DB:WY4

Stock Analysis Report

Executive Summary

One of the country's leading real estate investment trusts (REITs), Mack-Cali Realty Corporation is an owner, manager and developer of premier office and multifamily properties in select waterfront and transit-oriented markets throughout the Northeast.


Snowflake Analysis

Proven track record average dividend payer.


Similar Companies

Share Price & News

How has Mack-Cali Realty's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WY4 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.5%

WY4

2.7%

DE REITs

-0.2%

DE Market


1 Year Return

3.5%

WY4

44.0%

DE REITs

13.7%

DE Market

Return vs Industry: WY4 underperformed the German REITs industry which returned 44.2% over the past year.

Return vs Market: WY4 underperformed the German Market which returned 14.4% over the past year.


Shareholder returns

WY4IndustryMarket
7 Day-1.5%2.7%-0.2%
30 Day-6.2%8.3%0.3%
90 Day3.1%16.4%3.7%
1 Year7.3%3.5%48.6%44.0%17.2%13.7%
3 Year-19.4%-27.8%41.2%21.1%15.4%5.3%
5 Year38.4%17.6%44.6%13.5%21.3%4.7%

Price Volatility Vs. Market

How volatile is Mack-Cali Realty's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Mack-Cali Realty undervalued compared to its fair value and its price relative to the market?

10.47x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: WY4 (€19.7) is trading above our estimate of fair value (€19.06)

Significantly Below Fair Value: WY4 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: WY4 is poor value based on its PE Ratio (10.5x) compared to the REITs industry average (9.8x).

PE vs Market: WY4 is good value based on its PE Ratio (10.5x) compared to the German market (20.7x).


Price to Earnings Growth Ratio

PEG Ratio: WY4's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: WY4 is good value based on its PB Ratio (1.2x) compared to the DE REITs industry average (1.7x).


Next Steps

Future Growth

How is Mack-Cali Realty forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-51.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WY4's earnings are forecast to decline over the next 3 years (-51.3% per year).

Earnings vs Market: WY4's earnings are forecast to decline over the next 3 years (-51.3% per year).

High Growth Earnings: WY4's earnings are forecast to decline over the next 3 years.

Revenue vs Market: WY4's revenue is expected to decline over the next 3 years (-1.6% per year).

High Growth Revenue: WY4's revenue is forecast to decline over the next 3 years (-1.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WY4 is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Mack-Cali Realty performed over the past 5 years?

53.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WY4 has a large one-off gain of $282.3M impacting its September 30 2019 financial results.

Growing Profit Margin: WY4's current net profit margins (35%) are higher than last year (5.8%).


Past Earnings Growth Analysis

Earnings Trend: WY4 has become profitable over the past 5 years, growing earnings by 53.8% per year.

Accelerating Growth: WY4's earnings growth over the past year (490.7%) exceeds its 5-year average (53.8% per year).

Earnings vs Industry: WY4 earnings growth over the past year (490.7%) exceeded the REITs industry 91.2%.


Return on Equity

High ROE: WY4's Return on Equity (11%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Mack-Cali Realty'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: WY4 has a high level of physical assets or inventory.

Debt Coverage by Assets: WY4's debt is not covered by short term assets (assets are 0.2x debt).


Financial Institutions Analysis

Asset Level: WY4's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if WY4 has a sufficient allowance for bad loans.

Low Risk Liabilities: WY4 reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if WY4 has an acceptable proportion of non-loan assets held.

Low Risk Deposits: WY4 has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if WY4 has an appropriate level of bad loans.


Next Steps

Dividend

What is Mack-Cali Realty's current dividend yield, its reliability and sustainability?

3.74%

Current Dividend Yield


Dividend Yield vs Market

company3.7%marketbottom25%1.3%markettop25%3.7%industryaverage2.7%forecastin3Years3.8%

Current dividend yield vs market & industry

Notable Dividend: WY4's dividend (3.74%) is higher than the bottom 25% of dividend payers in the German market (1.32%).

High Dividend: WY4's dividend (3.74%) is in the top 25% of dividend payers in the German market (3.63%)


Stability and Growth of Payments

Stable Dividend: WY4's dividend payments have been volatile in the past 10 years.

Growing Dividend: WY4's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (65.6%), WY4's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WY4's dividends in 3 years are forecast to be thoroughly covered by earnings (0.6% payout ratio).


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Mike DeMarco (59yo)

5.1yrs

Tenure

US$6,111,999

Compensation

Mr. Michael J. DeMarco, also known as Mike, C.P.A, has been the Chief Executive Officer at Mack-Cali Realty Corporation since 2015 and served as its President and Chief Operating Officer from June 2015 to  ...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD6.11M) is above average for companies of similar size in the German market ($USD1.51M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Michael DeMarco
CEO & Director5.1yrsUS$6.11m0.12% $2.3m
David Smetana
Chief Financial Officer2yrsUS$1.18m0.0064% $127.5k
Ricardo Cardoso
Executive VP & Chief Investment Officer4.4yrsUS$1.26m0.043% $850.1k
Gary Wagner
Executive VP5.8yrsUS$1.26m0.018% $364.1k
Giovanni DeBari
Chief Accounting Officer0.9yrsno data0.0034% $68.0k
Nicholas Mitarotonda
Senior VP & Chief Information Officer0.08yrsno datano data
Deidre Crockett
Chief Administrative Officer & Executive VP0.2yrsno data0.0016% $32.8k
Janice Torchinsky
Senior Vice President of Human Resources0yrsno datano data
Dean Cingolani
Senior Vice President of Property Management0yrsno datano data
Manuel Garcia
Senior Vice President of Architectural Services0yrsno datano data

2.0yrs

Average Tenure

53yo

Average Age

Experienced Management: WY4's management team is considered experienced (2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael DeMarco
CEO & Director5.1yrsUS$6.11m0.12% $2.3m
John Cali
Member of Advisory Board0yrsUS$28.00kno data
William Mack
Chairman of the Board20.1yrsUS$165.51k0.057% $1.1m
Irvin Reid
Independent Director26.1yrsUS$176.01k0.033% $664.7k
Robert Weinberg
Member of Advisory Board0yrsUS$28.00kno data
Alan Bernikow
Lead Independent Director5.9yrsUS$228.01k0.051% $1.0m
Lisa Myers
Independent Director0.7yrsno data0.0047% $93.9k
Frederic Mack
Member of Advisory Board0yrsno datano data
Marshall Tycher
Chairman of Roseland Residential Trust0yrsUS$4.33m0.036% $726.1k
Rebecca Robertson
Independent Director3.4yrsUS$168.51k0.017% $338.4k

4.7yrs

Average Tenure

74.5yo

Average Age

Experienced Board: WY4's board of directors are considered experienced (4.7 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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

Mack-Cali Realty Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mack-Cali Realty Corporation
  • Ticker: WY4
  • Exchange: DB
  • Founded: 1994
  • Industry: Office REITs
  • Sector: Real Estate
  • Implied Market Cap: US$2.148b
  • Market Cap: US$1.792b
  • Listing Market Cap: US$1.989b
  • Shares outstanding: 100.50m
  • Website: https://www.mack-cali.com

Number of Employees


Location

  • Mack-Cali Realty Corporation
  • Harborside 3
  • Suite 400
  • Jersey City
  • New Jersey
  • 7311
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CLINYSE (New York Stock Exchange)YesCommon StockUSUSDAug 1994
WY4DB (Deutsche Boerse AG)YesCommon StockDEEURAug 1994

Biography

One of the country's leading real estate investment trusts (REITs), Mack-Cali Realty Corporation is an owner, manager and developer of premier office and multifamily properties in select waterfront and transit-oriented markets throughout the Northeast. Mack-Cali is headquartered in Jersey City, New Jersey, and is the visionary behind the city's flourishing waterfront, where the company is leading development, improvement and place-making initiatives for Harborside, a master-planned destination comprised of class A office, luxury apartments, diverse retail and restaurants, and public spaces. A fully-integrated and self-managed company, Mack-Cali has provided world-class management, leasing, and development services throughout New Jersey and the surrounding region for two decades. By regularly investing in its properties and innovative lifestyle amenity packages, Mack-Cali creates environments that empower tenants and residents to reimagine the way they work and live. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/20 21:19
End of Day Share Price2020/02/20 00:00
Earnings2019/09/30
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.