IMMOBILIARE GRANDE DISTRIBUZ (IGD.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:IGD - IT0005322612 - REIT
3.518 EUR
-0.02 (-0.62%)
We assign a fundamental rating of 3 out of 10 to IGD. IGD was compared to 42 industry peers in the Diversified REITs industry. There are concerns on the financial health of IGD while its profitability can be described as average. IGD has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year IGD was profitable.
- In the past year IGD had a positive cash flow from operations.
- IGD had negative earnings in 4 of the past 5 years.
- IGD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- IGD has a worse Return On Assets (0.82%) than 66.67% of its industry peers.
- IGD has a worse Return On Equity (1.56%) than 64.29% of its industry peers.
- IGD has a Return On Invested Capital of 5.84%. This is amongst the best in the industry. IGD outperforms 95.24% of its industry peers.
- IGD had an Average Return On Invested Capital over the past 3 years of 3.96%. This is in line with the industry average of 3.45%.
- The 3 year average ROIC (3.96%) for IGD is below the current ROIC(5.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.82% | ||
| ROE | 1.56% | ||
| ROIC | 5.84% |
ROA(3y)-2.2%
ROA(5y)-1.48%
ROE(3y)-4.42%
ROE(5y)-3.08%
ROIC(3y)3.96%
ROIC(5y)3.84%
1.3 Margins
- Looking at the Profit Margin, with a value of 7.18%, IGD is doing worse than 64.29% of the companies in the same industry.
- IGD's Operating Margin of 65.35% is in line compared to the rest of the industry. IGD outperforms 50.00% of its industry peers.
- In the last couple of years the Operating Margin of IGD has declined.
- With a decent Gross Margin value of 85.86%, IGD is doing good in the industry, outperforming 78.57% of the companies in the same industry.
- In the last couple of years the Gross Margin of IGD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 65.35% | ||
| PM (TTM) | 7.18% | ||
| GM | 85.86% |
OM growth 3Y-2.82%
OM growth 5Y-2.28%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.68%
GM growth 5Y-1.13%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), IGD is creating some value.
- IGD has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for IGD remains at a similar level compared to 5 years ago.
- Compared to 1 year ago, IGD has an improved debt to assets ratio.
2.2 Solvency
- IGD has an Altman-Z score of 0.86. This is a bad value and indicates that IGD is not financially healthy and even has some risk of bankruptcy.
- IGD has a Altman-Z score (0.86) which is comparable to the rest of the industry.
- IGD has a debt to FCF ratio of 22.55. This is a negative value and a sign of low solvency as IGD would need 22.55 years to pay back of all of its debts.
- The Debt to FCF ratio of IGD (22.55) is worse than 64.29% of its industry peers.
- IGD has a Debt/Equity ratio of 0.79. This is a neutral value indicating IGD is somewhat dependend on debt financing.
- The Debt to Equity ratio of IGD (0.79) is worse than 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 22.55 | ||
| Altman-Z | 0.86 |
ROIC/WACC1.14
WACC5.1%
2.3 Liquidity
- IGD has a Current Ratio of 0.52. This is a bad value and indicates that IGD is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Current ratio of IGD (0.52) is comparable to the rest of the industry.
- IGD has a Quick Ratio of 0.52. This is a bad value and indicates that IGD is not financially healthy enough and could expect problems in meeting its short term obligations.
- IGD has a worse Quick ratio (0.23) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.23 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 127.60% over the past year.
- The Revenue has decreased by -6.63% in the past year.
- The Revenue has been decreasing by -2.17% on average over the past years.
EPS 1Y (TTM)127.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%132.59%
Revenue 1Y (TTM)-6.63%
Revenue growth 3Y-1.5%
Revenue growth 5Y-2.17%
Sales Q2Q%-5.1%
3.2 Future
- IGD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 29.89% yearly.
- The Revenue is expected to decrease by -0.91% on average over the next years.
EPS Next Y38.97%
EPS Next 2Y41.9%
EPS Next 3Y29.89%
EPS Next 5YN/A
Revenue Next Year-1.39%
Revenue Next 2Y-0.49%
Revenue Next 3Y-0.91%
Revenue Next 5YN/A
3.3 Evolution
- 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
- The Price/Earnings ratio is 25.13, which means the current valuation is very expensive for IGD.
- Compared to the rest of the industry, the Price/Earnings ratio of IGD indicates a slightly more expensive valuation: IGD is more expensive than 61.90% of the companies listed in the same industry.
- IGD is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 8.87, which indicates a very decent valuation of IGD.
- 85.71% of the companies in the same industry are more expensive than IGD, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, IGD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.13 | ||
| Fwd PE | 8.87 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IGD indicates a rather cheap valuation: IGD is cheaper than 100.00% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, IGD is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.88 | ||
| EV/EBITDA | 8.45 |
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.
- IGD's earnings are expected to grow with 29.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.64
PEG (5Y)N/A
EPS Next 2Y41.9%
EPS Next 3Y29.89%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.87%, IGD has a reasonable but not impressive dividend return.
- IGD's Dividend Yield is slightly below the industry average, which is at 5.43.
- Compared to an average S&P500 Dividend Yield of 1.81, IGD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- IGD pays out 72.52% of its income as dividend. This is not a sustainable payout ratio.
DP72.52%
EPS Next 2Y41.9%
EPS Next 3Y29.89%
IMMOBILIARE GRANDE DISTRIBUZ / IGD.MI FAQ
What is the ChartMill fundamental rating of IMMOBILIARE GRANDE DISTRIBUZ (IGD.MI) stock?
ChartMill assigns a fundamental rating of 3 / 10 to IGD.MI.
What is the valuation status for IGD stock?
ChartMill assigns a valuation rating of 6 / 10 to IMMOBILIARE GRANDE DISTRIBUZ (IGD.MI). This can be considered as Fairly Valued.
What is the profitability of IGD stock?
IMMOBILIARE GRANDE DISTRIBUZ (IGD.MI) has a profitability rating of 4 / 10.
What is the valuation of IMMOBILIARE GRANDE DISTRIBUZ based on its PE and PB ratios?
The Price/Earnings (PE) ratio for IMMOBILIARE GRANDE DISTRIBUZ (IGD.MI) is 25.13 and the Price/Book (PB) ratio is 0.4.
Is the dividend of IMMOBILIARE GRANDE DISTRIBUZ sustainable?
The dividend rating of IMMOBILIARE GRANDE DISTRIBUZ (IGD.MI) is 3 / 10 and the dividend payout ratio is 72.52%.