EQUITY LIFESTYLE PROPERTIES (ELS) Stock Fundamental Analysis
USA - NYSE:ELS - US29472R1086 - REIT
60.56 USD
+0.23 (+0.38%)
61 USD
+0.44 (+0.73%)
We assign a fundamental rating of 5 out of 10 to ELS. ELS was compared to 20 industry peers in the Residential REITs industry. While ELS has a great profitability rating, there are quite some concerns on its financial health. ELS is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ELS was profitable.
ELS had a positive operating cash flow in the past year.
In the past 5 years ELS has always been profitable.
In the past 5 years ELS always reported a positive cash flow from operatings.
1.2 Ratios
ELS has a better Return On Assets (6.43%) than 95.00% of its industry peers.
ELS has a Return On Equity of 21.24%. This is amongst the best in the industry. ELS outperforms 100.00% of its industry peers.
ELS's Return On Invested Capital of 7.37% is amongst the best of the industry. ELS outperforms 100.00% of its industry peers.
ELS had an Average Return On Invested Capital over the past 3 years of 6.66%. This is above the industry average of 2.59%.
The 3 year average ROIC (6.66%) for ELS is below the current ROIC(7.37%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.43% | ||
| ROE | 21.24% | ||
| ROIC | 7.37% |
ROA(3y)5.76%
ROA(5y)5.48%
ROE(3y)20.92%
ROE(5y)19.96%
ROIC(3y)6.66%
ROIC(5y)6.48%
1.3 Margins
ELS has a better Profit Margin (24.25%) than 75.00% of its industry peers.
In the last couple of years the Profit Margin of ELS has declined.
With an excellent Operating Margin value of 33.47%, ELS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
ELS's Operating Margin has been stable in the last couple of years.
The Gross Margin of ELS (52.77%) is worse than 85.00% of its industry peers.
ELS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.47% | ||
| PM (TTM) | 24.25% | ||
| GM | 52.77% |
OM growth 3Y4.08%
OM growth 5Y0.27%
PM growth 3Y6.52%
PM growth 5Y-2.3%
GM growth 3Y1.58%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
ELS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for ELS has been increased compared to 1 year ago.
ELS has more shares outstanding than it did 5 years ago.
ELS has a better debt/assets ratio than last year.
2.2 Solvency
ELS has an Altman-Z score of 2.20. This is not the best score and indicates that ELS is in the grey zone with still only limited risk for bankruptcy at the moment.
With an excellent Altman-Z score value of 2.20, ELS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
ELS has a debt to FCF ratio of 9.29. This is a negative value and a sign of low solvency as ELS would need 9.29 years to pay back of all of its debts.
ELS has a Debt to FCF ratio of 9.29. This is amongst the best in the industry. ELS outperforms 90.00% of its industry peers.
A Debt/Equity ratio of 1.88 is on the high side and indicates that ELS has dependencies on debt financing.
ELS's Debt to Equity ratio of 1.88 is on the low side compared to the rest of the industry. ELS is outperformed by 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | 9.29 | ||
| Altman-Z | 2.2 |
ROIC/WACC0.98
WACC7.53%
2.3 Liquidity
A Current Ratio of 0.03 indicates that ELS may have some problems paying its short term obligations.
ELS's Current ratio of 0.03 is on the low side compared to the rest of the industry. ELS is outperformed by 85.00% of its industry peers.
A Quick Ratio of 0.03 indicates that ELS may have some problems paying its short term obligations.
The Quick ratio of ELS (0.03) is worse than 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.03 | ||
| Quick Ratio | 0.03 |
3. Growth
3.1 Past
ELS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.52%.
ELS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.77% yearly.
ELS shows a small growth in Revenue. In the last year, the Revenue has grown by 0.59%.
ELS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.11% yearly.
EPS 1Y (TTM)-0.52%
EPS 3Y11.41%
EPS 5Y4.77%
EPS Q2Q%-7.14%
Revenue 1Y (TTM)0.59%
Revenue growth 3Y4.98%
Revenue growth 5Y8.11%
Sales Q2Q%-0.83%
3.2 Future
The Earnings Per Share is expected to grow by 6.62% on average over the next years.
ELS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.16% yearly.
EPS Next Y1%
EPS Next 2Y4.09%
EPS Next 3Y5.42%
EPS Next 5Y6.62%
Revenue Next Year1.57%
Revenue Next 2Y2.61%
Revenue Next 3Y3.61%
Revenue Next 5Y4.16%
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
Based on the Price/Earnings ratio of 31.87, the valuation of ELS can be described as expensive.
70.00% of the companies in the same industry are more expensive than ELS, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ELS to the average of the S&P500 Index (27.38), we can say ELS is valued inline with the index average.
The Price/Forward Earnings ratio is 28.66, which means the current valuation is very expensive for ELS.
Based on the Price/Forward Earnings ratio, ELS is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
ELS is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.87 | ||
| Fwd PE | 28.66 |
4.2 Price Multiples
ELS's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ELS is more expensive than 75.00% of the companies in the same industry.
75.00% of the companies in the same industry are more expensive than ELS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.58 | ||
| EV/EBITDA | 20.77 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ELS does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of ELS may justify a higher PE ratio.
PEG (NY)31.87
PEG (5Y)6.69
EPS Next 2Y4.09%
EPS Next 3Y5.42%
5. Dividend
5.1 Amount
ELS has a Yearly Dividend Yield of 3.35%. Purely for dividend investing, there may be better candidates out there.
With a Dividend Yield of 3.35, ELS pays less dividend than the industry average, which is at 4.68. 85.00% of the companies listed in the same industry pay a better dividend than ELS!
Compared to an average S&P500 Dividend Yield of 2.38, ELS pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.35% |
5.2 History
The dividend of ELS is nicely growing with an annual growth rate of 8.99%!
ELS has been paying a dividend for at least 10 years, so it has a reliable track record.
ELS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.99%
Div Incr Years20
Div Non Decr Years20
5.3 Sustainability
ELS pays out 104.85% of its income as dividend. This is not a sustainable payout ratio.
The dividend of ELS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP104.85%
EPS Next 2Y4.09%
EPS Next 3Y5.42%
60.56
+0.23 (+0.38%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners97.53%
Inst Owner Change0.07%
Ins Owners0.69%
Ins Owner Change0.26%
Market Cap11.74B
Analysts80
Price Target71.94 (18.79%)
Short Float %2.22%
Short Ratio2.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.35% |
Yearly Dividend1.95
Dividend Growth(5Y)8.99%
DP104.85%
Div Incr Years20
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.56%
Min EPS beat(2)-6.67%
Max EPS beat(2)1.56%
EPS beat(4)2
Avg EPS beat(4)-1.06%
Min EPS beat(4)-6.67%
Max EPS beat(4)2.52%
EPS beat(8)5
Avg EPS beat(8)5.29%
EPS beat(12)6
Avg EPS beat(12)4%
EPS beat(16)9
Avg EPS beat(16)4.65%
Revenue beat(2)0
Avg Revenue beat(2)-3.07%
Min Revenue beat(2)-3.82%
Max Revenue beat(2)-2.33%
Revenue beat(4)0
Avg Revenue beat(4)-3.01%
Min Revenue beat(4)-4.16%
Max Revenue beat(4)-1.71%
Revenue beat(8)3
Avg Revenue beat(8)-1.32%
Revenue beat(12)4
Avg Revenue beat(12)-0.5%
Revenue beat(16)8
Avg Revenue beat(16)10%
PT rev (1m)-0.97%
PT rev (3m)-3.78%
EPS NQ rev (1m)0.31%
EPS NQ rev (3m)-1.82%
EPS NY rev (1m)-1.02%
EPS NY rev (3m)-1.14%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)-1.7%
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.87 | ||
| Fwd PE | 28.66 | ||
| P/S | 7.74 | ||
| P/FCF | 33.58 | ||
| P/OCF | 20.25 | ||
| P/B | 6.78 | ||
| P/tB | 6.78 | ||
| EV/EBITDA | 20.77 |
EPS(TTM)1.9
EY3.14%
EPS(NY)2.11
Fwd EY3.49%
FCF(TTM)1.8
FCFY2.98%
OCF(TTM)2.99
OCFY4.94%
SpS7.82
BVpS8.93
TBVpS8.93
PEG (NY)31.87
PEG (5Y)6.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.43% | ||
| ROE | 21.24% | ||
| ROCE | 9.33% | ||
| ROIC | 7.37% | ||
| ROICexc | 7.42% | ||
| ROICexgc | 7.6% | ||
| OM | 33.47% | ||
| PM (TTM) | 24.25% | ||
| GM | 52.77% | ||
| FCFM | 23.05% |
ROA(3y)5.76%
ROA(5y)5.48%
ROE(3y)20.92%
ROE(5y)19.96%
ROIC(3y)6.66%
ROIC(5y)6.48%
ROICexc(3y)6.69%
ROICexc(5y)6.52%
ROICexgc(3y)6.86%
ROICexgc(5y)6.66%
ROCE(3y)8.44%
ROCE(5y)8.2%
ROICexcg growth 3Y6.59%
ROICexcg growth 5Y2.32%
ROICexc growth 3Y6.52%
ROICexc growth 5Y2.03%
OM growth 3Y4.08%
OM growth 5Y0.27%
PM growth 3Y6.52%
PM growth 5Y-2.3%
GM growth 3Y1.58%
GM growth 5Y-0.14%
F-Score6
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | 9.29 | ||
| Debt/EBITDA | 4.52 | ||
| Cap/Depr | 109.38% | ||
| Cap/Sales | 15.17% | ||
| Interest Coverage | 3.8 | ||
| Cash Conversion | 80.75% | ||
| Profit Quality | 95.05% | ||
| Current Ratio | 0.03 | ||
| Quick Ratio | 0.03 | ||
| Altman-Z | 2.2 |
F-Score6
WACC7.53%
ROIC/WACC0.98
Cap/Depr(3y)153.33%
Cap/Depr(5y)227.34%
Cap/Sales(3y)21.7%
Cap/Sales(5y)32.72%
Profit Quality(3y)65.81%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-0.52%
EPS 3Y11.41%
EPS 5Y4.77%
EPS Q2Q%-7.14%
EPS Next Y1%
EPS Next 2Y4.09%
EPS Next 3Y5.42%
EPS Next 5Y6.62%
Revenue 1Y (TTM)0.59%
Revenue growth 3Y4.98%
Revenue growth 5Y8.11%
Sales Q2Q%-0.83%
Revenue Next Year1.57%
Revenue Next 2Y2.61%
Revenue Next 3Y3.61%
Revenue Next 5Y4.16%
EBIT growth 1Y8.1%
EBIT growth 3Y9.27%
EBIT growth 5Y8.4%
EBIT Next Year47.78%
EBIT Next 3Y17.39%
EBIT Next 5Y12.78%
FCF growth 1Y161.49%
FCF growth 3YN/A
FCF growth 5Y412.66%
OCF growth 1Y13.25%
OCF growth 3Y5.44%
OCF growth 5Y6.11%