BRT APARTMENTS CORP (BRT) Stock Fundamental Analysis
NYSE:BRT - New York Stock Exchange, Inc. - US0556453035 - REIT - Currency: USD
We assign a fundamental rating of 2 out of 10 to BRT. BRT was compared to 20 industry peers in the Residential REITs industry. Both the profitability and financial health of BRT have multiple concerns. BRT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
BRT had negative earnings in the past year.
In the past year BRT had a positive cash flow from operations.
In multiple years BRT reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: BRT reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of -1.64%, BRT is doing worse than 85.00% of the companies in the same industry.
BRT has a Return On Equity of -5.81%. This is amonst the worse of the industry: BRT underperforms 80.00% of its industry peers.
BRT has a worse Return On Invested Capital (1.53%) than 65.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BRT is in line with the industry average of 2.62%.
The last Return On Invested Capital (1.53%) for BRT is above the 3 year average (0.71%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.64% | ||
| ROE | -5.81% | ||
| ROIC | 1.53% |
ROA(3y)2.02%
ROA(5y)1.39%
ROE(3y)5.72%
ROE(5y)4.06%
ROIC(3y)0.71%
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 11.05%, BRT is doing worse than 70.00% of the companies in the same industry.
BRT has a worse Gross Margin (54.81%) than 80.00% of its industry peers.
BRT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.05% | ||
| PM (TTM) | N/A | ||
| GM | 54.81% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.79%
GM growth 5Y-0.34%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BRT is destroying value.
The number of shares outstanding for BRT has been increased compared to 1 year ago.
Compared to 5 years ago, BRT has more shares outstanding
Compared to 1 year ago, BRT has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.45, we must say that BRT is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of BRT (0.45) is worse than 70.00% of its industry peers.
A Debt/Equity ratio of 2.43 is on the high side and indicates that BRT has dependencies on debt financing.
BRT has a worse Debt to Equity ratio (2.43) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.43 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.45 |
ROIC/WACC0.23
WACC6.69%
2.3 Liquidity
A Current Ratio of 1.08 indicates that BRT should not have too much problems paying its short term obligations.
BRT has a better Current ratio (1.08) than 80.00% of its industry peers.
BRT has a Quick Ratio of 1.08. This is a normal value and indicates that BRT is financially healthy and should not expect problems in meeting its short term obligations.
BRT's Quick ratio of 1.08 is amongst the best of the industry. BRT outperforms 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
BRT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -318.18%.
The Revenue has grown by 27.27% in the past year. This is a very strong growth!
BRT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 28.03% yearly.
EPS 1Y (TTM)-318.18%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%29.41%
Revenue 1Y (TTM)27.27%
Revenue growth 3Y43.89%
Revenue growth 5Y28.03%
Sales Q2Q%3%
3.2 Future
The Earnings Per Share is expected to decrease by -0.97% on average over the next years.
Based on estimates for the next years, BRT will show a small growth in Revenue. The Revenue will grow by 2.73% on average per year.
EPS Next Y-13.39%
EPS Next 2Y-0.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.65%
Revenue Next 2Y3.12%
Revenue Next 3Y2.49%
Revenue Next 5Y2.73%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BRT reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for BRT. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BRT indicates a slightly more expensive valuation: BRT is more expensive than 60.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 19.47 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.97%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BRT has a Yearly Dividend Yield of 6.20%, which is a nice return.
BRT's Dividend Yield is rather good when compared to the industry average which is at 4.52. BRT pays more dividend than 90.00% of the companies in the same industry.
BRT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.2% |
5.2 History
The dividend of BRT has a limited annual growth rate of 3.64%.
BRT has paid a dividend for at least 10 years, which is a reliable track record.
As BRT did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)3.64%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
BRT has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-162.24%
EPS Next 2Y-0.97%
EPS Next 3YN/A
16.27
+0.09 (+0.56%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners51.03%
Inst Owner Change1.03%
Ins Owners22.83%
Ins Owner Change2.21%
Market Cap307.50M
Analysts77.14
Price Target22.1 (35.83%)
Short Float %1.04%
Short Ratio3.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.2% |
Yearly Dividend1.05
Dividend Growth(5Y)3.64%
DP-162.24%
Div Incr Years0
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.62%
Min EPS beat(2)9.24%
Max EPS beat(2)27.99%
EPS beat(4)4
Avg EPS beat(4)20.63%
Min EPS beat(4)9.24%
Max EPS beat(4)27.99%
EPS beat(8)5
Avg EPS beat(8)7.82%
EPS beat(12)9
Avg EPS beat(12)180.3%
EPS beat(16)12
Avg EPS beat(16)123.06%
Revenue beat(2)1
Avg Revenue beat(2)-1.83%
Min Revenue beat(2)-3.72%
Max Revenue beat(2)0.07%
Revenue beat(4)3
Avg Revenue beat(4)-0.53%
Min Revenue beat(4)-3.72%
Max Revenue beat(4)1.44%
Revenue beat(8)4
Avg Revenue beat(8)-0.78%
Revenue beat(12)6
Avg Revenue beat(12)2.83%
Revenue beat(16)10
Avg Revenue beat(16)5.44%
PT rev (1m)0%
PT rev (3m)-1.51%
EPS NQ rev (1m)-6.67%
EPS NQ rev (3m)-28%
EPS NY rev (1m)0%
EPS NY rev (3m)-17.82%
Revenue NQ rev (1m)-0.4%
Revenue NQ rev (3m)-5.01%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-4.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 2.57 | ||
| P/FCF | N/A | ||
| P/OCF | 12.96 | ||
| P/B | 1.55 | ||
| P/tB | 1.55 | ||
| EV/EBITDA | 19.47 |
EPS(TTM)-0.48
EYN/A
EPS(NY)-0.54
Fwd EYN/A
FCF(TTM)-0.06
FCFYN/A
OCF(TTM)1.26
OCFY7.72%
SpS6.34
BVpS10.5
TBVpS10.5
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.64% | ||
| ROE | -5.81% | ||
| ROCE | 1.94% | ||
| ROIC | 1.53% | ||
| ROICexc | 1.59% | ||
| ROICexgc | 1.63% | ||
| OM | 11.05% | ||
| PM (TTM) | N/A | ||
| GM | 54.81% | ||
| FCFM | N/A |
ROA(3y)2.02%
ROA(5y)1.39%
ROE(3y)5.72%
ROE(5y)4.06%
ROIC(3y)0.71%
ROIC(5y)N/A
ROICexc(3y)0.74%
ROICexc(5y)N/A
ROICexgc(3y)0.76%
ROICexgc(5y)N/A
ROCE(3y)0.9%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.79%
GM growth 5Y-0.34%
F-Score4
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.43 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 12.3 | ||
| Cap/Depr | 95.83% | ||
| Cap/Sales | 20.84% | ||
| Interest Coverage | 0.63 | ||
| Cash Conversion | 60.46% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 0.45 |
F-Score4
WACC6.69%
ROIC/WACC0.23
Cap/Depr(3y)51.12%
Cap/Depr(5y)36.58%
Cap/Sales(3y)14.92%
Cap/Sales(5y)10.4%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-318.18%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%29.41%
EPS Next Y-13.39%
EPS Next 2Y-0.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)27.27%
Revenue growth 3Y43.89%
Revenue growth 5Y28.03%
Sales Q2Q%3%
Revenue Next Year0.65%
Revenue Next 2Y3.12%
Revenue Next 3Y2.49%
Revenue Next 5Y2.73%
EBIT growth 1Y36.85%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year363.47%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-112.31%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y35.63%
OCF growth 3YN/A
OCF growth 5Y22.79%