SmartCentres Real Estate Investment Trust
Market Cap
CA$4.1b
Last Updated
2021/01/16 00:20 UTC
Data Sources
Company Financials +
Executive Summary
SmartCentres Real Estate Investment Trust is one of Canada’s largest fully integrated REITs, with a best-in-class portfolio featuring 166 strategically located properties in communities across the country. More Details
Rewards
Risk Analysis
Snowflake Analysis
6 star dividend payer and slightly overvalued.
Share Price & News
How has SmartCentres Real Estate Investment Trust's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SRU.UN is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: SRU.UN's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
1.1%
SRU.UN
-0.2%
CA REITs
-0.5%
CA Market
1 Year Return
-27.0%
SRU.UN
-20.1%
CA REITs
1.7%
CA Market
Return vs Industry: SRU.UN underperformed the Canadian REITs industry which returned -20.3% over the past year.
Return vs Market: SRU.UN underperformed the Canadian Market which returned 2.6% over the past year.
Shareholder returns
| SRU.UN | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.1% | -0.2% | -0.5% |
| 30 Day | -2.7% | -3.3% | 3.4% |
| 90 Day | 14.3% | 10.7% | 12.3% |
| 1 Year | -20.7%-27.0% | -15.4%-20.1% | 5.3%1.7% |
| 3 Year | -5.8%-22.6% | 10.0%-6.7% | 13.0%2.3% |
| 5 Year | 6.8%-20.9% | 42.6%7.6% | 66.2%40.7% |
Long-Term Price Volatility Vs. Market
How volatile is SmartCentres Real Estate Investment Trust's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Insider Buying: The SmartCentres Real Estate Investment Trust (TSE:SRU.UN) Executive Chairman Just Bought CA$690k Worth Of Shares1 month ago | Simply Wall St
Have Insiders Been Buying SmartCentres Real Estate Investment Trust (TSE:SRU.UN) Shares?2 months ago | Simply Wall St
Is SmartCentres Real Estate Investment Trust (TSE:SRU.UN) Popular Amongst Insiders?Valuation
Is SmartCentres Real Estate Investment Trust undervalued compared to its fair value and its price relative to the market?
45.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SRU.UN (CA$23.59) is trading below our estimate of fair value (CA$43.46)
Significantly Below Fair Value: SRU.UN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SRU.UN is poor value based on its PE Ratio (28x) compared to the CA REITs industry average (8.8x).
PE vs Market: SRU.UN is poor value based on its PE Ratio (28x) compared to the Canadian market (16.9x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SRU.UN's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SRU.UN's PB Ratio (0.8x) is in line with the CA REITs industry average.
Next Steps
Future Growth
How is SmartCentres Real Estate Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
-3.3%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if SRU.UN's forecast earnings growth is above the savings rate (1.5%).
Earnings vs Market: Insufficient data to determine if SRU.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: SRU.UN's revenue is expected to decline over the next 3 years (-3.3% per year).
High Growth Revenue: SRU.UN's revenue is forecast to decline over the next 3 years (-3.3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if SRU.UN's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has SmartCentres Real Estate Investment Trust performed over the past 5 years?
-4.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SRU.UN has a large one-off loss of CA$245.6M impacting its September 30 2020 financial results.
Growing Profit Margin: SRU.UN's current net profit margins (14.3%) are lower than last year (38.4%).
Past Earnings Growth Analysis
Earnings Trend: SRU.UN's earnings have declined by 4.1% per year over the past 5 years.
Accelerating Growth: SRU.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: SRU.UN had negative earnings growth (-60.9%) over the past year, making it difficult to compare to the REITs industry average (16.4%).
Return on Equity
High ROE: SRU.UN's Return on Equity (2.8%) is considered low.
Next Steps
Financial Health
How is SmartCentres Real Estate Investment Trust's financial position?
Financial Position Analysis
Short Term Liabilities: SRU.UN's short term assets (CA$568.0M) do not cover its short term liabilities (CA$1.0B).
Long Term Liabilities: SRU.UN's short term assets (CA$568.0M) do not cover its long term liabilities (CA$4.1B).
Debt to Equity History and Analysis
Debt Level: SRU.UN's debt to equity ratio (92.8%) is considered high.
Reducing Debt: SRU.UN's debt to equity ratio has increased from 86.9% to 92.8% over the past 5 years.
Debt Coverage: SRU.UN's debt is not well covered by operating cash flow (7%).
Interest Coverage: SRU.UN's interest payments on its debt are well covered by EBIT (3.4x coverage).
Balance Sheet
Next Steps
Dividend
What is SmartCentres Real Estate Investment Trust current dividend yield, its reliability and sustainability?
7.84%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SRU.UN's dividend (7.84%) is higher than the bottom 25% of dividend payers in the Canadian market (1.55%).
High Dividend: SRU.UN's dividend (7.84%) is in the top 25% of dividend payers in the Canadian market (5%)
Stability and Growth of Payments
Stable Dividend: SRU.UN's dividends per share have been stable in the past 10 years.
Growing Dividend: SRU.UN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (62.7%), SRU.UN's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SRU.UN's dividends in 3 years are forecast to be covered by earnings (88.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.6yrs
Average management tenure
CEO
Peter Forde (65 yo)
2.5yrs
Tenure
CA$1,791,457
Compensation
Mr. Peter Forde, CPA, CA, has been the President of SmartCentres Real Estate Investment Trust since August 2016 and its Chief Executive Officer since July 01, 2018 and its Trustee since May 31, 2019. Mr. F...
CEO Compensation Analysis
Compensation vs Market: Peter's total compensation ($USD1.41M) is below average for companies of similar size in the Canadian market ($USD2.98M).
Compensation vs Earnings: Peter's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.5yrs | CA$1.79m | 0.0011% CA$ 45.8k | |
| Chief Financial Officer | 6.17yrs | CA$1.18m | no data | |
| Executive Vice President of Portfolio Management & Investments | 5.58yrs | CA$1.01m | 0.021% CA$ 841.4k | |
| Chief Development Officer | 5.67yrs | CA$1.06m | 0.0035% CA$ 140.4k | |
| Legal Counsel | no data | no data | no data | |
| Senior Vice President of Human Resources & Corporate Services | 5.58yrs | no data | no data | |
| Director of Asset Management | no data | no data | no data | |
| Executive Vice President of Development | 3.58yrs | no data | no data | |
| Executive Vice President of Development | 5.67yrs | no data | no data | |
| Director of Operations Accounting | no data | no data | no data | |
| Senior Director of Property Management | no data | no data | no data | |
| Vice President of Leasing | no data | no data | no data |
5.6yrs
Average Tenure
57yo
Average Age
Experienced Management: SRU.UN's management team is seasoned and experienced (5.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.5yrs | CA$1.79m | 0.0011% CA$ 45.8k | |
| Lead Independent Trustee | 5.67yrs | CA$380.00k | 0.12% CA$ 4.9m | |
| Independent Trustee | 19.08yrs | CA$307.00k | 0.014% CA$ 561.1k | |
| Independent Trustee | 19.08yrs | CA$272.00k | 0.019% CA$ 764.7k | |
| Executive Chairman | 5.67yrs | CA$1.11m | 10.39% CA$ 421.7m | |
| 5.5yrs | CA$162.00k | 0.0010% CA$ 42.2k | ||
| Independent Trustee | 7.67yrs | CA$346.00k | 0.0013% CA$ 52.3k | |
| Independent Trustee | 1.67yrs | CA$88.50k | no data |
5.7yrs
Average Tenure
63yo
Average Age
Experienced Board: SRU.UN's board of directors are considered experienced (5.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SRU.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
SmartCentres Real Estate Investment Trust's company bio, employee growth, exchange listings and data sources
Key Information
- Name: SmartCentres Real Estate Investment Trust
- Ticker: SRU.UN
- Exchange: TSX
- Founded: 1945
- Industry: Retail REITs
- Sector: Real Estate
- Implied Market Cap: CA$4.057b
- Market Cap: CA$3.410b
- Shares outstanding: 172.05m
- Website: https://www.smartcentres.com
Number of Employees
Location
- SmartCentres Real Estate Investment Trust
- 3200 Highway 7
- Vaughan
- Ontario
- L4K 5Z5
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SRU.UN | TSX (The Toronto Stock Exchange) | Yes | Trust Units | CA | CAD | Feb 1998 |
| CWYU.F | OTCPK (Pink Sheets LLC) | Yes | Trust Units | US | USD | Feb 1998 |
Biography
SmartCentres Real Estate Investment Trust is one of Canada’s largest fully integrated REITs, with a best-in-class portfolio featuring 166 strategically located properties in communities across the country....
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/16 00:20 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.