CARETRUST REIT INC (CTRE) Stock Fundamental Analysis
USA - NYSE:CTRE - US14174T1079 - REIT
35.74 USD
+0.57 (+1.62%)
36.0688 USD
+0.33 (+0.92%)
Overall CTRE gets a fundamental rating of 7 out of 10. We evaluated CTRE against 127 industry peers in the Diversified REITs industry. While CTRE has a great profitability rating, there are some minor concerns on its financial health. CTRE is growing strongly while it is still valued neutral. This is a good combination! These ratings would make CTRE suitable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year CTRE was profitable.
In the past year CTRE had a positive cash flow from operations.
Of the past 5 years CTRE 4 years were profitable.
Each year in the past 5 years CTRE had a positive operating cash flow.
1.2 Ratios
CTRE's Return On Assets of 4.71% is amongst the best of the industry. CTRE outperforms 92.91% of its industry peers.
The Return On Equity of CTRE (6.64%) is better than 77.17% of its industry peers.
CTRE has a Return On Invested Capital of 4.38%. This is amongst the best in the industry. CTRE outperforms 83.46% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CTRE is above the industry average of 3.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.71% | ||
| ROE | 6.64% | ||
| ROIC | 4.38% |
ROA(3y)1.9%
ROA(5y)3.08%
ROE(3y)2.37%
ROE(5y)4.75%
ROIC(3y)5.24%
ROIC(5y)5.34%
1.3 Margins
Looking at the Profit Margin, with a value of 58.73%, CTRE belongs to the top of the industry, outperforming 97.64% of the companies in the same industry.
CTRE's Profit Margin has improved in the last couple of years.
CTRE has a better Operating Margin (66.50%) than 99.21% of its industry peers.
CTRE's Operating Margin has improved in the last couple of years.
CTRE has a better Gross Margin (98.44%) than 98.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 66.5% | ||
| PM (TTM) | 58.73% | ||
| GM | 98.44% |
OM growth 3Y5.41%
OM growth 5Y3.45%
PM growth 3Y4.22%
PM growth 5Y8.32%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CTRE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
CTRE has more shares outstanding than it did 1 year ago.
CTRE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CTRE has been reduced compared to a year ago.
2.2 Solvency
CTRE has an Altman-Z score of 3.61. This indicates that CTRE is financially healthy and has little risk of bankruptcy at the moment.
CTRE's Altman-Z score of 3.61 is amongst the best of the industry. CTRE outperforms 97.64% of its industry peers.
A Debt/Equity ratio of 0.35 indicates that CTRE is not too dependend on debt financing.
The Debt to Equity ratio of CTRE (0.35) is better than 96.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.61 |
ROIC/WACC0.52
WACC8.41%
2.3 Liquidity
A Current Ratio of 1.75 indicates that CTRE should not have too much problems paying its short term obligations.
CTRE's Current ratio of 1.75 is fine compared to the rest of the industry. CTRE outperforms 75.59% of its industry peers.
A Quick Ratio of 1.75 indicates that CTRE should not have too much problems paying its short term obligations.
CTRE has a better Quick ratio (1.75) than 75.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.75 | ||
| Quick Ratio | 1.75 |
3. Growth
3.1 Past
CTRE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 108.47%, which is quite impressive.
CTRE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.30% yearly.
CTRE shows a strong growth in Revenue. In the last year, the Revenue has grown by 50.83%.
The Revenue has been growing by 12.64% on average over the past years. This is quite good.
EPS 1Y (TTM)108.47%
EPS 3Y-1.19%
EPS 5Y11.3%
EPS Q2Q%400%
Revenue 1Y (TTM)50.83%
Revenue growth 3Y15.48%
Revenue growth 5Y12.64%
Sales Q2Q%55.27%
3.2 Future
CTRE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.18% yearly.
Based on estimates for the next years, CTRE will show a very strong growth in Revenue. The Revenue will grow by 27.43% on average per year.
EPS Next Y77.46%
EPS Next 2Y38.41%
EPS Next 3Y26.18%
EPS Next 5YN/A
Revenue Next Year45.48%
Revenue Next 2Y35.09%
Revenue Next 3Y27.43%
Revenue Next 5YN/A
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 29.06, which means the current valuation is very expensive for CTRE.
Compared to the rest of the industry, the Price/Earnings ratio of CTRE indicates a somewhat cheap valuation: CTRE is cheaper than 66.93% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.08. CTRE is around the same levels.
Based on the Price/Forward Earnings ratio of 22.75, the valuation of CTRE can be described as rather expensive.
88.98% of the companies in the same industry are more expensive than CTRE, based on the Price/Forward Earnings ratio.
CTRE's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.09.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.06 | ||
| Fwd PE | 22.75 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CTRE indicates a rather expensive valuation: CTRE more expensive than 92.13% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 27.45 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of CTRE may justify a higher PE ratio.
A more expensive valuation may be justified as CTRE's earnings are expected to grow with 26.18% in the coming years.
PEG (NY)0.38
PEG (5Y)2.57
EPS Next 2Y38.41%
EPS Next 3Y26.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.84%, CTRE has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.15, CTRE is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.30, CTRE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.84% |
5.2 History
The dividend of CTRE has a limited annual growth rate of 4.05%.
CTRE has been paying a dividend for at least 10 years, so it has a reliable track record.
CTRE has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)4.05%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
96.62% of the earnings are spent on dividend by CTRE. This is not a sustainable payout ratio.
The dividend of CTRE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP96.62%
EPS Next 2Y38.41%
EPS Next 3Y26.18%
35.74
+0.57 (+1.62%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners89.46%
Inst Owner Change1.09%
Ins Owners0.47%
Ins Owner Change1.14%
Market Cap7.98B
Revenue(TTM)373.42M
Net Income(TTM)219.30M
Analysts83.75
Price Target37.63 (5.29%)
Short Float %4.13%
Short Ratio4.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.84% |
Yearly Dividend1.09
Dividend Growth(5Y)4.05%
DP96.62%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.16%
Min EPS beat(2)-6.76%
Max EPS beat(2)0.43%
EPS beat(4)2
Avg EPS beat(4)-8.38%
Min EPS beat(4)-29.49%
Max EPS beat(4)2.3%
EPS beat(8)2
Avg EPS beat(8)-24.52%
EPS beat(12)2
Avg EPS beat(12)-38.92%
EPS beat(16)4
Avg EPS beat(16)-30.02%
Revenue beat(2)1
Avg Revenue beat(2)-6.12%
Min Revenue beat(2)-15.93%
Max Revenue beat(2)3.69%
Revenue beat(4)2
Avg Revenue beat(4)2.83%
Min Revenue beat(4)-15.93%
Max Revenue beat(4)33.8%
Revenue beat(8)4
Avg Revenue beat(8)1.97%
Revenue beat(12)7
Avg Revenue beat(12)1.67%
Revenue beat(16)8
Avg Revenue beat(16)0.79%
PT rev (1m)2.11%
PT rev (3m)11.04%
EPS NQ rev (1m)0.94%
EPS NQ rev (3m)0.94%
EPS NY rev (1m)1.18%
EPS NY rev (3m)1.91%
Revenue NQ rev (1m)5.1%
Revenue NQ rev (3m)7.73%
Revenue NY rev (1m)3.66%
Revenue NY rev (3m)6.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.06 | ||
| Fwd PE | 22.75 | ||
| P/S | 21.37 | ||
| P/FCF | N/A | ||
| P/OCF | 25.37 | ||
| P/B | 2.42 | ||
| P/tB | 2.42 | ||
| EV/EBITDA | 27.45 |
EPS(TTM)1.23
EY3.44%
EPS(NY)1.57
Fwd EY4.4%
FCF(TTM)-5.04
FCFYN/A
OCF(TTM)1.41
OCFY3.94%
SpS1.67
BVpS14.78
TBVpS14.78
PEG (NY)0.38
PEG (5Y)2.57
Graham Number20.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.71% | ||
| ROE | 6.64% | ||
| ROCE | 5.54% | ||
| ROIC | 4.38% | ||
| ROICexc | 4.7% | ||
| ROICexgc | 4.7% | ||
| OM | 66.5% | ||
| PM (TTM) | 58.73% | ||
| GM | 98.44% | ||
| FCFM | N/A |
ROA(3y)1.9%
ROA(5y)3.08%
ROE(3y)2.37%
ROE(5y)4.75%
ROIC(3y)5.24%
ROIC(5y)5.34%
ROICexc(3y)5.66%
ROICexc(5y)5.62%
ROICexgc(3y)5.66%
ROICexgc(5y)5.62%
ROCE(3y)6.63%
ROCE(5y)6.75%
ROICexgc growth 3Y-3.12%
ROICexgc growth 5Y0.18%
ROICexc growth 3Y-3.12%
ROICexc growth 5Y0.18%
OM growth 3Y5.41%
OM growth 5Y3.45%
PM growth 3Y4.22%
PM growth 5Y8.32%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.64 | ||
| Cap/Depr | 2097.02% | ||
| Cap/Sales | 385.9% | ||
| Interest Coverage | 8.55 | ||
| Cash Conversion | 99.23% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.75 | ||
| Quick Ratio | 1.75 | ||
| Altman-Z | 3.61 |
F-Score5
WACC8.41%
ROIC/WACC0.52
Cap/Depr(3y)658.62%
Cap/Depr(5y)503.99%
Cap/Sales(3y)134.69%
Cap/Sales(5y)112.45%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)108.47%
EPS 3Y-1.19%
EPS 5Y11.3%
EPS Q2Q%400%
EPS Next Y77.46%
EPS Next 2Y38.41%
EPS Next 3Y26.18%
EPS Next 5YN/A
Revenue 1Y (TTM)50.83%
Revenue growth 3Y15.48%
Revenue growth 5Y12.64%
Sales Q2Q%55.27%
Revenue Next Year45.48%
Revenue Next 2Y35.09%
Revenue Next 3Y27.43%
Revenue Next 5YN/A
EBIT growth 1Y56.55%
EBIT growth 3Y21.72%
EBIT growth 5Y16.53%
EBIT Next Year182.97%
EBIT Next 3Y56.82%
EBIT Next 5Y39.97%
FCF growth 1Y-2758.87%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y119.86%
OCF growth 3Y15.9%
OCF growth 5Y14.1%
CARETRUST REIT INC / CTRE FAQ
What is the fundamental rating for CTRE stock?
ChartMill assigns a fundamental rating of 7 / 10 to CTRE.
What is the valuation status for CTRE stock?
ChartMill assigns a valuation rating of 4 / 10 to CARETRUST REIT INC (CTRE). This can be considered as Fairly Valued.
What is the profitability of CTRE stock?
CARETRUST REIT INC (CTRE) has a profitability rating of 8 / 10.
Can you provide the financial health for CTRE stock?
The financial health rating of CARETRUST REIT INC (CTRE) is 5 / 10.
Can you provide the dividend sustainability for CTRE stock?
The dividend rating of CARETRUST REIT INC (CTRE) is 5 / 10 and the dividend payout ratio is 96.62%.