HEALTHPEAK PROPERTIES INC (DOC)
US42250P1030 - REIT
We assign a fundamental rating of 5 out of 10 to DOC. DOC was compared to 126 industry peers in the Diversified REITs industry. Both the profitability and the financial health of DOC get a neutral evaluation. Nothing too spectacular is happening here. DOC is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year DOC was profitable.
In the past year DOC had a positive cash flow from operations.
In the past 5 years DOC has always been profitable.
Each year in the past 5 years DOC had a positive operating cash flow.
1.2 Ratios
The Return On Assets of DOC (5.90%) is better than 94.31% of its industry peers.
Looking at the Return On Equity, with a value of 11.01%, DOC belongs to the top of the industry, outperforming 91.06% of the companies in the same industry.
DOC has a better Return On Invested Capital (7.24%) than 98.37% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DOC is above the industry average of 2.96%.
The 3 year average ROIC (6.43%) for DOC is below the current ROIC(7.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.9% | ||
| ROE | 11.01% | ||
| ROIC | 7.24% |
ROA(3y)8.45%
ROA(5y)7.14%
ROE(3y)15.34%
ROE(5y)12.65%
ROIC(3y)6.43%
ROIC(5y)5.87%
1.3 Margins
DOC has a Profit Margin of 13.95%. This is in the better half of the industry: DOC outperforms 65.85% of its industry peers.
DOC's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 20.53%, DOC is in line with its industry, outperforming 50.41% of the companies in the same industry.
In the last couple of years the Operating Margin of DOC has declined.
DOC has a Gross Margin of 59.28%. This is in the lower half of the industry: DOC underperforms 71.54% of its industry peers.
DOC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.53% | ||
| PM (TTM) | 13.95% | ||
| GM | 59.28% |
OM growth 3Y15.69%
OM growth 5Y-5.54%
PM growth 3Y-17.66%
PM growth 5Y-30.94%
GM growth 3Y4.39%
GM growth 5Y-2.65%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DOC is destroying value.
Compared to 1 year ago, DOC has more shares outstanding
DOC has more shares outstanding than it did 5 years ago.
DOC has a worse debt/assets ratio than last year.
2.2 Solvency
DOC has an Altman-Z score of 3.77. This indicates that DOC is financially healthy and has little risk of bankruptcy at the moment.
DOC has a Altman-Z score of 3.77. This is amongst the best in the industry. DOC outperforms 98.37% of its industry peers.
The Debt to FCF ratio of DOC is 11.57, which is on the high side as it means it would take DOC, 11.57 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DOC (11.57) is better than 81.30% of its industry peers.
A Debt/Equity ratio of 0.71 indicates that DOC is somewhat dependend on debt financing.
DOC has a better Debt to Equity ratio (0.71) than 76.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 11.57 | ||
| Altman-Z | 3.77 |
ROIC/WACC0.85
WACC8.5%
2.3 Liquidity
A Current Ratio of 1.01 indicates that DOC should not have too much problems paying its short term obligations.
DOC's Current ratio of 1.01 is on the low side compared to the rest of the industry. DOC is outperformed by 61.79% of its industry peers.
A Quick Ratio of 1.01 indicates that DOC should not have too much problems paying its short term obligations.
The Quick ratio of DOC (1.01) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
DOC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -38.86%.
Measured over the past years, DOC shows a decrease in Earnings Per Share. The EPS has been decreasing by -8.11% on average per year.
The Revenue has been growing slightly by 5.81% in the past year.
Measured over the past years, DOC shows a quite strong growth in Revenue. The Revenue has been growing by 12.86% on average per year.
EPS 1Y (TTM)-38.86%
EPS 3Y-16.81%
EPS 5Y-8.11%
EPS growth Q2Q1200%
Revenue 1Y (TTM)5.81%
Revenue growth 3Y9.86%
Revenue growth 5Y12.86%
Revenue growth Q2Q5.56%
3.2 Future
The Earnings Per Share is expected to grow by 18.42% on average over the next years. This is quite good.
DOC is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -20.89% yearly.
EPS Next Y110.35%
EPS Next 2Y73.85%
EPS Next 3Y40.94%
EPS Next 5Y18.42%
Revenue Next Year23.08%
Revenue Next 2Y14.49%
Revenue Next 3Y6.5%
Revenue Next 5Y-20.89%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 33.87, DOC can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as DOC.
When comparing the Price/Earnings ratio of DOC to the average of the S&P500 Index (28.28), we can say DOC is valued inline with the index average.
A Price/Forward Earnings ratio of 47.46 indicates a quite expensive valuation of DOC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DOC indicates a somewhat cheap valuation: DOC is cheaper than 60.16% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.88. DOC is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.87 | ||
| Fwd PE | 47.46 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DOC indicates a rather expensive valuation: DOC more expensive than 90.24% of the companies listed in the same industry.
DOC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 78.27 | ||
| EV/EBITDA | 23.74 |
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 decent profitability rating of DOC may justify a higher PE ratio.
A more expensive valuation may be justified as DOC's earnings are expected to grow with 40.94% in the coming years.
PEG (NY)0.31
PEG (5Y)N/A
EPS Next 2Y73.85%
EPS Next 3Y40.94%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.26%, DOC is a good candidate for dividend investing.
DOC's Dividend Yield is a higher than the industry average which is at 5.88.
DOC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.26% |
5.2 History
The dividend of DOC decreases each year by -4.01%.
DOC has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-4.01%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
72.44% of the earnings are spent on dividend by DOC. This is not a sustainable payout ratio.
DP72.44%
EPS Next 2Y73.85%
EPS Next 3Y40.94%
HEALTHPEAK PROPERTIES INC
NYSE:DOC (5/3/2024, 7:04:00 PM)
After market: 18.97 0 (0%)18.97
-0.2 (-1.04%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
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Market Cap13.35B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.26% |
Dividend Growth(5Y)
DP
Div Incr Years
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Surprises & Revisions
EPS beat(2)
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EPS NY rev (3m)
Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.87 | ||
| Fwd PE | 47.46 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.31
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.9% | ||
| ROE | 11.01% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 20.53% | ||
| PM (TTM) | 13.95% | ||
| GM | 59.28% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-38.86%
EPS 3Y-16.81%
EPS 5Y
EPS growth Q2Q
EPS Next Y110.35%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)5.81%
Revenue growth 3Y9.86%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
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