Retail Opportunity Investments
Market Cap
US$2.2b
Last Updated
2020/02/23 02:15 UTC
Data Sources
Company Financials +
Executive Summary
Retail Opportunity Investments Corp. (NASDAQ: ROIC), is a fully-integrated, self-managed real estate investment trust (REIT) that specializes in the acquisition, ownership and management of grocery-anchored shopping centers located in densely-populated, metropolitan markets across the West Coast.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -5.6% per year for the next 3 years
Snowflake Analysis
6 star dividend payer and fair value.
Similar Companies
Share Price & News
How has Retail Opportunity Investments's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ROIC has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.4%
ROIC
-0.07%
US REITs
-1.1%
US Market
1 Year Return
-0.7%
ROIC
16.0%
US REITs
17.9%
US Market
Return vs Industry: ROIC underperformed the US REITs industry which returned 16% over the past year.
Return vs Market: ROIC underperformed the US Market which returned 17.9% over the past year.
Shareholder returns
| ROIC | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.4% | -0.07% | -1.1% |
| 30 Day | -3.0% | 3.6% | 1.4% |
| 90 Day | -4.8% | 7.8% | 6.9% |
| 1 Year | 3.9%-0.7% | 20.7%16.0% | 20.3%17.9% |
| 3 Year | -12.5%-22.8% | 37.9%20.6% | 47.8%38.3% |
| 5 Year | 24.1%1.5% | 60.3%27.3% | 71.9%53.0% |
Price Volatility Vs. Market
How volatile is Retail Opportunity Investments's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall St
Retail Opportunity Investments Corp. Just Beat Earnings Expectations: Here's What Analysts Think Will Happen Next1 month ago | Simply Wall St
Imagine Owning Retail Opportunity Investments (NASDAQ:ROIC) And Wondering If The 17% Share Price Slide Is Justified2 months ago | Simply Wall St
How Much Are Retail Opportunity Investments Corp. (NASDAQ:ROIC) Insiders Taking Off The Table?Valuation
Is Retail Opportunity Investments undervalued compared to its fair value and its price relative to the market?
26.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ROIC ($17.01) is trading below our estimate of fair value ($23.11)
Significantly Below Fair Value: ROIC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ROIC is poor value based on its PE Ratio (40.1x) compared to the REITs industry average (37.2x).
PE vs Market: ROIC is poor value based on its PE Ratio (40.1x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: ROIC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: ROIC is good value based on its PB Ratio (1.7x) compared to the US REITs industry average (2.1x).
Next Steps
Future Growth
How is Retail Opportunity Investments forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
-5.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ROIC's earnings are forecast to decline over the next 3 years (-5.6% per year).
Earnings vs Market: ROIC's earnings are forecast to decline over the next 3 years (-5.6% per year).
High Growth Earnings: ROIC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: ROIC's revenue (4.6% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: ROIC's revenue (4.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ROIC's Return on Equity is forecast to be low in 3 years time (3.9%).
Next Steps
Past Performance
How has Retail Opportunity Investments performed over the past 5 years?
17.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ROIC has a large one-off gain of $12.2M impacting its December 31 2019 financial results.
Growing Profit Margin: ROIC's current net profit margins (16.4%) are higher than last year (14.3%).
Past Earnings Growth Analysis
Earnings Trend: ROIC's earnings have grown by 17.5% per year over the past 5 years.
Accelerating Growth: ROIC's earnings growth over the past year (14.3%) is below its 5-year average (17.5% per year).
Earnings vs Industry: ROIC earnings growth over the past year (14.3%) exceeded the REITs industry 7.6%.
Return on Equity
High ROE: ROIC's Return on Equity (4.2%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Retail Opportunity Investments'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: ROIC has a high level of physical assets or inventory.
Debt Coverage by Assets: ROIC's debt is not covered by short term assets (assets are 0x debt).
Financial Institutions Analysis
Asset Level: ROIC's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if ROIC has a sufficient allowance for bad loans.
Low Risk Liabilities: ROIC reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if ROIC has an acceptable proportion of non-loan assets held.
Low Risk Deposits: ROIC has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if ROIC has an appropriate level of bad loans.
Next Steps
Dividend
What is Retail Opportunity Investments's current dividend yield, its reliability and sustainability?
4.70%
Current Dividend Yield
Upcoming Dividend Payment
Purchase Retail Opportunity Investments before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: ROIC's dividend (4.7%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: ROIC's dividend (4.7%) is in the top 25% of dividend payers in the US market (3.73%)
Stability and Growth of Payments
Stable Dividend: ROIC's dividends per share have been stable in the past 10 years.
Growing Dividend: ROIC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (68.1%), ROIC's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ROIC's dividends in 3 years are forecast to be thoroughly covered by earnings (0.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
8.1yrs
Average management tenure
CEO
Stuart Tanz (60yo)
10.3yrs
Tenure
US$4,944,414
Compensation
Mr. Stuart A. Tanz has been the Chief Executive Officer and President of Retail Opportunity Investments GP LLC - General Partner of Retail Opportunity Investments Partnership, LP since 2009. Mr. Tanz has b ...
CEO Compensation Analysis
Compensation vs Market: Stuart's total compensation ($USD4.94M) is about average for companies of similar size in the US market ($USD3.81M).
Compensation vs Earnings: Stuart's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 10.3yrs | US$4.94m | 1.33% $28.8m | |
| Executive VP | 7.2yrs | US$1.72m | 0.17% $3.7m | |
| Chief Operating Officer | 10.3yrs | US$1.94m | 0.25% $5.4m | |
| CAO, Senior VP & Controller | 7.1yrs | US$223.57k | 0.083% $1.8m | |
| Investor Relations Officer | 8.1yrs | no data | no data | |
| Investor Relations Officer | 0yrs | no data | no data |
8.1yrs
Average Tenure
56.5yo
Average Age
Experienced Management: ROIC's management team is seasoned and experienced (8.1 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 10.3yrs | US$4.94m | 1.33% $28.8m | |
| Independent Director | 12.6yrs | US$188.99k | 0.075% $1.6m | |
| Independent Director | 12.6yrs | US$168.99k | 0.095% $2.1m | |
| Independent Director | 12.6yrs | US$188.49k | 0.046% $997.2k | |
| Independent Director | 7.9yrs | US$174.99k | 0.056% $1.2m | |
| Independent Director | 12.6yrs | US$196.49k | 0.065% $1.4m | |
| Non-Executive Chairman | 10.3yrs | US$785.89k | 0.24% $5.1m | |
| Independent Director | 10.3yrs | US$176.49k | 0.027% $577.8k |
11.5yrs
Average Tenure
69yo
Average Age
Experienced Board: ROIC's board of directors are seasoned and experienced ( 11.5 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
Retail Opportunity Investments Corp.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Retail Opportunity Investments Corp.
- Ticker: ROIC
- Exchange: NasdaqGS
- Founded:
- Industry: Retail REITs
- Sector: Real Estate
- Implied Market Cap: US$2.168b
- Market Cap: US$1.980b
- Shares outstanding: 127.51m
- Website: https://www.roireit.net
Number of Employees
Location
- Retail Opportunity Investments Corp.
- 11250 El Camino Real
- Suite 200
- San Diego
- California
- 92130
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ROIC | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Oct 2007 |
Biography
Retail Opportunity Investments Corp. (NASDAQ: ROIC), is a fully-integrated, self-managed real estate investment trust (REIT) that specializes in the acquisition, ownership and management of grocery-anchored shopping centers located in densely-populated, metropolitan markets across the West Coast. As of December 31, 2019, ROIC owned 88 shopping centers encompassing approximately 10.1 million square feet. ROIC is the largest publicly-traded, grocery-anchored shopping center REIT focused exclusively on the West Coast. ROIC is a member of the S&P SmallCap 600 Index and has investment-grade corporate debt ratings from Moody's Investor Services and Standard & Poor's.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 02:15 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/12/31 |
| 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.