KILROY REALTY CORP (KRC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KRC - US49427F1084 - REIT
37.37 USD
-0.82 (-2.15%)
37.37 USD
0 (0%)
KRC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 127 industry peers in the Diversified REITs industry. KRC has an excellent profitability rating, but there are some minor concerns on its financial health. KRC 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 KRC was profitable.
KRC had a positive operating cash flow in the past year.
KRC had positive earnings in each of the past 5 years.
In the past 5 years KRC always reported a positive cash flow from operatings.
1.2 Ratios
KRC's Return On Assets of 2.93% is fine compared to the rest of the industry. KRC outperforms 69.29% of its industry peers.
The Return On Equity of KRC (5.89%) is better than 70.87% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.53%, KRC is in line with its industry, outperforming 47.24% of the companies in the same industry.
KRC had an Average Return On Invested Capital over the past 3 years of 2.48%. This is in line with the industry average of 3.06%.
The last Return On Invested Capital (2.53%) for KRC is above the 3 year average (2.48%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 5.89% | ||
| ROIC | 2.53% |
ROA(3y)1.97%
ROA(5y)2.74%
ROE(3y)4.01%
ROE(5y)5.44%
ROIC(3y)2.48%
ROIC(5y)2.36%
1.3 Margins
Looking at the Profit Margin, with a value of 28.57%, KRC belongs to the top of the industry, outperforming 83.46% of the companies in the same industry.
In the last couple of years the Profit Margin of KRC has declined.
KRC has a Operating Margin of 29.75%. This is in the better half of the industry: KRC outperforms 61.42% of its industry peers.
KRC's Operating Margin has improved in the last couple of years.
KRC has a Gross Margin (68.11%) which is comparable to the rest of the industry.
KRC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.75% | ||
| PM (TTM) | 28.57% | ||
| GM | 68.11% |
OM growth 3Y-0.15%
OM growth 5Y2.1%
PM growth 3Y-34.54%
PM growth 5Y-4.43%
GM growth 3Y-1.97%
GM growth 5Y-0.76%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KRC is destroying value.
The number of shares outstanding for KRC has been increased compared to 1 year ago.
The number of shares outstanding for KRC has been increased compared to 5 years ago.
KRC has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.75, we must say that KRC is in the distress zone and has some risk of bankruptcy.
KRC has a Altman-Z score of 0.75. This is in the better half of the industry: KRC outperforms 64.57% of its industry peers.
KRC has a debt to FCF ratio of 89.55. This is a negative value and a sign of low solvency as KRC would need 89.55 years to pay back of all of its debts.
The Debt to FCF ratio of KRC (89.55) is better than 63.78% of its industry peers.
A Debt/Equity ratio of 0.84 indicates that KRC is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.84, KRC is doing good in the industry, outperforming 70.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 89.55 | ||
| Altman-Z | 0.75 |
ROIC/WACC0.44
WACC5.69%
2.3 Liquidity
KRC has a Current Ratio of 1.60. This is a normal value and indicates that KRC is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.60, KRC is in the better half of the industry, outperforming 74.02% of the companies in the same industry.
A Quick Ratio of 1.60 indicates that KRC should not have too much problems paying its short term obligations.
KRC has a better Quick ratio (1.60) than 74.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.59% over the past year.
The Earnings Per Share has been decreasing by -0.11% on average over the past years.
Looking at the last year, KRC shows a small growth in Revenue. The Revenue has grown by 0.77% in the last year.
The Revenue has been growing slightly by 6.28% on average over the past years.
EPS 1Y (TTM)6.59%
EPS 3Y4.08%
EPS 5Y-0.11%
EPS Q2Q%-13.64%
Revenue 1Y (TTM)0.77%
Revenue growth 3Y5.94%
Revenue growth 5Y6.28%
Sales Q2Q%-2.17%
3.2 Future
KRC is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -18.50% yearly.
The Revenue is expected to grow by 0.26% on average over the next years.
EPS Next Y-4.52%
EPS Next 2Y-46.59%
EPS Next 3Y-36.91%
EPS Next 5Y-18.5%
Revenue Next Year-2.03%
Revenue Next 2Y1.05%
Revenue Next 3Y-0.24%
Revenue Next 5Y0.26%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
KRC is valuated rather expensively with a Price/Earnings ratio of 20.99.
Based on the Price/Earnings ratio, KRC is valued a bit cheaper than 79.53% of the companies in the same industry.
When comparing the Price/Earnings ratio of KRC to the average of the S&P500 Index (26.51), we can say KRC is valued slightly cheaper.
The Price/Forward Earnings ratio is 74.00, which means the current valuation is very expensive for KRC.
KRC's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of KRC to the average of the S&P500 Index (23.13), we can say KRC is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.99 | ||
| Fwd PE | 74 |
4.2 Price Multiples
69.29% of the companies in the same industry are more expensive than KRC, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KRC indicates a somewhat cheap valuation: KRC is cheaper than 62.99% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 86.27 | ||
| EV/EBITDA | 12.58 |
4.3 Compensation for Growth
KRC has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as KRC's earnings are expected to decrease with -36.91% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-46.59%
EPS Next 3Y-36.91%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.68%, KRC is a good candidate for dividend investing.
KRC's Dividend Yield is comparable with the industry average which is at 6.43.
KRC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.68% |
5.2 History
The dividend of KRC has a limited annual growth rate of 2.81%.
KRC has been paying a dividend for at least 10 years, so it has a reliable track record.
KRC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.81%
Div Incr Years0
Div Non Decr Years14
5.3 Sustainability
80.05% of the earnings are spent on dividend by KRC. This is not a sustainable payout ratio.
The Dividend Rate of KRC has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP80.05%
EPS Next 2Y-46.59%
EPS Next 3Y-36.91%
37.37
-0.82 (-2.15%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners132.87%
Inst Owner Change7.48%
Ins Owners0.63%
Ins Owner Change-0.06%
Market Cap4.42B
Revenue(TTM)1.13B
Net Income(TTM)321.97M
Analysts67
Price Target42.55 (13.86%)
Short Float %11.55%
Short Ratio10.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.68% |
Yearly Dividend2.18
Dividend Growth(5Y)2.81%
DP80.05%
Div Incr Years0
Div Non Decr Years14
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)30.06%
Min EPS beat(2)-17.63%
Max EPS beat(2)77.75%
EPS beat(4)3
Avg EPS beat(4)28.91%
Min EPS beat(4)-17.63%
Max EPS beat(4)77.75%
EPS beat(8)6
Avg EPS beat(8)17.67%
EPS beat(12)9
Avg EPS beat(12)16.19%
EPS beat(16)12
Avg EPS beat(16)20.5%
Revenue beat(2)2
Avg Revenue beat(2)3.88%
Min Revenue beat(2)1.74%
Max Revenue beat(2)6.03%
Revenue beat(4)3
Avg Revenue beat(4)1.7%
Min Revenue beat(4)-2.36%
Max Revenue beat(4)6.03%
Revenue beat(8)6
Avg Revenue beat(8)0.33%
Revenue beat(12)9
Avg Revenue beat(12)0.59%
Revenue beat(16)13
Avg Revenue beat(16)1.28%
PT rev (1m)-0.34%
PT rev (3m)9.77%
EPS NQ rev (1m)-8.54%
EPS NQ rev (3m)1.01%
EPS NY rev (1m)20.6%
EPS NY rev (3m)31.76%
Revenue NQ rev (1m)-0.39%
Revenue NQ rev (3m)0.67%
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)1.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.99 | ||
| Fwd PE | 74 | ||
| P/S | 3.92 | ||
| P/FCF | 86.27 | ||
| P/OCF | 7.82 | ||
| P/B | 0.81 | ||
| P/tB | 0.81 | ||
| EV/EBITDA | 12.58 |
EPS(TTM)1.78
EY4.76%
EPS(NY)0.51
Fwd EY1.35%
FCF(TTM)0.43
FCFY1.16%
OCF(TTM)4.78
OCFY12.79%
SpS9.52
BVpS46.2
TBVpS46.2
PEG (NY)N/A
PEG (5Y)N/A
Graham Number43.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 5.89% | ||
| ROCE | 3.2% | ||
| ROIC | 2.53% | ||
| ROICexc | 2.62% | ||
| ROICexgc | 2.62% | ||
| OM | 29.75% | ||
| PM (TTM) | 28.57% | ||
| GM | 68.11% | ||
| FCFM | 4.55% |
ROA(3y)1.97%
ROA(5y)2.74%
ROE(3y)4.01%
ROE(5y)5.44%
ROIC(3y)2.48%
ROIC(5y)2.36%
ROICexc(3y)2.57%
ROICexc(5y)2.47%
ROICexgc(3y)2.58%
ROICexgc(5y)2.48%
ROCE(3y)3.14%
ROCE(5y)2.99%
ROICexgc growth 3Y3.65%
ROICexgc growth 5Y4.08%
ROICexc growth 3Y3.45%
ROICexc growth 5Y3.95%
OM growth 3Y-0.15%
OM growth 5Y2.1%
PM growth 3Y-34.54%
PM growth 5Y-4.43%
GM growth 3Y-1.97%
GM growth 5Y-0.76%
F-Score8
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.84 | ||
| Debt/FCF | 89.55 | ||
| Debt/EBITDA | 6.68 | ||
| Cap/Depr | 146.35% | ||
| Cap/Sales | 45.63% | ||
| Interest Coverage | 2.57 | ||
| Cash Conversion | 82.36% | ||
| Profit Quality | 15.92% | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | 0.75 |
F-Score8
WACC5.69%
ROIC/WACC0.44
Cap/Depr(3y)152.59%
Cap/Depr(5y)248.71%
Cap/Sales(3y)48.58%
Cap/Sales(5y)80.51%
Profit Quality(3y)16.5%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.59%
EPS 3Y4.08%
EPS 5Y-0.11%
EPS Q2Q%-13.64%
EPS Next Y-4.52%
EPS Next 2Y-46.59%
EPS Next 3Y-36.91%
EPS Next 5Y-18.5%
Revenue 1Y (TTM)0.77%
Revenue growth 3Y5.94%
Revenue growth 5Y6.28%
Sales Q2Q%-2.17%
Revenue Next Year-2.03%
Revenue Next 2Y1.05%
Revenue Next 3Y-0.24%
Revenue Next 5Y0.26%
EBIT growth 1Y4.22%
EBIT growth 3Y5.78%
EBIT growth 5Y8.52%
EBIT Next Year102.24%
EBIT Next 3Y26.66%
EBIT Next 5Y16.26%
FCF growth 1Y10.22%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-5.82%
OCF growth 3Y1.57%
OCF growth 5Y3.37%
KILROY REALTY CORP / KRC FAQ
Can you provide the ChartMill fundamental rating for KILROY REALTY CORP?
ChartMill assigns a fundamental rating of 5 / 10 to KRC.
What is the valuation status for KRC stock?
ChartMill assigns a valuation rating of 4 / 10 to KILROY REALTY CORP (KRC). This can be considered as Fairly Valued.
What is the profitability of KRC stock?
KILROY REALTY CORP (KRC) has a profitability rating of 7 / 10.
What are the PE and PB ratios of KILROY REALTY CORP (KRC) stock?
The Price/Earnings (PE) ratio for KILROY REALTY CORP (KRC) is 20.99 and the Price/Book (PB) ratio is 0.81.
How financially healthy is KILROY REALTY CORP?
The financial health rating of KILROY REALTY CORP (KRC) is 4 / 10.