Real Estate Investors
Market Cap
UK£63.7m
Last Updated
2021/01/19 18:52 UTC
Data Sources
Company Financials +
Executive Summary
Real Estate Investors Plc is a publicly quoted, internally managed property investment company and REIT with a portfolio of 1.59 million sq ft of mixed-use commercial property, managed by a highly-experienced property team with over 100 years of combined experience of operating in the Midlands property market across all sectors. More Details
Risk Analysis
Snowflake Analysis
Second-rate dividend payer and overvalued.
Similar Companies
Share Price & News
How has Real Estate Investors's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RLE is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: RLE's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
1.4%
RLE
-0.5%
GB Real Estate
-0.3%
GB Market
1 Year Return
-35.5%
RLE
-18.2%
GB Real Estate
-7.9%
GB Market
Return vs Industry: RLE underperformed the UK Real Estate industry which returned -18.3% over the past year.
Return vs Market: RLE underperformed the UK Market which returned -8.1% over the past year.
Shareholder returns
| RLE | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.4% | -0.5% | -0.3% |
| 30 Day | 9.2% | 4.1% | 5.4% |
| 90 Day | 20.3% | 14.2% | 15.7% |
| 1 Year | -30.3%-35.5% | -17.0%-18.2% | -4.1%-7.9% |
| 3 Year | -20.1%-35.5% | -8.0%-15.0% | 4.2%-8.5% |
| 5 Year | -29.6%-48.6% | -19.0%-27.4% | 45.0%12.1% |
Long-Term Price Volatility Vs. Market
How volatile is Real Estate Investors's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
A Quick Analysis On Real Estate Investors' (LON:RLE) CEO Compensation1 month ago | Simply Wall St
Real Estate Investors (LON:RLE) Share Prices Have Dropped 47% In The Last Five Years2 months ago | Simply Wall St
Real Estate Investors (LON:RLE) Has A Somewhat Strained Balance SheetValuation
Is Real Estate Investors undervalued compared to its fair value and its price relative to the market?
0.56x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: RLE (£0.36) is trading above our estimate of fair value (£0.35)
Significantly Below Fair Value: RLE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: RLE is unprofitable, so we can't compare its PE Ratio to the GB Real Estate industry average.
PE vs Market: RLE is unprofitable, so we can't compare its PE Ratio to the UK market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate RLE's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: RLE is good value based on its PB Ratio (0.6x) compared to the GB Real Estate industry average (0.9x).
Next Steps
Future Growth
How is Real Estate Investors forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
0.9%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if RLE's forecast earnings growth is above the savings rate (1%).
Earnings vs Market: Insufficient data to determine if RLE's earnings are forecast to grow faster than the UK market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RLE's revenue (0.9% per year) is forecast to grow slower than the UK market (6.5% per year).
High Growth Revenue: RLE's revenue (0.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if RLE's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Real Estate Investors performed over the past 5 years?
-20.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RLE is currently unprofitable.
Growing Profit Margin: RLE is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: RLE is unprofitable, and losses have increased over the past 5 years at a rate of 20% per year.
Accelerating Growth: Unable to compare RLE's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: RLE is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (-25.4%).
Return on Equity
High ROE: RLE has a negative Return on Equity (-1.61%), as it is currently unprofitable.
Next Steps
Financial Health
How is Real Estate Investors's financial position?
Financial Position Analysis
Short Term Liabilities: RLE's short term assets (£16.4M) do not cover its short term liabilities (£56.6M).
Long Term Liabilities: RLE's short term assets (£16.4M) do not cover its long term liabilities (£59.5M).
Debt to Equity History and Analysis
Debt Level: RLE's debt to equity ratio (91.6%) is considered high.
Reducing Debt: RLE's debt to equity ratio has increased from 40.5% to 91.6% over the past 5 years.
Debt Coverage: RLE's debt is not well covered by operating cash flow (10.4%).
Interest Coverage: RLE is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Next Steps
Dividend
What is Real Estate Investors's current dividend yield, its reliability and sustainability?
5.63%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RLE's dividend (5.63%) is higher than the bottom 25% of dividend payers in the UK market (1.54%).
High Dividend: RLE's dividend (5.63%) is in the top 25% of dividend payers in the UK market (4.55%)
Stability and Growth of Payments
Stable Dividend: RLE has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: RLE's dividend payments have increased, but the company has only paid a dividend for 8 years.
Current Payout to Shareholders
Dividend Coverage: RLE is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: RLE's dividends in 3 years are forecast to be covered by earnings (87% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
10.6yrs
Average board tenure
CEO
Paramjit Paul Bassi (57 yo)
14.58yrs
Tenure
UK£1,120,000
Compensation
Mr. Paramjit Paul Singh Bassi, CBE, DL, D.UNIV, DSc has been the Chief Executive Officer and Executive Director of Real Estate Investors Plc since June 29, 2006 and June 2006 respectively. Mr. Bassi has be...
CEO Compensation Analysis
Compensation vs Market: Paramjit Paul's total compensation ($USD1.52M) is above average for companies of similar size in the UK market ($USD333.26K).
Compensation vs Earnings: Paramjit Paul's compensation has been consistent with company performance over the past year.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 14.58yrs | UK£1.12m | 6.69% £ 4.3m | |
| Finance Director | 14.58yrs | UK£700.00k | 1.32% £ 843.6k | |
| Independent Non-Executive Director | 10.58yrs | UK£38.00k | 0.17% £ 109.0k | |
| Non-Executive Chairman of the Board | 10.58yrs | UK£44.00k | 0.21% £ 132.6k | |
| Independent Non-Executive Director | 6.25yrs | UK£42.00k | 0.14% £ 86.1k |
10.6yrs
Average Tenure
63yo
Average Age
Experienced Board: RLE's board of directors are seasoned and experienced ( 10.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: RLE 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
Real Estate Investors plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Real Estate Investors plc
- Ticker: RLE
- Exchange: AIM
- Founded: 2004
- Industry: Real Estate Operating Companies
- Sector: Real Estate
- Market Cap: UK£63.679m
- Shares outstanding: 179.38m
- Website: https://www.reiplc.com
Number of Employees
Location
- Real Estate Investors plc
- 2nd Floor
- 75–77 Colmore Row
- Birmingham
- East Lothian
- B3 2AP
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| RLE | AIM (London Stock Exchange AIM Market) | Yes | Ordinary Shares | GB | GBP | Jun 2004 |
Biography
Real Estate Investors Plc is a publicly quoted, internally managed property investment company and REIT with a portfolio of 1.59 million sq ft of mixed-use commercial property, managed by a highly-experien...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/19 18:52 |
| End of Day Share Price | 2021/01/19 00:00 |
| Earnings | 2020/06/30 |
| 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.