STARWOOD PROPERTY TRUST INC (STWD) Stock Fundamental Analysis
USA - NYSE:STWD - US85571B1052 - REIT
17.83 USD
-0.09 (-0.5%)
17.8701 USD
+0.04 (+0.22%)
STWD gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. STWD has an average financial health and profitability rating. STWD has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year STWD was profitable.
In the past year STWD had a positive cash flow from operations.
In the past 5 years STWD has always been profitable.
STWD had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.58%, STWD is in the better half of the industry, outperforming 67.65% of the companies in the same industry.
STWD has a better Return On Equity (5.64%) than 85.29% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.06%, STWD is doing worse than 76.47% of the companies in the same industry.
STWD had an Average Return On Invested Capital over the past 3 years of 0.41%. This is in line with the industry average of 1.19%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 5.64% | ||
| ROIC | 0.06% |
ROA(3y)0.71%
ROA(5y)0.61%
ROE(3y)8.01%
ROE(5y)7.71%
ROIC(3y)0.41%
ROIC(5y)0.32%
1.3 Margins
Looking at the Profit Margin, with a value of 19.67%, STWD belongs to the top of the industry, outperforming 86.76% of the companies in the same industry.
In the last couple of years the Profit Margin of STWD has declined.
Looking at the Operating Margin, with a value of 2.43%, STWD is doing worse than 76.47% of the companies in the same industry.
STWD's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 24.13%, STWD is in line with its industry, outperforming 48.53% of the companies in the same industry.
STWD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.43% | ||
| PM (TTM) | 19.67% | ||
| GM | 24.13% |
OM growth 3Y-73.09%
OM growth 5Y-53.33%
PM growth 3Y-22.07%
PM growth 5Y-15.94%
GM growth 3Y-19.52%
GM growth 5Y-12.09%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so STWD is destroying value.
Compared to 1 year ago, STWD has more shares outstanding
Compared to 5 years ago, STWD has more shares outstanding
STWD has a better debt/assets ratio than last year.
2.2 Solvency
STWD has an Altman-Z score of 0.09. This is a bad value and indicates that STWD is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.09, STWD is in the better half of the industry, outperforming 72.06% of the companies in the same industry.
The Debt to FCF ratio of STWD is 28.40, which is on the high side as it means it would take STWD, 28.40 years of fcf income to pay off all of its debts.
STWD has a Debt to FCF ratio of 28.40. This is amongst the best in the industry. STWD outperforms 85.29% of its industry peers.
A Debt/Equity ratio of 3.05 is on the high side and indicates that STWD has dependencies on debt financing.
With a decent Debt to Equity ratio value of 3.05, STWD is doing good in the industry, outperforming 73.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.05 | ||
| Debt/FCF | 28.4 | ||
| Altman-Z | 0.09 |
ROIC/WACC0.01
WACC6.65%
2.3 Liquidity
STWD has a Current Ratio of 0.42. This is a bad value and indicates that STWD is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.42, STWD is in the better half of the industry, outperforming 63.24% of the companies in the same industry.
STWD has a Quick Ratio of 0.42. This is a bad value and indicates that STWD is not financially healthy enough and could expect problems in meeting its short term obligations.
STWD has a Quick ratio of 0.42. This is in the better half of the industry: STWD outperforms 63.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
STWD shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.37%.
Looking at the last year, STWD shows a very negative growth in Revenue. The Revenue has decreased by -15.07% in the last year.
STWD shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.69% yearly.
EPS 1Y (TTM)-17.37%
EPS 3Y-8.27%
EPS 5Y0%
EPS Q2Q%-16.67%
Revenue 1Y (TTM)-15.07%
Revenue growth 3Y19.11%
Revenue growth 5Y10.69%
Sales Q2Q%1.95%
3.2 Future
STWD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.33% yearly.
The Revenue is expected to grow by 5.41% on average over the next years.
EPS Next Y-10%
EPS Next 2Y-1.78%
EPS Next 3Y0.33%
EPS Next 5YN/A
Revenue Next Year-9.01%
Revenue Next 2Y-2.86%
Revenue Next 3Y5.41%
Revenue Next 5YN/A
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
Based on the Price/Earnings ratio of 10.13, the valuation of STWD can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of STWD indicates a somewhat cheap valuation: STWD is cheaper than 69.12% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of STWD to the average of the S&P500 Index (25.89), we can say STWD is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 9.10, the valuation of STWD can be described as reasonable.
Based on the Price/Forward Earnings ratio, STWD is valued a bit cheaper than 60.29% of the companies in the same industry.
STWD is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.13 | ||
| Fwd PE | 9.1 |
4.2 Price Multiples
STWD's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. STWD is cheaper than 64.71% of the companies in the same industry.
76.47% of the companies in the same industry are more expensive than STWD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.5 | ||
| EV/EBITDA | 273.94 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.78%
EPS Next 3Y0.33%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.71%, STWD is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 12.21, STWD is paying slightly less dividend.
STWD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.71% |
5.2 History
The dividend of STWD decreases each year by -0.25%.
STWD has been paying a dividend for at least 10 years, so it has a reliable track record.
STWD has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.25%
Div Incr Years0
Div Non Decr Years15
5.3 Sustainability
STWD pays out 177.09% of its income as dividend. This is not a sustainable payout ratio.
DP177.09%
EPS Next 2Y-1.78%
EPS Next 3Y0.33%
17.83
-0.09 (-0.5%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners49.74%
Inst Owner Change-15.65%
Ins Owners5.5%
Ins Owner Change0.39%
Market Cap6.55B
Revenue(TTM)1.99B
Net Income(TTM)362.05M
Analysts78.57
Price Target22.44 (25.86%)
Short Float %3.64%
Short Ratio4.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.71% |
Yearly Dividend1.91
Dividend Growth(5Y)-0.25%
DP177.09%
Div Incr Years0
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.49%
Min EPS beat(2)-1.6%
Max EPS beat(2)10.58%
EPS beat(4)3
Avg EPS beat(4)2.58%
Min EPS beat(4)-1.6%
Max EPS beat(4)10.58%
EPS beat(8)6
Avg EPS beat(8)6.25%
EPS beat(12)6
Avg EPS beat(12)3.45%
EPS beat(16)8
Avg EPS beat(16)11.72%
Revenue beat(2)0
Avg Revenue beat(2)-6.73%
Min Revenue beat(2)-9.5%
Max Revenue beat(2)-3.97%
Revenue beat(4)0
Avg Revenue beat(4)-7.2%
Min Revenue beat(4)-9.5%
Max Revenue beat(4)-3.97%
Revenue beat(8)0
Avg Revenue beat(8)-7.33%
Revenue beat(12)2
Avg Revenue beat(12)-0.84%
Revenue beat(16)4
Avg Revenue beat(16)18.05%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-2.38%
EPS NQ rev (3m)-7.51%
EPS NY rev (1m)-1.42%
EPS NY rev (3m)-0.56%
Revenue NQ rev (1m)1.07%
Revenue NQ rev (3m)7.5%
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)3.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.13 | ||
| Fwd PE | 9.1 | ||
| P/S | 3.56 | ||
| P/FCF | 9.5 | ||
| P/OCF | 9.5 | ||
| P/B | 1.02 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 273.94 |
EPS(TTM)1.76
EY9.87%
EPS(NY)1.96
Fwd EY10.98%
FCF(TTM)1.88
FCFY10.52%
OCF(TTM)1.88
OCFY10.52%
SpS5.01
BVpS17.49
TBVpS16.64
PEG (NY)N/A
PEG (5Y)N/A
Graham Number26.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 5.64% | ||
| ROCE | 0.07% | ||
| ROIC | 0.06% | ||
| ROICexc | 0.06% | ||
| ROICexgc | 0.15% | ||
| OM | 2.43% | ||
| PM (TTM) | 19.67% | ||
| GM | 24.13% | ||
| FCFM | 37.42% |
ROA(3y)0.71%
ROA(5y)0.61%
ROE(3y)8.01%
ROE(5y)7.71%
ROIC(3y)0.41%
ROIC(5y)0.32%
ROICexc(3y)0.42%
ROICexc(5y)0.32%
ROICexgc(3y)1.27%
ROICexgc(5y)1.09%
ROCE(3y)0.54%
ROCE(5y)0.41%
ROICexgc growth 3Y-67.71%
ROICexgc growth 5Y-52.05%
ROICexc growth 3Y-64.39%
ROICexc growth 5Y-45.8%
OM growth 3Y-73.09%
OM growth 5Y-53.33%
PM growth 3Y-22.07%
PM growth 5Y-15.94%
GM growth 3Y-19.52%
GM growth 5Y-12.09%
F-Score4
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.05 | ||
| Debt/FCF | 28.4 | ||
| Debt/EBITDA | 210.39 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.04 | ||
| Cash Conversion | 740.77% | ||
| Profit Quality | 190.27% | ||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 0.09 |
F-Score4
WACC6.65%
ROIC/WACC0.01
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)122.39%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.37%
EPS 3Y-8.27%
EPS 5Y0%
EPS Q2Q%-16.67%
EPS Next Y-10%
EPS Next 2Y-1.78%
EPS Next 3Y0.33%
EPS Next 5YN/A
Revenue 1Y (TTM)-15.07%
Revenue growth 3Y19.11%
Revenue growth 5Y10.69%
Sales Q2Q%1.95%
Revenue Next Year-9.01%
Revenue Next 2Y-2.86%
Revenue Next 3Y5.41%
Revenue Next 5YN/A
EBIT growth 1Y-57.51%
EBIT growth 3Y-67.95%
EBIT growth 5Y-48.34%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y321.4%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y321.4%
OCF growth 3YN/A
OCF growth 5YN/A
STARWOOD PROPERTY TRUST INC / STWD FAQ
What is the fundamental rating for STWD stock?
ChartMill assigns a fundamental rating of 4 / 10 to STWD.
Can you provide the valuation status for STARWOOD PROPERTY TRUST INC?
ChartMill assigns a valuation rating of 5 / 10 to STARWOOD PROPERTY TRUST INC (STWD). This can be considered as Fairly Valued.
How profitable is STARWOOD PROPERTY TRUST INC (STWD) stock?
STARWOOD PROPERTY TRUST INC (STWD) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for STWD stock?
The Price/Earnings (PE) ratio for STARWOOD PROPERTY TRUST INC (STWD) is 10.13 and the Price/Book (PB) ratio is 1.02.
What is the financial health of STARWOOD PROPERTY TRUST INC (STWD) stock?
The financial health rating of STARWOOD PROPERTY TRUST INC (STWD) is 4 / 10.