NYSE:ALEX

Stock Analysis Report

Executive Summary

Alexander & Baldwin, Inc. is Hawai'i's premier commercial real estate company and the state's foremost owner of grocery-anchored retail centers.


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

Share Price & News

How has Alexander & Baldwin's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-2.1%

ALEX

-0.07%

US REITs

-1.1%

US Market


1 Year Return

-8.2%

ALEX

16.0%

US REITs

17.9%

US Market

Return vs Industry: ALEX underperformed the US REITs industry which returned 16% over the past year.

Return vs Market: ALEX underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

ALEXIndustryMarket
7 Day-2.1%-0.07%-1.1%
30 Day2.7%3.6%1.4%
90 Day3.3%7.8%6.9%
1 Year-5.4%-8.2%20.7%16.0%20.3%17.9%
3 Year-21.3%-50.8%37.9%20.6%47.8%38.3%
5 Year-10.0%-44.4%60.3%27.3%71.9%53.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Alexander & Baldwin undervalued compared to its fair value and its price relative to the market?

31.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ALEX ($22.47) is trading below our estimate of fair value ($32.84)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: ALEX is good value based on its PB Ratio (1.4x) compared to the US REITs industry average (2.1x).


Next Steps

Future Growth

How is Alexander & Baldwin forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

94.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ALEX is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: ALEX is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: ALEX's is expected to become profitable in the next 3 years.

Revenue vs Market: ALEX's revenue is expected to decline over the next 3 years (-7.4% per year).

High Growth Revenue: ALEX's revenue is forecast to decline over the next 3 years (-7.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ALEX's Return on Equity is forecast to be low in 3 years time (4.9%).


Next Steps

Past Performance

How has Alexander & Baldwin performed over the past 5 years?

-8.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ALEX is currently unprofitable.

Growing Profit Margin: ALEX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ALEX is unprofitable, and losses have increased over the past 5 years at a rate of -8.5% per year.

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

Earnings vs Industry: ALEX is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (7.6%).


Return on Equity

High ROE: ALEX has a negative Return on Equity (-15.66%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Alexander & Baldwin'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: ALEX has a high level of physical assets or inventory.

Debt Coverage by Assets: ALEX's debt is not covered by short term assets (assets are 0.3x 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: ALEX has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: ALEX has been profitable on average in the past, therefore cash runway is not a concern.


Financial Institutions Analysis

Asset Level: ALEX's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if ALEX has a sufficient allowance for bad loans.

Low Risk Liabilities: ALEX reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if ALEX has an acceptable proportion of non-loan assets held.

Low Risk Deposits: ALEX has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if ALEX has an appropriate level of bad loans.


Next Steps

Dividend

What is Alexander & Baldwin's current dividend yield, its reliability and sustainability?

3.38%

Current Dividend Yield


Dividend Yield vs Market

company3.4%marketbottom25%1.4%markettop25%3.7%industryaverage3.5%forecastin3Years3.9%

Current dividend yield vs market & industry

Notable Dividend: ALEX's dividend (3.38%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: ALEX's dividend (3.38%) is low compared to the top 25% of dividend payers in the US market (3.73%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9.6%), ALEX's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ALEX's dividends in 3 years are forecast to be thoroughly covered by earnings (1.2% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Chris Benjamin (56yo)

4.1yrs

Tenure

US$3,479,433

Compensation

Mr. Christopher J. Benjamin, also known as Chris, has been the President of Alexander & Baldwin, Inc., (alternate name Matson, Inc.) since June 2012 and its Chief Executive Officer since January 1, 2016. M ...


CEO Compensation Analysis

Compensation vs Market: Chris's total compensation ($USD3.48M) is about average for companies of similar size in the US market ($USD3.81M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Christopher Benjamin
President4.1yrsUS$3.48m0.37% $6.1m
Nelson N. Chun
Executive VP & Chief Legal Officer7.7yrsUS$881.24k0.18% $2.9m
Meredith Ching
Executive Vice President of External Affairs12.7yrsUS$771.66k0.17% $2.7m
Lance Parker
Executive VP & Chief Real Estate Officer2.3yrsUS$1.37m0.061% $983.0k
Diana Laing
Interim Executive VP & Director0.8yrsUS$597.86kno data
Brett Brown
Executive VP & CFO0.8yrsno datano data
Jeff Pauker
Senior Vice President of Investments2.1yrsno datano data
Clayton Chun
Senior VP2.1yrsno data0.015% $247.6k
Suzy Hollinger
Vice President of Investor Relations8.1yrsno datano data
Francisco Gutierrez
Senior Vice President of Development1.5yrsno datano data

2.3yrs

Average Tenure

56yo

Average Age

Experienced Management: ALEX's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Christopher Benjamin
President4.1yrsUS$3.48m0.37% $6.1m
Diana Laing
Interim Executive VP & Director0.8yrsUS$597.86kno data
Wilton Doane
Independent Director7.7yrsUS$157.25k0.051% $831.0k
Stanley Kuriyama
Chairman7.7yrsUS$221.50k0.38% $6.1m
Thomas Lewis
Independent Director2.6yrsUS$154.25k0.0078% $127.5k
Douglas Pasquale
Lead Director0yrsUS$193.60k0.089% $1.4m
Eric Yeaman
Independent Director7.7yrsUS$157.25k0.034% $552.7k
Robert Harrison
Independent Director8.1yrsUS$160.25k0.036% $589.2k
Michele Saito
Independent Director8.1yrsUS$165.95k0.034% $552.7k

7.7yrs

Average Tenure

64yo

Average Age

Experienced Board: ALEX's board of directors are considered experienced (7.7 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.9%.


Top Shareholders

Company Information

Alexander & Baldwin, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Alexander & Baldwin, Inc.
  • Ticker: ALEX
  • Exchange: NYSE
  • Founded: 1870
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: US$1.624b
  • Shares outstanding: 72.26m
  • Website: https://www.alexanderbaldwin.com

Number of Employees


Location

  • Alexander & Baldwin, Inc.
  • 822 Bishop Street
  • Post Office Box 3440
  • Honolulu
  • Hawaii
  • 96801
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALEXNYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2012
ABUDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2012

Biography

Alexander & Baldwin, Inc. is Hawai'i's premier commercial real estate company and the state's foremost owner of grocery-anchored retail centers. A&B is a fully integrated real estate investment trust and owns, operates and manages approximately 3.9 million square feet of primarily retail and industrial space in Hawai'i, and is a major landowner in the state. A&B's interests extend beyond commercial real estate into renewable energy and land stewardship. A&B is also a construction materials company and paving contractor in Hawai'i. Over its nearly 150-year history, A&B has evolved with the state's economy and played a lead role in the development of the agricultural, transportation, tourism, construction and real estate industries. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 02:23
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
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.