URBAN EDGE PROPERTIES (UE)
US91704F1049 - REIT
UE gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 126 industry peers in the Diversified REITs industry. UE has an excellent profitability rating, but there are concerns on its financial health. UE has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year UE was profitable.
UE had a positive operating cash flow in the past year.
Each year in the past 5 years UE has been profitable.
Each year in the past 5 years UE had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.57%, UE belongs to the top of the industry, outperforming 98.37% of the companies in the same industry.
UE has a Return On Equity of 21.58%. This is amongst the best in the industry. UE outperforms 95.12% of its industry peers.
UE's Return On Invested Capital of 3.11% is fine compared to the rest of the industry. UE outperforms 60.98% of its industry peers.
The Average Return On Invested Capital over the past 3 years for UE is in line with the industry average of 2.95%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.57% | ||
| ROE | 21.58% | ||
| ROIC | 3.11% |
ROA(3y)4.19%
ROA(5y)3.92%
ROE(3y)12.2%
ROE(5y)11.55%
ROIC(3y)3.39%
ROIC(5y)3.06%
1.3 Margins
UE's Profit Margin of 59.58% is amongst the best of the industry. UE outperforms 97.56% of its industry peers.
UE's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 29.95%, UE is in the better half of the industry, outperforming 68.29% of the companies in the same industry.
UE's Operating Margin has been stable in the last couple of years.
UE has a Gross Margin of 64.98%. This is in the lower half of the industry: UE underperforms 62.60% of its industry peers.
UE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.95% | ||
| PM (TTM) | 59.58% | ||
| GM | 64.98% |
OM growth 3Y17.18%
OM growth 5Y-0.37%
PM growth 3Y28.11%
PM growth 5Y18.63%
GM growth 3Y1.31%
GM growth 5Y0.32%
2. Health
2.1 Basic Checks
UE 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 UE remains at a similar level compared to 1 year ago.
Compared to 5 years ago, UE has more shares outstanding
UE has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.89, we must say that UE is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.89, UE is in the better half of the industry, outperforming 71.54% of the companies in the same industry.
A Debt/Equity ratio of 1.51 is on the high side and indicates that UE has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.51, UE is doing worse than 65.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.89 |
ROIC/WACC0.44
WACC7.13%
2.3 Liquidity
UE has a Current Ratio of 1.67. This is a normal value and indicates that UE is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of UE (1.67) is better than 67.48% of its industry peers.
A Quick Ratio of 1.67 indicates that UE should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.67, UE is doing good in the industry, outperforming 70.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
UE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 505.00%, which is quite impressive.
UE shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 39.87% yearly.
The Revenue has been growing slightly by 4.74% in the past year.
Measured over the past years, UE shows a small growth in Revenue. The Revenue has been growing by 0.13% on average per year.
EPS 1Y (TTM)505%
EPS 3Y65.9%
EPS 5Y39.87%
EPS growth Q2Q1475%
Revenue 1Y (TTM)4.74%
Revenue growth 3Y8.09%
Revenue growth 5Y0.13%
Revenue growth Q2Q14.75%
3.2 Future
UE is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -36.56% yearly.
Based on estimates for the next years, UE will show a quite strong growth in Revenue. The Revenue will grow by 9.34% on average per year.
EPS Next Y-86.38%
EPS Next 2Y-57.89%
EPS Next 3Y-36.56%
EPS Next 5YN/A
Revenue Next Year23.79%
Revenue Next 2Y13.13%
Revenue Next 3Y9.34%
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 decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 6.82, which indicates a rather cheap valuation of UE.
98.37% of the companies in the same industry are more expensive than UE, based on the Price/Earnings ratio.
UE is valuated cheaply when we compare the Price/Earnings ratio to 24.92, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 50.09, which means the current valuation is very expensive for UE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UE is on the same level as its industry peers.
UE's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 21.49.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.82 | ||
| Fwd PE | 50.09 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UE is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.16 |
4.3 Compensation for Growth
UE has a very decent profitability rating, which may justify a higher PE ratio.
UE's earnings are expected to decrease with -36.56% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.17
EPS Next 2Y-57.89%
EPS Next 3Y-36.56%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.10%, UE is a good candidate for dividend investing.
UE's Dividend Yield is slightly below the industry average, which is at 6.06.
UE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
5.2 History
The dividend of UE decreases each year by -6.16%.
UE has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of UE decreased in the last 3 years.
Dividend Growth(5Y)-6.16%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
UE pays out 30.28% of its income as dividend. This is a sustainable payout ratio.
UE's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP30.28%
EPS Next 2Y-57.89%
EPS Next 3Y-36.56%
URBAN EDGE PROPERTIES
NYSE:UE (4/26/2024, 7:21:25 PM)
After market: 16.51 0 (0%)16.51
-0.07 (-0.42%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.96B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.82 | ||
| Fwd PE | 50.09 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.57% | ||
| ROE | 21.58% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 29.95% | ||
| PM (TTM) | 59.58% | ||
| GM | 64.98% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.51 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)505%
EPS 3Y65.9%
EPS 5Y
EPS growth Q2Q
EPS Next Y-86.38%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.74%
Revenue growth 3Y8.09%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y