TERRENO REALTY CORP (TRNO) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:TRNO • US88146M1018
61.1 USD
-0.34 (-0.55%)
Last: Jan 30, 2026, 01:30 PM
Taking everything into account, TRNO scores 6 out of 10 in our fundamental rating. TRNO was compared to 124 industry peers in the Diversified REITs industry. While TRNO has a great profitability rating, there are some minor concerns on its financial health. TRNO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- TRNO had positive earnings in the past year.
- TRNO had a positive operating cash flow in the past year.
- TRNO had positive earnings in each of the past 5 years.
- Each year in the past 5 years TRNO had a positive operating cash flow.
1.2 Ratios
- TRNO's Return On Assets of 5.99% is amongst the best of the industry. TRNO outperforms 99.19% of its industry peers.
- TRNO has a Return On Equity of 8.00%. This is in the better half of the industry: TRNO outperforms 79.84% of its industry peers.
- The Return On Invested Capital of TRNO (2.67%) is comparable to the rest of the industry.
- TRNO had an Average Return On Invested Capital over the past 3 years of 2.73%. This is in line with the industry average of 3.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.99% | ||
| ROE | 8% | ||
| ROIC | 2.67% |
ROA(3y)4.65%
ROA(5y)4.12%
ROE(3y)6.34%
ROE(5y)5.65%
ROIC(3y)2.73%
ROIC(5y)2.65%
1.3 Margins
- TRNO has a better Profit Margin (72.18%) than 100.00% of its industry peers.
- TRNO's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 39.36%, TRNO belongs to the top of the industry, outperforming 84.68% of the companies in the same industry.
- TRNO's Operating Margin has improved in the last couple of years.
- TRNO's Gross Margin of 74.53% is fine compared to the rest of the industry. TRNO outperforms 71.77% of its industry peers.
- TRNO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.36% | ||
| PM (TTM) | 72.18% | ||
| GM | 74.53% |
OM growth 3Y-0.86%
OM growth 5Y2.39%
PM growth 3Y7.03%
PM growth 5Y8.26%
GM growth 3Y-0.14%
GM growth 5Y0.06%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TRNO is destroying value.
- Compared to 1 year ago, TRNO has more shares outstanding
- Compared to 5 years ago, TRNO has more shares outstanding
- The debt/assets ratio for TRNO has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 3.06 indicates that TRNO is not in any danger for bankruptcy at the moment.
- TRNO has a better Altman-Z score (3.06) than 96.77% of its industry peers.
- The Debt to FCF ratio of TRNO is 8.73, which is on the high side as it means it would take TRNO, 8.73 years of fcf income to pay off all of its debts.
- TRNO's Debt to FCF ratio of 8.73 is amongst the best of the industry. TRNO outperforms 93.55% of its industry peers.
- TRNO has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
- TRNO has a Debt to Equity ratio of 0.26. This is amongst the best in the industry. TRNO outperforms 96.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 8.73 | ||
| Altman-Z | 3.06 |
ROIC/WACC0.33
WACC8.14%
2.3 Liquidity
- TRNO has a Current Ratio of 0.15. This is a bad value and indicates that TRNO is not financially healthy enough and could expect problems in meeting its short term obligations.
- TRNO's Current ratio of 0.15 is on the low side compared to the rest of the industry. TRNO is outperformed by 93.55% of its industry peers.
- TRNO has a Quick Ratio of 0.15. This is a bad value and indicates that TRNO is not financially healthy enough and could expect problems in meeting its short term obligations.
- TRNO's Quick ratio of 0.15 is on the low side compared to the rest of the industry. TRNO is outperformed by 92.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.15 | ||
| Quick Ratio | 0.15 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 74.03% over the past year.
- Measured over the past years, TRNO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.70% on average per year.
- The Revenue has grown by 21.13% in the past year. This is a very strong growth!
- TRNO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.48% yearly.
EPS 1Y (TTM)74.03%
EPS 3Y16%
EPS 5Y17.7%
EPS Q2Q%170.27%
Revenue 1Y (TTM)21.13%
Revenue growth 3Y19.91%
Revenue growth 5Y17.48%
Sales Q2Q%16.67%
3.2 Future
- TRNO is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -2.87% yearly.
- TRNO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.62% yearly.
EPS Next Y42.2%
EPS Next 2Y0.42%
EPS Next 3Y-2.87%
EPS Next 5YN/A
Revenue Next Year21.64%
Revenue Next 2Y14.6%
Revenue Next 3Y13.15%
Revenue Next 5Y16.62%
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.
- 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
- With a Price/Earnings ratio of 19.40, TRNO is valued on the expensive side.
- Compared to the rest of the industry, the Price/Earnings ratio of TRNO indicates a rather cheap valuation: TRNO is cheaper than 83.06% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 28.39, TRNO is valued a bit cheaper.
- The Price/Forward Earnings ratio is 31.56, which means the current valuation is very expensive for TRNO.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of TRNO indicates a somewhat cheap valuation: TRNO is cheaper than 75.00% of the companies listed in the same industry.
- TRNO is valuated rather expensively when we compare the Price/Forward Earnings ratio to 25.72, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.4 | ||
| Fwd PE | 31.56 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TRNO indicates a rather expensive valuation: TRNO more expensive than 89.52% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, TRNO is valued a bit cheaper than 66.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.89 | ||
| EV/EBITDA | 25.93 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- TRNO has a very decent profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as TRNO's earnings are expected to decrease with -2.87% in the coming years.
PEG (NY)0.46
PEG (5Y)1.1
EPS Next 2Y0.42%
EPS Next 3Y-2.87%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.35%, TRNO has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 6.82, TRNO is paying slightly less dividend.
- Compared to an average S&P500 Dividend Yield of 1.82, TRNO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.35% |
5.2 History
- The dividend of TRNO is nicely growing with an annual growth rate of 13.58%!
- TRNO has been paying a dividend for at least 10 years, so it has a reliable track record.
- TRNO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)13.58%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
- TRNO pays out 62.29% of its income as dividend. This is not a sustainable payout ratio.
- TRNO's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP62.29%
EPS Next 2Y0.42%
EPS Next 3Y-2.87%
TERRENO REALTY CORP / TRNO FAQ
What is the ChartMill fundamental rating of TERRENO REALTY CORP (TRNO) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TRNO.
Can you provide the valuation status for TERRENO REALTY CORP?
ChartMill assigns a valuation rating of 5 / 10 to TERRENO REALTY CORP (TRNO). This can be considered as Fairly Valued.
Can you provide the profitability details for TERRENO REALTY CORP?
TERRENO REALTY CORP (TRNO) has a profitability rating of 7 / 10.
What are the PE and PB ratios of TERRENO REALTY CORP (TRNO) stock?
The Price/Earnings (PE) ratio for TERRENO REALTY CORP (TRNO) is 19.4 and the Price/Book (PB) ratio is 1.58.
How sustainable is the dividend of TERRENO REALTY CORP (TRNO) stock?
The dividend rating of TERRENO REALTY CORP (TRNO) is 5 / 10 and the dividend payout ratio is 62.29%.