NYSE:AXR

Stock Analysis Report

Executive Summary

AMREP Corporation, through its subsidiaries, primarily engages in the real estate business.


Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-7.0%

AXR

-1.1%

US Commercial Services

-1.1%

US Market


1 Year Return

-20.6%

AXR

-18.5%

US Commercial Services

-13.6%

US Market

Return vs Industry: AXR underperformed the US Commercial Services industry which returned -18.5% over the past year.

Return vs Market: AXR underperformed the US Market which returned -13.6% over the past year.


Shareholder returns

AXRIndustryMarket
7 Day-7.0%-1.1%-1.1%
30 Day-21.7%-25.0%-17.8%
90 Day-23.7%-26.3%-22.5%
1 Year-20.6%-20.6%-15.6%-18.5%-11.9%-13.6%
3 Year-28.5%-28.5%14.1%6.8%12.1%4.9%
5 Year-11.8%-11.8%36.7%22.2%30.5%16.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.41x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: AXR ($4.54) is trading above our estimate of fair value ($1.31)

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


Price To Earnings Ratio

PE vs Industry: AXR is unprofitable, so we can't compare its PE Ratio to the Commercial Services industry average.

PE vs Market: AXR is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AXR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AXR is good value based on its PB Ratio (0.4x) compared to the US Commercial Services industry average (1.2x).


Next Steps

Future Growth

How is AMREP forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.7%

Forecasted Commercial Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as AMREP has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has AMREP performed over the past 5 years?

12.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AXR is currently unprofitable.

Growing Profit Margin: AXR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AXR is unprofitable, but has reduced losses over the past 5 years at a rate of 12.6% per year.

Accelerating Growth: Unable to compare AXR's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AXR is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (2.5%).


Return on Equity

High ROE: AXR has a negative Return on Equity (-1.99%), as it is currently unprofitable.


Next Steps

Financial Health

How is AMREP's financial position?


Financial Position Analysis

Short Term Liabilities: AXR's short term assets ($70.2M) exceed its short term liabilities ($3.5M).

Long Term Liabilities: AXR's short term assets ($70.2M) exceed its long term liabilities ($3.5M).


Debt to Equity History and Analysis

Debt Level: AXR's debt to equity ratio (1.1%) is considered satisfactory.

Reducing Debt: AXR's debt to equity ratio has reduced from 20.5% to 1.1% over the past 5 years.


Balance Sheet

Inventory Level: AXR has a high level of physical assets or inventory.

Debt Coverage by Assets: AXR's debt is covered by short term assets (assets are 71.4x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable AXR has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: AXR is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -24.3% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate AXR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate AXR's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if AXR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AXR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of AXR's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

7.3yrs

Average board tenure


CEO

Chris Vitale (43yo)

2.58s

Tenure

US$494,841

Compensation

Mr. Christopher V. Vitale, also known as Chris, has been President & Chief Executive Officer of AMREP Corporation since September 18, 2017 and as its Secretary since March 2013. Mr. Vitale served as the C ...


CEO Compensation Analysis

Compensation vs Market: Chris's total compensation ($USD494.84K) is about average for companies of similar size in the US market ($USD605.16K).

Compensation vs Earnings: Chris's compensation has increased whilst the company is unprofitable.


Board Members

NamePositionTenureCompensationOwnership
Edward Cloues
Chairman of the Boardno dataUS$222.50k0.099% $36.7k
Albert Russo
Independent Director24.25yrsUS$80.00k10.09% $3.7m
Robert Robotti
Independent Director3.58yrsUS$87.50kno data
Theodore Gaasche
Independent Director7.25yrsUS$80.00k0.045% $16.7k

7.3yrs

Average Tenure

65yo

Average Age

Experienced Board: AXR's board of directors are considered experienced (7.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: AXR 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

AMREP Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AMREP Corporation
  • Ticker: AXR
  • Exchange: NYSE
  • Founded: 1961
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Market Cap: US$36.942m
  • Shares outstanding: 8.14m
  • Website: https://www.amrepcorp.com

Number of Employees


Location

  • AMREP Corporation
  • 620 West Germantown Pike
  • Suite 175
  • Plymouth Meeting
  • Pennsylvania
  • 19462
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AXRNYSE (New York Stock Exchange)YesCommon SharesUSUSDJan 1968

Biography

AMREP Corporation, through its subsidiaries, primarily engages in the real estate business. The company sells developed and undeveloped lots to homebuilders, commercial and industrial property developers, and others. As of July 1, 2019, it owned approximately 18,000 acres in Rio Rancho, New Mexico. The company owns tracts of land in Colorado, including 1 property of approximately 160 acres planned for approximately 410 homes. It also owns subsurface oil, gas, and mineral interests covering an area of approximately 55,000 surface acres of land located in Rio Rancho; and 2 tracts of unimproved land covering an area of approximately 8 acres in Palm Coast, Florida. The company was founded in 1961 and is headquartered in Plymouth Meeting, Pennsylvania. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 23:44
End of Day Share Price2020/04/01 00:00
Earnings2020/01/31
Annual Earnings2019/04/30


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.