EPR PROPERTIES (EPR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EPR - US26884U1097 - REIT
51.7 USD
+0.08 (+0.15%)
51.7 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to EPR. EPR was compared to 30 industry peers in the Specialized REITs industry. While EPR has a great profitability rating, there are quite some concerns on its financial health. EPR may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
- EPR had positive earnings in the past year.
- In the past year EPR had a positive cash flow from operations.
- Of the past 5 years EPR 4 years were profitable.
- In the past 5 years EPR always reported a positive cash flow from operatings.
1.2 Ratios
- EPR has a Return On Assets of 3.17%. This is in the better half of the industry: EPR outperforms 63.33% of its industry peers.
- Looking at the Return On Equity, with a value of 7.54%, EPR is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- The Return On Invested Capital of EPR (5.80%) is better than 70.00% 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 4.86%.
- The 3 year average ROIC (5.38%) for EPR is below the current ROIC(5.80%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.17% | ||
| ROE | 7.54% | ||
| ROIC | 5.8% |
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 better Profit Margin (24.63%) than 63.33% of its industry peers.
- EPR's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 53.57%, EPR belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
- EPR's Operating Margin has improved in the last couple of years.
- The Gross Margin of EPR (92.59%) is better than 90.00% of its industry peers.
- In the last couple of years the Gross Margin of EPR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 53.57% | ||
| PM (TTM) | 24.63% | ||
| GM | 92.59% |
OM growth 3Y8.75%
OM growth 5Y3%
PM growth 3Y7.63%
PM growth 5Y-8.57%
GM growth 3Y-0.75%
GM growth 5Y-0.63%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so EPR is destroying value.
- Compared to 1 year ago, EPR has more shares outstanding
- 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 0.71. This is a bad value and indicates that EPR is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.71, EPR is in line with its industry, outperforming 43.33% of the companies in the same industry.
- The Debt to FCF ratio of EPR is 9.28, which is on the high side as it means it would take EPR, 9.28 years of fcf income to pay off all of its debts.
- EPR's Debt to FCF ratio of 9.28 is fine compared to the rest of the industry. EPR outperforms 73.33% of its industry peers.
- A Debt/Equity ratio of 1.19 is on the high side and indicates that EPR has dependencies on debt financing.
- EPR has a Debt to Equity ratio of 1.19. This is comparable to the rest of the industry: EPR outperforms 53.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | 9.28 | ||
| Altman-Z | 0.71 |
ROIC/WACC0.77
WACC7.58%
2.3 Liquidity
- A Current Ratio of 0.42 indicates that EPR may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.42, EPR is doing worse than 66.67% of the companies in the same industry.
- A Quick Ratio of 0.42 indicates that EPR may have some problems paying its short term obligations.
- The Quick ratio of EPR (0.42) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
- The earnings per share for EPR have decreased by -0.87% in the last year.
- The earnings per share for EPR have been decreasing by -10.07% on average. This is quite bad
- EPR shows a small growth in Revenue. In the last year, the Revenue has grown by 2.86%.
- Measured over the past years, EPR shows a small growth in Revenue. The Revenue has been growing by 1.39% on average per year.
EPS 1Y (TTM)-0.87%
EPS 3Y17.35%
EPS 5Y-10.07%
EPS Q2Q%49.06%
Revenue 1Y (TTM)2.86%
Revenue growth 3Y9.5%
Revenue growth 5Y1.39%
Sales Q2Q%1%
3.2 Future
- EPR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.78% yearly.
- The Revenue is expected to grow by 3.97% on average over the next years.
EPS Next Y102.21%
EPS Next 2Y37.89%
EPS Next 3Y24.78%
EPS Next 5YN/A
Revenue Next Year9.57%
Revenue Next 2Y6.3%
Revenue Next 3Y5.43%
Revenue Next 5Y3.97%
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 accelerating.
- 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
- EPR is valuated rather expensively with a Price/Earnings ratio of 22.58.
- EPR's Price/Earnings ratio is rather cheap when compared to the industry. EPR is cheaper than 83.33% of the companies in the same industry.
- When comparing the Price/Earnings ratio of EPR to the average of the S&P500 Index (28.60), we can say EPR is valued slightly cheaper.
- With a Price/Forward Earnings ratio of 16.99, EPR is valued correctly.
- 90.00% of the companies in the same industry are more expensive than EPR, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.83. EPR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.58 | ||
| Fwd PE | 16.99 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EPR indicates a rather cheap valuation: EPR is cheaper than 96.67% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, EPR is valued cheaper than 90.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.2 | ||
| EV/EBITDA | 12.2 |
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.
- EPR's earnings are expected to grow with 24.78% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.22
PEG (5Y)N/A
EPS Next 2Y37.89%
EPS Next 3Y24.78%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 6.45%, EPR is a good candidate for dividend investing.
- EPR's Dividend Yield is rather good when compared to the industry average which is at 5.51. EPR pays more dividend than 86.67% of the companies in the same industry.
- EPR's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.45% |
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 164.16% of its income as dividend. This is not a sustainable payout ratio.
DP164.16%
EPS Next 2Y37.89%
EPS Next 3Y24.78%
EPR PROPERTIES / EPR FAQ
What is the fundamental rating for EPR stock?
ChartMill assigns a fundamental rating of 5 / 10 to EPR.
What is the valuation status for EPR stock?
ChartMill assigns a valuation rating of 8 / 10 to EPR PROPERTIES (EPR). This can be considered as Undervalued.
Can you provide the profitability details for EPR PROPERTIES?
EPR PROPERTIES (EPR) has a profitability rating of 7 / 10.
What is the valuation of EPR PROPERTIES based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EPR PROPERTIES (EPR) is 22.58 and the Price/Book (PB) ratio is 1.69.
What is the expected EPS growth for EPR PROPERTIES (EPR) stock?
The Earnings per Share (EPS) of EPR PROPERTIES (EPR) is expected to grow by 102.21% in the next year.