HEALTHPEAK PROPERTIES INC (PEAK) Stock Fundamental Analysis
NYSE:PEAK - New York Stock Exchange, Inc. - US42250P1030 - REIT - Currency: USD
Taking everything into account, PEAK scores 3 out of 10 in our fundamental rating. PEAK was compared to 130 industry peers in the Diversified REITs industry. While PEAK is still in line with the averages on profitability rating, there are concerns on its financial health. PEAK is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
PEAK had positive earnings in the past year.
PEAK had a positive operating cash flow in the past year.
In the past 5 years PEAK has always been profitable.
PEAK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PEAK has a better Return On Assets (1.94%) than 65.60% of its industry peers.
PEAK has a Return On Equity of 4.79%. This is in the better half of the industry: PEAK outperforms 68.80% of its industry peers.
PEAK has a Return On Invested Capital (2.45%) which is in line with its industry peers.
PEAK had an Average Return On Invested Capital over the past 3 years of 2.14%. This is in line with the industry average of 3.12%.
The 3 year average ROIC (2.14%) for PEAK is below the current ROIC(2.45%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 4.79% | ||
| ROIC | 2.45% |
ROA(3y)2.8%
ROA(5y)2.26%
ROE(3y)6.66%
ROE(5y)5.35%
ROIC(3y)2.14%
ROIC(5y)1.89%
1.3 Margins
PEAK's Profit Margin of 13.95% is fine compared to the rest of the industry. PEAK outperforms 68.00% of its industry peers.
PEAK's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 20.53%, PEAK perfoms like the industry average, outperforming 49.60% of the companies in the same industry.
In the last couple of years the Operating Margin of PEAK has declined.
PEAK has a worse Gross Margin (59.28%) than 73.60% of its industry peers.
PEAK's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.53% | ||
| PM (TTM) | 13.95% | ||
| GM | 59.28% |
OM growth 3Y15.69%
OM growth 5Y-5.54%
PM growth 3Y-17.66%
PM growth 5Y-30.94%
GM growth 3Y4.39%
GM growth 5Y-2.65%
2. Health
2.1 Basic Checks
PEAK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PEAK has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for PEAK has been increased compared to 5 years ago.
PEAK has a worse debt/assets ratio than last year.
2.2 Solvency
PEAK has an Altman-Z score of 0.34. This is a bad value and indicates that PEAK is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of PEAK (0.34) is worse than 64.80% of its industry peers.
PEAK has a debt to FCF ratio of 32.87. This is a negative value and a sign of low solvency as PEAK would need 32.87 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 32.87, PEAK is in line with its industry, outperforming 52.00% of the companies in the same industry.
A Debt/Equity ratio of 1.08 is on the high side and indicates that PEAK has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.08, PEAK is in line with its industry, outperforming 53.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 32.87 | ||
| Altman-Z | 0.34 |
ROIC/WACC0.37
WACC6.55%
2.3 Liquidity
PEAK has a Current Ratio of 0.14. This is a bad value and indicates that PEAK is not financially healthy enough and could expect problems in meeting its short term obligations.
PEAK has a worse Current ratio (0.14) than 96.80% of its industry peers.
PEAK has a Quick Ratio of 0.14. This is a bad value and indicates that PEAK is not financially healthy enough and could expect problems in meeting its short term obligations.
PEAK's Quick ratio of 0.14 is on the low side compared to the rest of the industry. PEAK is outperformed by 96.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.14 | ||
| Quick Ratio | 0.14 |
3. Growth
3.1 Past
The earnings per share for PEAK have decreased strongly by -38.86% in the last year.
Measured over the past years, PEAK shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -23.30% on average per year.
The Revenue has been growing slightly by 5.81% in the past year.
Measured over the past years, PEAK shows a quite strong growth in Revenue. The Revenue has been growing by 12.86% on average per year.
EPS 1Y (TTM)-38.86%
EPS 3Y-12.64%
EPS 5Y-23.3%
EPS Q2Q%1200%
Revenue 1Y (TTM)5.81%
Revenue growth 3Y9.86%
Revenue growth 5Y12.86%
Sales Q2Q%5.56%
3.2 Future
Based on estimates for the next years, PEAK will show a decrease in Earnings Per Share. The EPS will decrease by -3.48% on average per year.
The Revenue is expected to grow by 8.55% on average over the next years. This is quite good.
EPS Next Y-30.18%
EPS Next 2Y-0.06%
EPS Next 3Y-5.39%
EPS Next 5Y-3.48%
Revenue Next Year15.38%
Revenue Next 2Y10.7%
Revenue Next 3Y8.55%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 30.54, PEAK can be considered very expensive at the moment.
PEAK's Price/Earnings ratio is a bit cheaper when compared to the industry. PEAK is cheaper than 61.60% of the companies in the same industry.
PEAK's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.47.
With a Price/Forward Earnings ratio of 43.73, PEAK can be considered very expensive at the moment.
65.60% of the companies in the same industry are more expensive than PEAK, based on the Price/Forward Earnings ratio.
PEAK's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 92.74.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.54 | ||
| Fwd PE | 43.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PEAK is valued a bit cheaper than 62.40% of the companies in the same industry.
PEAK's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.73 | ||
| EV/EBITDA | 13.46 |
4.3 Compensation for Growth
PEAK's earnings are expected to decrease with -5.39% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.06%
EPS Next 3Y-5.39%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.02%, PEAK is a good candidate for dividend investing.
PEAK's Dividend Yield is a higher than the industry average which is at 18.71.
PEAK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.02% |
5.2 History
The dividend of PEAK decreases each year by -11.76%.
PEAK has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-11.76%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
215.92% of the earnings are spent on dividend by PEAK. This is not a sustainable payout ratio.
PEAK's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP215.92%
EPS Next 2Y-0.06%
EPS Next 3Y-5.39%
HEALTHPEAK PROPERTIES INC
NYSE:PEAK (3/1/2024, 8:04:00 PM)
After market: 17.1 0 (0%)17.1
+0.35 (+2.09%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners117.78%
Inst Owner Change2.16%
Ins Owners0.15%
Ins Owner Change0%
Market Cap9.36B
Analysts78.18
Price Target22.19 (29.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.02% |
Yearly Dividend1.2
Dividend Growth(5Y)-11.76%
DP215.92%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)34.48%
Min EPS beat(2)25.88%
Max EPS beat(2)43.09%
EPS beat(4)3
Avg EPS beat(4)50.32%
Min EPS beat(4)-17.64%
Max EPS beat(4)149.96%
EPS beat(8)6
Avg EPS beat(8)80.62%
EPS beat(12)9
Avg EPS beat(12)65.46%
EPS beat(16)12
Avg EPS beat(16)81.29%
Revenue beat(2)1
Avg Revenue beat(2)-0.5%
Min Revenue beat(2)-1.62%
Max Revenue beat(2)0.62%
Revenue beat(4)1
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-1.62%
Max Revenue beat(4)0.62%
Revenue beat(8)2
Avg Revenue beat(8)-0.54%
Revenue beat(12)3
Avg Revenue beat(12)-1.7%
Revenue beat(16)3
Avg Revenue beat(16)-8.89%
PT rev (1m)-1.34%
PT rev (3m)2.46%
EPS NQ rev (1m)-15.62%
EPS NQ rev (3m)-7.95%
EPS NY rev (1m)-12.55%
EPS NY rev (3m)-6.5%
Revenue NQ rev (1m)-1.28%
Revenue NQ rev (3m)-1.28%
Revenue NY rev (1m)6.65%
Revenue NY rev (3m)16.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.54 | ||
| Fwd PE | 43.73 | ||
| P/S | 4.29 | ||
| P/FCF | 44.73 | ||
| P/OCF | 9.78 | ||
| P/B | 1.47 | ||
| P/tB | 1.55 | ||
| EV/EBITDA | 13.46 |
EPS(TTM)0.56
EY3.27%
EPS(NY)0.39
Fwd EY2.29%
FCF(TTM)0.38
FCFY2.24%
OCF(TTM)1.75
OCFY10.22%
SpS3.99
BVpS11.61
TBVpS11.03
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 4.79% | ||
| ROCE | 3.1% | ||
| ROIC | 2.45% | ||
| ROICexc | 2.47% | ||
| ROICexgc | 2.68% | ||
| OM | 20.53% | ||
| PM (TTM) | 13.95% | ||
| GM | 59.28% | ||
| FCFM | 9.59% |
ROA(3y)2.8%
ROA(5y)2.26%
ROE(3y)6.66%
ROE(5y)5.35%
ROIC(3y)2.14%
ROIC(5y)1.89%
ROICexc(3y)2.16%
ROICexc(5y)1.9%
ROICexgc(3y)2.33%
ROICexgc(5y)2.05%
ROCE(3y)2.71%
ROCE(5y)2.39%
ROICexcg growth 3Y28.26%
ROICexcg growth 5Y4.6%
ROICexc growth 3Y28.51%
ROICexc growth 5Y3.28%
OM growth 3Y15.69%
OM growth 5Y-5.54%
PM growth 3Y-17.66%
PM growth 5Y-30.94%
GM growth 3Y4.39%
GM growth 5Y-2.65%
F-Score6
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 32.87 | ||
| Debt/EBITDA | 5.74 | ||
| Cap/Depr | 99.62% | ||
| Cap/Sales | 34.25% | ||
| Interest Coverage | 2.38 | ||
| Cash Conversion | 79.85% | ||
| Profit Quality | 68.75% | ||
| Current Ratio | 0.14 | ||
| Quick Ratio | 0.14 | ||
| Altman-Z | 0.34 |
F-Score6
WACC6.55%
ROIC/WACC0.37
Cap/Depr(3y)183.97%
Cap/Depr(5y)234.29%
Cap/Sales(3y)65.04%
Cap/Sales(5y)98.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-38.86%
EPS 3Y-12.64%
EPS 5Y-23.3%
EPS Q2Q%1200%
EPS Next Y-30.18%
EPS Next 2Y-0.06%
EPS Next 3Y-5.39%
EPS Next 5Y-3.48%
Revenue 1Y (TTM)5.81%
Revenue growth 3Y9.86%
Revenue growth 5Y12.86%
Sales Q2Q%5.56%
Revenue Next Year15.38%
Revenue Next 2Y10.7%
Revenue Next 3Y8.55%
Revenue Next 5YN/A
EBIT growth 1Y13.63%
EBIT growth 3Y27.09%
EBIT growth 5Y6.6%
EBIT Next Year208.15%
EBIT Next 3Y49.06%
EBIT Next 5Y31.97%
FCF growth 1Y249.96%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y6.21%
OCF growth 3Y8.03%
OCF growth 5Y2.41%