WP CAREY INC (WPC) Stock Fundamental Analysis
USA - NYSE:WPC - US92936U1097 - REIT
66 USD
+0.74 (+1.13%)
66 USD
0 (0%)
WPC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 127 industry peers in the Diversified REITs industry. While WPC has a great profitability rating, there are quite some concerns on its financial health. WPC is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
WPC had positive earnings in the past year.
In the past year WPC had a positive cash flow from operations.
Each year in the past 5 years WPC has been profitable.
In the past 5 years WPC always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of WPC (1.87%) is better than 61.42% of its industry peers.
WPC has a better Return On Equity (4.09%) than 62.20% of its industry peers.
WPC has a better Return On Invested Capital (3.88%) than 74.02% of its industry peers.
WPC had an Average Return On Invested Capital over the past 3 years of 3.54%. This is in line with the industry average of 3.04%.
The last Return On Invested Capital (3.88%) for WPC is above the 3 year average (3.54%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.87% | ||
| ROE | 4.09% | ||
| ROIC | 3.88% |
ROA(3y)3.29%
ROA(5y)3.12%
ROE(3y)6.76%
ROE(5y)6.46%
ROIC(3y)3.54%
ROIC(5y)3.43%
1.3 Margins
The Profit Margin of WPC (20.42%) is better than 72.44% of its industry peers.
In the last couple of years the Profit Margin of WPC has grown nicely.
Looking at the Operating Margin, with a value of 51.14%, WPC belongs to the top of the industry, outperforming 92.91% of the companies in the same industry.
In the last couple of years the Operating Margin of WPC has grown nicely.
The Gross Margin of WPC (89.03%) is better than 89.76% of its industry peers.
In the last couple of years the Gross Margin of WPC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 51.14% | ||
| PM (TTM) | 20.42% | ||
| GM | 89.03% |
OM growth 3Y1.61%
OM growth 5Y2.57%
PM growth 3Y-1.85%
PM growth 5Y3.29%
GM growth 3Y-0.67%
GM growth 5Y0.37%
2. Health
2.1 Basic Checks
WPC 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, WPC has about the same amount of shares outstanding.
The number of shares outstanding for WPC has been increased compared to 5 years ago.
The debt/assets ratio for WPC is higher compared to a year ago.
2.2 Solvency
WPC has an Altman-Z score of 0.82. This is a bad value and indicates that WPC is not financially healthy and even has some risk of bankruptcy.
WPC has a Altman-Z score of 0.82. This is in the better half of the industry: WPC outperforms 69.29% of its industry peers.
A Debt/Equity ratio of 1.05 is on the high side and indicates that WPC has dependencies on debt financing.
WPC has a Debt to Equity ratio (1.05) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.82 |
ROIC/WACC0.6
WACC6.51%
2.3 Liquidity
WPC has a Current Ratio of 0.29. This is a bad value and indicates that WPC is not financially healthy enough and could expect problems in meeting its short term obligations.
WPC has a Current ratio of 0.29. This is amonst the worse of the industry: WPC underperforms 87.40% of its industry peers.
WPC has a Quick Ratio of 0.29. This is a bad value and indicates that WPC is not financially healthy enough and could expect problems in meeting its short term obligations.
WPC has a worse Quick ratio (0.29) than 86.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.29 | ||
| Quick Ratio | 0.29 |
3. Growth
3.1 Past
WPC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.02%.
The Earnings Per Share has been growing slightly by 1.09% on average over the past years.
WPC shows a decrease in Revenue. In the last year, the revenue decreased by -9.09%.
The Revenue has been growing slightly by 5.13% on average over the past years.
EPS 1Y (TTM)-11.02%
EPS 3Y-6.66%
EPS 5Y1.09%
EPS Q2Q%145.1%
Revenue 1Y (TTM)-9.09%
Revenue growth 3Y5.94%
Revenue growth 5Y5.13%
Sales Q2Q%7.96%
3.2 Future
Based on estimates for the next years, WPC will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.81% on average per year.
Based on estimates for the next years, WPC will show a quite strong growth in Revenue. The Revenue will grow by 9.12% on average per year.
EPS Next Y1.97%
EPS Next 2Y12.95%
EPS Next 3Y9.81%
EPS Next 5YN/A
Revenue Next Year8.1%
Revenue Next 2Y5.86%
Revenue Next 3Y5.84%
Revenue Next 5Y9.12%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
WPC is valuated quite expensively with a Price/Earnings ratio of 29.20.
WPC's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.10, WPC is valued at the same level.
WPC is valuated rather expensively with a Price/Forward Earnings ratio of 24.75.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WPC indicates a rather cheap valuation: WPC is cheaper than 84.25% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.52, WPC is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.2 | ||
| Fwd PE | 24.75 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WPC indicates a slightly more expensive valuation: WPC is more expensive than 69.29% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.02 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WPC does not grow enough to justify the current Price/Earnings ratio.
WPC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)14.85
PEG (5Y)26.86
EPS Next 2Y12.95%
EPS Next 3Y9.81%
5. Dividend
5.1 Amount
WPC has a Yearly Dividend Yield of 5.49%, which is a nice return.
WPC's Dividend Yield is comparable with the industry average which is at 6.40.
WPC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.49% |
5.2 History
The dividend of WPC decreases each year by -3.50%.
WPC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-3.5%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
WPC pays out 230.94% of its income as dividend. This is not a sustainable payout ratio.
DP230.94%
EPS Next 2Y12.95%
EPS Next 3Y9.81%
66
+0.74 (+1.13%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners73.17%
Inst Owner Change-0.03%
Ins Owners0.96%
Ins Owner Change0.57%
Market Cap14.45B
Revenue(TTM)1.58B
Net Income(TTM)335.76M
Analysts66.67
Price Target69.45 (5.23%)
Short Float %3.14%
Short Ratio6.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.49% |
Yearly Dividend3.5
Dividend Growth(5Y)-3.5%
DP230.94%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-43.12%
Min EPS beat(2)-74.41%
Max EPS beat(2)-11.82%
EPS beat(4)0
Avg EPS beat(4)-38.57%
Min EPS beat(4)-74.41%
Max EPS beat(4)-4.73%
EPS beat(8)3
Avg EPS beat(8)-11.88%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.12%
Min Revenue beat(2)2.14%
Max Revenue beat(2)4.11%
Revenue beat(4)4
Avg Revenue beat(4)2.48%
Min Revenue beat(4)1.42%
Max Revenue beat(4)4.11%
Revenue beat(8)5
Avg Revenue beat(8)0.35%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.55%
PT rev (3m)6.23%
EPS NQ rev (1m)1.56%
EPS NQ rev (3m)-27.51%
EPS NY rev (1m)0.48%
EPS NY rev (3m)-34.78%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)1.75%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)2.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.2 | ||
| Fwd PE | 24.75 | ||
| P/S | 8.79 | ||
| P/FCF | N/A | ||
| P/OCF | 11.53 | ||
| P/B | 1.76 | ||
| P/tB | 2 | ||
| EV/EBITDA | 17.02 |
EPS(TTM)2.26
EY3.42%
EPS(NY)2.67
Fwd EY4.04%
FCF(TTM)-0.5
FCFYN/A
OCF(TTM)5.72
OCFY8.67%
SpS7.51
BVpS37.5
TBVpS32.99
PEG (NY)14.85
PEG (5Y)26.86
Graham Number43.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.87% | ||
| ROE | 4.09% | ||
| ROCE | 4.91% | ||
| ROIC | 3.88% | ||
| ROICexc | 3.93% | ||
| ROICexgc | 4.38% | ||
| OM | 51.14% | ||
| PM (TTM) | 20.42% | ||
| GM | 89.03% | ||
| FCFM | N/A |
ROA(3y)3.29%
ROA(5y)3.12%
ROE(3y)6.76%
ROE(5y)6.46%
ROIC(3y)3.54%
ROIC(5y)3.43%
ROICexc(3y)3.65%
ROICexc(5y)3.51%
ROICexgc(3y)4.59%
ROICexgc(5y)4.53%
ROCE(3y)4.49%
ROCE(5y)4.34%
ROICexgc growth 3Y1.8%
ROICexgc growth 5Y1.77%
ROICexc growth 3Y4.04%
ROICexc growth 5Y3.63%
OM growth 3Y1.61%
OM growth 5Y2.57%
PM growth 3Y-1.85%
PM growth 5Y3.29%
GM growth 3Y-0.67%
GM growth 5Y0.37%
F-Score5
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.44 | ||
| Cap/Depr | 272.19% | ||
| Cap/Sales | 82.94% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 93.43% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.29 | ||
| Quick Ratio | 0.29 | ||
| Altman-Z | 0.82 |
F-Score5
WACC6.51%
ROIC/WACC0.6
Cap/Depr(3y)238.06%
Cap/Depr(5y)238.59%
Cap/Sales(3y)80.31%
Cap/Sales(5y)83.8%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-11.02%
EPS 3Y-6.66%
EPS 5Y1.09%
EPS Q2Q%145.1%
EPS Next Y1.97%
EPS Next 2Y12.95%
EPS Next 3Y9.81%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.09%
Revenue growth 3Y5.94%
Revenue growth 5Y5.13%
Sales Q2Q%7.96%
Revenue Next Year8.1%
Revenue Next 2Y5.86%
Revenue Next 3Y5.84%
Revenue Next 5Y9.12%
EBIT growth 1Y8.48%
EBIT growth 3Y7.64%
EBIT growth 5Y7.83%
EBIT Next Year58.03%
EBIT Next 3Y24.53%
EBIT Next 5Y20.8%
FCF growth 1Y75.51%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y15.34%
OCF growth 3Y25.54%
OCF growth 5Y17.68%
WP CAREY INC / WPC FAQ
Can you provide the ChartMill fundamental rating for WP CAREY INC?
ChartMill assigns a fundamental rating of 4 / 10 to WPC.
What is the valuation status of WP CAREY INC (WPC) stock?
ChartMill assigns a valuation rating of 3 / 10 to WP CAREY INC (WPC). This can be considered as Overvalued.
What is the profitability of WPC stock?
WP CAREY INC (WPC) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for WPC stock?
The Price/Earnings (PE) ratio for WP CAREY INC (WPC) is 29.2 and the Price/Book (PB) ratio is 1.76.
How financially healthy is WP CAREY INC?
The financial health rating of WP CAREY INC (WPC) is 1 / 10.