TSX:AX.UN

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Artis Real Estate Investment Trust

Executive Summary

Artis is a diversified Canadian real estate investment trust investing in office, retail and industrial properties. More Details


Snowflake Analysis

Established dividend payer and fair value.

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 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-5.5%

AX.UN

-3.5%

CA REITs

-8.4%

CA Market


1 Year Return

-32.5%

AX.UN

-27.5%

CA REITs

-60.8%

CA Market

Return vs Industry: AX.UN underperformed the Canadian REITs industry which returned -27.1% over the past year.

Return vs Market: AX.UN exceeded the Canadian Market which returned -60.7% over the past year.


Shareholder returns

AX.UNIndustryMarket
7 Day-5.5%-3.5%-8.4%
30 Day0.1%-3.7%-3.0%
90 Day6.0%-5.3%-26.8%
1 Year-28.4%-32.5%-23.3%-27.5%-59.2%-60.8%
3 Year-27.8%-40.3%-0.3%-15.6%-60.5%-64.6%
5 Year-10.4%-37.4%22.4%-8.0%-51.9%-59.6%

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?

35.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AX.UN (CA$8.34) is trading below our estimate of fair value (CA$12.84)

Significantly Below Fair Value: AX.UN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AX.UN is poor value based on its PE Ratio (370.2x) compared to the CA REITs industry average (7.4x).

PE vs Market: AX.UN is poor value based on its PE Ratio (370.2x) compared to the Canadian market (15.5x).


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 (0.5x) compared to the CA REITs industry average (0.7x).


Next Steps

Future Growth

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

-5.1%

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 (1.7%).

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 (-5.1% per year).

High Growth Revenue: AX.UN's revenue is forecast to decline over the next 3 years (-5.1% 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


Next Steps

Past Performance

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

18.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AX.UN has a large one-off loss of CA$149.1M impacting its June 30 2020 financial results.

Growing Profit Margin: AX.UN's current net profit margins (0.6%) are lower than last year (10.6%).


Past Earnings Growth Analysis

Earnings Trend: AX.UN's earnings have grown by 18.8% per year over the past 5 years.

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 (-94.5%) over the past year, making it difficult to compare to the REITs industry average (16.1%).


Return on Equity

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


Next Steps

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$162.3M) do not cover its short term liabilities (CA$910.1M).

Long Term Liabilities: AX.UN's short term assets (CA$162.3M) do not cover its long term liabilities (CA$1.9B).


Debt to Equity History and Analysis

Debt Level: AX.UN's debt to equity ratio (111.4%) is considered high.

Reducing Debt: AX.UN's debt to equity ratio has increased from 97% to 111.4% over the past 5 years.

Debt Coverage: AX.UN's debt is not well covered by operating cash flow (7.2%).

Interest Coverage: AX.UN's interest payments on its debt are not well covered by EBIT (2.5x coverage).


Balance Sheet


Next Steps

Dividend

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

6.47%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AX.UN's dividend (6.47%) is higher than the bottom 25% of dividend payers in the Canadian market (1.75%).

High Dividend: AX.UN's dividend (6.47%) is in the top 25% of dividend payers in the Canadian market (6.04%)


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 reasonably low payout ratio (48.8%), AX.UN's dividend payments are well 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 (40.1% payout ratio).


Next Steps

Management

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

14.5yrs

Average management tenure


CEO

Armin Martens (66 yo)

16.75yrs

Tenure

CA$3,282,618

Compensation

Mr. Armin Martens, P.Eng., M.B.A., has been the Chief Executive Officer and President at Artis Real Estate Investment Trust since 2004 and serves as its Trustee since November 8, 2004. Mr. Martens has been ...


CEO Compensation Analysis

Compensation vs Market: Armin's total compensation ($USD2.47M) is above average for companies of similar size in the Canadian market ($USD1.31M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Armin Martens
President16.75yrsCA$3.28m0.60%
CA$ 6.9m
James Green
Chief Financial Officer15.83yrsCA$1.02m0.074%
CA$ 838.0k
Kim Riley
Executive Vice President of Investments & Developmentsno dataCA$686.20k0.0060%
CA$ 67.6k
Frank Sherlock
Executive Vice President of Property Management13.17yrsCA$429.31kno data
Leon Wilkosz
Senior Vice President of Asset Management - Wisconsinno dataCA$518.49kno data
Jaclyn Koenig
Senior Vice President of Accountingno datano datano data
Heather Nikkel
Vice President of Investor Relationsno datano datano data
Kara Watson
Vice President of Legalno datano datano data
Philip Martens
Executive Vice President of U.S. Region4yrsCA$386.78k0.0032%
CA$ 36.0k
Brad Goerzen
Senior Vice President of Leasing - Central Regionno datano datano data
Marie Dunn
Senior Vice President of Asset Management - U.S. Regionno datano datano data
Ron Wieler
Senior Vice President of Construction & Development - U.S. Regionno datano datano data

14.5yrs

Average Tenure

62yo

Average Age

Experienced Management: AX.UN's management team is seasoned and experienced (14.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Armin Martens
President16.75yrsCA$3.28m0.60%
CA$ 6.9m
Lauren Zucker
Independent Trustee2.25yrsCA$145.75k0.056%
CA$ 633.5k
Edward Warkentin
Independent Chairman of the Board15yrsCA$320.00k0.029%
CA$ 327.0k
Victor Thielmann
Independent Trustee15.83yrsCA$124.50k0.042%
CA$ 478.6k
Kenneth Townsend
Independent Trustee15.83yrsCA$167.75k0.022%
CA$ 255.4k
Benjamin Rodney
Independent Trustee1.25yrsCA$106.75k0.012%
CA$ 134.1k
Bruce William Jack
Independent Trustee3.58yrsCA$219.25k0.0074%
CA$ 83.8k

15.0yrs

Average Tenure

65yo

Average Age

Experienced Board: AX.UN's board of directors are seasoned and experienced ( 15 years average tenure).


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$1.135b
  • Shares outstanding: 135.50m
  • Website: https://www.artisreit.com

Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AX.UNTSX (The Toronto Stock Exchange)YesTrust UnitsCACADFeb 2004
ARES.FOTCPK (Pink Sheets LLC)YesTrust UnitsUSUSDFeb 2004
5G6DB (Deutsche Boerse AG)YesTrust UnitsDEEURFeb 2004
AX.PRGTSX (The Toronto Stock Exchange)PFD UNIT SER GCACADJul 2013
AX.PRITSX (The Toronto Stock Exchange)PREF SHS ICACADJan 2018

Biography

Artis is a diversified Canadian real estate investment trust investing in office, retail and industrial properties. Since 2004, Artis has executed an aggressive but disciplined growth strategy, building a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/31 00:24
End of Day Share Price2020/10/30 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.