STAG INDUSTRIAL INC (STAG) Stock Fundamental Analysis
USA - NYSE:STAG - US85254J1025 - REIT
38.55 USD
+0.28 (+0.73%)
38.55 USD
0 (0%)
Taking everything into account, STAG scores 5 out of 10 in our fundamental rating. STAG was compared to 127 industry peers in the Diversified REITs industry. STAG scores excellent on profitability, but there are concerns on its financial health. STAG shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year STAG was profitable.
STAG had a positive operating cash flow in the past year.
Each year in the past 5 years STAG has been profitable.
In the past 5 years STAG always reported a positive cash flow from operatings.
1.2 Ratios
STAG has a Return On Assets of 3.49%. This is amongst the best in the industry. STAG outperforms 80.31% of its industry peers.
STAG has a Return On Equity of 7.03%. This is in the better half of the industry: STAG outperforms 79.53% of its industry peers.
With a decent Return On Invested Capital value of 3.65%, STAG is doing good in the industry, outperforming 70.08% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for STAG is in line with the industry average of 3.06%.
The 3 year average ROIC (3.00%) for STAG is below the current ROIC(3.65%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.49% | ||
| ROE | 7.03% | ||
| ROIC | 3.65% |
ROA(3y)2.9%
ROA(5y)3.23%
ROE(3y)5.48%
ROE(5y)5.87%
ROIC(3y)3%
ROIC(5y)2.73%
1.3 Margins
Looking at the Profit Margin, with a value of 29.24%, STAG belongs to the top of the industry, outperforming 84.25% of the companies in the same industry.
STAG's Profit Margin has improved in the last couple of years.
STAG has a better Operating Margin (37.20%) than 78.74% of its industry peers.
STAG's Operating Margin has improved in the last couple of years.
The Gross Margin of STAG (80.12%) is better than 79.53% of its industry peers.
STAG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.2% | ||
| PM (TTM) | 29.24% | ||
| GM | 80.12% |
OM growth 3Y6.18%
OM growth 5Y5.67%
PM growth 3Y-9.72%
PM growth 5Y17.96%
GM growth 3Y-0.39%
GM growth 5Y-0.41%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so STAG is destroying value.
Compared to 1 year ago, STAG has more shares outstanding
Compared to 5 years ago, STAG has more shares outstanding
STAG has a worse debt/assets ratio than last year.
2.2 Solvency
STAG has an Altman-Z score of 1.27. This is a bad value and indicates that STAG is not financially healthy and even has some risk of bankruptcy.
STAG has a better Altman-Z score (1.27) than 86.61% of its industry peers.
A Debt/Equity ratio of 0.91 indicates that STAG is somewhat dependend on debt financing.
STAG has a better Debt to Equity ratio (0.91) than 66.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.27 |
ROIC/WACC0.51
WACC7.14%
2.3 Liquidity
A Current Ratio of 0.61 indicates that STAG may have some problems paying its short term obligations.
STAG has a worse Current ratio (0.61) than 74.02% of its industry peers.
STAG has a Quick Ratio of 0.61. This is a bad value and indicates that STAG is not financially healthy enough and could expect problems in meeting its short term obligations.
STAG has a worse Quick ratio (0.61) than 73.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
STAG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.33%, which is quite impressive.
Measured over the past years, STAG shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.83% on average per year.
The Revenue has grown by 9.62% in the past year. This is quite good.
Measured over the past years, STAG shows a quite strong growth in Revenue. The Revenue has been growing by 13.58% on average per year.
EPS 1Y (TTM)33.33%
EPS 3Y-4.31%
EPS 5Y23.83%
EPS Q2Q%23.81%
Revenue 1Y (TTM)9.62%
Revenue growth 3Y10.93%
Revenue growth 5Y13.58%
Sales Q2Q%10.36%
3.2 Future
The Earnings Per Share is expected to grow by 33.47% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 9.71% on average over the next years. This is quite good.
EPS Next Y23.98%
EPS Next 2Y-1.41%
EPS Next 3Y4.1%
EPS Next 5Y33.47%
Revenue Next Year9.86%
Revenue Next 2Y8.99%
Revenue Next 3Y6.72%
Revenue Next 5Y9.71%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
STAG is valuated quite expensively with a Price/Earnings ratio of 30.12.
Compared to the rest of the industry, the Price/Earnings ratio of STAG indicates a somewhat cheap valuation: STAG is cheaper than 66.93% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.51, STAG is valued at the same level.
The Price/Forward Earnings ratio is 40.06, which means the current valuation is very expensive for STAG.
Based on the Price/Forward Earnings ratio, STAG is valued a bit cheaper than 63.78% of the companies in the same industry.
STAG's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.53.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.12 | ||
| Fwd PE | 40.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, STAG is valued a bit more expensive than the industry average as 68.50% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.92 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
STAG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.26
PEG (5Y)1.26
EPS Next 2Y-1.41%
EPS Next 3Y4.1%
5. Dividend
5.1 Amount
STAG has a Yearly Dividend Yield of 3.89%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.40, STAG is paying slightly less dividend.
STAG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
5.2 History
The dividend of STAG has a limited annual growth rate of 0.08%.
STAG has paid a dividend for at least 10 years, which is a reliable track record.
STAG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.08%
Div Incr Years13
Div Non Decr Years13
5.3 Sustainability
117.03% of the earnings are spent on dividend by STAG. This is not a sustainable payout ratio.
The dividend of STAG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP117.03%
EPS Next 2Y-1.41%
EPS Next 3Y4.1%
38.55
+0.28 (+0.73%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.23%
Inst Owner Change-1.6%
Ins Owners0.12%
Ins Owner Change2.1%
Market Cap7.20B
Revenue(TTM)823.61M
Net Income(TTM)240.81M
Analysts74.12
Price Target39.69 (2.96%)
Short Float %4.19%
Short Ratio5.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
Yearly Dividend1.49
Dividend Growth(5Y)0.08%
DP117.03%
Div Incr Years13
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.23%
Min EPS beat(2)14.14%
Max EPS beat(2)20.32%
EPS beat(4)4
Avg EPS beat(4)54.79%
Min EPS beat(4)14.14%
Max EPS beat(4)152.84%
EPS beat(8)8
Avg EPS beat(8)39.64%
EPS beat(12)11
Avg EPS beat(12)42.37%
EPS beat(16)15
Avg EPS beat(16)59.09%
Revenue beat(2)0
Avg Revenue beat(2)-1.61%
Min Revenue beat(2)-1.62%
Max Revenue beat(2)-1.6%
Revenue beat(4)2
Avg Revenue beat(4)-0.57%
Min Revenue beat(4)-1.62%
Max Revenue beat(4)0.83%
Revenue beat(8)2
Avg Revenue beat(8)-0.81%
Revenue beat(12)4
Avg Revenue beat(12)-0.73%
Revenue beat(16)5
Avg Revenue beat(16)-0.76%
PT rev (1m)-0.23%
PT rev (3m)0.28%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.35%
EPS NY rev (1m)0%
EPS NY rev (3m)4.4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.12 | ||
| Fwd PE | 40.06 | ||
| P/S | 8.74 | ||
| P/FCF | N/A | ||
| P/OCF | 15.52 | ||
| P/B | 2.1 | ||
| P/tB | 2.1 | ||
| EV/EBITDA | 16.92 |
EPS(TTM)1.28
EY3.32%
EPS(NY)0.96
Fwd EY2.5%
FCF(TTM)-1.18
FCFYN/A
OCF(TTM)2.48
OCFY6.44%
SpS4.41
BVpS18.35
TBVpS18.35
PEG (NY)1.26
PEG (5Y)1.26
Graham Number22.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.49% | ||
| ROE | 7.03% | ||
| ROCE | 4.62% | ||
| ROIC | 3.65% | ||
| ROICexc | 3.66% | ||
| ROICexgc | 3.67% | ||
| OM | 37.2% | ||
| PM (TTM) | 29.24% | ||
| GM | 80.12% | ||
| FCFM | N/A |
ROA(3y)2.9%
ROA(5y)3.23%
ROE(3y)5.48%
ROE(5y)5.87%
ROIC(3y)3%
ROIC(5y)2.73%
ROICexc(3y)3.01%
ROICexc(5y)2.74%
ROICexgc(3y)3.04%
ROICexgc(5y)2.76%
ROCE(3y)3.8%
ROCE(5y)3.46%
ROICexgc growth 3Y12.23%
ROICexgc growth 5Y9.09%
ROICexc growth 3Y12.06%
ROICexc growth 5Y8.97%
OM growth 3Y6.18%
OM growth 5Y5.67%
PM growth 3Y-9.72%
PM growth 5Y17.96%
GM growth 3Y-0.39%
GM growth 5Y-0.41%
F-Score5
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.13 | ||
| Cap/Depr | 229.46% | ||
| Cap/Sales | 83.08% | ||
| Interest Coverage | 2.58 | ||
| Cash Conversion | 76.72% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 1.27 |
F-Score5
WACC7.14%
ROIC/WACC0.51
Cap/Depr(3y)219.87%
Cap/Depr(5y)327.35%
Cap/Sales(3y)87.15%
Cap/Sales(5y)136.78%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)33.33%
EPS 3Y-4.31%
EPS 5Y23.83%
EPS Q2Q%23.81%
EPS Next Y23.98%
EPS Next 2Y-1.41%
EPS Next 3Y4.1%
EPS Next 5Y33.47%
Revenue 1Y (TTM)9.62%
Revenue growth 3Y10.93%
Revenue growth 5Y13.58%
Sales Q2Q%10.36%
Revenue Next Year9.86%
Revenue Next 2Y8.99%
Revenue Next 3Y6.72%
Revenue Next 5Y9.71%
EBIT growth 1Y18.28%
EBIT growth 3Y17.78%
EBIT growth 5Y20.02%
EBIT Next Year85.45%
EBIT Next 3Y30.14%
EBIT Next 5Y25.47%
FCF growth 1Y-13064.1%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y19.09%
OCF growth 3Y11.04%
OCF growth 5Y14.55%
STAG INDUSTRIAL INC / STAG FAQ
What is the ChartMill fundamental rating of STAG INDUSTRIAL INC (STAG) stock?
ChartMill assigns a fundamental rating of 5 / 10 to STAG.
What is the valuation status of STAG INDUSTRIAL INC (STAG) stock?
ChartMill assigns a valuation rating of 3 / 10 to STAG INDUSTRIAL INC (STAG). This can be considered as Overvalued.
How profitable is STAG INDUSTRIAL INC (STAG) stock?
STAG INDUSTRIAL INC (STAG) has a profitability rating of 8 / 10.
What is the earnings growth outlook for STAG INDUSTRIAL INC?
The Earnings per Share (EPS) of STAG INDUSTRIAL INC (STAG) is expected to grow by 23.98% in the next year.
Can you provide the dividend sustainability for STAG stock?
The dividend rating of STAG INDUSTRIAL INC (STAG) is 5 / 10 and the dividend payout ratio is 117.03%.