TANGER INC (SKT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SKT - US8754651060 - REIT
33.92 USD
-0.07 (-0.21%)
33.92 USD
0 (0%)
Overall SKT gets a fundamental rating of 4 out of 10. We evaluated SKT against 127 industry peers in the Diversified REITs industry. While SKT belongs to the best of the industry regarding profitability, there are concerns on its financial health. While showing a medium growth rate, SKT is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year SKT was profitable.
In the past year SKT had a positive cash flow from operations.
Of the past 5 years SKT 4 years were profitable.
SKT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SKT (4.06%) is better than 84.25% of its industry peers.
The Return On Equity of SKT (15.20%) is better than 92.13% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.37%, SKT belongs to the top of the industry, outperforming 96.06% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SKT is in line with the industry average of 3.06%.
The 3 year average ROIC (4.98%) for SKT is below the current ROIC(5.37%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 15.2% | ||
| ROIC | 5.37% |
ROA(3y)3.99%
ROA(5y)2.13%
ROE(3y)16.26%
ROE(5y)7.93%
ROIC(3y)4.98%
ROIC(5y)4.56%
1.3 Margins
With a decent Profit Margin value of 19.03%, SKT is doing good in the industry, outperforming 66.14% of the companies in the same industry.
SKT's Profit Margin has been stable in the last couple of years.
The Operating Margin of SKT (29.59%) is better than 60.63% of its industry peers.
In the last couple of years the Operating Margin of SKT has remained more or less at the same level.
Looking at the Gross Margin, with a value of 69.49%, SKT is in line with its industry, outperforming 56.69% of the companies in the same industry.
In the last couple of years the Gross Margin of SKT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.59% | ||
| PM (TTM) | 19.03% | ||
| GM | 69.49% |
OM growth 3Y3.56%
OM growth 5Y-0.93%
PM growth 3Y111.98%
PM growth 5Y0.53%
GM growth 3Y0.76%
GM growth 5Y0.28%
2. Health
2.1 Basic Checks
SKT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
SKT has more shares outstanding than it did 1 year ago.
SKT has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SKT has an improved debt to assets ratio.
2.2 Solvency
SKT has an Altman-Z score of 1.33. This is a bad value and indicates that SKT is not financially healthy and even has some risk of bankruptcy.
SKT's Altman-Z score of 1.33 is amongst the best of the industry. SKT outperforms 86.61% of its industry peers.
A Debt/Equity ratio of 2.29 is on the high side and indicates that SKT has dependencies on debt financing.
With a Debt to Equity ratio value of 2.29, SKT is not doing good in the industry: 71.65% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.29 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.33 |
ROIC/WACC0.74
WACC7.23%
2.3 Liquidity
SKT has a Current Ratio of 0.74. This is a bad value and indicates that SKT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of SKT (0.74) is worse than 62.99% of its industry peers.
A Quick Ratio of 0.74 indicates that SKT may have some problems paying its short term obligations.
The Quick ratio of SKT (0.74) is worse than 60.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.49% over the past year.
The Earnings Per Share has been growing by 8.70% on average over the past years. This is quite good.
Looking at the last year, SKT shows a quite strong growth in Revenue. The Revenue has grown by 9.59% in the last year.
SKT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.92% yearly.
EPS 1Y (TTM)11.49%
EPS 3Y132.52%
EPS 5Y8.7%
EPS Q2Q%27.27%
Revenue 1Y (TTM)9.59%
Revenue growth 3Y7.24%
Revenue growth 5Y1.92%
Sales Q2Q%9.18%
3.2 Future
Based on estimates for the next years, SKT will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.48% on average per year.
Based on estimates for the next years, SKT will show a small growth in Revenue. The Revenue will grow by 6.23% on average per year.
EPS Next Y4.44%
EPS Next 2Y27%
EPS Next 3Y9.48%
EPS Next 5YN/A
Revenue Next Year9.19%
Revenue Next 2Y6.88%
Revenue Next 3Y6.23%
Revenue Next 5YN/A
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 34.97, which means the current valuation is very expensive for SKT.
Compared to the rest of the industry, the Price/Earnings ratio of SKT is on the same level as its industry peers.
SKT is valuated rather expensively when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 23.90, the valuation of SKT can be described as rather expensive.
Based on the Price/Forward Earnings ratio, SKT is valued cheaply inside the industry as 85.83% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.40, SKT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.97 | ||
| Fwd PE | 23.9 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SKT is valued a bit more expensive than 73.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.62 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of SKT may justify a higher PE ratio.
PEG (NY)7.87
PEG (5Y)4.02
EPS Next 2Y27%
EPS Next 3Y9.48%
5. Dividend
5.1 Amount
SKT has a Yearly Dividend Yield of 3.41%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.43, SKT is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.00, SKT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
5.2 History
The dividend of SKT decreases each year by -5.24%.
SKT has been paying a dividend for at least 10 years, so it has a reliable track record.
SKT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-5.24%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
120.63% of the earnings are spent on dividend by SKT. This is not a sustainable payout ratio.
DP120.63%
EPS Next 2Y27%
EPS Next 3Y9.48%
33.92
-0.07 (-0.21%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.31%
Inst Owner Change0.5%
Ins Owners2.26%
Ins Owner Change-0.65%
Market Cap3.90B
Revenue(TTM)562.00M
Net Income(TTM)106.92M
Analysts75
Price Target37.46 (10.44%)
Short Float %3.82%
Short Ratio5.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
Yearly Dividend1.09
Dividend Growth(5Y)-5.24%
DP120.63%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.61%
Min EPS beat(2)-16.37%
Max EPS beat(2)13.15%
EPS beat(4)2
Avg EPS beat(4)1.82%
Min EPS beat(4)-16.37%
Max EPS beat(4)16.19%
EPS beat(8)6
Avg EPS beat(8)5.06%
EPS beat(12)9
Avg EPS beat(12)16.78%
EPS beat(16)12
Avg EPS beat(16)17.81%
Revenue beat(2)2
Avg Revenue beat(2)5.21%
Min Revenue beat(2)4.76%
Max Revenue beat(2)5.67%
Revenue beat(4)4
Avg Revenue beat(4)5.79%
Min Revenue beat(4)4.76%
Max Revenue beat(4)7.78%
Revenue beat(8)8
Avg Revenue beat(8)4.99%
Revenue beat(12)11
Avg Revenue beat(12)4.44%
Revenue beat(16)15
Avg Revenue beat(16)3.97%
PT rev (1m)0.75%
PT rev (3m)4.34%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.95%
EPS NY rev (1m)1.11%
EPS NY rev (3m)-3.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.86%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.97 | ||
| Fwd PE | 23.9 | ||
| P/S | 6.95 | ||
| P/FCF | N/A | ||
| P/OCF | 13.49 | ||
| P/B | 5.55 | ||
| P/tB | 5.55 | ||
| EV/EBITDA | 17.62 |
EPS(TTM)0.97
EY2.86%
EPS(NY)1.42
Fwd EY4.18%
FCF(TTM)-0.44
FCFYN/A
OCF(TTM)2.51
OCFY7.41%
SpS4.88
BVpS6.11
TBVpS6.11
PEG (NY)7.87
PEG (5Y)4.02
Graham Number11.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 15.2% | ||
| ROCE | 6.79% | ||
| ROIC | 5.37% | ||
| ROICexc | 5.4% | ||
| ROICexgc | 5.4% | ||
| OM | 29.59% | ||
| PM (TTM) | 19.03% | ||
| GM | 69.49% | ||
| FCFM | N/A |
ROA(3y)3.99%
ROA(5y)2.13%
ROE(3y)16.26%
ROE(5y)7.93%
ROIC(3y)4.98%
ROIC(5y)4.56%
ROICexc(3y)5.21%
ROICexc(5y)4.8%
ROICexgc(3y)5.21%
ROICexgc(5y)4.8%
ROCE(3y)6.31%
ROCE(5y)5.77%
ROICexgc growth 3Y5.08%
ROICexgc growth 5Y0.54%
ROICexc growth 3Y5.08%
ROICexc growth 5Y0.55%
OM growth 3Y3.56%
OM growth 5Y-0.93%
PM growth 3Y111.98%
PM growth 5Y0.53%
GM growth 3Y0.76%
GM growth 5Y0.28%
F-Score4
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.29 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.16 | ||
| Cap/Depr | 232.77% | ||
| Cap/Sales | 60.53% | ||
| Interest Coverage | 2.85 | ||
| Cash Conversion | 92.62% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 1.33 |
F-Score4
WACC7.23%
ROIC/WACC0.74
Cap/Depr(3y)209.92%
Cap/Depr(5y)139.93%
Cap/Sales(3y)50.97%
Cap/Sales(5y)34.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.49%
EPS 3Y132.52%
EPS 5Y8.7%
EPS Q2Q%27.27%
EPS Next Y4.44%
EPS Next 2Y27%
EPS Next 3Y9.48%
EPS Next 5YN/A
Revenue 1Y (TTM)9.59%
Revenue growth 3Y7.24%
Revenue growth 5Y1.92%
Sales Q2Q%9.18%
Revenue Next Year9.19%
Revenue Next 2Y6.88%
Revenue Next 3Y6.23%
Revenue Next 5YN/A
EBIT growth 1Y14.84%
EBIT growth 3Y11.06%
EBIT growth 5Y0.97%
EBIT Next Year112.97%
EBIT Next 3Y32.46%
EBIT Next 5YN/A
FCF growth 1Y-161.4%
FCF growth 3Y-23.27%
FCF growth 5Y-14.91%
OCF growth 1Y18.99%
OCF growth 3Y6.19%
OCF growth 5Y3.4%
TANGER INC / SKT FAQ
What is the ChartMill fundamental rating of TANGER INC (SKT) stock?
ChartMill assigns a fundamental rating of 4 / 10 to SKT.
What is the valuation status of TANGER INC (SKT) stock?
ChartMill assigns a valuation rating of 2 / 10 to TANGER INC (SKT). This can be considered as Overvalued.
What is the profitability of SKT stock?
TANGER INC (SKT) has a profitability rating of 7 / 10.
What is the earnings growth outlook for TANGER INC?
The Earnings per Share (EPS) of TANGER INC (SKT) is expected to grow by 4.44% in the next year.
Is the dividend of TANGER INC sustainable?
The dividend rating of TANGER INC (SKT) is 3 / 10 and the dividend payout ratio is 120.63%.