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Artis Real Estate Investment Trust

Market Cap

CA$1.5b

Last Updated

2021/04/10 23:42 UTC

Data Sources

Company Financials +

Executive Summary

Artis is a diversified Canadian real estate investment trust investing in industrial and office properties in Canada and the United States. More Details


Snowflake Analysis

Established dividend payer and slightly overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AX.UN is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: AX.UN's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

2.2%

AX.UN

2.7%

CA REITs

1.0%

CA Market


1 Year Return

24.3%

AX.UN

17.4%

CA REITs

39.2%

CA Market

Return vs Industry: AX.UN exceeded the Canadian REITs industry which returned 17.4% over the past year.

Return vs Market: AX.UN underperformed the Canadian Market which returned 39.2% over the past year.


Shareholder returns

AX.UNIndustryMarket
7 Day2.2%2.7%1.0%
30 Day6.5%3.7%1.4%
90 Day4.2%10.2%7.5%
1 Year32.0%24.3%24.0%17.4%44.0%39.2%
3 Year-2.1%-18.3%26.8%7.8%32.2%19.6%
5 Year19.7%-15.2%42.6%7.8%59.4%35.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

10.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AX.UN (CA$11.1) is trading below our estimate of fair value (CA$12.82)

Significantly Below Fair Value: AX.UN is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: AX.UN is poor value based on its PE Ratio (366.7x) compared to the CA REITs industry average (10.9x).

PE vs Market: AX.UN is poor value based on its PE Ratio (366.7x) compared to the Canadian market (16.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: AX.UN is good value based on its PB Ratio (0.7x) compared to the CA REITs industry average (0.9x).


Future Growth

How is Artis Real Estate Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-3.5%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if AX.UN's forecast earnings growth is above the savings rate (1.5%).

Earnings vs Market: Insufficient data to determine if AX.UN's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: AX.UN's revenue is expected to decline over the next 3 years (-2.1% per year).

High Growth Revenue: AX.UN's revenue is forecast to decline over the next 3 years (-2.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


Past Performance

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

18.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AX.UN has a large one-off loss of CA$140.0M impacting its December 31 2020 financial results.

Growing Profit Margin: AX.UN's current net profit margins (0.9%) are lower than last year (19.2%).


Past Earnings Growth Analysis

Earnings Trend: AX.UN has become profitable over the past 5 years, growing earnings by 18.4% per year.

Accelerating Growth: AX.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: AX.UN had negative earnings growth (-95.9%) over the past year, making it difficult to compare to the REITs industry average (-17.1%).


Return on Equity

High ROE: AX.UN's Return on Equity (0.9%) is considered low.


Financial Health

How is Artis Real Estate Investment Trust's financial position?


Financial Position Analysis

Short Term Liabilities: AX.UN's short term assets (CA$173.6M) do not cover its short term liabilities (CA$877.6M).

Long Term Liabilities: AX.UN's short term assets (CA$173.6M) do not cover its long term liabilities (CA$1.6B).


Debt to Equity History and Analysis

Debt Level: AX.UN's debt to equity ratio (102.7%) is considered high.

Reducing Debt: AX.UN's debt to equity ratio has reduced from 110.3% to 102.7% over the past 5 years.

Debt Coverage: AX.UN's debt is not well covered by operating cash flow (7.4%).

Interest Coverage: AX.UN's interest payments on its debt are not well covered by EBIT (2.6x coverage).


Balance Sheet


Dividend

What is Artis Real Estate Investment Trust current dividend yield, its reliability and sustainability?

5.41%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AX.UN's dividend (5.41%) is higher than the bottom 25% of dividend payers in the Canadian market (1.47%).

High Dividend: AX.UN's dividend (5.41%) is in the top 25% of dividend payers in the Canadian market (4.73%)


Stability and Growth of Payments

Stable Dividend: AX.UN's dividends per share have been stable in the past 10 years.

Growing Dividend: AX.UN's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.7%), AX.UN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AX.UN's dividends in 3 years are forecast to be well covered by earnings (44.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

9.1yrs

Average management tenure


CEO

Samir Manji (51 yo)

0.25

Tenure

Mr. Samir A. Manji, CPA serves as Trustee at Artis Real Estate Investment Trust since November 30, 2020 and serves as its Chief Executive Officer since March 10, 2021. He served as Chairman of the Board at...


Leadership Team

Experienced Management: AX.UN's management team is seasoned and experienced (9.1 years average tenure).


Board Members

Experienced Board: AX.UN's board of directors are not considered experienced ( 0.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Artis Real Estate Investment Trust
  • Ticker: AX.UN
  • Exchange: TSX
  • Founded: 2003
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: CA$1.472b
  • Shares outstanding: 132.58m
  • Website: https://www.artisreit.com

Number of Employees


Location

  • Artis Real Estate Investment Trust
  • 220 Portage Avenue
  • Suite 600
  • Winnipeg
  • Manitoba
  • R3C 0A5
  • Canada

Listings


Biography

Artis is a diversified Canadian real estate investment trust investing in industrial and office properties in Canada and the United States. Since 2004, Artis has executed an aggressive but disciplined grow...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/10 23:42
End of Day Share Price2021/04/09 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.