We assign a fundamental rating of 3 out of 10 to CTO. CTO was compared to 124 industry peers in the Diversified REITs industry. CTO has a bad profitability rating. Also its financial health evaluation is rather negative. CTO is valied quite expensively at the moment, while it does show a decent growth rate. CTO also has an excellent dividend rating.

Quickly go to:

1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

1. Profitability

1.1 Basic Checks

In the past year CTO has reported negative net income.
In the past year CTO had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CTO reported negative net income in multiple years.
In the past 5 years CTO always reported a positive cash flow from operatings.

1.2 Ratios

The Return On Assets of CTO (-3.34%) is worse than 76.61% of its industry peers.
CTO's Return On Equity of -7.34% is on the low side compared to the rest of the industry. CTO is outperformed by 70.97% of its industry peers.
CTO has a worse Return On Invested Capital (1.31%) than 79.03% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CTO is in line with the industry average of 3.05%.

		Industry Rank	Sector Rank
ROA	-3.34%
ROE	-7.34%
ROIC	1.31%

ROA(3y)-0.28%

ROA(5y)2.94%

ROE(3y)-0.53%

ROE(5y)5.44%

ROIC(3y)1.49%

ROIC(5y)1.59%

1.3 Margins

With a Operating Margin value of 11.63%, CTO is not doing good in the industry: 68.55% of the companies in the same industry are doing better.
CTO's Operating Margin has declined in the last couple of years.
The Gross Margin of CTO (74.48%) is better than 70.97% of its industry peers.
In the last couple of years the Gross Margin of CTO has declined.

		Industry Rank	Sector Rank
OM	11.63%
PM (TTM)	N/A
GM	74.48%

OM growth 3Y-29.48%

OM growth 5Y-21.68%

PM growth 3YN/A

PM growth 5YN/A

GM growth 3Y2.5%

GM growth 5Y-2.73%

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CTO is destroying value.
The number of shares outstanding for CTO has been increased compared to 1 year ago.
The number of shares outstanding for CTO has been increased compared to 5 years ago.
Compared to 1 year ago, CTO has an improved debt to assets ratio.

2.2 Solvency

CTO has an Altman-Z score of 0.85. This is a bad value and indicates that CTO is not financially healthy and even has some risk of bankruptcy.
CTO has a better Altman-Z score (0.85) than 66.94% of its industry peers.
A Debt/Equity ratio of 1.05 is on the high side and indicates that CTO has dependencies on debt financing.
CTO has a Debt to Equity ratio (1.05) which is in line with its industry peers.

		Industry Rank	Sector Rank
Debt/Equity	1.05
Debt/FCF	N/A
Altman-Z	0.85

ROIC/WACC0.19

WACC6.83%

2.3 Liquidity

CTO has a Current Ratio of 0.29. This is a bad value and indicates that CTO is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.29, CTO is not doing good in the industry: 87.90% of the companies in the same industry are doing better.
CTO has a Quick Ratio of 0.29. This is a bad value and indicates that CTO is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.28, CTO is not doing good in the industry: 87.90% of the companies in the same industry are doing better.

		Industry Rank	Sector Rank
Current Ratio	0.29
Quick Ratio	0.28

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

CTO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -213.56%.
CTO shows a strong growth in Revenue. In the last year, the Revenue has grown by 23.84%.
CTO shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 22.61% yearly.

EPS 1Y (TTM)-213.56%

EPS 3YN/A

EPS 5YN/A

EPS Q2Q%-82.35%

Revenue 1Y (TTM)23.84%

Revenue growth 3Y21.01%

Revenue growth 5Y22.61%

Sales Q2Q%18.71%

3.2 Future

CTO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 58.27% yearly.
The Revenue is expected to grow by 13.11% on average over the next years. This is quite good.

EPS Next Y-235.14%

EPS Next 2Y58.27%

EPS Next 3YN/A

EPS Next 5YN/A

Revenue Next Year22.33%

Revenue Next 2Y13.11%

Revenue Next 3YN/A

Revenue Next 5YN/A

3.3 Evolution

The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings Ratio is negative for CTO. In the last year negative earnings were reported.
CTO is valuated quite expensively with a Price/Forward Earnings ratio of 159.95.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CTO is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 25.57. CTO is valued rather expensively when compared to this.

		Industry Rank	Sector Rank
PE	N/A
Fwd PE	159.95

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, CTO is valued a bit cheaper than 68.55% of the companies in the same industry.

		Industry Rank	Sector Rank
P/FCF	N/A
EV/EBITDA	12.9

4.3 Compensation for Growth

CTO's earnings are expected to grow with 58.27% in the coming years. This may justify a more expensive valuation.

PEG (NY)N/A

PEG (5Y)N/A

EPS Next 2Y58.27%

EPS Next 3YN/A

More info and screens

Show best valued peers

5. Dividend

5.1 Amount

CTO has a Yearly Dividend Yield of 8.67%, which is a nice return.
Compared to an average industry Dividend Yield of 6.98, CTO pays a better dividend. On top of this CTO pays more dividend than 86.29% of the companies listed in the same industry.
CTO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.

		Industry Rank	Sector Rank
Dividend Yield	8.67%

5.2 History

The dividend of CTO is nicely growing with an annual growth rate of 71.47%!
CTO has paid a dividend for at least 10 years, which is a reliable track record.
CTO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.

Dividend Growth(5Y)71.47%

Div Incr Years0

Div Non Decr Years14

5.3 Sustainability

The earnings of CTO are negative and hence is the payout ratio. CTO will probably not be able to sustain this dividend level.
CTO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.

DP-138.11%

EPS Next 2Y58.27%

EPS Next 3YN/A

More info and screens

Find the best dividend stocks

Show peers with best dividend

CTO REALTY GROWTH INC / CTO FAQ

What is the ChartMill fundamental rating of CTO REALTY GROWTH INC (CTO) stock?

ChartMill assigns a fundamental rating of 3 / 10 to CTO.

What is the valuation status for CTO stock?

ChartMill assigns a valuation rating of 2 / 10 to CTO REALTY GROWTH INC (CTO). This can be considered as Overvalued.

What is the profitability of CTO stock?

CTO REALTY GROWTH INC (CTO) has a profitability rating of 2 / 10.

Can you provide the financial health for CTO stock?

The financial health rating of CTO REALTY GROWTH INC (CTO) is 1 / 10.