WHITESTONE REIT (WSR) Stock Fundamental Analysis
USA - NYSE:WSR - US9660842041 - REIT
12.94 USD
+0.22 (+1.73%)
12.94 USD
0 (0%)
Taking everything into account, WSR scores 4 out of 10 in our fundamental rating. WSR was compared to 130 industry peers in the Diversified REITs industry. While WSR belongs to the best of the industry regarding profitability, there are concerns on its financial health. WSR does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year WSR was profitable.
WSR had a positive operating cash flow in the past year.
In the past 5 years WSR has always been profitable.
Each year in the past 5 years WSR had a positive operating cash flow.
1.2 Ratios
WSR's Return On Assets of 2.92% is fine compared to the rest of the industry. WSR outperforms 73.85% of its industry peers.
WSR has a better Return On Equity (7.89%) than 82.31% of its industry peers.
The Return On Invested Capital of WSR (3.74%) is better than 70.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WSR is in line with the industry average of 3.05%.
The last Return On Invested Capital (3.74%) for WSR is above the 3 year average (3.59%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 7.89% | ||
| ROIC | 3.74% |
ROA(3y)2.72%
ROA(5y)1.97%
ROE(3y)7.16%
ROE(5y)5.27%
ROIC(3y)3.59%
ROIC(5y)3.15%
1.3 Margins
WSR has a better Profit Margin (21.70%) than 74.62% of its industry peers.
In the last couple of years the Profit Margin of WSR has grown nicely.
WSR's Operating Margin of 33.64% is fine compared to the rest of the industry. WSR outperforms 71.54% of its industry peers.
In the last couple of years the Operating Margin of WSR has grown nicely.
With a Gross Margin value of 69.83%, WSR perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
In the last couple of years the Gross Margin of WSR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.64% | ||
| PM (TTM) | 21.7% | ||
| GM | 69.83% |
OM growth 3Y5.79%
OM growth 5Y2.69%
PM growth 3Y35.51%
PM growth 5Y3.87%
GM growth 3Y0.75%
GM growth 5Y0.35%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WSR is destroying value.
Compared to 1 year ago, WSR has more shares outstanding
The number of shares outstanding for WSR has been increased compared to 5 years ago.
The debt/assets ratio for WSR has been reduced compared to a year ago.
2.2 Solvency
WSR has an Altman-Z score of 0.60. This is a bad value and indicates that WSR is not financially healthy and even has some risk of bankruptcy.
WSR has a Altman-Z score of 0.60. This is comparable to the rest of the industry: WSR outperforms 54.62% of its industry peers.
WSR has a Debt/Equity ratio of 1.57. This is a high value indicating a heavy dependency on external financing.
WSR has a worse Debt to Equity ratio (1.57) than 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.6 |
ROIC/WACC0.53
WACC6.99%
2.3 Liquidity
A Current Ratio of 1.64 indicates that WSR should not have too much problems paying its short term obligations.
WSR's Current ratio of 1.64 is fine compared to the rest of the industry. WSR outperforms 72.31% of its industry peers.
WSR has a Quick Ratio of 1.64. This is a normal value and indicates that WSR is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.64, WSR is doing good in the industry, outperforming 72.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 91.18% over the past year.
Measured over the past 5 years, WSR shows a small growth in Earnings Per Share. The EPS has been growing by 5.63% on average per year.
The Revenue has been growing slightly by 3.95% in the past year.
The Revenue has been growing slightly by 5.28% on average over the past years.
EPS 1Y (TTM)91.18%
EPS 3Y39.77%
EPS 5Y5.63%
EPS Q2Q%100%
Revenue 1Y (TTM)3.95%
Revenue growth 3Y7.16%
Revenue growth 5Y5.28%
Sales Q2Q%0.65%
3.2 Future
Based on estimates for the next years, WSR will show a decrease in Earnings Per Share. The EPS will decrease by -4.79% on average per year.
Based on estimates for the next years, WSR will show a small growth in Revenue. The Revenue will grow by 4.20% on average per year.
EPS Next Y-51.63%
EPS Next 2Y-23.17%
EPS Next 3Y-11.94%
EPS Next 5Y-4.79%
Revenue Next Year1.49%
Revenue Next 2Y3.08%
Revenue Next 3Y4.32%
Revenue Next 5Y4.2%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.91, the valuation of WSR can be described as rather expensive.
86.92% of the companies in the same industry are more expensive than WSR, based on the Price/Earnings ratio.
WSR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.20.
Based on the Price/Forward Earnings ratio of 30.87, the valuation of WSR can be described as expensive.
77.69% of the companies in the same industry are more expensive than WSR, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of WSR to the average of the S&P500 Index (22.70), we can say WSR is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.91 | ||
| Fwd PE | 30.87 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as WSR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.98 |
4.3 Compensation for Growth
The decent profitability rating of WSR may justify a higher PE ratio.
WSR's earnings are expected to decrease with -11.94% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)3.54
EPS Next 2Y-23.17%
EPS Next 3Y-11.94%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.13%, WSR is a good candidate for dividend investing.
WSR's Dividend Yield is comparable with the industry average which is at 6.66.
Compared to an average S&P500 Dividend Yield of 2.38, WSR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.13% |
5.2 History
The dividend of WSR decreases each year by -15.28%.
WSR has paid a dividend for at least 10 years, which is a reliable track record.
WSR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-15.28%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
WSR pays out 77.50% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of WSR has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP77.5%
EPS Next 2Y-23.17%
EPS Next 3Y-11.94%
12.94
+0.22 (+1.73%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners65.14%
Inst Owner Change-0.67%
Ins Owners3.4%
Ins Owner Change2.15%
Market Cap660.20M
Analysts80
Price Target15.23 (17.7%)
Short Float %1.18%
Short Ratio2.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.13% |
Yearly Dividend0.49
Dividend Growth(5Y)-15.28%
DP77.5%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.18%
Min EPS beat(2)-18.46%
Max EPS beat(2)18.82%
EPS beat(4)3
Avg EPS beat(4)67.92%
Min EPS beat(4)-18.46%
Max EPS beat(4)206.3%
EPS beat(8)5
Avg EPS beat(8)92.25%
EPS beat(12)6
Avg EPS beat(12)95.19%
EPS beat(16)8
Avg EPS beat(16)73.19%
Revenue beat(2)0
Avg Revenue beat(2)-3.22%
Min Revenue beat(2)-3.76%
Max Revenue beat(2)-2.68%
Revenue beat(4)1
Avg Revenue beat(4)-0.56%
Min Revenue beat(4)-3.76%
Max Revenue beat(4)4.3%
Revenue beat(8)1
Avg Revenue beat(8)-0.77%
Revenue beat(12)1
Avg Revenue beat(12)-0.93%
Revenue beat(16)4
Avg Revenue beat(16)-0.51%
PT rev (1m)0%
PT rev (3m)-0.95%
EPS NQ rev (1m)23.53%
EPS NQ rev (3m)21.15%
EPS NY rev (1m)-0.97%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0.19%
Revenue NQ rev (3m)-0.81%
Revenue NY rev (1m)-1.04%
Revenue NY rev (3m)-1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.91 | ||
| Fwd PE | 30.87 | ||
| P/S | 4.25 | ||
| P/FCF | N/A | ||
| P/OCF | 12.85 | ||
| P/B | 1.54 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 14.98 |
EPS(TTM)0.65
EY5.02%
EPS(NY)0.42
Fwd EY3.24%
FCF(TTM)-0.44
FCFYN/A
OCF(TTM)1.01
OCFY7.78%
SpS3.05
BVpS8.38
TBVpS8.38
PEG (NY)N/A
PEG (5Y)3.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 7.89% | ||
| ROCE | 4.73% | ||
| ROIC | 3.74% | ||
| ROICexc | 3.76% | ||
| ROICexgc | 3.77% | ||
| OM | 33.64% | ||
| PM (TTM) | 21.7% | ||
| GM | 69.83% | ||
| FCFM | N/A |
ROA(3y)2.72%
ROA(5y)1.97%
ROE(3y)7.16%
ROE(5y)5.27%
ROIC(3y)3.59%
ROIC(5y)3.15%
ROICexc(3y)3.61%
ROICexc(5y)3.18%
ROICexgc(3y)3.65%
ROICexgc(5y)3.22%
ROCE(3y)4.54%
ROCE(5y)3.99%
ROICexcg growth 3Y12.11%
ROICexcg growth 5Y6.64%
ROICexc growth 3Y12.38%
ROICexc growth 5Y6.74%
OM growth 3Y5.79%
OM growth 5Y2.69%
PM growth 3Y35.51%
PM growth 5Y3.87%
GM growth 3Y0.75%
GM growth 5Y0.35%
F-Score6
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.65 | ||
| Cap/Depr | 208.38% | ||
| Cap/Sales | 47.64% | ||
| Interest Coverage | 1.58 | ||
| Cash Conversion | 58.51% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 0.6 |
F-Score6
WACC6.99%
ROIC/WACC0.53
Cap/Depr(3y)159.87%
Cap/Depr(5y)164.15%
Cap/Sales(3y)36.2%
Cap/Sales(5y)37.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)91.18%
EPS 3Y39.77%
EPS 5Y5.63%
EPS Q2Q%100%
EPS Next Y-51.63%
EPS Next 2Y-23.17%
EPS Next 3Y-11.94%
EPS Next 5Y-4.79%
Revenue 1Y (TTM)3.95%
Revenue growth 3Y7.16%
Revenue growth 5Y5.28%
Sales Q2Q%0.65%
Revenue Next Year1.49%
Revenue Next 2Y3.08%
Revenue Next 3Y4.32%
Revenue Next 5Y4.2%
EBIT growth 1Y10.62%
EBIT growth 3Y13.37%
EBIT growth 5Y8.11%
EBIT Next Year78.83%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y31.54%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y7.39%
OCF growth 3Y6.01%
OCF growth 5Y4.05%