RETAIL ESTATES (RET.BR) Stock Fundamental Analysis
Europe - EBR:RET - BE0003720340 - REIT
62.4 EUR
+0.5 (+0.81%)
Taking everything into account, RET scores 5 out of 10 in our fundamental rating. RET was compared to 42 industry peers in the Diversified REITs industry. While RET has a great profitability rating, there are quite some concerns on its financial health. RET is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RET had positive earnings in the past year.
In the past year RET had a positive cash flow from operations.
In the past 5 years RET has always been profitable.
RET had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of RET (4.94%) is better than 88.10% of its industry peers.
With an excellent Return On Equity value of 8.74%, RET belongs to the best of the industry, outperforming 90.48% of the companies in the same industry.
RET has a better Return On Invested Capital (4.16%) than 71.43% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RET is in line with the industry average of 3.40%.
The 3 year average ROIC (3.97%) for RET is below the current ROIC(4.16%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.94% | ||
| ROE | 8.74% | ||
| ROIC | 4.16% |
ROA(3y)6.59%
ROA(5y)6.11%
ROE(3y)11.91%
ROE(5y)11.53%
ROIC(3y)3.97%
ROIC(5y)3.97%
1.3 Margins
Looking at the Profit Margin, with a value of 67.13%, RET is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
In the last couple of years the Profit Margin of RET has grown nicely.
Looking at the Operating Margin, with a value of 73.30%, RET is in the better half of the industry, outperforming 61.90% of the companies in the same industry.
RET's Operating Margin has been stable in the last couple of years.
RET has a Gross Margin of 78.89%. This is in the better half of the industry: RET outperforms 66.67% of its industry peers.
In the last couple of years the Gross Margin of RET has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 73.3% | ||
| PM (TTM) | 67.13% | ||
| GM | 78.89% |
OM growth 3Y-0.81%
OM growth 5Y-0.79%
PM growth 3Y-13.36%
PM growth 5Y6.76%
GM growth 3Y-0.84%
GM growth 5Y-0.65%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RET is destroying value.
The number of shares outstanding for RET has been increased compared to 1 year ago.
RET has more shares outstanding than it did 5 years ago.
The debt/assets ratio for RET has been reduced compared to a year ago.
2.2 Solvency
RET has an Altman-Z score of 1.12. This is a bad value and indicates that RET is not financially healthy and even has some risk of bankruptcy.
RET's Altman-Z score of 1.12 is fine compared to the rest of the industry. RET outperforms 73.81% of its industry peers.
The Debt to FCF ratio of RET is 9.44, which is on the high side as it means it would take RET, 9.44 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 9.44, RET belongs to the best of the industry, outperforming 80.95% of the companies in the same industry.
RET has a Debt/Equity ratio of 0.71. This is a neutral value indicating RET is somewhat dependend on debt financing.
RET has a Debt to Equity ratio (0.71) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 9.44 | ||
| Altman-Z | 1.12 |
ROIC/WACC0.87
WACC4.78%
2.3 Liquidity
A Current Ratio of 0.43 indicates that RET may have some problems paying its short term obligations.
The Current ratio of RET (0.43) is comparable to the rest of the industry.
RET has a Quick Ratio of 0.43. This is a bad value and indicates that RET is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.43, RET perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 |
3. Growth
3.1 Past
The earnings per share for RET have decreased strongly by -15.21% in the last year.
Measured over the past years, RET shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.19% on average per year.
Looking at the last year, RET shows a small growth in Revenue. The Revenue has grown by 3.12% in the last year.
RET shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.78% yearly.
EPS 1Y (TTM)-15.21%
EPS 3Y-10.65%
EPS 5Y9.19%
EPS Q2Q%74.41%
Revenue 1Y (TTM)3.12%
Revenue growth 3Y7.56%
Revenue growth 5Y5.78%
Sales Q2Q%0.52%
3.2 Future
The Earnings Per Share is expected to grow by 1.31% on average over the next years.
RET is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.91% yearly.
EPS Next Y1.46%
EPS Next 2Y3.23%
EPS Next 3Y1.31%
EPS Next 5YN/A
Revenue Next Year2.54%
Revenue Next 2Y3.44%
Revenue Next 3Y1.91%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
RET is valuated reasonably with a Price/Earnings ratio of 8.56.
Based on the Price/Earnings ratio, RET is valued cheaply inside the industry as 90.48% of the companies are valued more expensively.
RET is valuated cheaply when we compare the Price/Earnings ratio to 27.76, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 9.69, which indicates a very decent valuation of RET.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RET indicates a somewhat cheap valuation: RET is cheaper than 78.57% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of RET to the average of the S&P500 Index (23.21), we can say RET is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.56 | ||
| Fwd PE | 9.69 |
4.2 Price Multiples
69.05% of the companies in the same industry are more expensive than RET, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, RET is valued a bit cheaper than 69.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.95 | ||
| EV/EBITDA | 15.05 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RET does not grow enough to justify the current Price/Earnings ratio.
RET has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.85
PEG (5Y)0.93
EPS Next 2Y3.23%
EPS Next 3Y1.31%
5. Dividend
5.1 Amount
RET has a Yearly Dividend Yield of 5.53%, which is a nice return.
RET's Dividend Yield is comparable with the industry average which is at 5.55.
Compared to an average S&P500 Dividend Yield of 2.44, RET pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.53% |
5.2 History
The dividend of RET is nicely growing with an annual growth rate of 18.46%!
Dividend Growth(5Y)18.46%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
67.37% of the earnings are spent on dividend by RET. This is not a sustainable payout ratio.
RET's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP67.37%
EPS Next 2Y3.23%
EPS Next 3Y1.31%
EBR:RET (10/8/2025, 2:04:28 PM)
62.4
+0.5 (+0.81%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners18.41%
Inst Owner ChangeN/A
Ins Owners3.98%
Ins Owner ChangeN/A
Market Cap937.87M
Analysts49.09
Price Target68.14 (9.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.53% |
Yearly Dividend4.94
Dividend Growth(5Y)18.46%
DP67.37%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.47%
PT rev (3m)-0.6%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0.47%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.27%
Revenue NY rev (3m)-1.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.56 | ||
| Fwd PE | 9.69 | ||
| P/S | 5.9 | ||
| P/FCF | 9.95 | ||
| P/OCF | 9.83 | ||
| P/B | 0.77 | ||
| P/tB | 0.77 | ||
| EV/EBITDA | 15.05 |
EPS(TTM)7.29
EY11.68%
EPS(NY)6.44
Fwd EY10.32%
FCF(TTM)6.27
FCFY10.05%
OCF(TTM)6.35
OCFY10.18%
SpS10.58
BVpS81.24
TBVpS80.66
PEG (NY)5.85
PEG (5Y)0.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.94% | ||
| ROE | 8.74% | ||
| ROCE | 5.65% | ||
| ROIC | 4.16% | ||
| ROICexc | 4.17% | ||
| ROICexgc | 4.18% | ||
| OM | 73.3% | ||
| PM (TTM) | 67.13% | ||
| GM | 78.89% | ||
| FCFM | 59.33% |
ROA(3y)6.59%
ROA(5y)6.11%
ROE(3y)11.91%
ROE(5y)11.53%
ROIC(3y)3.97%
ROIC(5y)3.97%
ROICexc(3y)3.98%
ROICexc(5y)3.98%
ROICexgc(3y)3.99%
ROICexgc(5y)4%
ROCE(3y)5.41%
ROCE(5y)5.47%
ROICexcg growth 3Y0.91%
ROICexcg growth 5Y-0.42%
ROICexc growth 3Y1.06%
ROICexc growth 5Y-0.49%
OM growth 3Y-0.81%
OM growth 5Y-0.79%
PM growth 3Y-13.36%
PM growth 5Y6.76%
GM growth 3Y-0.84%
GM growth 5Y-0.65%
F-Score5
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 9.44 | ||
| Debt/EBITDA | 7.36 | ||
| Cap/Depr | 73.46% | ||
| Cap/Sales | 0.73% | ||
| Interest Coverage | 6.08 | ||
| Cash Conversion | 80.83% | ||
| Profit Quality | 88.38% | ||
| Current Ratio | 0.43 | ||
| Quick Ratio | 0.43 | ||
| Altman-Z | 1.12 |
F-Score5
WACC4.78%
ROIC/WACC0.87
Cap/Depr(3y)262.29%
Cap/Depr(5y)286.92%
Cap/Sales(3y)1.85%
Cap/Sales(5y)1.76%
Profit Quality(3y)65.65%
Profit Quality(5y)71.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.21%
EPS 3Y-10.65%
EPS 5Y9.19%
EPS Q2Q%74.41%
EPS Next Y1.46%
EPS Next 2Y3.23%
EPS Next 3Y1.31%
EPS Next 5YN/A
Revenue 1Y (TTM)3.12%
Revenue growth 3Y7.56%
Revenue growth 5Y5.78%
Sales Q2Q%0.52%
Revenue Next Year2.54%
Revenue Next 2Y3.44%
Revenue Next 3Y1.91%
Revenue Next 5YN/A
EBIT growth 1Y4.37%
EBIT growth 3Y6.69%
EBIT growth 5Y4.94%
EBIT Next Year8.31%
EBIT Next 3Y5.16%
EBIT Next 5YN/A
FCF growth 1Y31.29%
FCF growth 3Y6.57%
FCF growth 5Y14.32%
OCF growth 1Y25.83%
OCF growth 3Y5.55%
OCF growth 5Y12.31%