CAMDEN PROPERTY TRUST (CPT) Stock Fundamental Analysis
NYSE:CPT - New York Stock Exchange, Inc. - US1331311027 - REIT - Currency: USD
Overall CPT gets a fundamental rating of 5 out of 10. We evaluated CPT against 20 industry peers in the Residential REITs industry. CPT has an average financial health and profitability rating. While showing a medium growth rate, CPT is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year CPT was profitable.
CPT had a positive operating cash flow in the past year.
In the past 5 years CPT has always been profitable.
CPT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CPT's Return On Assets of 1.84% is fine compared to the rest of the industry. CPT outperforms 65.00% of its industry peers.
CPT's Return On Equity of 3.49% is fine compared to the rest of the industry. CPT outperforms 65.00% of its industry peers.
CPT has a Return On Invested Capital (2.78%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for CPT is in line with the industry average of 2.75%.
The 3 year average ROIC (2.74%) for CPT is below the current ROIC(2.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.84% | ||
| ROE | 3.49% | ||
| ROIC | 2.78% |
ROA(3y)4.38%
ROA(5y)3.73%
ROE(3y)8.22%
ROE(5y)7.1%
ROIC(3y)2.74%
ROIC(5y)2.62%
1.3 Margins
CPT has a better Profit Margin (10.56%) than 65.00% of its industry peers.
In the last couple of years the Profit Margin of CPT has declined.
With a Operating Margin value of 19.25%, CPT perfoms like the industry average, outperforming 55.00% of the companies in the same industry.
CPT's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 61.18%, CPT is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
CPT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.25% | ||
| PM (TTM) | 10.56% | ||
| GM | 61.18% |
OM growth 3Y-0.89%
OM growth 5Y-4.58%
PM growth 3Y-26.44%
PM growth 5Y-13.1%
GM growth 3Y0.19%
GM growth 5Y-0.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CPT is destroying value.
The number of shares outstanding for CPT has been reduced compared to 1 year ago.
Compared to 5 years ago, CPT has more shares outstanding
CPT has a better debt/assets ratio than last year.
2.2 Solvency
CPT has an Altman-Z score of 1.85. This is not the best score and indicates that CPT is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.85, CPT is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
CPT has a debt to FCF ratio of 9.15. This is a negative value and a sign of low solvency as CPT would need 9.15 years to pay back of all of its debts.
The Debt to FCF ratio of CPT (9.15) is better than 95.00% of its industry peers.
CPT has a Debt/Equity ratio of 0.75. This is a neutral value indicating CPT is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.75, CPT is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 9.15 | ||
| Altman-Z | 1.85 |
ROIC/WACC0.36
WACC7.63%
2.3 Liquidity
CPT has a Current Ratio of 0.07. This is a bad value and indicates that CPT is not financially healthy enough and could expect problems in meeting its short term obligations.
CPT's Current ratio of 0.07 is on the low side compared to the rest of the industry. CPT is outperformed by 80.00% of its industry peers.
A Quick Ratio of 0.07 indicates that CPT may have some problems paying its short term obligations.
CPT has a worse Quick ratio (0.07) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 |
3. Growth
3.1 Past
The earnings per share for CPT have decreased strongly by -49.46% in the last year.
The Earnings Per Share has been growing slightly by 0.43% on average over the past years.
The Revenue for CPT has decreased by -19.60% in the past year. This is quite bad
Measured over the past years, CPT shows a quite strong growth in Revenue. The Revenue has been growing by 8.46% on average per year.
EPS 1Y (TTM)-49.46%
EPS 3Y13.97%
EPS 5Y0.43%
EPS Q2Q%-81.77%
Revenue 1Y (TTM)-19.6%
Revenue growth 3Y10.52%
Revenue growth 5Y8.46%
Sales Q2Q%-0.33%
3.2 Future
CPT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.52% yearly.
CPT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.63% yearly.
EPS Next Y-17.96%
EPS Next 2Y-3.51%
EPS Next 3Y6.52%
EPS Next 5YN/A
Revenue Next Year1.79%
Revenue Next 2Y2.69%
Revenue Next 3Y3.71%
Revenue Next 5Y4.63%
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 accelerating.
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 64.29, CPT can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as CPT.
CPT's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.22.
With a Price/Forward Earnings ratio of 78.36, CPT can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CPT is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.86, CPT is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.29 | ||
| Fwd PE | 78.36 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CPT indicates a rather cheap valuation: CPT is cheaper than 85.00% of the companies listed in the same industry.
75.00% of the companies in the same industry are more expensive than CPT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.86 | ||
| EV/EBITDA | 17.88 |
4.3 Compensation for Growth
The decent profitability rating of CPT may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)149.15
EPS Next 2Y-3.51%
EPS Next 3Y6.52%
5. Dividend
5.1 Amount
CPT has a Yearly Dividend Yield of 3.66%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.46, CPT has a dividend in line with its industry peers.
CPT's Dividend Yield is a higher than the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.66% |
5.2 History
The dividend of CPT has a limited annual growth rate of 4.99%.
CPT has been paying a dividend for at least 10 years, so it has a reliable track record.
CPT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.99%
Div Incr Years6
Div Non Decr Years13
5.3 Sustainability
CPT pays out 276.67% of its income as dividend. This is not a sustainable payout ratio.
CPT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP276.67%
EPS Next 2Y-3.51%
EPS Next 3Y6.52%
120.87
+6.04 (+5.26%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners96.35%
Inst Owner Change0.33%
Ins Owners1.2%
Ins Owner Change3.03%
Market Cap12.90B
Analysts73.79
Price Target131.34 (8.66%)
Short Float %1.77%
Short Ratio1.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.66% |
Yearly Dividend4.15
Dividend Growth(5Y)4.99%
DP276.67%
Div Incr Years6
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.67%
Min EPS beat(2)-12.31%
Max EPS beat(2)-9.02%
EPS beat(4)1
Avg EPS beat(4)16.19%
Min EPS beat(4)-12.31%
Max EPS beat(4)87.09%
EPS beat(8)5
Avg EPS beat(8)80.41%
EPS beat(12)7
Avg EPS beat(12)113.4%
EPS beat(16)7
Avg EPS beat(16)80.99%
Revenue beat(2)0
Avg Revenue beat(2)-1.32%
Min Revenue beat(2)-1.54%
Max Revenue beat(2)-1.1%
Revenue beat(4)0
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-1.54%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-0.98%
Revenue beat(12)2
Avg Revenue beat(12)7.08%
Revenue beat(16)5
Avg Revenue beat(16)11.53%
PT rev (1m)0.67%
PT rev (3m)1.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.69%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.64%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-0.48%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.29 | ||
| Fwd PE | 78.36 | ||
| P/S | 8.36 | ||
| P/FCF | 33.86 | ||
| P/OCF | 16.65 | ||
| P/B | 2.76 | ||
| P/tB | 2.76 | ||
| EV/EBITDA | 17.88 |
EPS(TTM)1.88
EY1.56%
EPS(NY)1.54
Fwd EY1.28%
FCF(TTM)3.57
FCFY2.95%
OCF(TTM)7.26
OCFY6%
SpS14.46
BVpS43.79
TBVpS43.79
PEG (NY)N/A
PEG (5Y)149.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.84% | ||
| ROE | 3.49% | ||
| ROCE | 3.52% | ||
| ROIC | 2.78% | ||
| ROICexc | 2.79% | ||
| ROICexgc | 2.87% | ||
| OM | 19.25% | ||
| PM (TTM) | 10.56% | ||
| GM | 61.18% | ||
| FCFM | 24.69% |
ROA(3y)4.38%
ROA(5y)3.73%
ROE(3y)8.22%
ROE(5y)7.1%
ROIC(3y)2.74%
ROIC(5y)2.62%
ROICexc(3y)2.77%
ROICexc(5y)2.72%
ROICexgc(3y)2.85%
ROICexgc(5y)2.8%
ROCE(3y)3.46%
ROCE(5y)3.32%
ROICexcg growth 3Y0.86%
ROICexcg growth 5Y-2.21%
ROICexc growth 3Y1.1%
ROICexc growth 5Y-2.02%
OM growth 3Y-0.89%
OM growth 5Y-4.58%
PM growth 3Y-26.44%
PM growth 5Y-13.1%
GM growth 3Y0.19%
GM growth 5Y-0.06%
F-Score4
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 9.15 | ||
| Debt/EBITDA | 3.96 | ||
| Cap/Depr | 67.65% | ||
| Cap/Sales | 25.5% | ||
| Interest Coverage | 2.29 | ||
| Cash Conversion | 88.13% | ||
| Profit Quality | 233.83% | ||
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 | ||
| Altman-Z | 1.85 |
F-Score4
WACC7.63%
ROIC/WACC0.36
Cap/Depr(3y)72.34%
Cap/Depr(5y)87.06%
Cap/Sales(3y)27.91%
Cap/Sales(5y)32.43%
Profit Quality(3y)124.82%
Profit Quality(5y)99.59%
High Growth Momentum
Growth
EPS 1Y (TTM)-49.46%
EPS 3Y13.97%
EPS 5Y0.43%
EPS Q2Q%-81.77%
EPS Next Y-17.96%
EPS Next 2Y-3.51%
EPS Next 3Y6.52%
EPS Next 5YN/A
Revenue 1Y (TTM)-19.6%
Revenue growth 3Y10.52%
Revenue growth 5Y8.46%
Sales Q2Q%-0.33%
Revenue Next Year1.79%
Revenue Next 2Y2.69%
Revenue Next 3Y3.71%
Revenue Next 5Y4.63%
EBIT growth 1Y-25.94%
EBIT growth 3Y9.54%
EBIT growth 5Y3.5%
EBIT Next Year203.78%
EBIT Next 3Y49.53%
EBIT Next 5Y38.16%
FCF growth 1Y-0.75%
FCF growth 3Y36.84%
FCF growth 5Y20.83%
OCF growth 1Y-2.53%
OCF growth 3Y10.3%
OCF growth 5Y6.88%