FIRST INDUSTRIAL REALTY TR (FR) Stock Fundamental Analysis
NYSE:FR - New York Stock Exchange, Inc. - US32054K1034 - REIT - Currency: USD
Taking everything into account, FR scores 5 out of 10 in our fundamental rating. FR was compared to 129 industry peers in the Diversified REITs industry. FR scores excellent on profitability, but there are concerns on its financial health. FR is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
FR had positive earnings in the past year.
In the past year FR had a positive cash flow from operations.
FR had positive earnings in each of the past 5 years.
Each year in the past 5 years FR had a positive operating cash flow.
1.2 Ratios
FR's Return On Assets of 4.90% is amongst the best of the industry. FR outperforms 93.02% of its industry peers.
With an excellent Return On Equity value of 10.07%, FR belongs to the best of the industry, outperforming 88.37% of the companies in the same industry.
The Return On Invested Capital of FR (4.25%) is better than 79.84% of its industry peers.
FR had an Average Return On Invested Capital over the past 3 years of 3.94%. This is in line with the industry average of 3.15%.
The 3 year average ROIC (3.94%) for FR is below the current ROIC(4.25%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.9% | ||
| ROE | 10.07% | ||
| ROIC | 4.25% |
ROA(3y)6%
ROA(5y)5.93%
ROE(3y)12.03%
ROE(5y)11.74%
ROIC(3y)3.94%
ROIC(5y)3.81%
1.3 Margins
With an excellent Profit Margin value of 39.01%, FR belongs to the best of the industry, outperforming 90.70% of the companies in the same industry.
In the last couple of years the Profit Margin of FR has declined.
With an excellent Operating Margin value of 41.11%, FR belongs to the best of the industry, outperforming 86.82% of the companies in the same industry.
FR's Operating Margin has improved in the last couple of years.
The Gross Margin of FR (73.10%) is better than 68.22% of its industry peers.
FR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 41.11% | ||
| PM (TTM) | 39.01% | ||
| GM | 73.1% |
OM growth 3Y2.79%
OM growth 5Y1.77%
PM growth 3Y-8.94%
PM growth 5Y-5.16%
GM growth 3Y0.12%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FR is destroying value.
The number of shares outstanding for FR remains at a similar level compared to 1 year ago.
Compared to 5 years ago, FR has more shares outstanding
The debt/assets ratio for FR has been reduced compared to a year ago.
2.2 Solvency
FR has an Altman-Z score of 1.72. This is a bad value and indicates that FR is not financially healthy and even has some risk of bankruptcy.
With an excellent Altman-Z score value of 1.72, FR belongs to the best of the industry, outperforming 93.80% of the companies in the same industry.
FR has a Debt/Equity ratio of 0.90. This is a neutral value indicating FR is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.90, FR is in the better half of the industry, outperforming 64.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.72 |
ROIC/WACC0.56
WACC7.57%
2.3 Liquidity
A Current Ratio of 0.96 indicates that FR may have some problems paying its short term obligations.
FR has a Current ratio (0.96) which is in line with its industry peers.
A Quick Ratio of 0.96 indicates that FR may have some problems paying its short term obligations.
FR has a Quick ratio of 0.96. This is comparable to the rest of the industry: FR outperforms 51.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The earnings per share for FR have decreased by -6.91% in the last year.
Measured over the past 5 years, FR shows a small growth in Earnings Per Share. The EPS has been growing by 3.01% on average per year.
FR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.19%.
Measured over the past years, FR shows a quite strong growth in Revenue. The Revenue has been growing by 9.47% on average per year.
EPS 1Y (TTM)-6.91%
EPS 3Y1.58%
EPS 5Y3.01%
EPS Q2Q%-30.77%
Revenue 1Y (TTM)9.19%
Revenue growth 3Y12.03%
Revenue growth 5Y9.47%
Sales Q2Q%9.12%
3.2 Future
FR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.31% yearly.
The Revenue is expected to grow by 9.67% on average over the next years. This is quite good.
EPS Next Y-25.21%
EPS Next 2Y-9.03%
EPS Next 3Y-3.31%
EPS Next 5Y0.31%
Revenue Next Year7.65%
Revenue Next 2Y7.42%
Revenue Next 3Y7.83%
Revenue Next 5Y9.67%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 24.27, which indicates a rather expensive current valuation of FR.
Compared to the rest of the industry, the Price/Earnings ratio of FR indicates a somewhat cheap valuation: FR is cheaper than 75.97% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of FR to the average of the S&P500 Index (25.91), we can say FR is valued inline with the index average.
A Price/Forward Earnings ratio of 27.18 indicates a quite expensive valuation of FR.
FR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. FR is cheaper than 79.07% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.77, FR is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.27 | ||
| Fwd PE | 27.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FR is valued more expensive than 84.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 19.79 |
4.3 Compensation for Growth
The excellent profitability rating of FR may justify a higher PE ratio.
A cheap valuation may be justified as FR's earnings are expected to decrease with -3.31% in the coming years.
PEG (NY)N/A
PEG (5Y)8.08
EPS Next 2Y-9.03%
EPS Next 3Y-3.31%
5. Dividend
5.1 Amount
FR has a Yearly Dividend Yield of 3.65%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.93, FR is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.40, FR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.65% |
5.2 History
The dividend of FR is nicely growing with an annual growth rate of 9.58%!
FR has paid a dividend for at least 10 years, which is a reliable track record.
FR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)9.58%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
FR pays out 75.04% of its income as dividend. This is not a sustainable payout ratio.
The dividend of FR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP75.04%
EPS Next 2Y-9.03%
EPS Next 3Y-3.31%
49.03
+0.87 (+1.81%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.72%
Inst Owner Change-0.77%
Ins Owners0.37%
Ins Owner Change0.15%
Market Cap6.49B
Analysts77.04
Price Target56.44 (15.11%)
Short Float %2.71%
Short Ratio2.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.65% |
Yearly Dividend1.46
Dividend Growth(5Y)9.58%
DP75.04%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)18.52%
Min EPS beat(2)-6.04%
Max EPS beat(2)43.08%
EPS beat(4)3
Avg EPS beat(4)33.35%
Min EPS beat(4)-6.04%
Max EPS beat(4)90.62%
EPS beat(8)7
Avg EPS beat(8)54.26%
EPS beat(12)11
Avg EPS beat(12)88.12%
EPS beat(16)15
Avg EPS beat(16)85.89%
Revenue beat(2)0
Avg Revenue beat(2)-1.33%
Min Revenue beat(2)-2.46%
Max Revenue beat(2)-0.19%
Revenue beat(4)0
Avg Revenue beat(4)-2.45%
Min Revenue beat(4)-3.97%
Max Revenue beat(4)-0.19%
Revenue beat(8)0
Avg Revenue beat(8)-2.19%
Revenue beat(12)4
Avg Revenue beat(12)-1.12%
Revenue beat(16)4
Avg Revenue beat(16)-1.25%
PT rev (1m)-2.92%
PT rev (3m)-3.24%
EPS NQ rev (1m)4.59%
EPS NQ rev (3m)5.81%
EPS NY rev (1m)-2.03%
EPS NY rev (3m)0.27%
Revenue NQ rev (1m)0.33%
Revenue NQ rev (3m)1.07%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.27 | ||
| Fwd PE | 27.18 | ||
| P/S | 9.48 | ||
| P/FCF | N/A | ||
| P/OCF | 17.15 | ||
| P/B | 2.45 | ||
| P/tB | 2.45 | ||
| EV/EBITDA | 19.79 |
EPS(TTM)2.02
EY4.12%
EPS(NY)1.8
Fwd EY3.68%
FCF(TTM)-0.49
FCFYN/A
OCF(TTM)2.86
OCFY5.83%
SpS5.17
BVpS20.02
TBVpS20.02
PEG (NY)N/A
PEG (5Y)8.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.9% | ||
| ROE | 10.07% | ||
| ROCE | 5.38% | ||
| ROIC | 4.25% | ||
| ROICexc | 4.28% | ||
| ROICexgc | 4.28% | ||
| OM | 41.11% | ||
| PM (TTM) | 39.01% | ||
| GM | 73.1% | ||
| FCFM | N/A |
ROA(3y)6%
ROA(5y)5.93%
ROE(3y)12.03%
ROE(5y)11.74%
ROIC(3y)3.94%
ROIC(5y)3.81%
ROICexc(3y)4%
ROICexc(5y)3.89%
ROICexgc(3y)4.02%
ROICexgc(5y)3.91%
ROCE(3y)4.99%
ROCE(5y)4.82%
ROICexcg growth 3Y5.91%
ROICexcg growth 5Y2.55%
ROICexc growth 3Y5.96%
ROICexc growth 5Y2.65%
OM growth 3Y2.79%
OM growth 5Y1.77%
PM growth 3Y-8.94%
PM growth 5Y-5.16%
GM growth 3Y0.12%
GM growth 5Y0.02%
F-Score6
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.4 | ||
| Cap/Depr | 278.03% | ||
| Cap/Sales | 64.73% | ||
| Interest Coverage | 3.39 | ||
| Cash Conversion | 85.89% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 1.72 |
F-Score6
WACC7.57%
ROIC/WACC0.56
Cap/Depr(3y)369.66%
Cap/Depr(5y)388.68%
Cap/Sales(3y)92.27%
Cap/Sales(5y)102.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.91%
EPS 3Y1.58%
EPS 5Y3.01%
EPS Q2Q%-30.77%
EPS Next Y-25.21%
EPS Next 2Y-9.03%
EPS Next 3Y-3.31%
EPS Next 5Y0.31%
Revenue 1Y (TTM)9.19%
Revenue growth 3Y12.03%
Revenue growth 5Y9.47%
Sales Q2Q%9.12%
Revenue Next Year7.65%
Revenue Next 2Y7.42%
Revenue Next 3Y7.83%
Revenue Next 5Y9.67%
EBIT growth 1Y11.74%
EBIT growth 3Y15.15%
EBIT growth 5Y11.41%
EBIT Next Year90.06%
EBIT Next 3Y30.88%
EBIT Next 5Y24.19%
FCF growth 1Y79.01%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-10.15%
OCF growth 3Y9.71%
OCF growth 5Y7.5%