INSTONE REAL ESTATE GROUP SE (INS.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:INS - DE000A2NBX80 - Common Stock
8.485 EUR
+0.13 (+1.62%)
Taking everything into account, INS scores 4 out of 10 in our fundamental rating. INS was compared to 71 industry peers in the Real Estate Management & Development industry. There are concerns on the financial health of INS while its profitability can be described as average. INS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- INS had positive earnings in the past year.
- INS had a negative operating cash flow in the past year.
- INS had positive earnings in each of the past 5 years.
- In the past 5 years INS always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of INS (2.81%) is better than 67.61% of its industry peers.
- INS has a better Return On Equity (8.22%) than 80.28% of its industry peers.
- The Return On Invested Capital of INS (3.28%) is better than 69.01% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for INS is in line with the industry average of 3.94%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.81% | ||
| ROE | 8.22% | ||
| ROIC | 3.28% |
ROA(3y)1.66%
ROA(5y)2.61%
ROE(3y)5.3%
ROE(5y)7.29%
ROIC(3y)4.38%
ROIC(5y)5.76%
1.3 Margins
- INS has a Profit Margin of 12.72%. This is comparable to the rest of the industry: INS outperforms 59.15% of its industry peers.
- INS's Profit Margin has declined in the last couple of years.
- With a Operating Margin value of 12.49%, INS perfoms like the industry average, outperforming 53.52% of the companies in the same industry.
- In the last couple of years the Operating Margin of INS has declined.
- INS has a Gross Margin (24.19%) which is in line with its industry peers.
- In the last couple of years the Gross Margin of INS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.49% | ||
| PM (TTM) | 12.72% | ||
| GM | 24.19% |
OM growth 3Y-11.37%
OM growth 5Y-7.83%
PM growth 3Y-13.8%
PM growth 5Y-12.12%
GM growth 3Y-3.52%
GM growth 5Y-4.26%
2. Health
2.1 Basic Checks
- INS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- INS has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for INS has been increased compared to 5 years ago.
- Compared to 1 year ago, INS has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.34, we must say that INS is in the distress zone and has some risk of bankruptcy.
- INS has a Altman-Z score of 1.34. This is in the better half of the industry: INS outperforms 67.61% of its industry peers.
- INS has a Debt/Equity ratio of 0.61. This is a neutral value indicating INS is somewhat dependend on debt financing.
- INS's Debt to Equity ratio of 0.61 is fine compared to the rest of the industry. INS outperforms 61.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.34 |
ROIC/WACC0.6
WACC5.47%
2.3 Liquidity
- A Current Ratio of 2.29 indicates that INS has no problem at all paying its short term obligations.
- INS has a better Current ratio (2.29) than 70.42% of its industry peers.
- A Quick Ratio of 0.81 indicates that INS may have some problems paying its short term obligations.
- INS has a Quick ratio (0.81) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.29 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
- INS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 253.72%, which is quite impressive.
- The earnings per share for INS have been decreasing by -16.52% on average. This is quite bad
- The Revenue for INS has decreased by -13.35% in the past year. This is quite bad
- Measured over the past years, INS shows a decrease in Revenue. The Revenue has been decreasing by -3.13% on average per year.
EPS 1Y (TTM)253.72%
EPS 3Y-25.87%
EPS 5Y-16.52%
EPS Q2Q%336%
Revenue 1Y (TTM)-13.35%
Revenue growth 3Y-16.3%
Revenue growth 5Y-3.13%
Sales Q2Q%2.5%
3.2 Future
- Based on estimates for the next years, INS will show a very strong growth in Earnings Per Share. The EPS will grow by 30.79% on average per year.
- Based on estimates for the next years, INS will show a small growth in Revenue. The Revenue will grow by 3.86% on average per year.
EPS Next Y3.82%
EPS Next 2Y14.02%
EPS Next 3Y15.95%
EPS Next 5Y30.79%
Revenue Next Year-16.33%
Revenue Next 2Y-0.29%
Revenue Next 3Y3.86%
Revenue Next 5YN/A
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.
- 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
- INS is valuated cheaply with a Price/Earnings ratio of 7.38.
- Based on the Price/Earnings ratio, INS is valued cheaply inside the industry as 87.32% of the companies are valued more expensively.
- INS is valuated cheaply when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 9.50 indicates a reasonable valuation of INS.
- Based on the Price/Forward Earnings ratio, INS is valued cheaper than 85.92% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. INS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.38 | ||
| Fwd PE | 9.5 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, INS is valued cheaply inside the industry as 88.73% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.97 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- A more expensive valuation may be justified as INS's earnings are expected to grow with 15.95% in the coming years.
PEG (NY)1.93
PEG (5Y)N/A
EPS Next 2Y14.02%
EPS Next 3Y15.95%
5. Dividend
5.1 Amount
- INS has a Yearly Dividend Yield of 6.10%, which is a nice return.
- INS's Dividend Yield is rather good when compared to the industry average which is at 4.22. INS pays more dividend than 84.51% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, INS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.1% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 43.29% of the earnings are spent on dividend by INS. This is a bit on the high side, but may be sustainable.
DP43.29%
EPS Next 2Y14.02%
EPS Next 3Y15.95%
INSTONE REAL ESTATE GROUP SE / INS.DE FAQ
Can you provide the ChartMill fundamental rating for INSTONE REAL ESTATE GROUP SE?
ChartMill assigns a fundamental rating of 4 / 10 to INS.DE.
What is the valuation status of INSTONE REAL ESTATE GROUP SE (INS.DE) stock?
ChartMill assigns a valuation rating of 6 / 10 to INSTONE REAL ESTATE GROUP SE (INS.DE). This can be considered as Fairly Valued.
What is the profitability of INS stock?
INSTONE REAL ESTATE GROUP SE (INS.DE) has a profitability rating of 5 / 10.
What is the valuation of INSTONE REAL ESTATE GROUP SE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for INSTONE REAL ESTATE GROUP SE (INS.DE) is 7.38 and the Price/Book (PB) ratio is 0.65.
How financially healthy is INSTONE REAL ESTATE GROUP SE?
The financial health rating of INSTONE REAL ESTATE GROUP SE (INS.DE) is 3 / 10.