FIRST INDUSTRIAL REALTY TR (FR) Stock Fundamental Analysis
USA - NYSE:FR - US32054K1034 - REIT
55.65 USD
+0.14 (+0.25%)
55.65 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to FR. FR was compared to 127 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
In the past year FR was profitable.
FR had a positive operating cash flow in the past year.
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
With an excellent Return On Assets value of 4.30%, FR belongs to the best of the industry, outperforming 89.76% of the companies in the same industry.
FR's Return On Equity of 8.93% is amongst the best of the industry. FR outperforms 85.04% of its industry peers.
FR's Return On Invested Capital of 4.56% is amongst the best of the industry. FR outperforms 88.19% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FR is in line with the industry average of 3.04%.
The last Return On Invested Capital (4.56%) for FR is above the 3 year average (3.94%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 8.93% | ||
| ROIC | 4.56% |
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
Looking at the Profit Margin, with a value of 33.16%, FR belongs to the top of the industry, outperforming 86.61% of the companies in the same industry.
In the last couple of years the Profit Margin of FR has declined.
FR has a better Operating Margin (42.39%) than 87.40% of its industry peers.
FR's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 73.70%, FR is doing good in the industry, outperforming 67.72% of the companies in the same industry.
In the last couple of years the Gross Margin of FR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 42.39% | ||
| PM (TTM) | 33.16% | ||
| GM | 73.7% |
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.
FR has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, FR has more shares outstanding
FR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.90 indicates that FR is not a great score, but indicates only limited risk for bankruptcy at the moment.
FR has a Altman-Z score of 1.90. This is amongst the best in the industry. FR outperforms 93.70% of its industry peers.
A Debt/Equity ratio of 0.91 indicates that FR is somewhat dependend on debt financing.
FR's Debt to Equity ratio of 0.91 is fine compared to the rest of the industry. FR outperforms 65.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.9 |
ROIC/WACC0.62
WACC7.31%
2.3 Liquidity
FR has a Current Ratio of 0.83. This is a bad value and indicates that FR is not financially healthy enough and could expect problems in meeting its short term obligations.
FR has a Current ratio (0.83) which is comparable to the rest of the industry.
A Quick Ratio of 0.83 indicates that FR may have some problems paying its short term obligations.
FR has a Quick ratio of 0.83. This is comparable to the rest of the industry: FR outperforms 45.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
FR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.18%.
The Earnings Per Share has been growing slightly by 3.01% on average over the past years.
FR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.66%.
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)-23.18%
EPS 3Y1.58%
EPS 5Y3.01%
EPS Q2Q%-34.67%
Revenue 1Y (TTM)9.66%
Revenue growth 3Y12.03%
Revenue growth 5Y9.47%
Sales Q2Q%8.22%
3.2 Future
Based on estimates for the next years, FR will show a decrease in Earnings Per Share. The EPS will decrease by -0.35% on average per year.
Based on estimates for the next years, FR will show a quite strong growth in Revenue. The Revenue will grow by 8.64% on average per year.
EPS Next Y-24.25%
EPS Next 2Y-10.29%
EPS Next 3Y-4.17%
EPS Next 5Y-0.35%
Revenue Next Year8.7%
Revenue Next 2Y7.9%
Revenue Next 3Y7.55%
Revenue Next 5Y8.64%
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
A Price/Earnings ratio of 31.09 indicates a quite expensive valuation of FR.
FR's Price/Earnings ratio is a bit cheaper when compared to the industry. FR is cheaper than 63.78% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.57. FR is around the same levels.
With a Price/Forward Earnings ratio of 31.72, FR can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, FR is valued a bit cheaper than 74.80% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FR to the average of the S&P500 Index (23.09), we can say FR is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.09 | ||
| Fwd PE | 31.72 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FR is valued more expensive than 85.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 19.84 |
4.3 Compensation for Growth
The excellent profitability rating of FR may justify a higher PE ratio.
FR's earnings are expected to decrease with -4.17% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)10.34
EPS Next 2Y-10.29%
EPS Next 3Y-4.17%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.21%, FR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.21, FR is paying slightly less dividend.
FR's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.21% |
5.2 History
On average, the dividend of FR grows each year by 9.58%, which is quite nice.
FR has been paying a dividend for at least 10 years, so it has 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
93.28% of the earnings are spent on dividend by FR. This is not a sustainable payout ratio.
FR's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP93.28%
EPS Next 2Y-10.29%
EPS Next 3Y-4.17%
55.65
+0.14 (+0.25%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners101.24%
Inst Owner Change-0.03%
Ins Owners0.36%
Ins Owner Change0.18%
Market Cap7.37B
Revenue(TTM)714.25M
Net Income(TTM)236.85M
Analysts77.04
Price Target57.27 (2.91%)
Short Float %2.44%
Short Ratio3.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.21% |
Yearly Dividend1.46
Dividend Growth(5Y)9.58%
DP93.28%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.95%
Min EPS beat(2)5.91%
Max EPS beat(2)21.98%
EPS beat(4)3
Avg EPS beat(4)16.23%
Min EPS beat(4)-6.04%
Max EPS beat(4)43.08%
EPS beat(8)7
Avg EPS beat(8)42.3%
EPS beat(12)11
Avg EPS beat(12)53.16%
EPS beat(16)15
Avg EPS beat(16)82.15%
Revenue beat(2)0
Avg Revenue beat(2)-2.28%
Min Revenue beat(2)-3.23%
Max Revenue beat(2)-1.33%
Revenue beat(4)0
Avg Revenue beat(4)-1.8%
Min Revenue beat(4)-3.23%
Max Revenue beat(4)-0.19%
Revenue beat(8)0
Avg Revenue beat(8)-2.42%
Revenue beat(12)2
Avg Revenue beat(12)-1.74%
Revenue beat(16)4
Avg Revenue beat(16)-1.41%
PT rev (1m)0%
PT rev (3m)1.81%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.5%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.02%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)1%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.09 | ||
| Fwd PE | 31.72 | ||
| P/S | 10.32 | ||
| P/FCF | N/A | ||
| P/OCF | 17.71 | ||
| P/B | 2.78 | ||
| P/tB | 2.78 | ||
| EV/EBITDA | 19.84 |
EPS(TTM)1.79
EY3.22%
EPS(NY)1.75
Fwd EY3.15%
FCF(TTM)-0.4
FCFYN/A
OCF(TTM)3.14
OCFY5.65%
SpS5.39
BVpS20.02
TBVpS20.02
PEG (NY)N/A
PEG (5Y)10.34
Graham Number28.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 8.93% | ||
| ROCE | 5.77% | ||
| ROIC | 4.56% | ||
| ROICexc | 4.59% | ||
| ROICexgc | 4.59% | ||
| OM | 42.39% | ||
| PM (TTM) | 33.16% | ||
| GM | 73.7% | ||
| 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%
ROICexgc growth 3Y5.91%
ROICexgc 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 | 0.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.89 | ||
| Cap/Depr | 249.22% | ||
| Cap/Sales | 65.66% | ||
| Interest Coverage | 3.52 | ||
| Cash Conversion | 84.73% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 1.9 |
F-Score6
WACC7.31%
ROIC/WACC0.62
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)-23.18%
EPS 3Y1.58%
EPS 5Y3.01%
EPS Q2Q%-34.67%
EPS Next Y-24.25%
EPS Next 2Y-10.29%
EPS Next 3Y-4.17%
EPS Next 5Y-0.35%
Revenue 1Y (TTM)9.66%
Revenue growth 3Y12.03%
Revenue growth 5Y9.47%
Sales Q2Q%8.22%
Revenue Next Year8.7%
Revenue Next 2Y7.9%
Revenue Next 3Y7.55%
Revenue Next 5Y8.64%
EBIT growth 1Y14.27%
EBIT growth 3Y15.15%
EBIT growth 5Y11.41%
EBIT Next Year93.41%
EBIT Next 3Y31.11%
EBIT Next 5Y25%
FCF growth 1Y77.93%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y36.26%
OCF growth 3Y9.71%
OCF growth 5Y7.5%