APPLE HOSPITALITY REIT INC (APLE) Stock Fundamental Analysis
USA - NYSE:APLE - US03784Y2000 - REIT
11.41 USD
+0.22 (+1.97%)
11.15 USD
-0.26 (-2.28%)
We assign a fundamental rating of 5 out of 10 to APLE. APLE was compared to 127 industry peers in the Diversified REITs industry. APLE has an average financial health and profitability rating. APLE has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year APLE was profitable.
In the past year APLE had a positive cash flow from operations.
APLE had positive earnings in 4 of the past 5 years.
Each year in the past 5 years APLE had a positive operating cash flow.
1.2 Ratios
APLE has a Return On Assets of 3.67%. This is amongst the best in the industry. APLE outperforms 84.25% of its industry peers.
With a decent Return On Equity value of 5.66%, APLE is doing good in the industry, outperforming 67.72% of the companies in the same industry.
APLE's Return On Invested Capital of 4.27% is fine compared to the rest of the industry. APLE outperforms 77.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for APLE is in line with the industry average of 3.06%.
The 3 year average ROIC (4.19%) for APLE is below the current ROIC(4.27%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.67% | ||
| ROE | 5.66% | ||
| ROIC | 4.27% |
ROA(3y)3.65%
ROA(5y)1.55%
ROE(3y)5.48%
ROE(5y)2.27%
ROIC(3y)4.19%
ROIC(5y)N/A
1.3 Margins
APLE's Profit Margin of 12.71% is fine compared to the rest of the industry. APLE outperforms 64.57% of its industry peers.
APLE's Profit Margin has improved in the last couple of years.
APLE has a Operating Margin of 18.35%. This is comparable to the rest of the industry: APLE outperforms 44.09% of its industry peers.
APLE's Operating Margin has been stable in the last couple of years.
APLE has a worse Gross Margin (57.90%) than 70.08% of its industry peers.
APLE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.35% | ||
| PM (TTM) | 12.71% | ||
| GM | 57.9% |
OM growth 3Y24.12%
OM growth 5Y0.76%
PM growth 3Y95.12%
PM growth 5Y1.96%
GM growth 3Y-0.28%
GM growth 5Y1.12%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so APLE is destroying value.
Compared to 1 year ago, APLE has less shares outstanding
Compared to 5 years ago, APLE has more shares outstanding
The debt/assets ratio for APLE is higher compared to a year ago.
2.2 Solvency
APLE has an Altman-Z score of 0.96. This is a bad value and indicates that APLE is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 0.96, APLE is doing good in the industry, outperforming 73.23% of the companies in the same industry.
The Debt to FCF ratio of APLE is 5.38, which is a neutral value as it means it would take APLE, 5.38 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of APLE (5.38) is better than 97.64% of its industry peers.
APLE has a Debt/Equity ratio of 0.51. This is a neutral value indicating APLE is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.51, APLE belongs to the top of the industry, outperforming 88.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 5.38 | ||
| Altman-Z | 0.96 |
ROIC/WACC0.61
WACC6.99%
2.3 Liquidity
APLE has a Current Ratio of 0.78. This is a bad value and indicates that APLE is not financially healthy enough and could expect problems in meeting its short term obligations.
APLE has a worse Current ratio (0.78) than 60.63% of its industry peers.
A Quick Ratio of 0.78 indicates that APLE may have some problems paying its short term obligations.
The Quick ratio of APLE (0.78) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.59% over the past year.
Measured over the past 5 years, APLE shows a small growth in Earnings Per Share. The EPS has been growing by 2.71% on average per year.
APLE shows a small growth in Revenue. In the last year, the Revenue has grown by 6.52%.
The Revenue has been growing slightly by 2.48% on average over the past years.
EPS 1Y (TTM)10.59%
EPS 3Y122.4%
EPS 5Y2.71%
EPS Q2Q%82.61%
Revenue 1Y (TTM)6.52%
Revenue growth 3Y15.3%
Revenue growth 5Y2.48%
Sales Q2Q%-1.31%
3.2 Future
APLE is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -7.07% yearly.
APLE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.28% yearly.
EPS Next Y-14.23%
EPS Next 2Y-7.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.89%
Revenue Next 2Y0.68%
Revenue Next 3Y2.28%
Revenue Next 5YN/A
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.14 indicates a correct valuation of APLE.
Compared to the rest of the industry, the Price/Earnings ratio of APLE indicates a rather cheap valuation: APLE is cheaper than 92.13% of the companies listed in the same industry.
APLE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.51.
APLE is valuated correctly with a Price/Forward Earnings ratio of 15.02.
Based on the Price/Forward Earnings ratio, APLE is valued cheaper than 96.85% of the companies in the same industry.
APLE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.53.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.14 | ||
| Fwd PE | 15.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, APLE is valued cheaply inside the industry as 85.83% of the companies are valued more expensively.
88.98% of the companies in the same industry are more expensive than APLE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.88 | ||
| EV/EBITDA | 9.56 |
4.3 Compensation for Growth
The decent profitability rating of APLE may justify a higher PE ratio.
A cheap valuation may be justified as APLE's earnings are expected to decrease with -7.07% in the coming years.
PEG (NY)N/A
PEG (5Y)4.48
EPS Next 2Y-7.07%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.41%, APLE is a good candidate for dividend investing.
APLE's Dividend Yield is rather good when compared to the industry average which is at 6.40. APLE pays more dividend than 82.68% of the companies in the same industry.
APLE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.41% |
5.2 History
The dividend of APLE decreases each year by -3.33%.
APLE has been paying a dividend for at least 10 years, so it has a reliable track record.
APLE has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-3.33%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
133.84% of the earnings are spent on dividend by APLE. This is not a sustainable payout ratio.
The Dividend Rate of APLE has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP133.84%
EPS Next 2Y-7.07%
EPS Next 3YN/A
11.41
+0.22 (+1.97%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners86.88%
Inst Owner Change-2.06%
Ins Owners7.24%
Ins Owner Change0.68%
Market Cap2.70B
Revenue(TTM)1.43B
Net Income(TTM)180.95M
Analysts77.14
Price Target13.77 (20.68%)
Short Float %7.43%
Short Ratio5.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.41% |
Yearly Dividend1.01
Dividend Growth(5Y)-3.33%
DP133.84%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.04%
Min EPS beat(2)-1.96%
Max EPS beat(2)-0.11%
EPS beat(4)1
Avg EPS beat(4)1.44%
Min EPS beat(4)-9.8%
Max EPS beat(4)17.65%
EPS beat(8)4
Avg EPS beat(8)5.83%
EPS beat(12)7
Avg EPS beat(12)7.42%
EPS beat(16)11
Avg EPS beat(16)13.58%
Revenue beat(2)0
Avg Revenue beat(2)-1.76%
Min Revenue beat(2)-2.39%
Max Revenue beat(2)-1.14%
Revenue beat(4)0
Avg Revenue beat(4)-1.71%
Min Revenue beat(4)-2.39%
Max Revenue beat(4)-1.02%
Revenue beat(8)1
Avg Revenue beat(8)-1.04%
Revenue beat(12)5
Avg Revenue beat(12)-0.29%
Revenue beat(16)9
Avg Revenue beat(16)0.51%
PT rev (1m)-0.74%
PT rev (3m)2.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.89%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)-0.69%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.14 | ||
| Fwd PE | 15.02 | ||
| P/S | 1.9 | ||
| P/FCF | 8.88 | ||
| P/OCF | 7.09 | ||
| P/B | 0.85 | ||
| P/tB | 0.85 | ||
| EV/EBITDA | 9.56 |
EPS(TTM)0.94
EY8.24%
EPS(NY)0.76
Fwd EY6.66%
FCF(TTM)1.28
FCFY11.26%
OCF(TTM)1.61
OCFY14.1%
SpS6.01
BVpS13.5
TBVpS13.5
PEG (NY)N/A
PEG (5Y)4.48
Graham Number16.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.67% | ||
| ROE | 5.66% | ||
| ROCE | 5.4% | ||
| ROIC | 4.27% | ||
| ROICexc | 4.28% | ||
| ROICexgc | 4.32% | ||
| OM | 18.35% | ||
| PM (TTM) | 12.71% | ||
| GM | 57.9% | ||
| FCFM | 21.38% |
ROA(3y)3.65%
ROA(5y)1.55%
ROE(3y)5.48%
ROE(5y)2.27%
ROIC(3y)4.19%
ROIC(5y)N/A
ROICexc(3y)4.2%
ROICexc(5y)N/A
ROICexgc(3y)4.23%
ROICexgc(5y)N/A
ROCE(3y)5.31%
ROCE(5y)N/A
ROICexgc growth 3Y41.89%
ROICexgc growth 5Y3.27%
ROICexc growth 3Y41.67%
ROICexc growth 5Y3.21%
OM growth 3Y24.12%
OM growth 5Y0.76%
PM growth 3Y95.12%
PM growth 5Y1.96%
GM growth 3Y-0.28%
GM growth 5Y1.12%
F-Score6
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 5.38 | ||
| Debt/EBITDA | 3.61 | ||
| Cap/Depr | 40.05% | ||
| Cap/Sales | 5.4% | ||
| Interest Coverage | 3.33 | ||
| Cash Conversion | 84.12% | ||
| Profit Quality | 168.23% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 0.96 |
F-Score6
WACC6.99%
ROIC/WACC0.61
Cap/Depr(3y)38.06%
Cap/Depr(5y)29.68%
Cap/Sales(3y)5.26%
Cap/Sales(5y)5.16%
Profit Quality(3y)183.15%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)10.59%
EPS 3Y122.4%
EPS 5Y2.71%
EPS Q2Q%82.61%
EPS Next Y-14.23%
EPS Next 2Y-7.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)6.52%
Revenue growth 3Y15.3%
Revenue growth 5Y2.48%
Sales Q2Q%-1.31%
Revenue Next Year-0.89%
Revenue Next 2Y0.68%
Revenue Next 3Y2.28%
Revenue Next 5YN/A
EBIT growth 1Y-2.41%
EBIT growth 3Y43.11%
EBIT growth 5Y3.26%
EBIT Next Year63.85%
EBIT Next 3Y20.75%
EBIT Next 5YN/A
FCF growth 1Y-4.06%
FCF growth 3Y17.71%
FCF growth 5Y1.16%
OCF growth 1Y-1.41%
OCF growth 3Y23.04%
OCF growth 5Y1.21%
APPLE HOSPITALITY REIT INC / APLE FAQ
Can you provide the ChartMill fundamental rating for APPLE HOSPITALITY REIT INC?
ChartMill assigns a fundamental rating of 4 / 10 to APLE.
What is the valuation status for APLE stock?
ChartMill assigns a valuation rating of 6 / 10 to APPLE HOSPITALITY REIT INC (APLE). This can be considered as Fairly Valued.
Can you provide the profitability details for APPLE HOSPITALITY REIT INC?
APPLE HOSPITALITY REIT INC (APLE) has a profitability rating of 6 / 10.
How financially healthy is APPLE HOSPITALITY REIT INC?
The financial health rating of APPLE HOSPITALITY REIT INC (APLE) is 3 / 10.
Can you provide the expected EPS growth for APLE stock?
The Earnings per Share (EPS) of APPLE HOSPITALITY REIT INC (APLE) is expected to decline by -14.23% in the next year.