* Note: Prices are in Million (M) USD.
Description:
Douglas Emmett, Inc. (DEI) is a fully integrated, self-managed and self-managed Real Estate Investment Trust (REIT) and one of the largest owners and operators of high-quality multifamily and office properties located in major coastal submarkets. from Los Angeles and Honolulu.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $445 M
Debt : $5,509 M
EBITDA : $586 M
Net Debt (Debt - Cash): $5,064 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 - Office
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: 10.64
Since Forward PE Ratio is less than 15, 5 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $7 M
Average Revenue: $713 M
Revenue Converted To Free Cash Flow (%): 1%
Avg Free Cash Flow Growth Per Year (Last 5 Years): 1.95%
Since Free Cash Flow (FCF) to Revenue percentage is less than 15, 1 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $986 M
Revenue 4 Years Ago (2020-12-31): $892 M
Last 5 Years Average Revenue Growth: 2%
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): $167 M
Share Count 5 Years Ago (2020-12-31): $175 M
Company is buying back its own shares, 3 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $1.45
Trailing 12-Month Earnings Per Share (EPS): $1.47
Average Earnings Per Share (EPS): $1.46
Dividend Per Share (DPS): $1
Payout Ratio: 52%
Dividend Yield: 5%
Since company Payout Ratio is greater than 50, 1 point assigned.
Since Dividend Yield is greater than 4, 4 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: $16
52-Week Low: $12
Threshold Price (15% Above 52-Week Low): $14
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $3,156 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 19 points to above Douglas Emmett Inc (DEI) stock.
Last 3 Years Avg PE 33.03, Fair Value PE 12, Industry Based PE 20, Growth Based PE 2, RCFC Based PE 1. Based on these 5 values, average assigned is 13.61.
Value-Trades has assined P/E value 13.61. Since an average (Current Year EPS + Next Year EPS) earning per share is $1.46.
The fair value of Douglas Emmett Inc (DEI) stock should be (13.61 x $1.46) = $19.87
