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IPL

Investore Property NZSE:IPL Stock Report

Last Price

NZ$1.75

Market Cap

NZ$643.5m

7D

2.9%

1Y

-13.4%

Updated

08 Aug, 2022

Data

Company Financials +
IPL fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance1/6
Financial Health3/6
Dividends1/6

IPL Stock Overview

Investore Property Limited (Investore) is a commercial property ownership business that has been established to invest in quality Large Format Retail property assets.

Investore Property Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Investore Property
Historical stock prices
Current Share PriceNZ$1.75
52 Week HighNZ$2.06
52 Week LowNZ$1.43
Beta0.21
1 Month Change3.55%
3 Month Change11.47%
1 Year Change-13.37%
3 Year Change-10.26%
5 Year Change27.74%
Change since IPO8.70%

Recent News & Updates

Shareholder Returns

IPLNZ REITsNZ Market
7D2.9%2.3%2.1%
1Y-13.4%-12.6%-11.3%

Return vs Industry: IPL matched the NZ REITs industry which returned -12.6% over the past year.

Return vs Market: IPL underperformed the NZ Market which returned -11.3% over the past year.

Price Volatility

Is IPL's price volatile compared to industry and market?
IPL volatility
IPL Average Weekly Movement3.5%
REITs Industry Average Movement3.4%
Market Average Movement4.4%
10% most volatile stocks in NZ Market8.2%
10% least volatile stocks in NZ Market3.0%

Stable Share Price: IPL is less volatile than 75% of NZ stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: IPL's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2015n/aPhilip Littlewoodhttps://www.investoreproperty.co.nz

Investore Property Limited (Investore) is a commercial property ownership business that has been established to invest in quality Large Format Retail property assets. Investore was established in October 2015 in connection with the acquisition of 19 Countdown supermarkets from Antipodean Supermarkets Limited and Antipodean Properties Limited. The transfer of six properties from Stride Property Limited (Stride) and Stride Holdings Limited to Investore took place between 29 April and 9 June 2016 by way of sale and purchase agreements for cash consideration equal to the most recently obtained independent valuation of the properties transferred (in each case, 31 March 2016).

Investore Property Fundamentals Summary

How do Investore Property's earnings and revenue compare to its market cap?
IPL fundamental statistics
Market CapNZ$643.54m
Earnings (TTM)NZ$118.17m
Revenue (TTM)NZ$67.92m

5.4x

P/E Ratio

9.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IPL income statement (TTM)
RevenueNZ$67.92m
Cost of RevenueNZ$15.39m
Gross ProfitNZ$52.54m
Other Expenses-NZ$65.63m
EarningsNZ$118.17m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.32
Gross Margin77.35%
Net Profit Margin173.97%
Debt/Equity Ratio41.1%

How did IPL perform over the long term?

See historical performance and comparison

Dividends

4.5%

Current Dividend Yield

105%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is IPL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for IPL?

Other financial metrics that can be useful for relative valuation.

IPL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue14.8x
Enterprise Value/EBITDAn/a
PEG Ratio-0.3x

Price to Earnings Ratio vs Peers

How does IPL's PE Ratio compare to its peers?

IPL PE Ratio vs Peers
The above table shows the PE ratio for IPL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average5.9x
KPG Kiwi Property Group
7.2x-10.2%NZ$1.6b
ARG Argosy Property
4.8x-19.3%NZ$1.1b
PFI Property For Industry
2.9x-52.9%NZ$1.3b
SPG Stride Property Group
8.7x-6.3%NZ$972.6m
IPL Investore Property
5.4x-16.8%NZ$643.5m

Price-To-Earnings vs Peers: IPL is good value based on its Price-To-Earnings Ratio (5.4x) compared to the peer average (5.9x).


Price to Earnings Ratio vs Industry

How does IPL's PE Ratio compare vs other companies in the Oceanian REITs Industry?

Price-To-Earnings vs Industry: IPL is expensive based on its Price-To-Earnings Ratio (5.4x) compared to the NZ REITs industry average (5.4x)


Price to Earnings Ratio vs Fair Ratio

What is IPL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

IPL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.4x
Fair PE Ratio6.9x

Price-To-Earnings vs Fair Ratio: IPL is good value based on its Price-To-Earnings Ratio (5.4x) compared to the estimated Fair Price-To-Earnings Ratio (6.9x).


Share Price vs Fair Value

What is the Fair Price of IPL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: IPL (NZ$1.75) is trading below our estimate of fair value (NZ$2.88)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is lower than the current share price.


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Future Growth

How is Investore Property forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-16.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IPL's earnings are forecast to decline over the next 3 years (-16.8% per year).

Earnings vs Market: IPL's earnings are forecast to decline over the next 3 years (-16.8% per year).

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

Revenue vs Market: IPL's revenue (0.7% per year) is forecast to grow slower than the NZ market (5.9% per year).

High Growth Revenue: IPL's revenue (0.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IPL's Return on Equity is forecast to be low in 3 years time (3.6%).


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Past Performance

How has Investore Property performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


33.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: IPL has a large one-off gain of NZ$91.6M impacting its March 31 2022 financial results.

Growing Profit Margin: IPL's current net profit margins are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: IPL's earnings have grown significantly by 33.7% per year over the past 5 years.

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

Earnings vs Industry: IPL had negative earnings growth (-26.7%) over the past year, making it difficult to compare to the REITs industry average (-2.3%).


Return on Equity

High ROE: IPL's Return on Equity (13.8%) is considered low.


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Financial Health

How is Investore Property's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: IPL's short term assets (NZ$10.3M) exceed its short term liabilities (NZ$6.7M).

Long Term Liabilities: IPL's short term assets (NZ$10.3M) do not cover its long term liabilities (NZ$377.0M).


Debt to Equity History and Analysis

Debt Level: IPL's net debt to equity ratio (40.3%) is considered high.

Reducing Debt: IPL's debt to equity ratio has reduced from 64.3% to 41.1% over the past 5 years.

Debt Coverage: IPL's debt is not well covered by operating cash flow (7.8%).

Interest Coverage: IPL's interest payments on its debt are well covered by EBIT (3.4x coverage).


Balance Sheet


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Dividend

What is Investore Property current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


4.51%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: IPL's dividend (4.51%) is higher than the bottom 25% of dividend payers in the NZ market (2.95%).

High Dividend: IPL's dividend (4.51%) is low compared to the top 25% of dividend payers in the NZ market (5.8%).


Stability and Growth of Payments

Stable Dividend: IPL has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: IPL's dividend payments have increased, but the company has only paid a dividend for 6 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (104.6%), IPL's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (106.6%), IPL's dividend payments are not well covered by cash flows.


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Management

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

6.2yrs

Average board tenure


CEO

Philip Littlewood

no data

Tenure

Mr. Philip Littlewood, BProp, BCom, MBA, has been Chief Executive Officer of Stride Stapled Group since June 27, 2017. Mr. Littlewood serves Chief Executive Officer of Stride Investment Management Limited...


Board Members

Experienced Board: IPL's board of directors are considered experienced (6.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: IPL 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

Investore Property Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Investore Property Limited
  • Ticker: IPL
  • Exchange: NZSE
  • Founded: 2015
  • Industry: Retail REITs
  • Sector: Real Estate
  • Implied Market Cap: NZ$643.536m
  • Shares outstanding: 367.74m
  • Website: https://www.investoreproperty.co.nz

Location

  • Investore Property Limited
  • 34 Shortland Street
  • Level 12
  • Auckland
  • 1010
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/08 00:00
End of Day Share Price2022/08/08 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


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.