TSX:APR.UN

Stock Analysis Report

Automotive Properties Real Estate Investment Trust

Executive Summary

Automotive Properties REIT is an unincorporated, open-ended real estate investment trust focused on owning and acquiring primarily income-producing automotive dealership properties located in Canada.

Snowflake

Fundamentals

Average dividend payer with moderate growth potential.

Share Price & News

How has Automotive Properties Real Estate Investment Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.3%

APR.UN

-0.8%

CA REITs

0.1%

CA Market


1 Year Return

15.4%

APR.UN

17.2%

CA REITs

1.6%

CA Market

Return vs Industry: APR.UN underperformed the Canadian REITs industry which returned 17.2% over the past year.

Return vs Market: APR.UN exceeded the Canadian Market which returned 1.6% over the past year.


Shareholder returns

APR.UNIndustryMarket
7 Day-0.3%-0.8%0.1%
30 Day7.3%1.7%-2.9%
90 Day10.1%5.9%-1.4%
1 Year24.7%15.4%23.6%17.2%5.2%1.6%
3 Year40.9%12.2%40.3%18.1%13.8%3.7%
5 Yearn/a67.0%24.3%25.3%7.2%

Price Volatility Vs. Market

How volatile is Automotive Properties Real Estate Investment Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Automotive Properties Real Estate Investment Trust undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: APR.UN (CA$11.64) is trading below our estimate of fair value (CA$30.81)

Significantly Undervalued: APR.UN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: APR.UN is poor value based on its PE Ratio (35.1x) compared to the REITs industry average (9.6x).

PE vs Market: APR.UN is poor value based on its PE Ratio (35.1x) compared to the Canadian market (13.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate APR.UN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: APR.UN is overvalued based on its PB Ratio (1.1x) compared to the CA REITs industry average (1x).


Next Steps

Future Growth

How is Automotive Properties Real Estate Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

14.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: APR.UN's forecast earnings growth (14.1% per year) is above the savings rate (1.9%).

Earnings vs Market: APR.UN's earnings (14.1% per year) are forecast to grow faster than the Canadian market (13.2% per year).

High Growth Earnings: APR.UN's earnings are forecast to grow, but not significantly.

Revenue vs Market: APR.UN's revenue (15.2% per year) is forecast to grow faster than the Canadian market (5.8% per year).

High Growth Revenue: APR.UN's revenue (15.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if APR.UN's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Automotive Properties Real Estate Investment Trust performed over the past 5 years?

21.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: APR.UN's earnings have grown significantly by 21.3% per year over the past 5 years.

Accelerating Growth: APR.UN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: APR.UN had negative earnings growth (-74.7%) over the past year, making it difficult to compare to the REITs industry average (6%).


Return on Equity

High ROE: APR.UN's Return on Equity (3.2%) is considered low.


Return on Assets

ROA vs Industry: APR.UN's Return on Assets is below or equal to the REITs industry average last year.


Return on Capital Employed

ROCE Improving: APR.UN's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Automotive Properties Real Estate Investment Trust's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: APR.UN has a high level of physical assets or inventory.

Debt Coverage by Assets: APR.UN's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

Asset Level: APR.UN's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if APR.UN has a sufficient allowance for bad loans.

Low Risk Liabilities: APR.UN reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if APR.UN has an acceptable proportion of non-loan assets held.

Low Risk Deposits: APR.UN has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if APR.UN has an appropriate level of bad loans.


Next Steps

Dividend

What is Automotive Properties Real Estate Investment Trust's current dividend yield, its reliability and sustainability?

6.91%

Current Dividend Yield


Dividend Yield vs Market

company6.9%marketbottom25%2.0%markettop25%6.0%industryaverage4.7%forecastin3Years6.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: APR.UN's dividend (6.91%) is higher than the bottom 25% of dividend payers in the Canadian market (2.01%).

High Dividend: APR.UN's dividend (6.91%) is in the top 25% of dividend payers in the Canadian market (6.01%)

Stable Dividend: Whilst dividend payments have been stable, APR.UN has been paying a dividend for less than 10 years.

Growing Dividend: APR.UN has only been paying a dividend for 4 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (77.2%), APR.UN's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: APR.UN's dividends in 3 years are forecast to be thoroughly covered by earnings (1.7% payout ratio).


Next Steps

Management

What is the CEO of Automotive Properties Real Estate Investment Trust's salary, the management and board of directors tenure and is there insider trading?

4.3yrs

Average board tenure


CEO

Milton Lamb (50yo)

4.3yrs

Tenure

CA$902,161

Compensation

Mr. Milton Donald Lamb has been Chief Executive Officer and President of Automotive Properties Real Estate Investment Trust since July 22, 2015. With over 25 years of experience in the Canadian commercial  ...


CEO Compensation Analysis

Compensation vs. Market: Milton's total compensation ($USD686.98K) is below average for companies of similar size in the Canadian market ($USD1.08M).

Compensation vs Earnings: Milton's compensation has been consistent with company performance over the past year.


Board Age and Tenure

4.3yrs

Average Tenure

62yo

Average Age

Experienced Board: APR.UN's board of directors are considered experienced (4.3 years average tenure).


Insider Trading

Insider Buying: APR.UN insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyCA$51,55428 Aug 19
Kapil Dilawri
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares5,000
Max PriceCA$10.32
BuyCA$52,00027 Aug 19
Kapil Dilawri
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares5,000
Max PriceCA$10.40
BuyCA$198,52308 Jan 19
Kapil Dilawri
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares22,500
Max PriceCA$8.96
BuyCA$98,78025 Dec 18
John Morrison
EntityIndividual
Role
Lead Director
Lead Independent Trustee
Shares11,000
Max PriceCA$8.98
BuyCA$22,50018 Dec 18
Milton Lamb
EntityIndividual
Role
Chief Executive Officer
President & CEO
Shares2,500
Max PriceCA$9.00
BuyCA$119,98418 Dec 18
Stuart Lazier
EntityIndividual
Role
Member of the Board of Directors
Independent Trustee
Shares13,400
Max PriceCA$8.95
BuyCA$4,48018 Dec 18
Andrew Kalra
EntityIndividual
Role
Chief Financial Officer
CFO & Corporate Secretary
Shares500
Max PriceCA$8.96
BuyCA$46,50017 Dec 18
James Matthews
EntityIndividual
Role
Member of the Board of Directors
Shares5,000
Max PriceCA$9.30
BuyCA$47,79413 Dec 18
Louis Forbes
EntityIndividual
Role
Member of the Board of Directors
Independent Trustee
Shares5,000
Max PriceCA$9.57
BuyCA$71,25013 Dec 18
Stuart Lazier
EntityIndividual
Role
Member of the Board of Directors
Independent Trustee
Shares7,500
Max PriceCA$9.50

Ownership Breakdown


Management Team

  • Milton Lamb (50yo)

    President & CEO

    • Tenure: 4.3yrs
    • Compensation: CA$902.16k
  • Andrew Kalra (50yo)

    CFO & Corporate Secretary

    • Tenure: 4.3yrs
    • Compensation: CA$469.50k
  • Bruce Wigle

    Managing Partner

    • Tenure: 0yrs

Board Members

  • Louis Forbes (63yo)

    Independent Trustee

    • Tenure: 2.3yrs
    • Compensation: CA$68.50k
  • John Morrison (62yo)

    Lead Independent Trustee

    • Tenure: 4.3yrs
    • Compensation: CA$73.50k
  • Stuart Lazier (68yo)

    Independent Trustee

    • Tenure: 4.3yrs
    • Compensation: CA$66.00k
  • Kapil Dilawri (54yo)

    Chairman of the Board

    • Tenure: 4.3yrs
  • James Matthews (57yo)

    • Tenure: 4.3yrs
  • Patricia Kay

    Independent Trustee

    • Tenure: 0.3yrs

Company Information

Automotive Properties Real Estate Investment Trust's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Automotive Properties Real Estate Investment Trust
  • Ticker: APR.UN
  • Exchange: TSX
  • Founded: 2015
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Implied Market Cap: CA$460.071m
  • Market Cap: CA$346.832m
  • Shares outstanding: 39.73m
  • Website: https://www.automotivepropertiesreit.ca

Location

  • Automotive Properties Real Estate Investment Trust
  • 133 King Street East
  • Suite 300
  • Toronto
  • Ontario
  • M5C 1G6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
APR.UNTSX (The Toronto Stock Exchange)YesUnitsCACADJul 2015

Biography

Automotive Properties REIT is an unincorporated, open-ended real estate investment trust focused on owning and acquiring primarily income-producing automotive dealership properties located in Canada. The R ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 00:16
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.