JONES LANG LASALLE INC (JLL) Stock Fundamental Analysis
NYSE:JLL - New York Stock Exchange, Inc. - US48020Q1076 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to JLL. JLL was compared to 64 industry peers in the Real Estate Management & Development industry. Both the profitability and the financial health of JLL get a neutral evaluation. Nothing too spectacular is happening here. JLL may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make JLL a good candidate for value investing.
1. Profitability
1.1 Basic Checks
JLL had positive earnings in the past year.
JLL had a positive operating cash flow in the past year.
In the past 5 years JLL has always been profitable.
JLL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 3.22%, JLL belongs to the best of the industry, outperforming 85.94% of the companies in the same industry.
The Return On Equity of JLL (7.84%) is better than 81.25% of its industry peers.
JLL's Return On Invested Capital of 6.72% is amongst the best of the industry. JLL outperforms 89.06% of its industry peers.
The Average Return On Invested Capital over the past 3 years for JLL is in line with the industry average of 5.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 7.84% | ||
| ROIC | 6.72% |
ROA(3y)2.96%
ROA(5y)3.58%
ROE(3y)7.51%
ROE(5y)9.08%
ROIC(3y)6.88%
ROIC(5y)7.31%
1.3 Margins
JLL's Profit Margin of 2.23% is fine compared to the rest of the industry. JLL outperforms 65.63% of its industry peers.
JLL's Profit Margin has declined in the last couple of years.
JLL's Operating Margin of 3.80% is fine compared to the rest of the industry. JLL outperforms 60.94% of its industry peers.
In the last couple of years the Operating Margin of JLL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.8% | ||
| PM (TTM) | 2.23% | ||
| GM | N/A |
OM growth 3Y-13.42%
OM growth 5Y-5.33%
PM growth 3Y-22.26%
PM growth 5Y-4.71%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so JLL is destroying value.
JLL has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, JLL has less shares outstanding
Compared to 1 year ago, JLL has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.95 indicates that JLL is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of JLL (2.95) is better than 73.44% of its industry peers.
JLL has a debt to FCF ratio of 5.45. This is a neutral value as JLL would need 5.45 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 5.45, JLL is doing good in the industry, outperforming 78.13% of the companies in the same industry.
JLL has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.40, JLL is in line with its industry, outperforming 54.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 5.45 | ||
| Altman-Z | 2.95 |
ROIC/WACC0.78
WACC8.59%
2.3 Liquidity
JLL has a Current Ratio of 1.09. This is a normal value and indicates that JLL is financially healthy and should not expect problems in meeting its short term obligations.
JLL has a worse Current ratio (1.09) than 62.50% of its industry peers.
A Quick Ratio of 1.09 indicates that JLL should not have too much problems paying its short term obligations.
JLL's Quick ratio of 1.09 is in line compared to the rest of the industry. JLL outperforms 43.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
JLL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 70.31%, which is quite impressive.
The Earnings Per Share has been growing slightly by 0.41% on average over the past years.
Looking at the last year, JLL shows a quite strong growth in Revenue. The Revenue has grown by 13.63% in the last year.
Measured over the past years, JLL shows a small growth in Revenue. The Revenue has been growing by 5.44% on average per year.
EPS 1Y (TTM)70.31%
EPS 3Y-10.53%
EPS 5Y0.41%
EPS Q2Q%29.78%
Revenue 1Y (TTM)13.63%
Revenue growth 3Y6.56%
Revenue growth 5Y5.44%
Sales Q2Q%251.46%
3.2 Future
Based on estimates for the next years, JLL will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.05% on average per year.
Based on estimates for the next years, JLL will show a decrease in Revenue. The Revenue will decrease by -0.94% on average per year.
EPS Next Y19.89%
EPS Next 2Y19.51%
EPS Next 3Y17.11%
EPS Next 5Y16.05%
Revenue Next Year12.05%
Revenue Next 2Y10.09%
Revenue Next 3Y9.41%
Revenue Next 5Y-0.94%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.16, which indicates a rather expensive current valuation of JLL.
JLL's Price/Earnings ratio is rather cheap when compared to the industry. JLL is cheaper than 81.25% of the companies in the same industry.
JLL is valuated rather cheaply when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 12.47, JLL is valued correctly.
JLL's Price/Forward Earnings ratio is rather cheap when compared to the industry. JLL is cheaper than 92.19% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.33, JLL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.16 | ||
| Fwd PE | 12.47 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of JLL indicates a rather cheap valuation: JLL is cheaper than 87.50% of the companies listed in the same industry.
79.69% of the companies in the same industry are more expensive than JLL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.24 | ||
| EV/EBITDA | 10.91 |
4.3 Compensation for Growth
JLL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of JLL may justify a higher PE ratio.
JLL's earnings are expected to grow with 17.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.86
PEG (5Y)42.32
EPS Next 2Y19.51%
EPS Next 3Y17.11%
5. Dividend
5.1 Amount
JLL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
248.95
-6.81 (-2.66%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners96.73%
Inst Owner Change0.06%
Ins Owners0.83%
Ins Owner Change4.66%
Market Cap11.82B
Analysts82.86
Price Target303.23 (21.8%)
Short Float %2.4%
Short Ratio2.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.9%
Min EPS beat(2)3%
Max EPS beat(2)4.8%
EPS beat(4)4
Avg EPS beat(4)8.11%
Min EPS beat(4)1.44%
Max EPS beat(4)23.2%
EPS beat(8)6
Avg EPS beat(8)9.47%
EPS beat(12)7
Avg EPS beat(12)-0.97%
EPS beat(16)11
Avg EPS beat(16)15.42%
Revenue beat(2)2
Avg Revenue beat(2)1.87%
Min Revenue beat(2)0.47%
Max Revenue beat(2)3.26%
Revenue beat(4)2
Avg Revenue beat(4)-15.61%
Min Revenue beat(4)-64.39%
Max Revenue beat(4)3.26%
Revenue beat(8)5
Avg Revenue beat(8)-7.02%
Revenue beat(12)8
Avg Revenue beat(12)32.68%
Revenue beat(16)12
Avg Revenue beat(16)66.54%
PT rev (1m)0%
PT rev (3m)-8.77%
EPS NQ rev (1m)-0.89%
EPS NQ rev (3m)-9%
EPS NY rev (1m)1.19%
EPS NY rev (3m)-1.37%
Revenue NQ rev (1m)1.52%
Revenue NQ rev (3m)0.75%
Revenue NY rev (1m)2.06%
Revenue NY rev (3m)2.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.16 | ||
| Fwd PE | 12.47 | ||
| P/S | 0.49 | ||
| P/FCF | 23.24 | ||
| P/OCF | 17 | ||
| P/B | 1.73 | ||
| P/tB | 7.91 | ||
| EV/EBITDA | 10.91 |
EPS(TTM)14.51
EY5.83%
EPS(NY)19.97
Fwd EY8.02%
FCF(TTM)10.71
FCFY4.3%
OCF(TTM)14.65
OCFY5.88%
SpS506.74
BVpS144.07
TBVpS31.49
PEG (NY)0.86
PEG (5Y)42.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 7.84% | ||
| ROCE | 9.15% | ||
| ROIC | 6.72% | ||
| ROICexc | 6.98% | ||
| ROICexgc | 13.4% | ||
| OM | 3.8% | ||
| PM (TTM) | 2.23% | ||
| GM | N/A | ||
| FCFM | 2.11% |
ROA(3y)2.96%
ROA(5y)3.58%
ROE(3y)7.51%
ROE(5y)9.08%
ROIC(3y)6.88%
ROIC(5y)7.31%
ROICexc(3y)7.19%
ROICexc(5y)7.7%
ROICexgc(3y)15.45%
ROICexgc(5y)17.13%
ROCE(3y)8.81%
ROCE(5y)9.53%
ROICexcg growth 3Y-15.65%
ROICexcg growth 5Y-7.84%
ROICexc growth 3Y-10.9%
ROICexc growth 5Y-4.7%
OM growth 3Y-13.42%
OM growth 5Y-5.33%
PM growth 3Y-22.26%
PM growth 5Y-4.71%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover1.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 5.45 | ||
| Debt/EBITDA | 2.34 | ||
| Cap/Depr | 70.12% | ||
| Cap/Sales | 0.78% | ||
| Interest Coverage | 6.38 | ||
| Cash Conversion | 58.85% | ||
| Profit Quality | 94.85% | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 2.95 |
F-Score8
WACC8.59%
ROIC/WACC0.78
Cap/Depr(3y)80.38%
Cap/Depr(5y)77.6%
Cap/Sales(3y)0.89%
Cap/Sales(5y)0.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)70.31%
EPS 3Y-10.53%
EPS 5Y0.41%
EPS Q2Q%29.78%
EPS Next Y19.89%
EPS Next 2Y19.51%
EPS Next 3Y17.11%
EPS Next 5Y16.05%
Revenue 1Y (TTM)13.63%
Revenue growth 3Y6.56%
Revenue growth 5Y5.44%
Sales Q2Q%251.46%
Revenue Next Year12.05%
Revenue Next 2Y10.09%
Revenue Next 3Y9.41%
Revenue Next 5Y-0.94%
EBIT growth 1Y23.72%
EBIT growth 3Y-7.75%
EBIT growth 5Y-0.18%
EBIT Next Year50.42%
EBIT Next 3Y22.81%
EBIT Next 5Y15.9%
FCF growth 1Y6081.18%
FCF growth 3Y-9.02%
FCF growth 5Y22.57%
OCF growth 1Y247.6%
OCF growth 3Y-6.88%
OCF growth 5Y10.17%