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PFI

Property For IndustryNZSE:PFI Stock Report

Market Cap

NZ$1.5b

7D

-1.4%

1Y

-2.0%

Updated

22 Oct, 2021

Data

Company Financials +
PFI fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance4/6
Financial Health3/6
Dividends5/6

PFI Overview

Property For Industry Limited engages in the property investment and management business in New Zealand.

Price History & Performance

Summary of all time highs, changes and price drops for Property For Industry
Historical stock prices
Current Share PriceNZ$2.91
52 Week HighNZ$2.75
52 Week LowNZ$3.10
Beta0.37
1 Month Change-2.68%
3 Month Change-0.68%
1 Year Change-2.02%
3 Year Change68.21%
5 Year Change83.02%
Change since IPO270.74%

Recent News & Updates

Shareholder Returns

PFINZ REITsNZ Market
7D-1.4%-0.3%0.7%
1Y-2.0%-2.7%2.4%

Return vs Industry: PFI matched the NZ REITs industry which returned -2.7% over the past year.

Return vs Market: PFI underperformed the NZ Market which returned 2.4% over the past year.

Price Volatility

Is PFI's price volatile compared to industry and market?
PFI volatility
PFI Beta0.37
Industry Beta0.55
Market Beta1

Stable Share Price: PFI is less volatile than 75% of NZ stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: PFI's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
199414Simon Woodhamshttps://www.propertyforindustry.co.nz

Property For Industry Limited engages in the property investment and management business in New Zealand. The company invests in industrial properties located in North Harbour, Avondale, Penrose, Mount Wellington, Manukau, Mangere, East Tamaki, Wellington, and Christchurch. As of December 23, 2020, it operated a portfolio of 94 properties that are leased to 147 tenants.

Property For Industry Fundamentals Summary

How do Property For Industry's earnings and revenue compare to its market cap?
PFI fundamental statistics
Market CapNZ$1.47b
Earnings (TTM)NZ$371.35m
Revenue (TTM)NZ$102.09m

4.0x

P/E Ratio

14.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PFI income statement (TTM)
RevenueNZ$102.09m
Cost of RevenueNZ$15.68m
Gross ProfitNZ$86.41m
Expenses-NZ$284.93m
EarningsNZ$371.35m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.74
Gross Margin84.65%
Net Profit Margin363.75%
Debt/Equity Ratio44.3%

How did PFI perform over the long term?

See historical performance and comparison

Dividends

2.6%

Current Dividend Yield

56%

Payout Ratio

Valuation

Is Property For Industry undervalued compared to its fair value and its price relative to the market?

3.95x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PFI (NZ$2.91) is trading above our estimate of fair value (NZ$2.54)

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


Price To Earnings Ratio

PE vs Industry: PFI is good value based on its PE Ratio (4x) compared to the NZ REITs industry average (5.9x).

PE vs Market: PFI is good value based on its PE Ratio (4x) compared to the NZ market (22.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PFI's PB Ratio (1.1x) is in line with the NZ REITs industry average.


Future Growth

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

-52.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PFI's earnings are forecast to decline over the next 3 years (-52.2% per year).

Earnings vs Market: PFI's earnings are forecast to decline over the next 3 years (-52.2% per year).

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

Revenue vs Market: PFI's revenue is expected to decline over the next 3 years (-1.5% per year).

High Growth Revenue: PFI's revenue is forecast to decline over the next 3 years (-1.5% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PFI's Return on Equity is forecast to be low in 3 years time (3.5%).


Past Performance

How has Property For Industry performed over the past 5 years?

24.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PFI has a large one-off gain of NZ$331.8M impacting its June 30 2021 financial results.

Growing Profit Margin: PFI's current net profit margins are higher than last year .


Past Earnings Growth Analysis

Earnings Trend: PFI's earnings have grown significantly by 24.7% per year over the past 5 years.

Accelerating Growth: PFI's earnings growth over the past year (155.2%) exceeds its 5-year average (24.7% per year).

Earnings vs Industry: PFI earnings growth over the past year (155.2%) underperformed the REITs industry 267.1%.


Return on Equity

High ROE: PFI's Return on Equity (26.6%) is considered high.


Financial Health

How is Property For Industry's financial position?


Financial Position Analysis

Short Term Liabilities: PFI's short term assets (NZ$114.4M) exceed its short term liabilities (NZ$28.6M).

Long Term Liabilities: PFI's short term assets (NZ$114.4M) do not cover its long term liabilities (NZ$649.5M).


Debt to Equity History and Analysis

Debt Level: PFI's debt to equity ratio (44.3%) is considered high.

Reducing Debt: PFI's debt to equity ratio has reduced from 52.9% to 44.3% over the past 5 years.

Debt Coverage: PFI's debt is not well covered by operating cash flow (10.1%).

Interest Coverage: PFI's interest payments on its debt are well covered by EBIT (6.9x coverage).


Balance Sheet


Dividend

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

2.65%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PFI's dividend (2.65%) is higher than the bottom 25% of dividend payers in the NZ market (2.41%).

High Dividend: PFI's dividend (2.65%) is low compared to the top 25% of dividend payers in the NZ market (4.86%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (55.9%), PFI's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PFI's dividends in 3 years are forecast to be covered by earnings (87.7% payout ratio).


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Simon Woodhams

2.75yrs

Tenure

NZ$808,200

Compensation

Mr. Simon Woodhams has been Chief Executive Officer of Property for Industry Ltd. since January 2019. Mr. Woodhams was General Manager of Property for Industry Ltd.since July 2015 until January 2019. Mr....


CEO Compensation Analysis

Compensation vs Market: Simon's total compensation ($USD580.27K) is about average for companies of similar size in the NZ market ($USD743.14K).

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


Leadership Team

Experienced Management: PFI's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: PFI's board of directors are considered experienced (4.5 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

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


Key Information

  • Name: Property For Industry Limited
  • Ticker: PFI
  • Exchange: NZSE
  • Founded: 1994
  • Industry: Industrial REITs
  • Sector: Real Estate
  • Market Cap: NZ$1.468b
  • Shares outstanding: 504.46m
  • Website: https://www.propertyforindustry.co.nz

Number of Employees


Location

  • Property For Industry Limited
  • Shed 24
  • Princes Wharf
  • 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 Analysis2021/10/22 15:35
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.