NATIONAL STORAGE AFFILIATES (NSA) Stock Fundamental Analysis
NYSE:NSA - New York Stock Exchange, Inc. - US6378701063 - REIT - Currency: USD
Taking everything into account, NSA scores 3 out of 10 in our fundamental rating. NSA was compared to 30 industry peers in the Specialized REITs industry. While NSA is still in line with the averages on profitability rating, there are concerns on its financial health. NSA has a expensive valuation and it also scores bad on growth. Finally NSA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year NSA was profitable.
In the past year NSA had a positive cash flow from operations.
Each year in the past 5 years NSA has been profitable.
Each year in the past 5 years NSA had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.86%, NSA is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of 4.35%, NSA is in line with its industry, outperforming 50.00% of the companies in the same industry.
NSA has a Return On Invested Capital (4.45%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NSA is in line with the industry average of 5.28%.
The last Return On Invested Capital (4.45%) for NSA is above the 3 year average (4.30%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 4.35% | ||
| ROIC | 4.45% |
ROA(3y)1.84%
ROA(5y)1.63%
ROE(3y)7.87%
ROE(5y)6.49%
ROIC(3y)4.3%
ROIC(5y)3.88%
1.3 Margins
NSA has a Profit Margin of 5.90%. This is comparable to the rest of the industry: NSA outperforms 43.33% of its industry peers.
In the last couple of years the Profit Margin of NSA has declined.
Looking at the Operating Margin, with a value of 37.99%, NSA is in line with its industry, outperforming 60.00% of the companies in the same industry.
NSA's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.99% | ||
| PM (TTM) | 5.9% | ||
| GM | N/A |
OM growth 3Y1.16%
OM growth 5Y3.36%
PM growth 3Y-9.08%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
NSA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, NSA has less shares outstanding
NSA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, NSA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.52, we must say that NSA is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.52, NSA is not doing good in the industry: 76.67% of the companies in the same industry are doing better.
NSA has a debt to FCF ratio of 15.29. This is a negative value and a sign of low solvency as NSA would need 15.29 years to pay back of all of its debts.
NSA has a Debt to FCF ratio of 15.29. This is comparable to the rest of the industry: NSA outperforms 53.33% of its industry peers.
NSA has a Debt/Equity ratio of 3.31. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.31, NSA is doing worse than 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.31 | ||
| Debt/FCF | 15.29 | ||
| Altman-Z | 0.52 |
ROIC/WACC0.63
WACC7.03%
2.3 Liquidity
NSA has a Current Ratio of 0.37. This is a bad value and indicates that NSA is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.37, NSA is not doing good in the industry: 73.33% of the companies in the same industry are doing better.
A Quick Ratio of 0.37 indicates that NSA may have some problems paying its short term obligations.
The Quick ratio of NSA (0.37) is worse than 73.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
The earnings per share for NSA have decreased strongly by -69.11% in the last year.
The Earnings Per Share has been growing slightly by 6.27% on average over the past years.
Looking at the last year, NSA shows a decrease in Revenue. The Revenue has decreased by -9.89% in the last year.
The Revenue has been growing by 14.71% on average over the past years. This is quite good.
EPS 1Y (TTM)-69.11%
EPS 3Y6.27%
EPS 5YN/A
EPS Q2Q%-84.62%
Revenue 1Y (TTM)-9.89%
Revenue growth 3Y9.57%
Revenue growth 5Y14.71%
Sales Q2Q%-13.6%
3.2 Future
Based on estimates for the next years, NSA will show a decrease in Earnings Per Share. The EPS will decrease by -5.85% on average per year.
Based on estimates for the next years, NSA will show a small growth in Revenue. The Revenue will grow by 4.55% on average per year.
EPS Next Y-30.3%
EPS Next 2Y-13.82%
EPS Next 3Y-5.85%
EPS Next 5YN/A
Revenue Next Year-2.49%
Revenue Next 2Y0.5%
Revenue Next 3Y2.35%
Revenue Next 5Y4.55%
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 decreasing.
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
With a Price/Earnings ratio of 54.10, NSA can be considered very expensive at the moment.
NSA's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.19, NSA is valued quite expensively.
Based on the Price/Forward Earnings ratio of 37.70, the valuation of NSA can be described as expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as NSA.
When comparing the Price/Forward Earnings ratio of NSA to the average of the S&P500 Index (35.33), we can say NSA is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.1 | ||
| Fwd PE | 37.7 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NSA indicates a rather cheap valuation: NSA is cheaper than 93.33% of the companies listed in the same industry.
100.00% of the companies in the same industry are more expensive than NSA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.89 | ||
| EV/EBITDA | 12.3 |
4.3 Compensation for Growth
NSA's earnings are expected to decrease with -5.85% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-13.82%
EPS Next 3Y-5.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.07%, NSA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.78, NSA pays a better dividend. On top of this NSA pays more dividend than 93.33% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, NSA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.07% |
5.2 History
On average, the dividend of NSA grows each year by 10.15%, which is quite nice.
NSA has been paying a dividend for at least 10 years, so it has a reliable track record.
As NSA did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)10.15%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
426.96% of the earnings are spent on dividend by NSA. This is not a sustainable payout ratio.
The Dividend Rate of NSA has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP426.96%
EPS Next 2Y-13.82%
EPS Next 3Y-5.85%
31.92
-0.8 (-2.44%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners96.52%
Inst Owner Change-0.04%
Ins Owners8.05%
Ins Owner Change-1.69%
Market Cap2.44B
Analysts51.82
Price Target38.76 (21.43%)
Short Float %6.14%
Short Ratio3.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.07% |
Yearly Dividend2.42
Dividend Growth(5Y)10.15%
DP426.96%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-29.11%
Min EPS beat(2)-43.42%
Max EPS beat(2)-14.79%
EPS beat(4)1
Avg EPS beat(4)-23.05%
Min EPS beat(4)-45.37%
Max EPS beat(4)11.39%
EPS beat(8)4
Avg EPS beat(8)26.58%
EPS beat(12)4
Avg EPS beat(12)10.44%
EPS beat(16)4
Avg EPS beat(16)0.8%
Revenue beat(2)1
Avg Revenue beat(2)-3.47%
Min Revenue beat(2)-8.32%
Max Revenue beat(2)1.39%
Revenue beat(4)3
Avg Revenue beat(4)-0.92%
Min Revenue beat(4)-8.32%
Max Revenue beat(4)2.49%
Revenue beat(8)7
Avg Revenue beat(8)0.53%
Revenue beat(12)11
Avg Revenue beat(12)1.87%
Revenue beat(16)15
Avg Revenue beat(16)2.58%
PT rev (1m)0%
PT rev (3m)-5.82%
EPS NQ rev (1m)1.62%
EPS NQ rev (3m)11.6%
EPS NY rev (1m)4.89%
EPS NY rev (3m)11.58%
Revenue NQ rev (1m)-1.18%
Revenue NQ rev (3m)-2.56%
Revenue NY rev (1m)-1.84%
Revenue NY rev (3m)-2.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 54.1 | ||
| Fwd PE | 37.7 | ||
| P/S | 3.2 | ||
| P/FCF | 10.89 | ||
| P/OCF | 6.88 | ||
| P/B | 2.36 | ||
| P/tB | 2.77 | ||
| EV/EBITDA | 12.3 |
EPS(TTM)0.59
EY1.85%
EPS(NY)0.85
Fwd EY2.65%
FCF(TTM)2.93
FCFY9.18%
OCF(TTM)4.64
OCFY14.53%
SpS9.97
BVpS13.52
TBVpS11.52
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 4.35% | ||
| ROCE | 5.64% | ||
| ROIC | 4.45% | ||
| ROICexc | 4.47% | ||
| ROICexgc | 4.62% | ||
| OM | 37.99% | ||
| PM (TTM) | 5.9% | ||
| GM | N/A | ||
| FCFM | 29.39% |
ROA(3y)1.84%
ROA(5y)1.63%
ROE(3y)7.87%
ROE(5y)6.49%
ROIC(3y)4.3%
ROIC(5y)3.88%
ROICexc(3y)4.34%
ROICexc(5y)3.91%
ROICexgc(3y)4.44%
ROICexgc(5y)3.99%
ROCE(3y)5.44%
ROCE(5y)4.91%
ROICexcg growth 3Y13.51%
ROICexcg growth 5Y6.59%
ROICexc growth 3Y12.74%
ROICexc growth 5Y6.15%
OM growth 3Y1.16%
OM growth 5Y3.36%
PM growth 3Y-9.08%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.31 | ||
| Debt/FCF | 15.29 | ||
| Debt/EBITDA | 7.13 | ||
| Cap/Depr | 68.48% | ||
| Cap/Sales | 17.12% | ||
| Interest Coverage | 1.94 | ||
| Cash Conversion | 73.84% | ||
| Profit Quality | 498.22% | ||
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 0.52 |
F-Score4
WACC7.03%
ROIC/WACC0.63
Cap/Depr(3y)113.11%
Cap/Depr(5y)407.79%
Cap/Sales(3y)31.49%
Cap/Sales(5y)110.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-69.11%
EPS 3Y6.27%
EPS 5YN/A
EPS Q2Q%-84.62%
EPS Next Y-30.3%
EPS Next 2Y-13.82%
EPS Next 3Y-5.85%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.89%
Revenue growth 3Y9.57%
Revenue growth 5Y14.71%
Sales Q2Q%-13.6%
Revenue Next Year-2.49%
Revenue Next 2Y0.5%
Revenue Next 3Y2.35%
Revenue Next 5Y4.55%
EBIT growth 1Y-12.49%
EBIT growth 3Y10.84%
EBIT growth 5Y18.56%
EBIT Next Year47.74%
EBIT Next 3Y17.27%
EBIT Next 5Y13.98%
FCF growth 1Y802.28%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-20.03%
OCF growth 3Y3.09%
OCF growth 5Y13.05%