ENXTPA:LI

Stock Analysis Report

Executive Summary

Klépierre, the European leader in shopping malls, combines development, property and asset management skills.


Snowflake Analysis

6 star dividend payer and good value.


Similar Companies

Share Price & News

How has Klépierre's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-8.6%

LI

5.4%

FR REITs

10.6%

FR Market


1 Year Return

-42.4%

LI

-24.2%

FR REITs

-18.9%

FR Market

Return vs Industry: LI underperformed the French REITs industry which returned -22.2% over the past year.

Return vs Market: LI underperformed the French Market which returned -17.6% over the past year.


Shareholder returns

LIIndustryMarket
7 Day-8.6%5.4%10.6%
30 Day-32.3%-27.2%-17.6%
90 Day-46.0%-32.4%-25.6%
1 Year-37.6%-42.4%-19.2%-24.2%-16.1%-18.9%
3 Year-37.5%-50.0%-4.0%-20.1%0.2%-9.2%
5 Year-44.9%-60.1%-2.1%-26.8%11.2%-6.5%

Price Volatility Vs. Market

How volatile is Klépierre's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Klépierre undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LI (€18.28) is trading below our estimate of fair value (€49.65)

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


Price To Earnings Ratio

PE vs Industry: LI is poor value based on its PE Ratio (16.5x) compared to the REITs industry average (7.7x).

PE vs Market: LI is poor value based on its PE Ratio (16.5x) compared to the French market (13.2x).


Price to Earnings Growth Ratio

PEG Ratio: LI is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: LI is good value based on its PB Ratio (0.5x) compared to the FR REITs industry average (0.8x).


Next Steps

Future Growth

How is Klépierre forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

37.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LI's forecast earnings growth (37.1% per year) is above the savings rate (-0.1%).

Earnings vs Market: LI's earnings (37.1% per year) are forecast to grow faster than the French market (12.6% per year).

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

Revenue vs Market: LI's revenue is expected to decline over the next 3 years (-7.7% per year).

High Growth Revenue: LI's revenue is forecast to decline over the next 3 years (-7.7% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LI's Return on Equity is forecast to be low in 3 years time (9.2%).


Next Steps

Past Performance

How has Klépierre performed over the past 5 years?

10.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LI has a large one-off loss of €482.2M impacting its December 31 2019 financial results.

Growing Profit Margin: LI's current net profit margins (19.9%) are lower than last year (50.6%).


Past Earnings Growth Analysis

Earnings Trend: LI's earnings have grown by 10.6% per year over the past 5 years.

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

Earnings vs Industry: LI had negative earnings growth (-61.3%) over the past year, making it difficult to compare to the REITs industry average (31.4%).


Return on Equity

High ROE: LI's Return on Equity (3%) is considered low.


Next Steps

Financial Health

How is Klépierre'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: LI has a high level of physical assets or inventory.

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


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

What is Klépierre's current dividend yield, its reliability and sustainability?

12.04%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: LI's dividend (12.04%) is higher than the bottom 25% of dividend payers in the French market (2.03%).

High Dividend: LI's dividend (12.04%) is in the top 25% of dividend payers in the French market (6.33%)


Stability and Growth of Payments

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

Growing Dividend: LI's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (59.4%), LI's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LI's dividends in 3 years are forecast to be thoroughly covered by earnings (0.3% payout ratio).


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Jean-March Jestin (50yo)

3.33s

Tenure

€2,265,989

Compensation

Mr. Jean-March Jestin has been Chairman of the Klepierre Executive Board since November 2016, after serving as Chief Operating Officer and Member of the Klepierre Executive Board since October 2012. Previo ...


CEO Compensation Analysis

Compensation vs Market: Jean-March's total compensation ($USD2.51M) is about average for companies of similar size in the French market ($USD3.02M).

Compensation vs Earnings: Jean-March's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jean-March Jestin
Chairman of the Executive Board3.33yrs€2.27m0.022% 1.2m
Jean-Michel Gault
Deputy CEO22.17yrs€1.68m0.023% 1.2m
Beñat Ortega
Chief Operating Officer3.33yrsno datano data
Cyrille Deslandes
Chief Investment Officer2.17yrsno datano data
Hubert d'AILLIÈRES
Group Head of Investor Relations & Financial Communicationno datano datano data
Marie-Thérèse Dimasi
Chief Legal & Human Resources Officer8.75yrsno datano data
Julien Goubault
Chief Communications Officer3.33yrsno datano data
Sonia Torti
Head of Marketing Arcades / Franceno datano datano data
Gilles Latini
Head of Southeast Developmentno datano datano data
Michaël Farbos
Chief Development Officerno datano datano data

3.3yrs

Average Tenure

53yo

Average Age

Experienced Management: LI's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Simon
Not Independent Supervisory Board Chairman8yrs€97.80k0.000020% 1.1k
Steven Fivel
Not Independent Supervisory Board Member8yrs€106.05k0.000020% 1.1k
Catherine Simoni
Independent Supervisory Board Member7.25yrs€86.40k0.000020% 1.1k
John Carrafiell
Independent Supervisory Board Member5.25yrs€70.68k0.000020% 1.1k
Robert Fowlds
Not Independent Supervisory Board Member1.92yrs€37.26k0.000030% 1.6k
Stanley Shashoua
Not Independent Supervisory Board Member4.92yrs€80.12k0.000020% 1.1k
Rose-Marie Van Lerberghe
Independent Vice Chairman of the Board3.17yrs€83.66k0.000030% 1.6k
Florence von Erb
Independent Supervisory Board Member4yrs€48.68k0.000050% 2.7k
Béatrice de Clermont-Tonnerre
Independent Supervisory Board Member3.92yrs€48.68k0.000020% 1.1k

4.9yrs

Average Tenure

57yo

Average Age

Experienced Board: LI's board of directors are considered experienced (4.9 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Klépierre SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Klépierre SA
  • Ticker: LI
  • Exchange: ENXTPA
  • Founded: 1968
  • Industry: Retail REITs
  • Sector: Real Estate
  • Market Cap: €5.415b
  • Shares outstanding: 288.74m
  • Website: https://www.klepierre.com

Number of Employees


Location

  • Klépierre SA
  • 26 boulevard des Capucines
  • CS 20062
  • Paris
  • Ile-de-France
  • 75009
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KLPE.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
LIENXTPA (Euronext Paris)YesOrdinary SharesFREURJan 1992
KPRDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
0F4ILSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
LIPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992

Biography

Klépierre, the European leader in shopping malls, combines development, property and asset management skills. The company’s portfolio is valued at €23.7 billion at December 31, 2019 and comprises large shopping centers in 12 countries in Continental Europe which together host 1.1 billion visits per year. Klépierre holds a controlling stake in Steen & Strøm (56.1%), Scandinavia’s number one shopping center owner and manager. Klépierre is a French REIT (SIIC) listed on Euronext Paris and is included in the CAC Next 20, EPRA Euro Zone and GPR 250 indexes. It is also included in ethical indexes, such as DJSI World and Europe, FTSE4Good, STOXX Global ESG Leaders, Euronext Vigeo France 20 and World 120, and figures in CDP’s “A-list.” These distinctions underscore the Group’s commitment to a proactive sustainable development policy and its global leadership in the fight against climate change. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 21:00
End of Day Share Price2020/03/30 00:00
Earnings2019/12/31
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.