NasdaqGS:STRS

Stock Analysis Report

Executive Summary

Stratus Properties Inc., a real estate company, engages in the acquisition, entitlement, development, management, operation, and sale of commercial, hotel, entertainment, and multi-and single-family residential real estate properties primarily in Austin, Texas.

Snowflake

Fundamentals

Worrying balance sheet with weak fundamentals.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.6%

STRS

2.7%

US Real Estate

1.0%

US Market


1 Year Return

-4.8%

STRS

9.1%

US Real Estate

8.0%

US Market

Return vs Industry: STRS underperformed the US Real Estate industry which returned 9.1% over the past year.

Return vs Market: STRS underperformed the US Market which returned 8% over the past year.


Shareholder returns

STRSIndustryMarket
7 Day-1.6%2.7%1.0%
30 Day-2.7%0.6%-0.07%
90 Day-1.4%-0.2%-1.0%
1 Year-4.8%-4.8%10.1%9.1%10.4%8.0%
3 Year21.0%16.7%30.7%27.6%46.2%36.7%
5 Year111.1%103.5%12.2%8.5%64.3%46.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.85x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate STRS's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate STRS's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: STRS is unprofitable, so we can't compare its PE Ratio to the Real Estate industry average.

PE vs Market: STRS 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 STRS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: STRS is overvalued based on its PB Ratio (1.9x) compared to the US Real Estate industry average (1.6x).


Next Steps

Future Growth

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

4.5%

Forecasted Real Estate 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 Stratus Properties 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 Stratus Properties performed over the past 5 years?

-38.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: STRS is unprofitable, and losses have increased over the past 5 years at a rate of -38.8% per year.

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

Earnings vs Industry: STRS is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (-22.6%).


Return on Equity

High ROE: STRS has a negative Return on Equity (-1.98%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: STRS is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: STRS is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Stratus Properties's financial position?


Financial Position Analysis

Short Term Liabilities: STRS's short term assets ($232.2M) exceeds its short term liabilities ($76.1M)

Long Term Liabilities: STRS's short term assets (232.2M) do not cover its long term liabilities (326.2M)


Debt to Equity History and Analysis

Debt Level: STRS's debt to equity ratio (242.4%) is considered high

Reducing Debt: STRS's debt to equity ratio has increased from 100.2% to 242.4% over the past 5 years.

Debt Coverage: STRS's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: STRS is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet

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

Debt Coverage by Assets: STRS's debt is not covered by short term assets (assets are 0.7x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.4%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

Growing Dividend: Insufficient data to determine if STRS'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 STRS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Stratus Properties's salary, the management and board of directors tenure and is there insider trading?

21.2yrs

Average management tenure


CEO

Beau Armstrong (54yo)

21.4yrs

Tenure

US$1,771,969

Compensation

Mr. William H. Armstrong, III, also known as Beau, is the Chairman of the Board at Stratus Properties Inc. since August 1998, Chief Executive Officer since May 1998 and President since August 1996. Mr. Arm ...


CEO Compensation Analysis

Compensation vs. Market: Beau's total compensation ($USD1.77M) is about average for companies of similar size in the US market ($USD1.18M).

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


Management Age and Tenure

21.2yrs

Average Tenure

57yo

Average Age

Experienced Management: STRS's management team is seasoned and experienced (21.2 years average tenure).


Board Age and Tenure

6.8yrs

Average Tenure

64yo

Average Age

Experienced Board: STRS's board of directors are considered experienced (6.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Beau Armstrong (54yo)

    Chairman of the Board

    • Tenure: 21.4yrs
    • Compensation: US$1.77m
  • Kenneth Jones (59yo)

    General Counsel & Secretary

    • Tenure: 21.2yrs
  • Erin Pickens (57yo)

    Senior VP & CFO

    • Tenure: 10.3yrs
    • Compensation: US$597.67k
  • C. Whitmire

    VP & Controller

    • Tenure: 0yrs
  • Douglas Currault

    Assistant Secretary

    • Tenure: 0yrs

Board Members

  • Mike Madden (70yo)

    Lead Independent Director

    • Tenure: 6.8yrs
    • Compensation: US$136.06k
  • Beau Armstrong (54yo)

    Chairman of the Board

    • Tenure: 21.4yrs
    • Compensation: US$1.77m
  • Jim Leslie (64yo)

    Independent Director

    • Tenure: 23.8yrs
    • Compensation: US$97.56k
  • John Schweitzer (74yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$91.06k
  • James Joseph (58yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$96.06k
  • Charles Porter (67yo)

    Independent Director

    • Tenure: 7.6yrs
    • Compensation: US$90.06k
  • Ella Benson (33yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$83.56k

Company Information

Stratus Properties Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Stratus Properties Inc.
  • Ticker: STRS
  • Exchange: NasdaqGS
  • Founded: 1992
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Market Cap: US$226.725m
  • Shares outstanding: 8.18m
  • Website: https://www.stratusproperties.com

Number of Employees


Location

  • Stratus Properties Inc.
  • 212 Lavaca Street
  • Suite 300
  • Austin
  • Texas
  • 78701
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
STRSNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 1992

Biography

Stratus Properties Inc., a real estate company, engages in the acquisition, entitlement, development, management, operation, and sale of commercial, hotel, entertainment, and multi-and single-family reside ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 23:42
End of Day Share Price2019/10/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.