TANGER INC (SKT) Stock Fundamental Analysis
USA - NYSE:SKT - US8754651060 - REIT
32.54 USD
+0.04 (+0.12%)
32.54 USD
0 (0%)
SKT gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 129 industry peers in the Diversified REITs industry. While SKT belongs to the best of the industry regarding profitability, there are concerns on its financial health. SKT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
SKT had positive earnings in the past year.
In the past year SKT had a positive cash flow from operations.
SKT had positive earnings in 4 of the past 5 years.
Each year in the past 5 years SKT had a positive operating cash flow.
1.2 Ratios
The Return On Assets of SKT (4.07%) is better than 86.82% of its industry peers.
Looking at the Return On Equity, with a value of 15.70%, SKT belongs to the top of the industry, outperforming 94.57% of the companies in the same industry.
SKT has a better Return On Invested Capital (5.53%) than 96.12% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SKT is in line with the industry average of 3.01%.
The 3 year average ROIC (4.98%) for SKT is below the current ROIC(5.53%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.07% | ||
| ROE | 15.7% | ||
| ROIC | 5.53% |
ROA(3y)3.99%
ROA(5y)2.13%
ROE(3y)16.26%
ROE(5y)7.93%
ROIC(3y)4.98%
ROIC(5y)4.56%
1.3 Margins
With a decent Profit Margin value of 18.14%, SKT is doing good in the industry, outperforming 68.99% of the companies in the same industry.
In the last couple of years the Profit Margin of SKT has remained more or less at the same level.
With a decent Operating Margin value of 29.06%, SKT is doing good in the industry, outperforming 61.24% of the companies in the same industry.
SKT's Operating Margin has been stable in the last couple of years.
The Gross Margin of SKT (69.46%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of SKT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.06% | ||
| PM (TTM) | 18.14% | ||
| GM | 69.46% |
OM growth 3Y3.56%
OM growth 5Y-0.93%
PM growth 3Y111.98%
PM growth 5Y0.53%
GM growth 3Y0.76%
GM growth 5Y0.28%
2. Health
2.1 Basic Checks
SKT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for SKT has been increased compared to 1 year ago.
SKT has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SKT has an improved debt to assets ratio.
2.2 Solvency
SKT has an Altman-Z score of 1.33. This is a bad value and indicates that SKT is not financially healthy and even has some risk of bankruptcy.
SKT has a Altman-Z score of 1.33. This is amongst the best in the industry. SKT outperforms 88.37% of its industry peers.
A Debt/Equity ratio of 2.40 is on the high side and indicates that SKT has dependencies on debt financing.
SKT has a worse Debt to Equity ratio (2.40) than 77.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.33 |
ROIC/WACC0.78
WACC7.1%
2.3 Liquidity
SKT has a Current Ratio of 0.78. This is a bad value and indicates that SKT is not financially healthy enough and could expect problems in meeting its short term obligations.
SKT has a worse Current ratio (0.78) than 61.24% of its industry peers.
SKT has a Quick Ratio of 0.78. This is a bad value and indicates that SKT is not financially healthy enough and could expect problems in meeting its short term obligations.
SKT has a Quick ratio of 0.78. This is in the lower half of the industry: SKT underperforms 60.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
The earnings per share for SKT have decreased by 0.00% in the last year.
SKT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.70% yearly.
SKT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.60%.
Measured over the past years, SKT shows a small growth in Revenue. The Revenue has been growing by 1.92% on average per year.
EPS 1Y (TTM)0%
EPS 3Y132.52%
EPS 5Y8.7%
EPS Q2Q%13.04%
Revenue 1Y (TTM)10.6%
Revenue growth 3Y7.24%
Revenue growth 5Y1.92%
Sales Q2Q%9.1%
3.2 Future
Based on estimates for the next years, SKT will show a small growth in Earnings Per Share. The EPS will grow by 7.59% on average per year.
Based on estimates for the next years, SKT will show a small growth in Revenue. The Revenue will grow by 5.99% on average per year.
EPS Next Y8.65%
EPS Next 2Y9.25%
EPS Next 3Y7.59%
EPS Next 5YN/A
Revenue Next Year8.82%
Revenue Next 2Y6.71%
Revenue Next 3Y5.99%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 35.76, SKT can be considered very expensive at the moment.
SKT's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.50, SKT is valued a bit more expensive.
SKT is valuated quite expensively with a Price/Forward Earnings ratio of 30.98.
Based on the Price/Forward Earnings ratio, SKT is valued a bit cheaper than the industry average as 74.42% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of SKT to the average of the S&P500 Index (22.99), we can say SKT is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.76 | ||
| Fwd PE | 30.98 |
4.2 Price Multiples
72.87% of the companies in the same industry are cheaper than SKT, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SKT does not grow enough to justify the current Price/Earnings ratio.
SKT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)4.13
PEG (5Y)4.11
EPS Next 2Y9.25%
EPS Next 3Y7.59%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.58%, SKT has a reasonable but not impressive dividend return.
SKT's Dividend Yield is slightly below the industry average, which is at 7.01.
Compared to an average S&P500 Dividend Yield of 2.44, SKT pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.58% |
5.2 History
The dividend of SKT decreases each year by -5.24%.
SKT has been paying a dividend for at least 10 years, so it has a reliable track record.
SKT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-5.24%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
SKT pays out 126.26% of its income as dividend. This is not a sustainable payout ratio.
DP126.26%
EPS Next 2Y9.25%
EPS Next 3Y7.59%
32.54
+0.04 (+0.12%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.95%
Inst Owner Change0.06%
Ins Owners2.31%
Ins Owner Change-0.6%
Market Cap3.68B
Analysts77.5
Price Target36.21 (11.28%)
Short Float %3.59%
Short Ratio4.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.58% |
Yearly Dividend1.09
Dividend Growth(5Y)-5.24%
DP126.26%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.72%
Min EPS beat(2)-5.7%
Max EPS beat(2)13.15%
EPS beat(4)3
Avg EPS beat(4)7.26%
Min EPS beat(4)-5.7%
Max EPS beat(4)16.19%
EPS beat(8)7
Avg EPS beat(8)11.25%
EPS beat(12)10
Avg EPS beat(12)20.7%
EPS beat(16)12
Avg EPS beat(16)17.99%
Revenue beat(2)2
Avg Revenue beat(2)5.31%
Min Revenue beat(2)4.96%
Max Revenue beat(2)5.67%
Revenue beat(4)4
Avg Revenue beat(4)5.76%
Min Revenue beat(4)4.63%
Max Revenue beat(4)7.78%
Revenue beat(8)8
Avg Revenue beat(8)4.96%
Revenue beat(12)11
Avg Revenue beat(12)4.25%
Revenue beat(16)15
Avg Revenue beat(16)5.05%
PT rev (1m)2.31%
PT rev (3m)0%
EPS NQ rev (1m)3.85%
EPS NQ rev (3m)33.94%
EPS NY rev (1m)2.16%
EPS NY rev (3m)4.03%
Revenue NQ rev (1m)0.6%
Revenue NQ rev (3m)2.31%
Revenue NY rev (1m)0.44%
Revenue NY rev (3m)2.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.76 | ||
| Fwd PE | 30.98 | ||
| P/S | 6.7 | ||
| P/FCF | N/A | ||
| P/OCF | 13.14 | ||
| P/B | 5.8 | ||
| P/tB | 5.8 | ||
| EV/EBITDA | 17.08 |
EPS(TTM)0.91
EY2.8%
EPS(NY)1.05
Fwd EY3.23%
FCF(TTM)-0.41
FCFYN/A
OCF(TTM)2.48
OCFY7.61%
SpS4.86
BVpS5.61
TBVpS5.61
PEG (NY)4.13
PEG (5Y)4.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.07% | ||
| ROE | 15.7% | ||
| ROCE | 7% | ||
| ROIC | 5.53% | ||
| ROICexc | 5.55% | ||
| ROICexgc | 5.55% | ||
| OM | 29.06% | ||
| PM (TTM) | 18.14% | ||
| GM | 69.46% | ||
| FCFM | N/A |
ROA(3y)3.99%
ROA(5y)2.13%
ROE(3y)16.26%
ROE(5y)7.93%
ROIC(3y)4.98%
ROIC(5y)4.56%
ROICexc(3y)5.21%
ROICexc(5y)4.8%
ROICexgc(3y)5.21%
ROICexgc(5y)4.8%
ROCE(3y)6.31%
ROCE(5y)5.77%
ROICexcg growth 3Y5.08%
ROICexcg growth 5Y0.54%
ROICexc growth 3Y5.08%
ROICexc growth 5Y0.55%
OM growth 3Y3.56%
OM growth 5Y-0.93%
PM growth 3Y111.98%
PM growth 5Y0.53%
GM growth 3Y0.76%
GM growth 5Y0.28%
F-Score6
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.4 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.02 | ||
| Cap/Depr | 226.17% | ||
| Cap/Sales | 59.41% | ||
| Interest Coverage | 2.78 | ||
| Cash Conversion | 92.14% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 1.33 |
F-Score6
WACC7.1%
ROIC/WACC0.78
Cap/Depr(3y)209.92%
Cap/Depr(5y)139.93%
Cap/Sales(3y)50.97%
Cap/Sales(5y)34.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y132.52%
EPS 5Y8.7%
EPS Q2Q%13.04%
EPS Next Y8.65%
EPS Next 2Y9.25%
EPS Next 3Y7.59%
EPS Next 5YN/A
Revenue 1Y (TTM)10.6%
Revenue growth 3Y7.24%
Revenue growth 5Y1.92%
Sales Q2Q%9.1%
Revenue Next Year8.82%
Revenue Next 2Y6.71%
Revenue Next 3Y5.99%
Revenue Next 5YN/A
EBIT growth 1Y12.56%
EBIT growth 3Y11.06%
EBIT growth 5Y0.97%
EBIT Next Year111.02%
EBIT Next 3Y31.49%
EBIT Next 5YN/A
FCF growth 1Y-148.84%
FCF growth 3Y-23.27%
FCF growth 5Y-14.91%
OCF growth 1Y25.23%
OCF growth 3Y6.19%
OCF growth 5Y3.4%