AMERICAN ASSETS TRUST INC (AAT)
US0240131047 - REIT
AAT gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 126 industry peers in the Diversified REITs industry. While AAT belongs to the best of the industry regarding profitability, there are concerns on its financial health. AAT has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
AAT had positive earnings in the past year.
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
AAT has a better Return On Assets (1.69%) than 62.60% of its industry peers.
With a decent Return On Equity value of 4.21%, AAT is doing good in the industry, outperforming 65.85% of the companies in the same industry.
AAT's Return On Invested Capital of 3.33% is fine compared to the rest of the industry. AAT outperforms 67.48% 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 2.95%.
The last Return On Invested Capital (3.33%) for AAT is above the 3 year average (3.06%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.69% | ||
| ROE | 4.21% | ||
| ROIC | 3.33% |
ROA(3y)1.36%
ROA(5y)1.34%
ROE(3y)3.35%
ROE(5y)3.14%
ROIC(3y)3.06%
ROIC(5y)3.01%
1.3 Margins
Looking at the Profit Margin, with a value of 11.42%, AAT is in the better half of the industry, outperforming 63.41% of the companies in the same industry.
AAT's Profit Margin has improved in the last couple of years.
AAT's Operating Margin of 27.58% is fine compared to the rest of the industry. AAT outperforms 64.23% of its industry peers.
AAT's Operating Margin has improved in the last couple of years.
AAT has a worse Gross Margin (62.83%) than 66.67% 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 | 27.58% | ||
| PM (TTM) | 11.42% | ||
| GM | 62.83% |
OM growth 3Y2.39%
OM growth 5Y2.81%
PM growth 3Y12.42%
PM growth 5Y13.91%
GM growth 3Y-1.05%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AAT is destroying value.
AAT has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, AAT has more shares outstanding
AAT has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.59, we must say that AAT is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of AAT (0.59) is comparable to the rest of the industry.
AAT has a debt to FCF ratio of 15.97. This is a negative value and a sign of low solvency as AAT would need 15.97 years to pay back of all of its debts.
AAT has a Debt to FCF ratio of 15.97. This is in the better half of the industry: AAT outperforms 75.61% of its industry peers.
A Debt/Equity ratio of 1.41 is on the high side and indicates that AAT has dependencies on debt financing.
With a Debt to Equity ratio value of 1.41, AAT is not doing good in the industry: 60.98% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.41 | ||
| Debt/FCF | 15.97 | ||
| Altman-Z | 0.59 |
ROIC/WACC0.49
WACC6.8%
2.3 Liquidity
AAT has a Current Ratio of 1.08. This is a normal value and indicates that AAT is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.08, AAT perfoms like the industry average, outperforming 43.90% of the companies in the same industry.
A Quick Ratio of 1.08 indicates that AAT should not have too much problems paying its short term obligations.
AAT has a Quick ratio (1.08) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
AAT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.07%, which is quite good.
AAT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.87% yearly.
Looking at the last year, AAT shows a small growth in Revenue. The Revenue has grown by 4.37% in the last year.
Measured over the past years, AAT shows a small growth in Revenue. The Revenue has been growing by 5.92% on average per year.
EPS 1Y (TTM)15.07%
EPS 3Y22.23%
EPS 5Y14.87%
EPS growth Q2Q6.25%
Revenue 1Y (TTM)4.37%
Revenue growth 3Y8.58%
Revenue growth 5Y5.92%
Revenue growth Q2Q6.12%
3.2 Future
AAT is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.70% yearly.
AAT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.88% yearly.
EPS Next Y-12.23%
EPS Next 2Y-0.7%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.67%
Revenue Next 2Y2.88%
Revenue Next 3YN/A
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
A Price/Earnings ratio of 25.27 indicates a quite expensive valuation of AAT.
AAT's Price/Earnings ratio is a bit cheaper when compared to the industry. AAT is cheaper than 70.73% of the companies in the same industry.
AAT is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 24.92, which is the current average of the S&P500 Index.
AAT is valuated quite expensively with a Price/Forward Earnings ratio of 28.79.
Based on the Price/Forward Earnings ratio, AAT is valued a bit cheaper than 77.24% of the companies in the same industry.
AAT is valuated rather expensively when we compare the Price/Forward Earnings ratio to 21.49, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.27 | ||
| Fwd PE | 28.79 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AAT indicates a somewhat cheap valuation: AAT is cheaper than 70.73% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AAT is valued cheaper than 84.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.22 | ||
| EV/EBITDA | 12.02 |
4.3 Compensation for Growth
AAT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.7
EPS Next 2Y-0.7%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.52%, AAT is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.12, AAT pays a bit more dividend than its industry peers.
AAT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.52% |
5.2 History
The dividend of AAT has a limited annual growth rate of 2.37%.
AAT has paid a dividend for at least 10 years, which is a reliable track record.
AAT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.37%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
AAT pays out 201.61% of its income as dividend. This is not a sustainable payout ratio.
AAT's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP201.61%
EPS Next 2Y-0.7%
EPS Next 3YN/A
AMERICAN ASSETS TRUST INC
NYSE:AAT (4/26/2024, 6:33:42 PM)
After market: 21.23 0 (0%)21.23
-0.01 (-0.05%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.29B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.52% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.27 | ||
| Fwd PE | 28.79 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)1.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.69% | ||
| ROE | 4.21% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 27.58% | ||
| PM (TTM) | 11.42% | ||
| GM | 62.83% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.41 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)15.07%
EPS 3Y22.23%
EPS 5Y
EPS growth Q2Q
EPS Next Y-12.23%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.37%
Revenue growth 3Y8.58%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y