REGENCY CENTERS CORP (REG) Stock Fundamental Analysis
USA - NASDAQ:REG - US7588491032 - REIT
71.34 USD
-0.9 (-1.25%)
71.34 USD
0 (0%)
Overall REG gets a fundamental rating of 5 out of 10. We evaluated REG against 130 industry peers in the Diversified REITs industry. REG scores excellent on profitability, but there are concerns on its financial health. REG is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
REG had positive earnings in the past year.
REG had a positive operating cash flow in the past year.
REG had positive earnings in each of the past 5 years.
In the past 5 years REG always reported a positive cash flow from operatings.
1.2 Ratios
REG's Return On Assets of 3.06% is fine compared to the rest of the industry. REG outperforms 74.42% of its industry peers.
REG's Return On Equity of 5.84% is fine compared to the rest of the industry. REG outperforms 70.54% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.62%, REG is in the better half of the industry, outperforming 68.22% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for REG is in line with the industry average of 3.05%.
The last Return On Invested Capital (3.62%) for REG is above the 3 year average (3.42%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 5.84% | ||
| ROIC | 3.62% |
ROA(3y)3.49%
ROA(5y)2.84%
ROE(3y)6.26%
ROE(5y)5.1%
ROIC(3y)3.42%
ROIC(5y)3.16%
1.3 Margins
REG has a better Profit Margin (26.09%) than 79.07% of its industry peers.
REG's Profit Margin has improved in the last couple of years.
REG has a Operating Margin of 36.90%. This is in the better half of the industry: REG outperforms 76.74% of its industry peers.
In the last couple of years the Operating Margin of REG has grown nicely.
REG's Gross Margin of 70.32% is fine compared to the rest of the industry. REG outperforms 61.24% of its industry peers.
In the last couple of years the Gross Margin of REG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.9% | ||
| PM (TTM) | 26.09% | ||
| GM | 70.32% |
OM growth 3Y-3.04%
OM growth 5Y1.59%
PM growth 3Y-4.97%
PM growth 5Y4.71%
GM growth 3Y-0.83%
GM growth 5Y-0.77%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so REG is destroying value.
The number of shares outstanding for REG has been reduced compared to 1 year ago.
REG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for REG is higher compared to a year ago.
2.2 Solvency
REG has an Altman-Z score of 1.30. This is a bad value and indicates that REG is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of REG (1.30) is better than 87.60% of its industry peers.
The Debt to FCF ratio of REG is 16.25, which is on the high side as it means it would take REG, 16.25 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of REG (16.25) is better than 81.40% of its industry peers.
A Debt/Equity ratio of 0.72 indicates that REG is somewhat dependend on debt financing.
The Debt to Equity ratio of REG (0.72) is better than 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 16.25 | ||
| Altman-Z | 1.3 |
ROIC/WACC0.5
WACC7.28%
2.3 Liquidity
REG has a Current Ratio of 0.68. This is a bad value and indicates that REG is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of REG (0.68) is worse than 68.22% of its industry peers.
A Quick Ratio of 0.66 indicates that REG may have some problems paying its short term obligations.
With a Quick ratio value of 0.66, REG is not doing good in the industry: 70.54% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
REG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.87%.
REG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.19% yearly.
REG shows a small growth in Revenue. In the last year, the Revenue has grown by 5.90%.
Measured over the past years, REG shows a small growth in Revenue. The Revenue has been growing by 5.11% on average per year.
EPS 1Y (TTM)2.87%
EPS 3Y0.16%
EPS 5Y8.19%
EPS Q2Q%5.56%
Revenue 1Y (TTM)5.9%
Revenue growth 3Y7.63%
Revenue growth 5Y5.11%
Sales Q2Q%6.61%
3.2 Future
The Earnings Per Share is expected to grow by 8.56% on average over the next years. This is quite good.
REG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.32% yearly.
EPS Next Y8.15%
EPS Next 2Y7.21%
EPS Next 3Y7.15%
EPS Next 5Y8.56%
Revenue Next Year7.5%
Revenue Next 2Y5.79%
Revenue Next 3Y5.74%
Revenue Next 5Y4.32%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
REG is valuated quite expensively with a Price/Earnings ratio of 33.18.
62.02% of the companies in the same industry are more expensive than REG, based on the Price/Earnings ratio.
REG is valuated rather expensively when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 29.28, REG can be considered very expensive at the moment.
79.84% of the companies in the same industry are more expensive than REG, based on the Price/Forward Earnings ratio.
REG's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.73.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.18 | ||
| Fwd PE | 29.28 |
4.2 Price Multiples
79.84% of the companies in the same industry are cheaper than REG, based on the Enterprise Value to EBITDA ratio.
REG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. REG is cheaper than 64.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.85 | ||
| EV/EBITDA | 18.64 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
REG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)4.07
PEG (5Y)4.05
EPS Next 2Y7.21%
EPS Next 3Y7.15%
5. Dividend
5.1 Amount
REG has a Yearly Dividend Yield of 3.90%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.66, REG is paying slightly less dividend.
REG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.9% |
5.2 History
The dividend of REG has a limited annual growth rate of 3.44%.
REG has been paying a dividend for at least 10 years, so it has a reliable track record.
REG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.44%
Div Incr Years11
Div Non Decr Years14
5.3 Sustainability
REG pays out 131.40% of its income as dividend. This is not a sustainable payout ratio.
The dividend of REG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP131.4%
EPS Next 2Y7.21%
EPS Next 3Y7.15%
71.34
-0.9 (-1.25%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners104.43%
Inst Owner Change-4.78%
Ins Owners0.73%
Ins Owner Change0.39%
Market Cap12.95B
Analysts79.2
Price Target81.03 (13.58%)
Short Float %2.92%
Short Ratio4.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.9% |
Yearly Dividend2.76
Dividend Growth(5Y)3.44%
DP131.4%
Div Incr Years11
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.86%
Min EPS beat(2)2.8%
Max EPS beat(2)2.91%
EPS beat(4)3
Avg EPS beat(4)4.11%
Min EPS beat(4)-5.51%
Max EPS beat(4)16.23%
EPS beat(8)6
Avg EPS beat(8)6.42%
EPS beat(12)10
Avg EPS beat(12)7.94%
EPS beat(16)13
Avg EPS beat(16)19.09%
Revenue beat(2)2
Avg Revenue beat(2)1.5%
Min Revenue beat(2)1.4%
Max Revenue beat(2)1.59%
Revenue beat(4)4
Avg Revenue beat(4)2.72%
Min Revenue beat(4)0.55%
Max Revenue beat(4)7.33%
Revenue beat(8)8
Avg Revenue beat(8)2.16%
Revenue beat(12)12
Avg Revenue beat(12)2.18%
Revenue beat(16)16
Avg Revenue beat(16)2.97%
PT rev (1m)0.7%
PT rev (3m)0.79%
EPS NQ rev (1m)-1.35%
EPS NQ rev (3m)-1.7%
EPS NY rev (1m)0.04%
EPS NY rev (3m)0.26%
Revenue NQ rev (1m)0.57%
Revenue NQ rev (3m)0.96%
Revenue NY rev (1m)0.46%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.18 | ||
| Fwd PE | 29.28 | ||
| P/S | 8.67 | ||
| P/FCF | 43.85 | ||
| P/OCF | 15.72 | ||
| P/B | 1.94 | ||
| P/tB | 2.06 | ||
| EV/EBITDA | 18.64 |
EPS(TTM)2.15
EY3.01%
EPS(NY)2.44
Fwd EY3.42%
FCF(TTM)1.63
FCFY2.28%
OCF(TTM)4.54
OCFY6.36%
SpS8.23
BVpS36.78
TBVpS34.66
PEG (NY)4.07
PEG (5Y)4.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 5.84% | ||
| ROCE | 4.59% | ||
| ROIC | 3.62% | ||
| ROICexc | 3.67% | ||
| ROICexgc | 3.8% | ||
| OM | 36.9% | ||
| PM (TTM) | 26.09% | ||
| GM | 70.32% | ||
| FCFM | 19.76% |
ROA(3y)3.49%
ROA(5y)2.84%
ROE(3y)6.26%
ROE(5y)5.1%
ROIC(3y)3.42%
ROIC(5y)3.16%
ROICexc(3y)3.44%
ROICexc(5y)3.2%
ROICexgc(3y)3.58%
ROICexgc(5y)3.32%
ROCE(3y)4.33%
ROCE(5y)4.01%
ROICexcg growth 3Y-0.47%
ROICexcg growth 5Y4.33%
ROICexc growth 3Y-0.39%
ROICexc growth 5Y4.71%
OM growth 3Y-3.04%
OM growth 5Y1.59%
PM growth 3Y-4.97%
PM growth 5Y4.71%
GM growth 3Y-0.83%
GM growth 5Y-0.77%
F-Score7
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 16.25 | ||
| Debt/EBITDA | 5.08 | ||
| Cap/Depr | 134.71% | ||
| Cap/Sales | 35.37% | ||
| Interest Coverage | 3.17 | ||
| Cash Conversion | 87.29% | ||
| Profit Quality | 75.76% | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 1.3 |
F-Score7
WACC7.28%
ROIC/WACC0.5
Cap/Depr(3y)105.74%
Cap/Depr(5y)116.95%
Cap/Sales(3y)28.13%
Cap/Sales(5y)31.96%
Profit Quality(3y)88.31%
Profit Quality(5y)168.01%
High Growth Momentum
Growth
EPS 1Y (TTM)2.87%
EPS 3Y0.16%
EPS 5Y8.19%
EPS Q2Q%5.56%
EPS Next Y8.15%
EPS Next 2Y7.21%
EPS Next 3Y7.15%
EPS Next 5Y8.56%
Revenue 1Y (TTM)5.9%
Revenue growth 3Y7.63%
Revenue growth 5Y5.11%
Sales Q2Q%6.61%
Revenue Next Year7.5%
Revenue Next 2Y5.79%
Revenue Next 3Y5.74%
Revenue Next 5Y4.32%
EBIT growth 1Y12.64%
EBIT growth 3Y4.35%
EBIT growth 5Y6.79%
EBIT Next Year81.14%
EBIT Next 3Y25.34%
EBIT Next 5Y16.41%
FCF growth 1Y-27.78%
FCF growth 3Y75.84%
FCF growth 5Y22.26%
OCF growth 1Y24.34%
OCF growth 3Y6.22%
OCF growth 5Y4.93%