INNOVATIVE INDUSTRIAL PROPER (IIPR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IIPR - US45781V1017 - REIT
49.45 USD
-0.06 (-0.12%)
50 USD
+0.55 (+1.11%)
Taking everything into account, IIPR scores 6 out of 10 in our fundamental rating. IIPR was compared to 128 industry peers in the Diversified REITs industry. While IIPR has a great profitability rating, there are some minor concerns on its financial health. IIPR has a bad growth rate and is valued cheaply. These ratings would make IIPR suitable for value investing!
1. Profitability
1.1 Basic Checks
IIPR had positive earnings in the past year.
IIPR had a positive operating cash flow in the past year.
Each year in the past 5 years IIPR has been profitable.
Each year in the past 5 years IIPR had a positive operating cash flow.
1.2 Ratios
The Return On Assets of IIPR (5.15%) is better than 95.31% of its industry peers.
The Return On Equity of IIPR (6.46%) is better than 76.56% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.98%, IIPR belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
IIPR had an Average Return On Invested Capital over the past 3 years of 6.00%. This is above the industry average of 3.06%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.15% | ||
| ROE | 6.46% | ||
| ROIC | 4.98% |
ROA(3y)6.58%
ROA(5y)5.75%
ROE(3y)8.08%
ROE(5y)7.08%
ROIC(3y)6%
ROIC(5y)5.36%
1.3 Margins
With an excellent Profit Margin value of 43.61%, IIPR belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
IIPR's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 50.54%, IIPR belongs to the top of the industry, outperforming 91.41% of the companies in the same industry.
IIPR's Operating Margin has been stable in the last couple of years.
The Gross Margin of IIPR (89.20%) is better than 91.41% of its industry peers.
In the last couple of years the Gross Margin of IIPR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 50.54% | ||
| PM (TTM) | 43.61% | ||
| GM | 89.2% |
OM growth 3Y-5.45%
OM growth 5Y0.08%
PM growth 3Y-2.31%
PM growth 5Y1.02%
GM growth 3Y-2.46%
GM growth 5Y-1.34%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so IIPR is destroying value.
The number of shares outstanding for IIPR has been increased compared to 1 year ago.
IIPR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, IIPR has an improved debt to assets ratio.
2.2 Solvency
IIPR has an Altman-Z score of 1.85. This is not the best score and indicates that IIPR is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of IIPR (1.85) is better than 92.19% of its industry peers.
The Debt to FCF ratio of IIPR is 2.21, which is a good value as it means it would take IIPR, 2.21 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 2.21, IIPR belongs to the best of the industry, outperforming 99.22% of the companies in the same industry.
A Debt/Equity ratio of 0.18 indicates that IIPR is not too dependend on debt financing.
IIPR has a Debt to Equity ratio of 0.18. This is amongst the best in the industry. IIPR outperforms 99.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.21 | ||
| Altman-Z | 1.85 |
ROIC/WACC0.63
WACC7.86%
2.3 Liquidity
A Current Ratio of 0.29 indicates that IIPR may have some problems paying its short term obligations.
IIPR has a worse Current ratio (0.29) than 87.50% of its industry peers.
A Quick Ratio of 0.29 indicates that IIPR may have some problems paying its short term obligations.
IIPR has a worse Quick ratio (0.29) than 86.72% of its industry peers.
IIPR does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.29 | ||
| Quick Ratio | 0.29 |
3. Growth
3.1 Past
The earnings per share for IIPR have decreased strongly by -20.83% in the last year.
The Earnings Per Share has been growing by 22.61% on average over the past years. This is a very strong growth
Looking at the last year, IIPR shows a very negative growth in Revenue. The Revenue has decreased by -11.22% in the last year.
Measured over the past years, IIPR shows a very strong growth in Revenue. The Revenue has been growing by 47.16% on average per year.
EPS 1Y (TTM)-20.83%
EPS 3Y5.99%
EPS 5Y22.61%
EPS Q2Q%-29.2%
Revenue 1Y (TTM)-11.22%
Revenue growth 3Y14.67%
Revenue growth 5Y47.16%
Sales Q2Q%-15.47%
3.2 Future
IIPR is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -14.96% yearly.
The Revenue is expected to decrease by -4.86% on average over the next years.
EPS Next Y-30.5%
EPS Next 2Y-14.96%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-14.18%
Revenue Next 2Y-7.4%
Revenue Next 3Y-4.86%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.32, the valuation of IIPR can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of IIPR indicates a rather cheap valuation: IIPR is cheaper than 94.53% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.31, IIPR is valued rather cheaply.
IIPR is valuated correctly with a Price/Forward Earnings ratio of 12.59.
97.66% of the companies in the same industry are more expensive than IIPR, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 36.59. IIPR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.32 | ||
| Fwd PE | 12.59 |
4.2 Price Multiples
94.53% of the companies in the same industry are more expensive than IIPR, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IIPR indicates a rather cheap valuation: IIPR is cheaper than 92.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.99 | ||
| EV/EBITDA | 7.93 |
4.3 Compensation for Growth
IIPR has an outstanding profitability rating, which may justify a higher PE ratio.
IIPR's earnings are expected to decrease with -14.96% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.5
EPS Next 2Y-14.96%
EPS Next 3YN/A
5. Dividend
5.1 Amount
IIPR has a Yearly Dividend Yield of 17.05%, which is a nice return.
Compared to an average industry Dividend Yield of 6.59, IIPR pays a better dividend. On top of this IIPR pays more dividend than 99.22% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, IIPR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.05% |
5.2 History
The dividend of IIPR is nicely growing with an annual growth rate of 28.79%!
IIPR has been paying a dividend for over 5 years, so it has already some track record.
As IIPR did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)28.79%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
182.38% of the earnings are spent on dividend by IIPR. This is not a sustainable payout ratio.
IIPR's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP182.38%
EPS Next 2Y-14.96%
EPS Next 3YN/A
49.45
-0.06 (-0.12%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners71.39%
Inst Owner Change-2.13%
Ins Owners1.54%
Ins Owner Change1.61%
Market Cap1.39B
Revenue(TTM)276.04M
Net Income(TTM)120.38M
Analysts47.27
Price Target58.4 (18.1%)
Short Float %8.06%
Short Ratio7.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.05% |
Yearly Dividend7.56
Dividend Growth(5Y)28.79%
DP182.38%
Div Incr Years7
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-7.36%
Min EPS beat(2)-22.17%
Max EPS beat(2)7.46%
EPS beat(4)1
Avg EPS beat(4)-4.78%
Min EPS beat(4)-22.17%
Max EPS beat(4)7.46%
EPS beat(8)3
Avg EPS beat(8)-3.92%
EPS beat(12)7
Avg EPS beat(12)-0.96%
EPS beat(16)8
Avg EPS beat(16)-1.56%
Revenue beat(2)0
Avg Revenue beat(2)-2.61%
Min Revenue beat(2)-3.46%
Max Revenue beat(2)-1.76%
Revenue beat(4)0
Avg Revenue beat(4)-2.08%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)-1.51%
Revenue beat(8)2
Avg Revenue beat(8)-1.9%
Revenue beat(12)5
Avg Revenue beat(12)-0.72%
Revenue beat(16)8
Avg Revenue beat(16)-0.49%
PT rev (1m)0.44%
PT rev (3m)-1.72%
EPS NQ rev (1m)5.49%
EPS NQ rev (3m)-8.86%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.15%
Revenue NQ rev (1m)1.36%
Revenue NQ rev (3m)-0.96%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.32 | ||
| Fwd PE | 12.59 | ||
| P/S | 5.02 | ||
| P/FCF | 8.99 | ||
| P/OCF | 6.72 | ||
| P/B | 0.74 | ||
| P/tB | 0.75 | ||
| EV/EBITDA | 7.93 |
EPS(TTM)4.37
EY8.84%
EPS(NY)3.93
Fwd EY7.94%
FCF(TTM)5.5
FCFY11.13%
OCF(TTM)7.36
OCFY14.87%
SpS9.85
BVpS66.5
TBVpS66.24
PEG (NY)N/A
PEG (5Y)0.5
Graham Number80.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.15% | ||
| ROE | 6.46% | ||
| ROCE | 6.31% | ||
| ROIC | 4.98% | ||
| ROICexc | 5.07% | ||
| ROICexgc | 5.15% | ||
| OM | 50.54% | ||
| PM (TTM) | 43.61% | ||
| GM | 89.2% | ||
| FCFM | 55.85% |
ROA(3y)6.58%
ROA(5y)5.75%
ROE(3y)8.08%
ROE(5y)7.08%
ROIC(3y)6%
ROIC(5y)5.36%
ROICexc(3y)6.35%
ROICexc(5y)5.68%
ROICexgc(3y)6.4%
ROICexgc(5y)5.72%
ROCE(3y)7.59%
ROCE(5y)6.79%
ROICexgc growth 3Y4.5%
ROICexgc growth 5Y15.06%
ROICexc growth 3Y4.1%
ROICexc growth 5Y14.68%
OM growth 3Y-5.45%
OM growth 5Y0.08%
PM growth 3Y-2.31%
PM growth 5Y1.02%
GM growth 3Y-2.46%
GM growth 5Y-1.34%
F-Score4
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 2.21 | ||
| Debt/EBITDA | 1.6 | ||
| Cap/Depr | 70.37% | ||
| Cap/Sales | 18.81% | ||
| Interest Coverage | 8.58 | ||
| Cash Conversion | 96.63% | ||
| Profit Quality | 128.08% | ||
| Current Ratio | 0.29 | ||
| Quick Ratio | 0.29 | ||
| Altman-Z | 1.85 |
F-Score4
WACC7.86%
ROIC/WACC0.63
Cap/Depr(3y)415.19%
Cap/Depr(5y)944.48%
Cap/Sales(3y)91.95%
Cap/Sales(5y)210.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-20.83%
EPS 3Y5.99%
EPS 5Y22.61%
EPS Q2Q%-29.2%
EPS Next Y-30.5%
EPS Next 2Y-14.96%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-11.22%
Revenue growth 3Y14.67%
Revenue growth 5Y47.16%
Sales Q2Q%-15.47%
Revenue Next Year-14.18%
Revenue Next 2Y-7.4%
Revenue Next 3Y-4.86%
Revenue Next 5YN/A
EBIT growth 1Y-19.95%
EBIT growth 3Y8.42%
EBIT growth 5Y47.29%
EBIT Next Year18.56%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y570.32%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-15.81%
OCF growth 3Y11.05%
OCF growth 5Y41.91%
INNOVATIVE INDUSTRIAL PROPER / IIPR FAQ
What is the ChartMill fundamental rating of INNOVATIVE INDUSTRIAL PROPER (IIPR) stock?
ChartMill assigns a fundamental rating of 6 / 10 to IIPR.
Can you provide the valuation status for INNOVATIVE INDUSTRIAL PROPER?
ChartMill assigns a valuation rating of 7 / 10 to INNOVATIVE INDUSTRIAL PROPER (IIPR). This can be considered as Undervalued.
What is the profitability of IIPR stock?
INNOVATIVE INDUSTRIAL PROPER (IIPR) has a profitability rating of 8 / 10.
How financially healthy is INNOVATIVE INDUSTRIAL PROPER?
The financial health rating of INNOVATIVE INDUSTRIAL PROPER (IIPR) is 6 / 10.
How sustainable is the dividend of INNOVATIVE INDUSTRIAL PROPER (IIPR) stock?
The dividend rating of INNOVATIVE INDUSTRIAL PROPER (IIPR) is 6 / 10 and the dividend payout ratio is 182.38%.