HEALTHPEAK PROPERTIES INC (DOC) Stock Fundamental Analysis
NYSE:DOC - New York Stock Exchange, Inc. - US42250P1030 - REIT - Currency: USD
Taking everything into account, DOC scores 4 out of 10 in our fundamental rating. DOC was compared to 129 industry peers in the Diversified REITs industry. While DOC is still in line with the averages on profitability rating, there are concerns on its financial health. DOC is valied quite expensively at the moment, while it does show a decent growth rate.
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.
DOC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DOC has a Return On Assets of 1.40%. This is in the better half of the industry: DOC outperforms 62.02% of its industry peers.
DOC has a Return On Equity of 3.40%. This is in the better half of the industry: DOC outperforms 62.02% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.16%, DOC is doing worse than 62.79% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DOC is in line with the industry average of 3.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.4% | ||
| ROE | 3.4% | ||
| ROIC | 2.16% |
ROA(3y)2.1%
ROA(5y)2.44%
ROE(3y)5.05%
ROE(5y)5.78%
ROIC(3y)2.39%
ROIC(5y)2.05%
1.3 Margins
DOC's Profit Margin of 9.95% is fine compared to the rest of the industry. DOC outperforms 60.47% of its industry peers.
DOC's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 18.01%, DOC perfoms like the industry average, outperforming 41.09% of the companies in the same industry.
DOC's Operating Margin has declined in the last couple of years.
DOC has a Gross Margin of 61.15%. This is in the lower half of the industry: DOC underperforms 65.89% of its industry peers.
In the last couple of years the Gross Margin of DOC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.01% | ||
| PM (TTM) | 9.95% | ||
| GM | 61.15% |
OM growth 3Y5.47%
OM growth 5Y-2.9%
PM growth 3Y-30.28%
PM growth 5Y20.4%
GM growth 3Y2.83%
GM growth 5Y-0.77%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DOC is destroying value.
The number of shares outstanding for DOC has been increased compared to 1 year ago.
The number of shares outstanding for DOC has been increased compared to 5 years ago.
Compared to 1 year ago, DOC has about the same debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.37, we must say that DOC is in the distress zone and has some risk of bankruptcy.
DOC's Altman-Z score of 0.37 is in line compared to the rest of the industry. DOC outperforms 41.86% of its industry peers.
The Debt to FCF ratio of DOC is 17.88, which is on the high side as it means it would take DOC, 17.88 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DOC (17.88) is better than 80.62% of its industry peers.
A Debt/Equity ratio of 1.08 is on the high side and indicates that DOC has dependencies on debt financing.
DOC has a Debt to Equity ratio (1.08) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 17.88 | ||
| Altman-Z | 0.37 |
ROIC/WACC0.32
WACC6.79%
2.3 Liquidity
A Current Ratio of 0.10 indicates that DOC may have some problems paying its short term obligations.
DOC has a Current ratio of 0.10. This is amonst the worse of the industry: DOC underperforms 95.35% of its industry peers.
DOC has a Quick Ratio of 0.10. This is a bad value and indicates that DOC is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of DOC (0.10) is worse than 95.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.1 | ||
| Quick Ratio | 0.1 |
3. Growth
3.1 Past
DOC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.29%, which is quite good.
The Earnings Per Share has been decreasing by -2.64% on average over the past years.
DOC shows a strong growth in Revenue. In the last year, the Revenue has grown by 23.65%.
Measured over the past years, DOC shows a quite strong growth in Revenue. The Revenue has been growing by 16.84% on average per year.
EPS 1Y (TTM)14.29%
EPS 3Y-2.7%
EPS 5Y-2.64%
EPS Q2Q%500%
Revenue 1Y (TTM)23.65%
Revenue growth 3Y12.51%
Revenue growth 5Y16.84%
Sales Q2Q%15.88%
3.2 Future
DOC is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.17% yearly.
DOC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.12% yearly.
EPS Next Y-32.35%
EPS Next 2Y-8.52%
EPS Next 3Y-7.14%
EPS Next 5Y-4.17%
Revenue Next Year4.23%
Revenue Next 2Y4.14%
Revenue Next 3Y3.54%
Revenue Next 5Y4.12%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
DOC is valuated quite expensively with a Price/Earnings ratio of 42.05.
Compared to the rest of the industry, the Price/Earnings ratio of DOC is on the same level as its industry peers.
DOC's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.91.
With a Price/Forward Earnings ratio of 57.43, DOC can be considered very expensive at the moment.
DOC's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 21.85. DOC is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.05 | ||
| Fwd PE | 57.43 |
4.2 Price Multiples
62.79% of the companies in the same industry are more expensive than DOC, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DOC indicates a somewhat cheap valuation: DOC is cheaper than 75.19% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.53 | ||
| EV/EBITDA | 12.73 |
4.3 Compensation for Growth
DOC's earnings are expected to decrease with -7.14% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-8.52%
EPS Next 3Y-7.14%
5. Dividend
5.1 Amount
DOC has a Yearly Dividend Yield of 7.05%, which is a nice return.
DOC's Dividend Yield is a higher than the industry average which is at 6.61.
DOC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.05% |
5.2 History
The dividend of DOC decreases each year by -2.76%.
DOC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-2.76%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DOC pays out 303.32% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of DOC has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP303.32%
EPS Next 2Y-8.52%
EPS Next 3Y-7.14%
16.82
-0.01 (-0.06%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners94.75%
Inst Owner Change-42.8%
Ins Owners0.28%
Ins Owner Change4.76%
Market Cap11.69B
Analysts80.83
Price Target24 (42.69%)
Short Float %2.16%
Short Ratio2.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.05% |
Yearly Dividend1.28
Dividend Growth(5Y)-2.76%
DP303.32%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-33.39%
Min EPS beat(2)-79.16%
Max EPS beat(2)12.38%
EPS beat(4)3
Avg EPS beat(4)35.07%
Min EPS beat(4)-79.16%
Max EPS beat(4)131.02%
EPS beat(8)5
Avg EPS beat(8)13.56%
EPS beat(12)8
Avg EPS beat(12)57.02%
EPS beat(16)10
Avg EPS beat(16)41.41%
Revenue beat(2)2
Avg Revenue beat(2)1.19%
Min Revenue beat(2)0.34%
Max Revenue beat(2)2.05%
Revenue beat(4)4
Avg Revenue beat(4)1.83%
Min Revenue beat(4)0.34%
Max Revenue beat(4)2.98%
Revenue beat(8)7
Avg Revenue beat(8)2.12%
Revenue beat(12)8
Avg Revenue beat(12)-4.71%
Revenue beat(16)12
Avg Revenue beat(16)16.58%
PT rev (1m)-4.08%
PT rev (3m)-5.99%
EPS NQ rev (1m)8.78%
EPS NQ rev (3m)15%
EPS NY rev (1m)6.03%
EPS NY rev (3m)8.2%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-1.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.05 | ||
| Fwd PE | 57.43 | ||
| P/S | 4.18 | ||
| P/FCF | 23.53 | ||
| P/OCF | 9.76 | ||
| P/B | 1.43 | ||
| P/tB | 1.57 | ||
| EV/EBITDA | 12.73 |
EPS(TTM)0.4
EY2.38%
EPS(NY)0.29
Fwd EY1.74%
FCF(TTM)0.71
FCFY4.25%
OCF(TTM)1.72
OCFY10.25%
SpS4.03
BVpS11.79
TBVpS10.71
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.4% | ||
| ROE | 3.4% | ||
| ROCE | 2.74% | ||
| ROIC | 2.16% | ||
| ROICexc | 2.17% | ||
| ROICexgc | 2.39% | ||
| OM | 18.01% | ||
| PM (TTM) | 9.95% | ||
| GM | 61.15% | ||
| FCFM | 17.75% |
ROA(3y)2.1%
ROA(5y)2.44%
ROE(3y)5.05%
ROE(5y)5.78%
ROIC(3y)2.39%
ROIC(5y)2.05%
ROICexc(3y)2.4%
ROICexc(5y)2.06%
ROICexgc(3y)2.61%
ROICexgc(5y)2.23%
ROCE(3y)3.02%
ROCE(5y)2.59%
ROICexcg growth 3Y12%
ROICexcg growth 5Y7.99%
ROICexc growth 3Y11.28%
ROICexc growth 5Y7.36%
OM growth 3Y5.47%
OM growth 5Y-2.9%
PM growth 3Y-30.28%
PM growth 5Y20.4%
GM growth 3Y2.83%
GM growth 5Y-0.77%
F-Score6
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 17.88 | ||
| Debt/EBITDA | 5.51 | ||
| Cap/Depr | 63.33% | ||
| Cap/Sales | 25.06% | ||
| Interest Coverage | 1.96 | ||
| Cash Conversion | 74.36% | ||
| Profit Quality | 178.44% | ||
| Current Ratio | 0.1 | ||
| Quick Ratio | 0.1 | ||
| Altman-Z | 0.37 |
F-Score6
WACC6.79%
ROIC/WACC0.32
Cap/Depr(3y)101.04%
Cap/Depr(5y)178.11%
Cap/Sales(3y)35.69%
Cap/Sales(5y)67.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.29%
EPS 3Y-2.7%
EPS 5Y-2.64%
EPS Q2Q%500%
EPS Next Y-32.35%
EPS Next 2Y-8.52%
EPS Next 3Y-7.14%
EPS Next 5Y-4.17%
Revenue 1Y (TTM)23.65%
Revenue growth 3Y12.51%
Revenue growth 5Y16.84%
Sales Q2Q%15.88%
Revenue Next Year4.23%
Revenue Next 2Y4.14%
Revenue Next 3Y3.54%
Revenue Next 5Y4.12%
EBIT growth 1Y-11.56%
EBIT growth 3Y18.66%
EBIT growth 5Y13.45%
EBIT Next Year237.64%
EBIT Next 3Y54.8%
EBIT Next 5Y33.17%
FCF growth 1Y894.49%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y36.06%
OCF growth 3Y10.42%
OCF growth 5Y4.82%