TERRENO REALTY CORP (TRNO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TRNO - US88146M1018 - REIT
62.42 USD
-0.42 (-0.67%)
62.42 USD
0 (0%)
Overall TRNO gets a fundamental rating of 6 out of 10. We evaluated TRNO against 128 industry peers in the Diversified REITs industry. While TRNO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TRNO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
TRNO had positive earnings in the past year.
In the past year TRNO had a positive cash flow from operations.
In the past 5 years TRNO has always been profitable.
In the past 5 years TRNO always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of TRNO (5.99%) is better than 99.22% of its industry peers.
With an excellent Return On Equity value of 8.00%, TRNO belongs to the best of the industry, outperforming 82.03% of the companies in the same industry.
TRNO has a Return On Invested Capital (2.67%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for TRNO is in line with the industry average of 3.06%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.99% | ||
| ROE | 8% | ||
| ROIC | 2.67% |
ROA(3y)4.65%
ROA(5y)4.12%
ROE(3y)6.34%
ROE(5y)5.65%
ROIC(3y)2.73%
ROIC(5y)2.65%
1.3 Margins
TRNO's Profit Margin of 72.18% is amongst the best of the industry. TRNO outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of TRNO has grown nicely.
TRNO's Operating Margin of 39.36% is amongst the best of the industry. TRNO outperforms 84.38% of its industry peers.
In the last couple of years the Operating Margin of TRNO has grown nicely.
Looking at the Gross Margin, with a value of 74.53%, TRNO is in the better half of the industry, outperforming 71.88% of the companies in the same industry.
TRNO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.36% | ||
| PM (TTM) | 72.18% | ||
| GM | 74.53% |
OM growth 3Y-0.86%
OM growth 5Y2.39%
PM growth 3Y7.03%
PM growth 5Y8.26%
GM growth 3Y-0.14%
GM growth 5Y0.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TRNO is destroying value.
The number of shares outstanding for TRNO has been increased compared to 1 year ago.
The number of shares outstanding for TRNO has been increased compared to 5 years ago.
TRNO has a better debt/assets ratio than last year.
2.2 Solvency
TRNO has an Altman-Z score of 3.13. This indicates that TRNO is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TRNO (3.13) is better than 97.66% of its industry peers.
TRNO has a debt to FCF ratio of 8.73. This is a slightly negative value and a sign of low solvency as TRNO would need 8.73 years to pay back of all of its debts.
TRNO's Debt to FCF ratio of 8.73 is amongst the best of the industry. TRNO outperforms 92.97% of its industry peers.
TRNO has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
TRNO's Debt to Equity ratio of 0.26 is amongst the best of the industry. TRNO outperforms 96.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 8.73 | ||
| Altman-Z | 3.13 |
ROIC/WACC0.33
WACC8%
2.3 Liquidity
TRNO has a Current Ratio of 0.15. This is a bad value and indicates that TRNO is not financially healthy enough and could expect problems in meeting its short term obligations.
TRNO has a worse Current ratio (0.15) than 94.53% of its industry peers.
TRNO has a Quick Ratio of 0.15. This is a bad value and indicates that TRNO is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.15, TRNO is doing worse than 93.75% of the companies in the same industry.
TRNO does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.15 | ||
| Quick Ratio | 0.15 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 74.03% over the past year.
TRNO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.70% yearly.
The Revenue has grown by 21.13% in the past year. This is a very strong growth!
TRNO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.48% yearly.
EPS 1Y (TTM)74.03%
EPS 3Y16%
EPS 5Y17.7%
EPS Q2Q%170.27%
Revenue 1Y (TTM)21.13%
Revenue growth 3Y19.91%
Revenue growth 5Y17.48%
Sales Q2Q%16.67%
3.2 Future
Based on estimates for the next years, TRNO will show a decrease in Earnings Per Share. The EPS will decrease by -1.30% on average per year.
Based on estimates for the next years, TRNO will show a quite strong growth in Revenue. The Revenue will grow by 16.62% on average per year.
EPS Next Y-0.83%
EPS Next 2Y-10.24%
EPS Next 3Y-1.3%
EPS Next 5YN/A
Revenue Next Year19.61%
Revenue Next 2Y15.16%
Revenue Next 3Y13.61%
Revenue Next 5Y16.62%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.82, the valuation of TRNO can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of TRNO indicates a rather cheap valuation: TRNO is cheaper than 83.59% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.15, TRNO is valued a bit cheaper.
With a Price/Forward Earnings ratio of 40.35, TRNO can be considered very expensive at the moment.
TRNO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TRNO is cheaper than 64.84% of the companies in the same industry.
TRNO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 36.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.82 | ||
| Fwd PE | 40.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TRNO is valued expensively inside the industry as 90.63% of the companies are valued cheaper.
Based on the Price/Free Cash Flow ratio, TRNO is valued a bit cheaper than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.06 | ||
| EV/EBITDA | 26.44 |
4.3 Compensation for Growth
TRNO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.12
EPS Next 2Y-10.24%
EPS Next 3Y-1.3%
5. Dividend
5.1 Amount
TRNO has a Yearly Dividend Yield of 3.31%.
Compared to an average industry Dividend Yield of 6.34, TRNO is paying slightly less dividend.
TRNO's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
5.2 History
The dividend of TRNO is nicely growing with an annual growth rate of 13.58%!
TRNO has paid a dividend for at least 10 years, which is a reliable track record.
TRNO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)13.58%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
62.29% of the earnings are spent on dividend by TRNO. This is not a sustainable payout ratio.
TRNO's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP62.29%
EPS Next 2Y-10.24%
EPS Next 3Y-1.3%
62.42
-0.42 (-0.67%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners110.79%
Inst Owner Change-0.05%
Ins Owners1.93%
Ins Owner Change2.83%
Market Cap6.45B
Revenue(TTM)442.61M
Net Income(TTM)319.48M
Analysts74.17
Price Target66.66 (6.79%)
Short Float %5.59%
Short Ratio8.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.31% |
Yearly Dividend1.87
Dividend Growth(5Y)13.58%
DP62.29%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)153.09%
Min EPS beat(2)136.35%
Max EPS beat(2)169.84%
EPS beat(4)4
Avg EPS beat(4)111.37%
Min EPS beat(4)29.8%
Max EPS beat(4)169.84%
EPS beat(8)7
Avg EPS beat(8)67.71%
EPS beat(12)11
Avg EPS beat(12)63.57%
EPS beat(16)14
Avg EPS beat(16)74.9%
Revenue beat(2)0
Avg Revenue beat(2)-1.48%
Min Revenue beat(2)-2.16%
Max Revenue beat(2)-0.8%
Revenue beat(4)0
Avg Revenue beat(4)-0.85%
Min Revenue beat(4)-2.16%
Max Revenue beat(4)0%
Revenue beat(8)2
Avg Revenue beat(8)-0.41%
Revenue beat(12)3
Avg Revenue beat(12)-0.26%
Revenue beat(16)4
Avg Revenue beat(16)-0.12%
PT rev (1m)4.77%
PT rev (3m)4.77%
EPS NQ rev (1m)15.45%
EPS NQ rev (3m)11.4%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.75%
Revenue NQ rev (1m)2.53%
Revenue NQ rev (3m)2.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.82 | ||
| Fwd PE | 40.35 | ||
| P/S | 14.58 | ||
| P/FCF | 55.06 | ||
| P/OCF | 25.52 | ||
| P/B | 1.62 | ||
| P/tB | 1.62 | ||
| EV/EBITDA | 26.44 |
EPS(TTM)3.15
EY5.05%
EPS(NY)1.55
Fwd EY2.48%
FCF(TTM)1.13
FCFY1.82%
OCF(TTM)2.45
OCFY3.92%
SpS4.28
BVpS38.64
TBVpS38.64
PEG (NY)N/A
PEG (5Y)1.12
Graham Number52.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.99% | ||
| ROE | 8% | ||
| ROCE | 3.38% | ||
| ROIC | 2.67% | ||
| ROICexc | 2.69% | ||
| ROICexgc | 2.74% | ||
| OM | 39.36% | ||
| PM (TTM) | 72.18% | ||
| GM | 74.53% | ||
| FCFM | 26.48% |
ROA(3y)4.65%
ROA(5y)4.12%
ROE(3y)6.34%
ROE(5y)5.65%
ROIC(3y)2.73%
ROIC(5y)2.65%
ROICexc(3y)2.78%
ROICexc(5y)2.75%
ROICexgc(3y)2.84%
ROICexgc(5y)2.81%
ROCE(3y)3.45%
ROCE(5y)3.35%
ROICexgc growth 3Y-1.28%
ROICexgc growth 5Y1.14%
ROICexc growth 3Y-1.28%
ROICexc growth 5Y1.26%
OM growth 3Y-0.86%
OM growth 5Y2.39%
PM growth 3Y7.03%
PM growth 5Y8.26%
GM growth 3Y-0.14%
GM growth 5Y0.06%
F-Score4
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 8.73 | ||
| Debt/EBITDA | 3.61 | ||
| Cap/Depr | 124.22% | ||
| Cap/Sales | 30.66% | ||
| Interest Coverage | 9.91 | ||
| Cash Conversion | 89.23% | ||
| Profit Quality | 36.69% | ||
| Current Ratio | 0.15 | ||
| Quick Ratio | 0.15 | ||
| Altman-Z | 3.13 |
F-Score4
WACC8%
ROIC/WACC0.33
Cap/Depr(3y)188.52%
Cap/Depr(5y)155.5%
Cap/Sales(3y)44.39%
Cap/Sales(5y)36.62%
Profit Quality(3y)20.15%
Profit Quality(5y)43.35%
High Growth Momentum
Growth
EPS 1Y (TTM)74.03%
EPS 3Y16%
EPS 5Y17.7%
EPS Q2Q%170.27%
EPS Next Y-0.83%
EPS Next 2Y-10.24%
EPS Next 3Y-1.3%
EPS Next 5YN/A
Revenue 1Y (TTM)21.13%
Revenue growth 3Y19.91%
Revenue growth 5Y17.48%
Sales Q2Q%16.67%
Revenue Next Year19.61%
Revenue Next 2Y15.16%
Revenue Next 3Y13.61%
Revenue Next 5Y16.62%
EBIT growth 1Y19.87%
EBIT growth 3Y18.88%
EBIT growth 5Y20.28%
EBIT Next Year100.2%
EBIT Next 3Y37.86%
EBIT Next 5Y29.83%
FCF growth 1Y151.19%
FCF growth 3Y-4.92%
FCF growth 5Y11.51%
OCF growth 1Y44.66%
OCF growth 3Y20.74%
OCF growth 5Y19.7%
TERRENO REALTY CORP / TRNO FAQ
What is the ChartMill fundamental rating of TERRENO REALTY CORP (TRNO) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TRNO.
What is the valuation status of TERRENO REALTY CORP (TRNO) stock?
ChartMill assigns a valuation rating of 4 / 10 to TERRENO REALTY CORP (TRNO). This can be considered as Fairly Valued.
Can you provide the profitability details for TERRENO REALTY CORP?
TERRENO REALTY CORP (TRNO) has a profitability rating of 8 / 10.
What is the valuation of TERRENO REALTY CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TERRENO REALTY CORP (TRNO) is 19.82 and the Price/Book (PB) ratio is 1.62.
How financially healthy is TERRENO REALTY CORP?
The financial health rating of TERRENO REALTY CORP (TRNO) is 6 / 10.