OUTFRONT MEDIA INC (OUT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OUT - US69007J3041 - REIT
23.92 USD
-0.42 (-1.73%)
23.92 USD
0 (0%)
Taking everything into account, OUT scores 4 out of 10 in our fundamental rating. OUT was compared to 30 industry peers in the Specialized REITs industry. OUT has a medium profitability rating, but doesn't score so well on its financial health evaluation. OUT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
OUT had positive earnings in the past year.
OUT had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: OUT reported negative net income in multiple years.
In the past 5 years OUT always reported a positive cash flow from operatings.
1.2 Ratios
OUT has a Return On Assets of 2.21%. This is comparable to the rest of the industry: OUT outperforms 50.00% of its industry peers.
The Return On Equity of OUT (17.42%) is better than 86.67% of its industry peers.
With a decent Return On Invested Capital value of 4.82%, OUT is doing good in the industry, outperforming 63.33% of the companies in the same industry.
OUT had an Average Return On Invested Capital over the past 3 years of 4.34%. This is in line with the industry average of 4.78%.
The last Return On Invested Capital (4.82%) for OUT is above the 3 year average (4.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.21% | ||
| ROE | 17.42% | ||
| ROIC | 4.82% |
ROA(3y)-0.27%
ROA(5y)-0.41%
ROE(3y)-5.86%
ROE(5y)-4.6%
ROIC(3y)4.34%
ROIC(5y)3.27%
1.3 Margins
OUT has a Profit Margin (6.37%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of OUT has grown nicely.
OUT's Operating Margin of 15.81% is on the low side compared to the rest of the industry. OUT is outperformed by 76.67% of its industry peers.
OUT's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 74.02%, OUT perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
OUT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.81% | ||
| PM (TTM) | 6.37% | ||
| GM | 74.02% |
OM growth 3Y10.75%
OM growth 5Y-2.09%
PM growth 3Y198.47%
PM growth 5Y11.93%
GM growth 3Y0.26%
GM growth 5Y1.52%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), OUT is destroying value.
OUT has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, OUT has more shares outstanding
Compared to 1 year ago, OUT has an improved debt to assets ratio.
2.2 Solvency
OUT has an Altman-Z score of 0.52. This is a bad value and indicates that OUT is not financially healthy and even has some risk of bankruptcy.
OUT has a Altman-Z score of 0.52. This is in the lower half of the industry: OUT underperforms 73.33% of its industry peers.
OUT has a debt to FCF ratio of 12.12. This is a negative value and a sign of low solvency as OUT would need 12.12 years to pay back of all of its debts.
OUT has a better Debt to FCF ratio (12.12) than 63.33% of its industry peers.
A Debt/Equity ratio of 3.90 is on the high side and indicates that OUT has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 3.90, OUT is doing worse than 76.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.9 | ||
| Debt/FCF | 12.12 | ||
| Altman-Z | 0.52 |
ROIC/WACC0.62
WACC7.8%
2.3 Liquidity
OUT has a Current Ratio of 0.79. This is a bad value and indicates that OUT is not financially healthy enough and could expect problems in meeting its short term obligations.
OUT has a Current ratio (0.79) which is comparable to the rest of the industry.
OUT has a Quick Ratio of 0.79. This is a bad value and indicates that OUT is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.79, OUT is in line with its industry, outperforming 56.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
OUT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.61%, which is quite impressive.
OUT shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.35% yearly.
Looking at the last year, OUT shows a decrease in Revenue. The Revenue has decreased by -1.48% in the last year.
Measured over the past years, OUT shows a small growth in Revenue. The Revenue has been growing by 0.54% on average per year.
EPS 1Y (TTM)27.61%
EPS 3Y211.13%
EPS 5Y-10.35%
EPS Q2Q%33.69%
Revenue 1Y (TTM)-1.48%
Revenue growth 3Y7.74%
Revenue growth 5Y0.54%
Sales Q2Q%3.45%
3.2 Future
Based on estimates for the next years, OUT will show a very strong growth in Earnings Per Share. The EPS will grow by 25.76% on average per year.
The Revenue is expected to grow by 2.58% on average over the next years.
EPS Next Y56.17%
EPS Next 2Y38.98%
EPS Next 3Y25.76%
EPS Next 5YN/A
Revenue Next Year-0.05%
Revenue Next 2Y1.9%
Revenue Next 3Y2.23%
Revenue Next 5Y2.58%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 29.53, which means the current valuation is very expensive for OUT.
OUT's Price/Earnings ratio is in line with the industry average.
OUT is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.50, which is the current average of the S&P500 Index.
OUT is valuated rather expensively with a Price/Forward Earnings ratio of 20.16.
OUT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. OUT is cheaper than 80.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.93. OUT is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.53 | ||
| Fwd PE | 20.16 |
4.2 Price Multiples
80.00% of the companies in the same industry are more expensive than OUT, based on the Enterprise Value to EBITDA ratio.
OUT's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. OUT is cheaper than 70.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.77 | ||
| EV/EBITDA | 14.62 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
OUT has a very decent profitability rating, which may justify a higher PE ratio.
OUT's earnings are expected to grow with 25.76% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.53
PEG (5Y)N/A
EPS Next 2Y38.98%
EPS Next 3Y25.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.94%, OUT is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.78, OUT has a dividend in line with its industry peers.
OUT's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.94% |
5.2 History
The dividend of OUT decreases each year by -3.24%.
OUT has paid a dividend for at least 10 years, which is a reliable track record.
OUT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-3.24%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
OUT pays out 181.72% of its income as dividend. This is not a sustainable payout ratio.
DP181.72%
EPS Next 2Y38.98%
EPS Next 3Y25.76%
23.92
-0.42 (-1.73%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners108.24%
Inst Owner Change1.82%
Ins Owners1.99%
Ins Owner Change-1.35%
Market Cap4.00B
Revenue(TTM)1.81B
Net Income(TTM)115.40M
Analysts80
Price Target23.46 (-1.92%)
Short Float %6.28%
Short Ratio5.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.94% |
Yearly Dividend1.27
Dividend Growth(5Y)-3.24%
DP181.72%
Div Incr Years1
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.33%
Min EPS beat(2)1.2%
Max EPS beat(2)19.45%
EPS beat(4)3
Avg EPS beat(4)-7.45%
Min EPS beat(4)-52.23%
Max EPS beat(4)19.45%
EPS beat(8)5
Avg EPS beat(8)-9.16%
EPS beat(12)5
Avg EPS beat(12)-16.27%
EPS beat(16)8
Avg EPS beat(16)-4.64%
Revenue beat(2)1
Avg Revenue beat(2)-0.12%
Min Revenue beat(2)-1.23%
Max Revenue beat(2)0.99%
Revenue beat(4)1
Avg Revenue beat(4)-0.73%
Min Revenue beat(4)-2.32%
Max Revenue beat(4)0.99%
Revenue beat(8)2
Avg Revenue beat(8)-1.1%
Revenue beat(12)3
Avg Revenue beat(12)-1%
Revenue beat(16)5
Avg Revenue beat(16)-0.52%
PT rev (1m)0%
PT rev (3m)16.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.4%
EPS NY rev (1m)9.83%
EPS NY rev (3m)14%
Revenue NQ rev (1m)0.51%
Revenue NQ rev (3m)2.22%
Revenue NY rev (1m)1.1%
Revenue NY rev (3m)0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.53 | ||
| Fwd PE | 20.16 | ||
| P/S | 2.21 | ||
| P/FCF | 18.77 | ||
| P/OCF | 12.74 | ||
| P/B | 6.04 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.62 |
EPS(TTM)0.81
EY3.39%
EPS(NY)1.19
Fwd EY4.96%
FCF(TTM)1.27
FCFY5.33%
OCF(TTM)1.88
OCFY7.85%
SpS10.83
BVpS3.96
TBVpS-11.76
PEG (NY)0.53
PEG (5Y)N/A
Graham Number8.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.21% | ||
| ROE | 17.42% | ||
| ROCE | 6.1% | ||
| ROIC | 4.82% | ||
| ROICexc | 4.88% | ||
| ROICexgc | 11.27% | ||
| OM | 15.81% | ||
| PM (TTM) | 6.37% | ||
| GM | 74.02% | ||
| FCFM | 11.76% |
ROA(3y)-0.27%
ROA(5y)-0.41%
ROE(3y)-5.86%
ROE(5y)-4.6%
ROIC(3y)4.34%
ROIC(5y)3.27%
ROICexc(3y)4.37%
ROICexc(5y)3.36%
ROICexgc(3y)9.75%
ROICexgc(5y)7.47%
ROCE(3y)5.52%
ROCE(5y)4.17%
ROICexgc growth 3Y25.02%
ROICexgc growth 5Y0.65%
ROICexc growth 3Y22.11%
ROICexc growth 5Y-0.68%
OM growth 3Y10.75%
OM growth 5Y-2.09%
PM growth 3Y198.47%
PM growth 5Y11.93%
GM growth 3Y0.26%
GM growth 5Y1.52%
F-Score4
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.9 | ||
| Debt/FCF | 12.12 | ||
| Debt/EBITDA | 5.73 | ||
| Cap/Depr | 61.49% | ||
| Cap/Sales | 5.57% | ||
| Interest Coverage | 2.04 | ||
| Cash Conversion | 69.68% | ||
| Profit Quality | 184.66% | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 0.52 |
F-Score4
WACC7.8%
ROIC/WACC0.62
Cap/Depr(3y)144.64%
Cap/Depr(5y)125.53%
Cap/Sales(3y)12.33%
Cap/Sales(5y)11.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)27.61%
EPS 3Y211.13%
EPS 5Y-10.35%
EPS Q2Q%33.69%
EPS Next Y56.17%
EPS Next 2Y38.98%
EPS Next 3Y25.76%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.48%
Revenue growth 3Y7.74%
Revenue growth 5Y0.54%
Sales Q2Q%3.45%
Revenue Next Year-0.05%
Revenue Next 2Y1.9%
Revenue Next 3Y2.23%
Revenue Next 5Y2.58%
EBIT growth 1Y0%
EBIT growth 3Y19.32%
EBIT growth 5Y-1.56%
EBIT Next Year18.28%
EBIT Next 3Y10.29%
EBIT Next 5Y7.98%
FCF growth 1Y491.94%
FCF growth 3YN/A
FCF growth 5Y11.44%
OCF growth 1Y37.42%
OCF growth 3Y44.68%
OCF growth 5Y1.56%
OUTFRONT MEDIA INC / OUT FAQ
What is the fundamental rating for OUT stock?
ChartMill assigns a fundamental rating of 4 / 10 to OUT.
What is the valuation status for OUT stock?
ChartMill assigns a valuation rating of 5 / 10 to OUTFRONT MEDIA INC (OUT). This can be considered as Fairly Valued.
How profitable is OUTFRONT MEDIA INC (OUT) stock?
OUTFRONT MEDIA INC (OUT) has a profitability rating of 6 / 10.
What is the valuation of OUTFRONT MEDIA INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for OUTFRONT MEDIA INC (OUT) is 29.53 and the Price/Book (PB) ratio is 6.04.
Is the dividend of OUTFRONT MEDIA INC sustainable?
The dividend rating of OUTFRONT MEDIA INC (OUT) is 5 / 10 and the dividend payout ratio is 181.72%.