STAG INDUSTRIAL INC (STAG) Stock Fundamental Analysis
USA - NYSE:STAG - US85254J1025 - REIT
36.26 USD
-0.17 (-0.47%)
36.26 USD
0 (0%)
STAG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 129 industry peers in the Diversified REITs industry. STAG has an excellent profitability rating, but there are concerns on its financial health. STAG is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
STAG had positive earnings in the past year.
STAG had a positive operating cash flow in the past year.
Each year in the past 5 years STAG has been profitable.
STAG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of STAG (3.43%) is better than 81.40% of its industry peers.
The Return On Equity of STAG (6.79%) is better than 79.07% of its industry peers.
The Return On Invested Capital of STAG (3.52%) is better than 66.67% of its industry peers.
STAG had an Average Return On Invested Capital over the past 3 years of 3.00%. This is in line with the industry average of 3.04%.
The last Return On Invested Capital (3.52%) for STAG is above the 3 year average (3.00%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.43% | ||
| ROE | 6.79% | ||
| ROIC | 3.52% |
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 29.14%, STAG belongs to the top of the industry, outperforming 84.50% of the companies in the same industry.
In the last couple of years the Profit Margin of STAG has grown nicely.
Looking at the Operating Margin, with a value of 36.58%, STAG is in the better half of the industry, outperforming 75.97% of the companies in the same industry.
In the last couple of years the Operating Margin of STAG has grown nicely.
Looking at the Gross Margin, with a value of 80.12%, STAG is in the better half of the industry, outperforming 79.84% of the companies in the same industry.
STAG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.58% | ||
| PM (TTM) | 29.14% | ||
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), STAG is destroying value.
STAG has more shares outstanding than it did 1 year ago.
STAG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for STAG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.24, we must say that STAG is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of STAG (1.24) is better than 85.27% of its industry peers.
A Debt/Equity ratio of 0.88 indicates that STAG is somewhat dependend on debt financing.
STAG has a better Debt to Equity ratio (0.88) than 67.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.24 |
ROIC/WACC0.5
WACC7.03%
2.3 Liquidity
A Current Ratio of 0.67 indicates that STAG may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.67, STAG is doing worse than 70.54% of the companies in the same industry.
STAG has a Quick Ratio of 0.67. This is a bad value and indicates that STAG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.67, STAG is doing worse than 68.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
STAG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.42%, which is quite good.
STAG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.83% yearly.
STAG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.56%.
STAG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.58% yearly.
EPS 1Y (TTM)19.42%
EPS 3Y-4.31%
EPS 5Y23.83%
EPS Q2Q%-15.62%
Revenue 1Y (TTM)8.56%
Revenue growth 3Y10.93%
Revenue growth 5Y13.58%
Sales Q2Q%11.25%
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
Based on estimates for the next years, STAG will show a quite strong growth in Revenue. The Revenue will grow by 9.71% on average per year.
EPS Next Y22.26%
EPS Next 2Y-2.29%
EPS Next 3Y4.1%
EPS Next 5Y33.47%
Revenue Next Year9.86%
Revenue Next 2Y8.57%
Revenue Next 3Y4.66%
Revenue Next 5Y9.71%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 29.48 indicates a quite expensive valuation of STAG.
Based on the Price/Earnings ratio, STAG is valued a bit cheaper than 65.89% of the companies in the same industry.
STAG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.30.
With a Price/Forward Earnings ratio of 38.36, STAG can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, STAG is valued a bit cheaper than 67.44% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of STAG to the average of the S&P500 Index (22.73), we can say STAG is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.48 | ||
| Fwd PE | 38.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, STAG is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.65 |
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)1.32
PEG (5Y)1.24
EPS Next 2Y-2.29%
EPS Next 3Y4.1%
5. Dividend
5.1 Amount
STAG has a Yearly Dividend Yield of 4.09%, which is a nice return.
Compared to an average industry Dividend Yield of 6.63, STAG is paying slightly less dividend.
STAG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.09% |
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
119.36% 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.
DP119.36%
EPS Next 2Y-2.29%
EPS Next 3Y4.1%
36.26
-0.17 (-0.47%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners91.05%
Inst Owner Change2.16%
Ins Owners0.12%
Ins Owner Change2.01%
Market Cap6.77B
Analysts74.12
Price Target39.78 (9.71%)
Short Float %4.19%
Short Ratio5.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.09% |
Yearly Dividend1.49
Dividend Growth(5Y)0.08%
DP119.36%
Div Incr Years13
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)86.58%
Min EPS beat(2)20.32%
Max EPS beat(2)152.84%
EPS beat(4)4
Avg EPS beat(4)57.13%
Min EPS beat(4)20.32%
Max EPS beat(4)152.84%
EPS beat(8)8
Avg EPS beat(8)44.44%
EPS beat(12)11
Avg EPS beat(12)50.37%
EPS beat(16)15
Avg EPS beat(16)63.44%
Revenue beat(2)1
Avg Revenue beat(2)-0.74%
Min Revenue beat(2)-1.6%
Max Revenue beat(2)0.11%
Revenue beat(4)2
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-1.6%
Max Revenue beat(4)0.83%
Revenue beat(8)3
Avg Revenue beat(8)-0.59%
Revenue beat(12)4
Avg Revenue beat(12)-0.67%
Revenue beat(16)5
Avg Revenue beat(16)-0.7%
PT rev (1m)0%
PT rev (3m)2.39%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.67%
EPS NY rev (1m)4.4%
EPS NY rev (3m)11.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.01%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.48 | ||
| Fwd PE | 38.36 | ||
| P/S | 8.43 | ||
| P/FCF | N/A | ||
| P/OCF | 15.1 | ||
| P/B | 1.97 | ||
| P/tB | 1.97 | ||
| EV/EBITDA | 16.65 |
EPS(TTM)1.23
EY3.39%
EPS(NY)0.95
Fwd EY2.61%
FCF(TTM)-1.33
FCFYN/A
OCF(TTM)2.4
OCFY6.62%
SpS4.3
BVpS18.45
TBVpS18.45
PEG (NY)1.32
PEG (5Y)1.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.43% | ||
| ROE | 6.79% | ||
| ROCE | 4.46% | ||
| ROIC | 3.52% | ||
| ROICexc | 3.53% | ||
| ROICexgc | 3.54% | ||
| OM | 36.58% | ||
| PM (TTM) | 29.14% | ||
| 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%
ROICexcg growth 3Y12.23%
ROICexcg 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 | 0.88 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.17 | ||
| Cap/Depr | 236.42% | ||
| Cap/Sales | 86.75% | ||
| Interest Coverage | 2.39 | ||
| Cash Conversion | 76.17% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z | 1.24 |
F-Score5
WACC7.03%
ROIC/WACC0.5
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)19.42%
EPS 3Y-4.31%
EPS 5Y23.83%
EPS Q2Q%-15.62%
EPS Next Y22.26%
EPS Next 2Y-2.29%
EPS Next 3Y4.1%
EPS Next 5Y33.47%
Revenue 1Y (TTM)8.56%
Revenue growth 3Y10.93%
Revenue growth 5Y13.58%
Sales Q2Q%11.25%
Revenue Next Year9.86%
Revenue Next 2Y8.57%
Revenue Next 3Y4.66%
Revenue Next 5Y9.71%
EBIT growth 1Y15.43%
EBIT growth 3Y17.78%
EBIT growth 5Y20.02%
EBIT Next Year84.8%
EBIT Next 3Y30.2%
EBIT Next 5Y25.47%
FCF growth 1Y-390.68%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y14.1%
OCF growth 3Y11.04%
OCF growth 5Y14.55%