COMMUNITY HEALTHCARE TRUST I (CHCT) Stock Fundamental Analysis
NYSE:CHCT - New York Stock Exchange, Inc. - US20369C1062 - REIT - Currency: USD
CHCT gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 130 industry peers in the Diversified REITs industry. While CHCT is still in line with the averages on profitability rating, there are concerns on its financial health. CHCT is valied quite expensively at the moment, while it does show a decent growth rate. Finally CHCT also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year CHCT was profitable.
In the past year CHCT had a positive cash flow from operations.
Of the past 5 years CHCT 4 years were profitable.
In the past 5 years CHCT always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.52%, CHCT is doing worse than 62.31% of the companies in the same industry.
CHCT has a Return On Equity of -1.11%. This is in the lower half of the industry: CHCT underperforms 62.31% of its industry peers.
CHCT has a Return On Invested Capital of 3.18%. This is in the better half of the industry: CHCT outperforms 60.77% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CHCT is in line with the industry average of 3.16%.
The 3 year average ROIC (2.59%) for CHCT is below the current ROIC(3.18%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.52% | ||
| ROE | -1.11% | ||
| ROIC | 3.18% |
ROA(3y)0.71%
ROA(5y)1.48%
ROE(3y)1.2%
ROE(5y)2.39%
ROIC(3y)2.59%
ROIC(5y)2.93%
1.3 Margins
The Operating Margin of CHCT (26.78%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of CHCT has declined.
The Gross Margin of CHCT (80.17%) is better than 80.00% of its industry peers.
CHCT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.78% | ||
| PM (TTM) | N/A | ||
| GM | 80.17% |
OM growth 3Y-9.56%
OM growth 5Y-2.62%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.21%
GM growth 5Y0.1%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CHCT is destroying value.
The number of shares outstanding for CHCT has been increased compared to 1 year ago.
The number of shares outstanding for CHCT has been increased compared to 5 years ago.
The debt/assets ratio for CHCT is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.92, we must say that CHCT is in the distress zone and has some risk of bankruptcy.
CHCT's Altman-Z score of 0.92 is fine compared to the rest of the industry. CHCT outperforms 71.54% of its industry peers.
A Debt/Equity ratio of 1.08 is on the high side and indicates that CHCT has dependencies on debt financing.
The Debt to Equity ratio of CHCT (1.08) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.92 |
ROIC/WACC0.45
WACC7.11%
2.3 Liquidity
CHCT has a Current Ratio of 0.56. This is a bad value and indicates that CHCT is not financially healthy enough and could expect problems in meeting its short term obligations.
CHCT's Current ratio of 0.56 is on the low side compared to the rest of the industry. CHCT is outperformed by 76.92% of its industry peers.
A Quick Ratio of 0.14 indicates that CHCT may have some problems paying its short term obligations.
The Quick ratio of CHCT (0.14) is worse than 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.14 |
3. Growth
3.1 Past
The earnings per share for CHCT have decreased strongly by -78.69% in the last year.
The earnings per share for CHCT have been decreasing by -10.22% on average. This is quite bad
CHCT shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.83%.
Measured over the past years, CHCT shows a quite strong growth in Revenue. The Revenue has been growing by 13.73% on average per year.
EPS 1Y (TTM)-78.69%
EPS 3Y-37.5%
EPS 5Y-10.22%
EPS Q2Q%-72.73%
Revenue 1Y (TTM)26.83%
Revenue growth 3Y8.53%
Revenue growth 5Y13.73%
Sales Q2Q%2.54%
3.2 Future
CHCT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 41.23% yearly.
CHCT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.86% yearly.
EPS Next Y-51.43%
EPS Next 2Y47.84%
EPS Next 3Y41.23%
EPS Next 5YN/A
Revenue Next Year5.45%
Revenue Next 2Y6.49%
Revenue Next 3Y8.3%
Revenue Next 5Y9.86%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
A Price/Earnings ratio of 124.46 indicates a quite expensive valuation of CHCT.
Compared to the rest of the industry, the Price/Earnings ratio of CHCT indicates a slightly more expensive valuation: CHCT is more expensive than 64.62% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.50, CHCT is valued quite expensively.
A Price/Forward Earnings ratio of 35.25 indicates a quite expensive valuation of CHCT.
69.23% of the companies in the same industry are more expensive than CHCT, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.44, CHCT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 124.46 | ||
| Fwd PE | 35.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CHCT is valued a bit cheaper than 73.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.61 |
4.3 Compensation for Growth
CHCT's earnings are expected to grow with 41.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y47.84%
EPS Next 3Y41.23%
5. Dividend
5.1 Amount
CHCT has a Yearly Dividend Yield of 11.01%, which is a nice return.
CHCT's Dividend Yield is rather good when compared to the industry average which is at 6.56. CHCT pays more dividend than 91.54% of the companies in the same industry.
CHCT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.01% |
5.2 History
The dividend of CHCT has a limited annual growth rate of 2.99%.
CHCT has been paying a dividend for at least 10 years, so it has a reliable track record.
CHCT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)2.99%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
CHCT has negative earnings and hence a negative payout ratio. The dividend may be in danger.
CHCT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-1016.39%
EPS Next 2Y47.84%
EPS Next 3Y41.23%
16.18
-0.09 (-0.55%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners84.95%
Inst Owner Change0%
Ins Owners5.51%
Ins Owner Change3.58%
Market Cap458.54M
Analysts81.82
Price Target20.91 (29.23%)
Short Float %3.13%
Short Ratio3.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.01% |
Yearly Dividend1.85
Dividend Growth(5Y)2.99%
DP-1016.39%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-50.98%
Min EPS beat(2)-57.98%
Max EPS beat(2)-43.98%
EPS beat(4)0
Avg EPS beat(4)-58.22%
Min EPS beat(4)-86.93%
Max EPS beat(4)-43.98%
EPS beat(8)1
Avg EPS beat(8)-39.86%
EPS beat(12)1
Avg EPS beat(12)-50%
EPS beat(16)1
Avg EPS beat(16)-41.01%
Revenue beat(2)0
Avg Revenue beat(2)-2.08%
Min Revenue beat(2)-3.64%
Max Revenue beat(2)-0.52%
Revenue beat(4)0
Avg Revenue beat(4)-4.24%
Min Revenue beat(4)-11.19%
Max Revenue beat(4)-0.52%
Revenue beat(8)0
Avg Revenue beat(8)-3.56%
Revenue beat(12)1
Avg Revenue beat(12)-2.76%
Revenue beat(16)3
Avg Revenue beat(16)-2.39%
PT rev (1m)0%
PT rev (3m)-6.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-244.44%
EPS NY rev (1m)0%
EPS NY rev (3m)-72.97%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.62%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)-0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 124.46 | ||
| Fwd PE | 35.25 | ||
| P/S | 3.14 | ||
| P/FCF | N/A | ||
| P/OCF | 7.56 | ||
| P/B | 0.99 | ||
| P/tB | 1 | ||
| EV/EBITDA | 11.61 |
EPS(TTM)0.13
EY0.8%
EPS(NY)0.46
Fwd EY2.84%
FCF(TTM)-0.4
FCFYN/A
OCF(TTM)2.14
OCFY13.23%
SpS5.15
BVpS16.28
TBVpS16.22
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.52% | ||
| ROE | -1.11% | ||
| ROCE | 4.03% | ||
| ROIC | 3.18% | ||
| ROICexc | 3.19% | ||
| ROICexgc | 3.26% | ||
| OM | 26.78% | ||
| PM (TTM) | N/A | ||
| GM | 80.17% | ||
| FCFM | N/A |
ROA(3y)0.71%
ROA(5y)1.48%
ROE(3y)1.2%
ROE(5y)2.39%
ROIC(3y)2.59%
ROIC(5y)2.93%
ROICexc(3y)2.61%
ROICexc(5y)2.94%
ROICexgc(3y)2.69%
ROICexgc(5y)3%
ROCE(3y)3.28%
ROCE(5y)3.7%
ROICexcg growth 3Y-9.66%
ROICexcg growth 5Y-0.75%
ROICexc growth 3Y-10.19%
ROICexc growth 5Y-1.2%
OM growth 3Y-9.56%
OM growth 5Y-2.62%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.21%
GM growth 5Y0.1%
F-Score3
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.05 | ||
| Cap/Depr | 165.66% | ||
| Cap/Sales | 49.36% | ||
| Interest Coverage | 1.6 | ||
| Cash Conversion | 73.5% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.14 | ||
| Altman-Z | 0.92 |
F-Score3
WACC7.11%
ROIC/WACC0.45
Cap/Depr(3y)284.94%
Cap/Depr(5y)339.12%
Cap/Sales(3y)99.29%
Cap/Sales(5y)115.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-78.69%
EPS 3Y-37.5%
EPS 5Y-10.22%
EPS Q2Q%-72.73%
EPS Next Y-51.43%
EPS Next 2Y47.84%
EPS Next 3Y41.23%
EPS Next 5YN/A
Revenue 1Y (TTM)26.83%
Revenue growth 3Y8.53%
Revenue growth 5Y13.73%
Sales Q2Q%2.54%
Revenue Next Year5.45%
Revenue Next 2Y6.49%
Revenue Next 3Y8.3%
Revenue Next 5Y9.86%
EBIT growth 1Y6.29%
EBIT growth 3Y-1.85%
EBIT growth 5Y10.76%
EBIT Next Year268.36%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y83.5%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y3.53%
OCF growth 3Y1.48%
OCF growth 5Y12.72%