EPR PROPERTIES (EPR) Stock Fundamental Analysis
NYSE:EPR - New York Stock Exchange, Inc. - US26884U1097 - REIT - Currency: USD
We assign a fundamental rating of 4 out of 10 to EPR. EPR was compared to 30 industry peers in the Specialized REITs industry. While EPR is still in line with the averages on profitability rating, there are concerns on its financial health. EPR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year EPR was profitable.
EPR had a positive operating cash flow in the past year.
EPR had positive earnings in 4 of the past 5 years.
In the past 5 years EPR always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of EPR (2.26%) is comparable to the rest of the industry.
EPR has a Return On Equity (5.39%) which is comparable to the rest of the industry.
The Return On Invested Capital of EPR (5.66%) is better than 63.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EPR is in line with the industry average of 5.28%.
The 3 year average ROIC (5.38%) for EPR is below the current ROIC(5.66%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.26% | ||
| ROE | 5.39% | ||
| ROIC | 5.66% |
ROA(3y)2.47%
ROA(5y)1.28%
ROE(3y)5.77%
ROE(5y)2.85%
ROIC(3y)5.38%
ROIC(5y)4.15%
1.3 Margins
EPR has a Profit Margin of 17.71%. This is comparable to the rest of the industry: EPR outperforms 60.00% of its industry peers.
EPR's Profit Margin has declined in the last couple of years.
EPR's Operating Margin of 52.66% is amongst the best of the industry. EPR outperforms 83.33% of its industry peers.
In the last couple of years the Operating Margin of EPR has grown nicely.
The Gross Margin of EPR (95.33%) is better than 90.00% of its industry peers.
EPR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 52.66% | ||
| PM (TTM) | 17.71% | ||
| GM | 95.33% |
OM growth 3Y8.75%
OM growth 5Y3%
PM growth 3Y7.63%
PM growth 5Y-8.57%
GM growth 3Y0.59%
GM growth 5Y0.18%
2. Health
2.1 Basic Checks
EPR 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 EPR has been increased compared to 1 year ago.
The number of shares outstanding for EPR has been reduced compared to 5 years ago.
The debt/assets ratio for EPR is higher compared to a year ago.
2.2 Solvency
EPR has an Altman-Z score of 0.81. This is a bad value and indicates that EPR is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of EPR (0.81) is worse than 60.00% of its industry peers.
The Debt to FCF ratio of EPR is 9.88, which is on the high side as it means it would take EPR, 9.88 years of fcf income to pay off all of its debts.
EPR has a Debt to FCF ratio of 9.88. This is in the better half of the industry: EPR outperforms 70.00% of its industry peers.
EPR has a Debt/Equity ratio of 1.20. This is a high value indicating a heavy dependency on external financing.
EPR has a Debt to Equity ratio (1.20) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.2 | ||
| Debt/FCF | 9.88 | ||
| Altman-Z | 0.81 |
ROIC/WACC0.74
WACC7.6%
2.3 Liquidity
EPR has a Current Ratio of 0.43. This is a bad value and indicates that EPR is not financially healthy enough and could expect problems in meeting its short term obligations.
EPR has a Current ratio of 0.43. This is in the lower half of the industry: EPR underperforms 66.67% of its industry peers.
A Quick Ratio of 0.43 indicates that EPR may have some problems paying its short term obligations.
EPR has a worse Quick ratio (0.43) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 |
3. Growth
3.1 Past
EPR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -37.79%.
Measured over the past years, EPR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.07% on average per year.
Looking at the last year, EPR shows a small growth in Revenue. The Revenue has grown by 0.62% in the last year.
The Revenue has been growing slightly by 1.39% on average over the past years.
EPS 1Y (TTM)-37.79%
EPS 3Y17.35%
EPS 5Y-10.07%
EPS Q2Q%4%
Revenue 1Y (TTM)0.62%
Revenue growth 3Y9.5%
Revenue growth 5Y1.39%
Sales Q2Q%4.66%
3.2 Future
The Earnings Per Share is expected to grow by 25.93% on average over the next years. This is a very strong growth
Based on estimates for the next years, EPR will show a small growth in Revenue. The Revenue will grow by 3.99% on average per year.
EPS Next Y86.13%
EPS Next 2Y36.69%
EPS Next 3Y25.93%
EPS Next 5YN/A
Revenue Next Year8.9%
Revenue Next 2Y5.84%
Revenue Next 3Y2.71%
Revenue Next 5Y3.99%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 36.03, which means the current valuation is very expensive for EPR.
EPR's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.50, EPR is valued a bit more expensive.
The Price/Forward Earnings ratio is 19.64, which indicates a rather expensive current valuation of EPR.
EPR's Price/Forward Earnings ratio is rather cheap when compared to the industry. EPR is cheaper than 90.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of EPR to the average of the S&P500 Index (36.44), we can say EPR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.03 | ||
| Fwd PE | 19.64 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EPR is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, EPR is valued cheaper than 86.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.81 | ||
| EV/EBITDA | 13.54 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
EPR has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as EPR's earnings are expected to grow with 25.93% in the coming years.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y36.69%
EPS Next 3Y25.93%
5. Dividend
5.1 Amount
EPR has a Yearly Dividend Yield of 5.92%, which is a nice return.
EPR's Dividend Yield is a higher than the industry average which is at 5.78.
Compared to an average S&P500 Dividend Yield of 2.35, EPR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.92% |
5.2 History
The dividend of EPR decreases each year by -5.07%.
EPR has been paying a dividend for at least 10 years, so it has a reliable track record.
EPR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-5.07%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
EPR pays out 225.96% of its income as dividend. This is not a sustainable payout ratio.
DP225.96%
EPS Next 2Y36.69%
EPS Next 3Y25.93%
58.73
-0.64 (-1.08%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners79.68%
Inst Owner Change-0.09%
Ins Owners2.16%
Ins Owner Change16.53%
Market Cap4.47B
Analysts72.94
Price Target56 (-4.65%)
Short Float %4.86%
Short Ratio5.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.92% |
Yearly Dividend3.71
Dividend Growth(5Y)-5.07%
DP225.96%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-52.49%
Min EPS beat(2)-129.26%
Max EPS beat(2)24.27%
EPS beat(4)1
Avg EPS beat(4)-37.99%
Min EPS beat(4)-129.26%
Max EPS beat(4)24.27%
EPS beat(8)3
Avg EPS beat(8)-19.05%
EPS beat(12)5
Avg EPS beat(12)-14.07%
EPS beat(16)9
Avg EPS beat(16)357.28%
Revenue beat(2)2
Avg Revenue beat(2)5.33%
Min Revenue beat(2)4.67%
Max Revenue beat(2)5.99%
Revenue beat(4)4
Avg Revenue beat(4)4.65%
Min Revenue beat(4)3.12%
Max Revenue beat(4)5.99%
Revenue beat(8)7
Avg Revenue beat(8)5.54%
Revenue beat(12)11
Avg Revenue beat(12)8.55%
Revenue beat(16)15
Avg Revenue beat(16)9.69%
PT rev (1m)0.37%
PT rev (3m)5.58%
EPS NQ rev (1m)0.71%
EPS NQ rev (3m)-0.07%
EPS NY rev (1m)3.01%
EPS NY rev (3m)6.13%
Revenue NQ rev (1m)-0.82%
Revenue NQ rev (3m)3.16%
Revenue NY rev (1m)2.18%
Revenue NY rev (3m)4.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.03 | ||
| Fwd PE | 19.64 | ||
| P/S | 6.33 | ||
| P/FCF | 15.81 | ||
| P/OCF | 11.37 | ||
| P/B | 1.92 | ||
| P/tB | 1.95 | ||
| EV/EBITDA | 13.54 |
EPS(TTM)1.63
EY2.78%
EPS(NY)2.99
Fwd EY5.09%
FCF(TTM)3.71
FCFY6.32%
OCF(TTM)5.17
OCFY8.8%
SpS9.28
BVpS30.51
TBVpS30.07
PEG (NY)0.42
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.26% | ||
| ROE | 5.39% | ||
| ROCE | 7.16% | ||
| ROIC | 5.66% | ||
| ROICexc | 5.68% | ||
| ROICexgc | 5.72% | ||
| OM | 52.66% | ||
| PM (TTM) | 17.71% | ||
| GM | 95.33% | ||
| FCFM | 40.03% |
ROA(3y)2.47%
ROA(5y)1.28%
ROE(3y)5.77%
ROE(5y)2.85%
ROIC(3y)5.38%
ROIC(5y)4.15%
ROICexc(3y)5.45%
ROICexc(5y)4.28%
ROICexgc(3y)5.51%
ROICexgc(5y)4.33%
ROCE(3y)6.81%
ROCE(5y)5.25%
ROICexcg growth 3Y19.26%
ROICexcg growth 5Y6.31%
ROICexc growth 3Y18.72%
ROICexc growth 5Y6.03%
OM growth 3Y8.75%
OM growth 5Y3%
PM growth 3Y7.63%
PM growth 5Y-8.57%
GM growth 3Y0.59%
GM growth 5Y0.18%
F-Score5
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.2 | ||
| Debt/FCF | 9.88 | ||
| Debt/EBITDA | 5.19 | ||
| Cap/Depr | 66.37% | ||
| Cap/Sales | 15.64% | ||
| Interest Coverage | 2.86 | ||
| Cash Conversion | 73.04% | ||
| Profit Quality | 226.02% | ||
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 | ||
| Altman-Z | 0.81 |
F-Score5
WACC7.6%
ROIC/WACC0.74
Cap/Depr(3y)110.86%
Cap/Depr(5y)86.3%
Cap/Sales(3y)26.92%
Cap/Sales(5y)23.2%
Profit Quality(3y)175.09%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-37.79%
EPS 3Y17.35%
EPS 5Y-10.07%
EPS Q2Q%4%
EPS Next Y86.13%
EPS Next 2Y36.69%
EPS Next 3Y25.93%
EPS Next 5YN/A
Revenue 1Y (TTM)0.62%
Revenue growth 3Y9.5%
Revenue growth 5Y1.39%
Sales Q2Q%4.66%
Revenue Next Year8.9%
Revenue Next 2Y5.84%
Revenue Next 3Y2.71%
Revenue Next 5Y3.99%
EBIT growth 1Y0.6%
EBIT growth 3Y19.08%
EBIT growth 5Y4.44%
EBIT Next Year56.01%
EBIT Next 3Y19.18%
EBIT Next 5YN/A
FCF growth 1Y89.04%
FCF growth 3Y3.51%
FCF growth 5YN/A
OCF growth 1Y-9.7%
OCF growth 3Y8.6%
OCF growth 5Y-2.2%