* Note: Prices are in Million (M) USD.
Description:
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $7 M
Debt : $1,672 M
EBITDA : $137 M
Net Debt (Debt - Cash): $1,665 M
Since EBITDA cannot cover net debt within 3 years, Avoid This Stock.
This criteria used industry in which company operates:
Sector: Real Estate
Industry: REIT - Residential
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 22.58
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $-117 M
Average Revenue: $575 M
Revenue Converted To Free Cash Flow (%): -20%
Avg Free Cash Flow Growth Per Year (Last 5 Years): -62.58%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $271 M
Revenue 4 Years Ago (2020-12-31): $314 M
Last 5 Years Average Revenue Growth: -3%
Since Revenue Growth is between 0 - 5, 1 point assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $101 M
Share Count 5 Years Ago (2020-12-31): $91 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $0.71
Trailing 12-Month Earnings Per Share (EPS): $0.64
Average Earnings Per Share (EPS): $0.68
Dividend Per Share (DPS): $0
Payout Ratio: 46%
Dividend Yield: 2%
Since company Payout Ratio is less than 50, 2 points assigned.
Since Dividend Yield is greater than 2, 2 points assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: 0%
Since Average ROE is negative, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $15
52-Week Low: $14
Threshold Price (15% Above 52-Week Low): $16
Since Current price is within 15% threshold, 5 points assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $1,623 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Value-Trade has assigned 16 points to above Veris Residential Inc (VRE) stock.
Last 13 Years Avg PE 33.74, Fair Value PE 12, Industry Based PE 20. Based on these 3 values, average assigned is 21.91.
Value-Trades has assined P/E value 21.91. Since an average (Current Year EPS + Next Year EPS) earning per share is $0.675.
The fair value of Veris Residential Inc (VRE) stock should be (21.91 x $0.675) = $14.79
