AMERICAN ASSETS TRUST INC (AAT) Stock Fundamental Analysis
NYSE:AAT - New York Stock Exchange, Inc. - US0240131047 - REIT - Currency: USD
Overall AAT gets a fundamental rating of 4 out of 10. We evaluated AAT against 129 industry peers in the Diversified REITs industry. There are concerns on the financial health of AAT while its profitability can be described as average. AAT has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year AAT was profitable.
AAT had a positive operating cash flow in the past year.
In the past 5 years AAT has always been profitable.
In the past 5 years AAT always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.49%, AAT is in the better half of the industry, outperforming 69.77% of the companies in the same industry.
AAT's Return On Equity of 6.22% is fine compared to the rest of the industry. AAT outperforms 74.42% of its industry peers.
AAT's Return On Invested Capital of 3.35% is fine compared to the rest of the industry. AAT outperforms 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AAT is in line with the industry average of 3.07%.
The 3 year average ROIC (3.22%) for AAT is below the current ROIC(3.35%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | 6.22% | ||
| ROIC | 3.35% |
ROA(3y)1.63%
ROA(5y)1.36%
ROE(3y)4.2%
ROE(5y)3.41%
ROIC(3y)3.22%
ROIC(5y)2.99%
1.3 Margins
AAT has a Profit Margin of 16.26%. This is in the better half of the industry: AAT outperforms 66.67% of its industry peers.
AAT's Profit Margin has been stable in the last couple of years.
AAT has a Operating Margin of 26.79%. This is in the better half of the industry: AAT outperforms 60.47% of its industry peers.
AAT's Operating Margin has declined in the last couple of years.
AAT has a worse Gross Margin (62.92%) than 62.79% of its industry peers.
In the last couple of years the Gross Margin of AAT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.79% | ||
| PM (TTM) | 16.26% | ||
| GM | 62.92% |
OM growth 3Y2.01%
OM growth 5Y-1.87%
PM growth 3Y17.96%
PM growth 5Y-0.09%
GM growth 3Y-1.09%
GM growth 5Y-0.21%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AAT is destroying value.
AAT has more shares outstanding than it did 1 year ago.
The number of shares outstanding for AAT has been increased compared to 5 years ago.
Compared to 1 year ago, AAT has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.58, we must say that AAT is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.58, AAT is in line with its industry, outperforming 51.94% of the companies in the same industry.
The Debt to FCF ratio of AAT is 55.56, which is on the high side as it means it would take AAT, 55.56 years of fcf income to pay off all of its debts.
AAT has a better Debt to FCF ratio (55.56) than 62.02% of its industry peers.
AAT has a Debt/Equity ratio of 1.42. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.42, AAT perfoms like the industry average, outperforming 41.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.42 | ||
| Debt/FCF | 55.56 | ||
| Altman-Z | 0.58 |
ROIC/WACC0.54
WACC6.15%
2.3 Liquidity
A Current Ratio of 1.70 indicates that AAT should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.70, AAT is in the better half of the industry, outperforming 72.09% of the companies in the same industry.
A Quick Ratio of 1.70 indicates that AAT should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.70, AAT is doing good in the industry, outperforming 72.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.7 |
3. Growth
3.1 Past
The earnings per share for AAT have decreased strongly by -44.94% in the last year.
The Earnings Per Share has been growing slightly by 2.01% on average over the past years.
AAT shows a small growth in Revenue. In the last year, the Revenue has grown by 1.69%.
The Revenue has been growing slightly by 4.54% on average over the past years.
EPS 1Y (TTM)-44.94%
EPS 3Y31.27%
EPS 5Y2.01%
EPS Q2Q%-55%
Revenue 1Y (TTM)1.69%
Revenue growth 3Y6.8%
Revenue growth 5Y4.54%
Sales Q2Q%-2.67%
3.2 Future
AAT is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -24.80% yearly.
The Revenue is expected to grow by 0.03% on average over the next years.
EPS Next Y-60.66%
EPS Next 2Y-30.83%
EPS Next 3Y-24.8%
EPS Next 5YN/A
Revenue Next Year-3.83%
Revenue Next 2Y-0.91%
Revenue Next 3Y0.03%
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 40.37, AAT can be considered very expensive at the moment.
AAT's Price/Earnings is on the same level as the industry average.
AAT is valuated expensively when we compare the Price/Earnings ratio to 26.86, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 43.52, the valuation of AAT can be described as expensive.
AAT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AAT is cheaper than 60.47% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.94, AAT is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.37 | ||
| Fwd PE | 43.52 |
4.2 Price Multiples
AAT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. AAT is cheaper than 78.29% of the companies in the same industry.
AAT's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. AAT is cheaper than 65.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.84 | ||
| EV/EBITDA | 11.04 |
4.3 Compensation for Growth
AAT has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as AAT's earnings are expected to decrease with -24.80% in the coming years.
PEG (NY)N/A
PEG (5Y)20.08
EPS Next 2Y-30.83%
EPS Next 3Y-24.8%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.97%, AAT is a good candidate for dividend investing.
AAT's Dividend Yield is a higher than the industry average which is at 6.54.
Compared to an average S&P500 Dividend Yield of 2.36, AAT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.97% |
5.2 History
The dividend of AAT has a limited annual growth rate of 2.45%.
AAT has been paying a dividend for at least 10 years, so it has a reliable track record.
AAT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.45%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
141.67% of the earnings are spent on dividend by AAT. This is not a sustainable payout ratio.
The Dividend Rate of AAT has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP141.67%
EPS Next 2Y-30.83%
EPS Next 3Y-24.8%
NYSE:AAT (8/21/2025, 11:35:34 AM)
19.78
+0.07 (+0.36%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners94.04%
Inst Owner Change-0.28%
Ins Owners1.55%
Ins Owner Change1.77%
Market Cap1.21B
Analysts48
Price Target21.42 (8.29%)
Short Float %2.1%
Short Ratio2.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.97% |
Yearly Dividend1.69
Dividend Growth(5Y)2.45%
DP141.67%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-99.78%
Min EPS beat(2)-188.67%
Max EPS beat(2)-10.89%
EPS beat(4)1
Avg EPS beat(4)-22.95%
Min EPS beat(4)-188.67%
Max EPS beat(4)112.16%
EPS beat(8)5
Avg EPS beat(8)0.06%
EPS beat(12)8
Avg EPS beat(12)13.05%
EPS beat(16)10
Avg EPS beat(16)11.99%
Revenue beat(2)0
Avg Revenue beat(2)-3.51%
Min Revenue beat(2)-6.2%
Max Revenue beat(2)-0.82%
Revenue beat(4)2
Avg Revenue beat(4)0.64%
Min Revenue beat(4)-6.2%
Max Revenue beat(4)9.19%
Revenue beat(8)5
Avg Revenue beat(8)1.06%
Revenue beat(12)8
Avg Revenue beat(12)1.73%
Revenue beat(16)12
Avg Revenue beat(16)2.41%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-10%
EPS NQ rev (3m)-28%
EPS NY rev (1m)0%
EPS NY rev (3m)15.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.6%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.37 | ||
| Fwd PE | 43.52 | ||
| P/S | 2.67 | ||
| P/FCF | 39.84 | ||
| P/OCF | 6.75 | ||
| P/B | 1.02 | ||
| P/tB | 1.03 | ||
| EV/EBITDA | 11.04 |
EPS(TTM)0.49
EY2.48%
EPS(NY)0.45
Fwd EY2.3%
FCF(TTM)0.5
FCFY2.51%
OCF(TTM)2.93
OCFY14.81%
SpS7.4
BVpS19.36
TBVpS19.13
PEG (NY)N/A
PEG (5Y)20.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | 6.22% | ||
| ROCE | 4.24% | ||
| ROIC | 3.35% | ||
| ROICexc | 3.53% | ||
| ROICexgc | 3.6% | ||
| OM | 26.79% | ||
| PM (TTM) | 16.26% | ||
| GM | 62.92% | ||
| FCFM | 6.7% |
ROA(3y)1.63%
ROA(5y)1.36%
ROE(3y)4.2%
ROE(5y)3.41%
ROIC(3y)3.22%
ROIC(5y)2.99%
ROICexc(3y)3.44%
ROICexc(5y)3.17%
ROICexgc(3y)3.52%
ROICexgc(5y)3.25%
ROCE(3y)4.08%
ROCE(5y)3.79%
ROICexcg growth 3Y9.09%
ROICexcg growth 5Y1.31%
ROICexc growth 3Y9.26%
ROICexc growth 5Y1.53%
OM growth 3Y2.01%
OM growth 5Y-1.87%
PM growth 3Y17.96%
PM growth 5Y-0.09%
GM growth 3Y-1.09%
GM growth 5Y-0.21%
F-Score7
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.42 | ||
| Debt/FCF | 55.56 | ||
| Debt/EBITDA | 6.78 | ||
| Cap/Depr | 116.64% | ||
| Cap/Sales | 32.85% | ||
| Interest Coverage | 1.65 | ||
| Cash Conversion | 71.97% | ||
| Profit Quality | 41.23% | ||
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.7 | ||
| Altman-Z | 0.58 |
F-Score7
WACC6.15%
ROIC/WACC0.54
Cap/Depr(3y)84.76%
Cap/Depr(5y)115.74%
Cap/Sales(3y)23.91%
Cap/Sales(5y)34.48%
Profit Quality(3y)165.81%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.94%
EPS 3Y31.27%
EPS 5Y2.01%
EPS Q2Q%-55%
EPS Next Y-60.66%
EPS Next 2Y-30.83%
EPS Next 3Y-24.8%
EPS Next 5YN/A
Revenue 1Y (TTM)1.69%
Revenue growth 3Y6.8%
Revenue growth 5Y4.54%
Sales Q2Q%-2.67%
Revenue Next Year-3.83%
Revenue Next 2Y-0.91%
Revenue Next 3Y0.03%
Revenue Next 5YN/A
EBIT growth 1Y-0.42%
EBIT growth 3Y8.95%
EBIT growth 5Y2.59%
EBIT Next Year62.2%
EBIT Next 3Y18.92%
EBIT Next 5YN/A
FCF growth 1Y-68.38%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-6.29%
OCF growth 3Y7.16%
OCF growth 5Y6.13%