DOUGLAS EMMETT INC (DEI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DEI - US25960P1093 - REIT
11.64 USD
-0.12 (-1.02%)
11.87 USD
+0.23 (+1.98%)
DEI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 128 industry peers in the Diversified REITs industry. DEI scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. DEI is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year DEI has reported negative net income.
In the past year DEI had a positive cash flow from operations.
Of the past 5 years DEI 4 years were profitable.
DEI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.22%, DEI is in line with its industry, outperforming 43.75% of the companies in the same industry.
DEI has a Return On Equity (1.07%) which is in line with its industry peers.
DEI has a Return On Invested Capital of 1.67%. This is in the lower half of the industry: DEI underperforms 73.44% of its industry peers.
DEI had an Average Return On Invested Capital over the past 3 years of 1.67%. This is in line with the industry average of 3.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.22% | ||
| ROE | 1.07% | ||
| ROIC | 1.67% |
ROA(3y)0.26%
ROA(5y)0.4%
ROE(3y)0.95%
ROE(5y)1.51%
ROIC(3y)1.67%
ROIC(5y)1.63%
1.3 Margins
DEI has a Profit Margin (2.08%) which is in line with its industry peers.
DEI's Profit Margin has declined in the last couple of years.
DEI's Operating Margin of 19.37% is in line compared to the rest of the industry. DEI outperforms 46.09% of its industry peers.
DEI's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 63.77%, DEI is doing worse than 61.72% of the companies in the same industry.
In the last couple of years the Gross Margin of DEI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.37% | ||
| PM (TTM) | 2.08% | ||
| GM | 63.77% |
OM growth 3Y-1.45%
OM growth 5Y-4.15%
PM growth 3Y-31.59%
PM growth 5Y-43.41%
GM growth 3Y-1.25%
GM growth 5Y-1.1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DEI is destroying value.
The number of shares outstanding for DEI remains at a similar level compared to 1 year ago.
The number of shares outstanding for DEI has been reduced compared to 5 years ago.
The debt/assets ratio for DEI is higher compared to a year ago.
2.2 Solvency
DEI has an Altman-Z score of 0.15. This is a bad value and indicates that DEI is not financially healthy and even has some risk of bankruptcy.
DEI's Altman-Z score of 0.15 is on the low side compared to the rest of the industry. DEI is outperformed by 69.53% of its industry peers.
The Debt to FCF ratio of DEI is 57.79, which is on the high side as it means it would take DEI, 57.79 years of fcf income to pay off all of its debts.
DEI has a better Debt to FCF ratio (57.79) than 70.31% of its industry peers.
DEI has a Debt/Equity ratio of 2.85. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.85, DEI is doing worse than 78.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.85 | ||
| Debt/FCF | 57.79 | ||
| Altman-Z | 0.15 |
ROIC/WACC0.28
WACC5.88%
2.3 Liquidity
DEI has a Current Ratio of 2.33. This indicates that DEI is financially healthy and has no problem in meeting its short term obligations.
DEI's Current ratio of 2.33 is amongst the best of the industry. DEI outperforms 85.94% of its industry peers.
A Quick Ratio of 2.33 indicates that DEI has no problem at all paying its short term obligations.
DEI has a Quick ratio of 2.33. This is amongst the best in the industry. DEI outperforms 85.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.33 | ||
| Quick Ratio | 2.33 |
3. Growth
3.1 Past
The earnings per share for DEI have decreased strongly by -60.00% in the last year.
DEI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -42.57% yearly.
The Revenue has decreased by -0.12% in the past year.
DEI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.04% yearly.
EPS 1Y (TTM)-60%
EPS 3Y-20.63%
EPS 5Y-42.57%
EPS Q2Q%-333.33%
Revenue 1Y (TTM)-0.12%
Revenue growth 3Y2.41%
Revenue growth 5Y1.04%
Sales Q2Q%-0.07%
3.2 Future
The Earnings Per Share is expected to decrease by -40.21% on average over the next years. This is quite bad
Based on estimates for the next years, DEI will show a small growth in Revenue. The Revenue will grow by 2.91% on average per year.
EPS Next Y-34.74%
EPS Next 2Y-79%
EPS Next 3Y-43.45%
EPS Next 5Y-40.21%
Revenue Next Year2.47%
Revenue Next 2Y2.07%
Revenue Next 3Y1.83%
Revenue Next 5Y2.91%
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 stable.
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 negative for DEI. In the last year negative earnings were reported.
Also next year DEI is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DEI is valued a bit cheaper than 72.66% of the companies in the same industry.
DEI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. DEI is cheaper than 75.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.26 | ||
| EV/EBITDA | 12.04 |
4.3 Compensation for Growth
A cheap valuation may be justified as DEI's earnings are expected to decrease with -43.45% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-79%
EPS Next 3Y-43.45%
5. Dividend
5.1 Amount
DEI has a Yearly Dividend Yield of 6.46%, which is a nice return.
In the last 3 months the price of DEI has falen by -30.05%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
DEI's Dividend Yield is a higher than the industry average which is at 6.20.
Compared to an average S&P500 Dividend Yield of 1.87, DEI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.46% |
5.2 History
The dividend of DEI decreases each year by -6.08%.
DEI has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of DEI decreased recently.
Dividend Growth(5Y)-6.08%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
DEI pays out 612.82% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of DEI has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP612.82%
EPS Next 2Y-79%
EPS Next 3Y-43.45%
11.64
-0.12 (-1.02%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners104.61%
Inst Owner Change2.03%
Ins Owners3.44%
Ins Owner Change0.56%
Market Cap1.95B
Revenue(TTM)999.53M
Net Income(TTM)20.77M
Analysts65.88
Price Target14.6 (25.43%)
Short Float %14.13%
Short Ratio11.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.46% |
Yearly Dividend0.76
Dividend Growth(5Y)-6.08%
DP612.82%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.56%
Min EPS beat(2)0.99%
Max EPS beat(2)36.12%
EPS beat(4)3
Avg EPS beat(4)13.26%
Min EPS beat(4)-65.02%
Max EPS beat(4)80.96%
EPS beat(8)6
Avg EPS beat(8)74.01%
EPS beat(12)8
Avg EPS beat(12)38.16%
EPS beat(16)10
Avg EPS beat(16)25.37%
Revenue beat(2)0
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-1.66%
Max Revenue beat(2)-0.03%
Revenue beat(4)1
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-1.66%
Max Revenue beat(4)1.05%
Revenue beat(8)4
Avg Revenue beat(8)0.17%
Revenue beat(12)5
Avg Revenue beat(12)-0.2%
Revenue beat(16)7
Avg Revenue beat(16)-0.15%
PT rev (1m)-14.52%
PT rev (3m)-14.38%
EPS NQ rev (1m)13.98%
EPS NQ rev (3m)29.83%
EPS NY rev (1m)24.44%
EPS NY rev (3m)423.08%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-0.04%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 1.95 | ||
| P/FCF | 20.26 | ||
| P/OCF | 4.9 | ||
| P/B | 1 | ||
| P/tB | 1 | ||
| EV/EBITDA | 12.04 |
EPS(TTM)-0.16
EYN/A
EPS(NY)-0.16
Fwd EYN/A
FCF(TTM)0.57
FCFY4.94%
OCF(TTM)2.38
OCFY20.41%
SpS5.97
BVpS11.63
TBVpS11.59
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.22% | ||
| ROE | 1.07% | ||
| ROCE | 2.12% | ||
| ROIC | 1.67% | ||
| ROICexc | 1.75% | ||
| ROICexgc | 1.76% | ||
| OM | 19.37% | ||
| PM (TTM) | 2.08% | ||
| GM | 63.77% | ||
| FCFM | 9.63% |
ROA(3y)0.26%
ROA(5y)0.4%
ROE(3y)0.95%
ROE(5y)1.51%
ROIC(3y)1.67%
ROIC(5y)1.63%
ROICexc(3y)1.75%
ROICexc(5y)1.7%
ROICexgc(3y)1.78%
ROICexgc(5y)1.72%
ROCE(3y)2.12%
ROCE(5y)2.07%
ROICexgc growth 3Y1.27%
ROICexgc growth 5Y-2.56%
ROICexc growth 3Y1.06%
ROICexc growth 5Y-2.66%
OM growth 3Y-1.45%
OM growth 5Y-4.15%
PM growth 3Y-31.59%
PM growth 5Y-43.41%
GM growth 3Y-1.25%
GM growth 5Y-1.1%
F-Score6
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.85 | ||
| Debt/FCF | 57.79 | ||
| Debt/EBITDA | 9.43 | ||
| Cap/Depr | 76.09% | ||
| Cap/Sales | 30.17% | ||
| Interest Coverage | 0.81 | ||
| Cash Conversion | 67.43% | ||
| Profit Quality | 463.37% | ||
| Current Ratio | 2.33 | ||
| Quick Ratio | 2.33 | ||
| Altman-Z | 0.15 |
F-Score6
WACC5.88%
ROIC/WACC0.28
Cap/Depr(3y)88.33%
Cap/Depr(5y)84.24%
Cap/Sales(3y)34.7%
Cap/Sales(5y)33.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-60%
EPS 3Y-20.63%
EPS 5Y-42.57%
EPS Q2Q%-333.33%
EPS Next Y-34.74%
EPS Next 2Y-79%
EPS Next 3Y-43.45%
EPS Next 5Y-40.21%
Revenue 1Y (TTM)-0.12%
Revenue growth 3Y2.41%
Revenue growth 5Y1.04%
Sales Q2Q%-0.07%
Revenue Next Year2.47%
Revenue Next 2Y2.07%
Revenue Next 3Y1.83%
Revenue Next 5Y2.91%
EBIT growth 1Y2.09%
EBIT growth 3Y0.93%
EBIT growth 5Y-3.15%
EBIT Next Year185.87%
EBIT Next 3Y43.73%
EBIT Next 5Y31.86%
FCF growth 1Y-51.75%
FCF growth 3Y3.24%
FCF growth 5YN/A
OCF growth 1Y-11.09%
OCF growth 3Y-2.94%
OCF growth 5Y-2.74%
DOUGLAS EMMETT INC / DEI FAQ
Can you provide the ChartMill fundamental rating for DOUGLAS EMMETT INC?
ChartMill assigns a fundamental rating of 4 / 10 to DEI.
What is the valuation status for DEI stock?
ChartMill assigns a valuation rating of 2 / 10 to DOUGLAS EMMETT INC (DEI). This can be considered as Overvalued.
How profitable is DOUGLAS EMMETT INC (DEI) stock?
DOUGLAS EMMETT INC (DEI) has a profitability rating of 3 / 10.
Can you provide the dividend sustainability for DEI stock?
The dividend rating of DOUGLAS EMMETT INC (DEI) is 5 / 10 and the dividend payout ratio is 612.82%.