheaper than 70.31% of the companies listed in the same industry.
EGP's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 24.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.1 | ||
| Fwd PE | 34.32 |
4.2 Price Multiples
EGP's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. EGP is more expensive than 86.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 22.77 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EGP does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of EGP may justify a higher PE ratio.
PEG (NY)9.96
PEG (5Y)5.08
EPS Next 2Y6.61%
EPS Next 3Y8.99%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.41%, EGP has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.33, EGP is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 1.87, EGP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
5.2 History
The dividend of EGP is nicely growing with an annual growth rate of 11.97%!
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.
EGP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP116.28%
EPS Next 2Y6.61%
EPS Next 3Y8.99%
181.36
+0.79 (+0.44%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners102.47%
Inst Owner Change2.13%
Ins Owners0.87%
Ins Owner Change-0.27%
Market Cap9.68B
Revenue(TTM)697.91M
Net Income(TTM)248.31M
Analysts79.2
Price TargetN/A
Short Float %2.98%
Short Ratio4.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
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)0.9%
PT rev (3m)2.98%
EPS NQ rev (1m)-3.05%
EPS NQ rev (3m)0.79%
EPS NY rev (1m)-2.78%
EPS NY rev (3m)1.62%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-0.05%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.1 | ||
| Fwd PE | 34.32 | ||
| P/S | 13.86 | ||
| P/FCF | N/A | ||
| P/OCF | 20.59 | ||
| P/B | 2.76 | ||
| P/tB | 2.88 | ||
| EV/EBITDA | 22.77 |
EPS(TTM)4.76
EY2.62%
EPS(NY)5.28
Fwd EY2.91%
FCF(TTM)-5.19
FCFYN/A
OCF(TTM)8.81
OCFY4.86%
SpS13.08
BVpS65.77
TBVpS62.88
PEG (NY)9.96
PEG (5Y)5.08
Graham Number83.93
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
WACC7.84%
ROIC/WACC0.57
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 Y3.82%
EPS Next 2Y6.61%
EPS Next 3Y8.99%
EPS Next 5Y7.76%
Revenue 1Y (TTM)11.61%
Revenue growth 3Y16.07%
Revenue growth 5Y14.08%
Sales Q2Q%11.82%
Revenue Next Year11.93%
Revenue Next 2Y10.52%
Revenue Next 3Y10.31%
Revenue Next 5Y11.35%
EBIT growth 1Y11.88%
EBIT growth 3Y19.14%
EBIT growth 5Y16.96%
EBIT Next Year74.55%
EBIT Next 3Y28.01%
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 38.1 and the Price/Book (PB) ratio is 2.76.
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 3.82% in the next year.