Paramount Group Inc (PGRE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PGRE - US69924R1086 - REIT
6.6 USD
+0.01 (+0.15%)
6.6 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to PGRE. PGRE was compared to 128 industry peers in the Diversified REITs industry. The financial health of PGRE is average, but there are quite some concerns on its profitability. PGRE does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
PGRE had negative earnings in the past year.
PGRE had a positive operating cash flow in the past year.
PGRE had negative earnings in each of the past 5 years.
Each year in the past 5 years PGRE had a positive operating cash flow.
1.2 Ratios
PGRE has a Return On Assets of -1.22%. This is in the lower half of the industry: PGRE underperforms 69.53% of its industry peers.
With a Return On Equity value of -3.22%, PGRE is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
PGRE has a worse Return On Invested Capital (1.07%) than 82.03% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PGRE is in line with the industry average of 3.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.22% | ||
| ROE | -3.22% | ||
| ROIC | 1.07% |
ROA(3y)-1.42%
ROA(5y)-0.96%
ROE(3y)-3.53%
ROE(5y)-2.37%
ROIC(3y)1.5%
ROIC(5y)1.5%
1.3 Margins
With a Operating Margin value of 14.67%, PGRE is not doing good in the industry: 67.19% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of PGRE has declined.
The Gross Margin of PGRE (57.23%) is worse than 70.31% of its industry peers.
In the last couple of years the Gross Margin of PGRE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.67% | ||
| PM (TTM) | N/A | ||
| GM | 57.23% |
OM growth 3Y-5.7%
OM growth 5Y-3.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.88%
GM growth 5Y-1.42%
2. Health
2.1 Basic Checks
PGRE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PGRE has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for PGRE has been reduced compared to 5 years ago.
Compared to 1 year ago, PGRE has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.16, we must say that PGRE is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.16, PGRE is doing worse than 67.19% of the companies in the same industry.
The Debt to FCF ratio of PGRE is 164.01, which is on the high side as it means it would take PGRE, 164.01 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 164.01, PGRE is doing good in the industry, outperforming 61.72% of the companies in the same industry.
A Debt/Equity ratio of 1.23 is on the high side and indicates that PGRE has dependencies on debt financing.
PGRE has a Debt to Equity ratio (1.23) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 164.02 | ||
| Altman-Z | 0.16 |
ROIC/WACC0.17
WACC6.48%
2.3 Liquidity
PGRE has a Current Ratio of 2.57. This indicates that PGRE is financially healthy and has no problem in meeting its short term obligations.
PGRE's Current ratio of 2.57 is amongst the best of the industry. PGRE outperforms 88.28% of its industry peers.
A Quick Ratio of 2.57 indicates that PGRE has no problem at all paying its short term obligations.
The Quick ratio of PGRE (2.57) is better than 88.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.57 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 54.08% over the past year.
Looking at the last year, PGRE shows a decrease in Revenue. The Revenue has decreased by -5.29% in the last year.
The Revenue has been growing slightly by 0.36% on average over the past years.
EPS 1Y (TTM)54.08%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-225%
Revenue 1Y (TTM)-5.29%
Revenue growth 3Y1.39%
Revenue growth 5Y0.36%
Sales Q2Q%-11.26%
3.2 Future
Based on estimates for the next years, PGRE will show a very negative growth in Earnings Per Share. The EPS will decrease by -32.60% on average per year.
The Revenue is expected to decrease by -3.52% on average over the next years.
EPS Next Y-11.71%
EPS Next 2Y-47.84%
EPS Next 3Y-32.6%
EPS Next 5YN/A
Revenue Next Year-5.28%
Revenue Next 2Y-2.15%
Revenue Next 3Y-3.52%
Revenue Next 5YN/A
3.3 Evolution
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
The Price/Earnings Ratio is negative for PGRE. In the last year negative earnings were reported.
Also next year PGRE is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
PGRE's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PGRE indicates a somewhat cheap valuation: PGRE is cheaper than 62.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.73 | ||
| EV/EBITDA | 14.28 |
4.3 Compensation for Growth
A cheap valuation may be justified as PGRE's earnings are expected to decrease with -32.60% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-47.84%
EPS Next 3Y-32.6%
5. Dividend
5.1 Amount
PGRE has a Yearly Dividend Yield of 3.14%.
PGRE's Dividend Yield is slightly below the industry average, which is at 6.33.
Compared to an average S&P500 Dividend Yield of 1.87, PGRE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.14% |
5.2 History
The dividend of PGRE decreases each year by -23.74%.
PGRE has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-23.74%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The Dividend Rate of PGRE has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP0%
EPS Next 2Y-47.84%
EPS Next 3Y-32.6%
6.6
+0.01 (+0.15%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners71.21%
Inst Owner Change-3.81%
Ins Owners15.53%
Ins Owner Change0%
Market Cap1.46B
Revenue(TTM)723.29M
Net Income(TTM)-97.40M
Analysts73.33
Price TargetN/A
Short Float %3.05%
Short Ratio2.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.14% |
Yearly Dividend0.12
Dividend Growth(5Y)-23.74%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-34.8%
Min EPS beat(2)-59.31%
Max EPS beat(2)-10.29%
EPS beat(4)0
Avg EPS beat(4)-138.97%
Min EPS beat(4)-341.18%
Max EPS beat(4)-10.29%
EPS beat(8)2
Avg EPS beat(8)-327.93%
EPS beat(12)5
Avg EPS beat(12)-247.75%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-1.76%
Min Revenue beat(2)-3.28%
Max Revenue beat(2)-0.23%
Revenue beat(4)1
Avg Revenue beat(4)-1.08%
Min Revenue beat(4)-3.28%
Max Revenue beat(4)1.47%
Revenue beat(8)5
Avg Revenue beat(8)1.32%
Revenue beat(12)7
Avg Revenue beat(12)0.31%
Revenue beat(16)8
Avg Revenue beat(16)0.13%
PT rev (1m)0%
PT rev (3m)8.86%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.27%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 2.03 | ||
| P/FCF | 64.73 | ||
| P/OCF | 8.55 | ||
| P/B | 0.48 | ||
| P/tB | 0.49 | ||
| EV/EBITDA | 14.28 |
EPS(TTM)-0.45
EYN/A
EPS(NY)-0.46
Fwd EYN/A
FCF(TTM)0.1
FCFY1.54%
OCF(TTM)0.77
OCFY11.7%
SpS3.26
BVpS13.63
TBVpS13.44
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.22% | ||
| ROE | -3.22% | ||
| ROCE | 1.35% | ||
| ROIC | 1.07% | ||
| ROICexc | 1.12% | ||
| ROICexgc | 1.13% | ||
| OM | 14.67% | ||
| PM (TTM) | N/A | ||
| GM | 57.23% | ||
| FCFM | 3.13% |
ROA(3y)-1.42%
ROA(5y)-0.96%
ROE(3y)-3.53%
ROE(5y)-2.37%
ROIC(3y)1.5%
ROIC(5y)1.5%
ROICexc(3y)1.58%
ROICexc(5y)1.58%
ROICexgc(3y)1.61%
ROICexgc(5y)1.61%
ROCE(3y)1.9%
ROCE(5y)1.89%
ROICexgc growth 3Y-2.68%
ROICexgc growth 5Y-0.82%
ROICexc growth 3Y-2.45%
ROICexc growth 5Y-0.45%
OM growth 3Y-5.7%
OM growth 5Y-3.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.88%
GM growth 5Y-1.42%
F-Score5
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 164.02 | ||
| Debt/EBITDA | 10.93 | ||
| Cap/Depr | 63.76% | ||
| Cap/Sales | 20.57% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 50.5% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.57 | ||
| Altman-Z | 0.16 |
F-Score5
WACC6.48%
ROIC/WACC0.17
Cap/Depr(3y)48.92%
Cap/Depr(5y)46.58%
Cap/Sales(3y)15.71%
Cap/Sales(5y)15.02%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)54.08%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-225%
EPS Next Y-11.71%
EPS Next 2Y-47.84%
EPS Next 3Y-32.6%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.29%
Revenue growth 3Y1.39%
Revenue growth 5Y0.36%
Sales Q2Q%-11.26%
Revenue Next Year-5.28%
Revenue Next 2Y-2.15%
Revenue Next 3Y-3.52%
Revenue Next 5YN/A
EBIT growth 1Y-25.77%
EBIT growth 3Y-4.39%
EBIT growth 5Y-2.74%
EBIT Next Year137.95%
EBIT Next 3Y20.72%
EBIT Next 5YN/A
FCF growth 1Y-80.89%
FCF growth 3Y3.52%
FCF growth 5Y-4.16%
OCF growth 1Y-30.83%
OCF growth 3Y2.74%
OCF growth 5Y-1.48%
Paramount Group Inc / PGRE FAQ
What is the fundamental rating for PGRE stock?
ChartMill assigns a fundamental rating of 3 / 10 to PGRE.
What is the valuation status for PGRE stock?
ChartMill assigns a valuation rating of 1 / 10 to Paramount Group Inc (PGRE). This can be considered as Overvalued.
Can you provide the profitability details for Paramount Group Inc?
Paramount Group Inc (PGRE) has a profitability rating of 2 / 10.
How sustainable is the dividend of Paramount Group Inc (PGRE) stock?
The dividend rating of Paramount Group Inc (PGRE) is 3 / 10 and the dividend payout ratio is 0%.