NYSE:ALEXREITs
Alexander & Baldwin (ALEX): One-Off Gain Drives Profit Margin Surge, Prompting Fresh Debate on Earnings Quality
Alexander & Baldwin (ALEX) turned in a strong year, with profit margins climbing to 32.9% from 23.8% a year ago and earnings growth accelerating to 49.7%, well ahead of the company’s five-year average of 18.4%. The bottom line was boosted by a one-off $15.7 million gain, helping the company continue its run of profitability since turning the corner five years ago. Investors will note the price-to-earnings ratio of 14.8x sits below both the global REIT average of 15.5x and at a much lower...